New legislative-session optimism extends to talks between Gov. Stein, GOP leaders
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- Gov. Josh Stein kicked off opening day with his third budget pitch of 2026.
- The governor, the House and the Senate agreed on $319 million for Medicaid.
- Legislative leaders signaled increased momentum toward a state budget deal this year.
Good morning, let’s talk about politics and government. This is the Under the Dome newsletter edition that focuses on the governor, and I’m Capitol bureau chief Dawn Vaughan.
As former UNC coach Hubert Davis would say, “it’s live action out there.”
The General Assembly is back. Gov. Josh Stein kicked off the opening day — enough sports references for you yet? — with his third budget pitch of 2026.
Stein is a Democrat, and the legislature is controlled by Republicans. That doesn’t mean they’re always on opposing sides, though.
Just last week, Stein met with top Republicans in the legislature.
Here’s what Republican Senate leader Phil Berger had to say about their discussion on the budget.
“I think there’s a sincere effort to try to see if there’s common ground. And I think there probably is a lot of common ground, kind of at the granular level, on some things. Our challenge right now is we’ve not been able to get from the top line issue of: How much are we spending, and what are the tax rates, and how are we generating revenue?”
Berger said he is “somewhat optimistic that there are some of the things that we’re going to work on.”
And the House and the Senate agreed on a Medicaid deal to fund $319 million needed this year. That’s what Stein proposed, though Republicans did add some policy to the bill.
- NC lawmakers announce deal to provide Medicaid funding on their first day back
- NC lawmakers vote for Medicaid deal. It goes beyond money to fraud and immigration.
Final votes are this week.
This is the busy season, and all signs point to a state budget deal at some point this year, which would probably come by the summer if it materializes. Incentives for lawmakers to act include that it’s an election year, and it’s tough to campaign if you’re just explaining why you didn’t get your job done.
And this is Berger’s final legislative session, since he lost his primary. He hasn’t said if he plans to run for another office after his term ends in December.
Berger and House Speaker Destin Hall need Stein’s approval for the budget, unless they think they can overturn Stein’s veto. The House and Senate are closer to a deal than they’ve been for several months.
One more note: If you are thinking about visiting the Legislative Building this session, I have an explainer story about what you should know about visits and what to expect this session:
Thanks for reading. Be sure to listen to our Under the Dome podcast. I host a new episode every Tuesday, joined by other reporters and guests.
Reach me at dvaughan@newsobserver.com or the entire politics team at dome@newsobserver.com. Have a great week ahead.
This story was originally published April 26, 2026 at 5:00 AM with the headline "New legislative-session optimism extends to talks between Gov. Stein, GOP leaders."
