Politics & Government

NC House takes final vote on budget. Senate expected to send to governor today

Rep. Garland Pierce reads through the budget during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C.
Rep. Garland Pierce reads through the budget during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C. kmckeown@newsobserver.com

North Carolina lawmakers — a year late — are taking final votes on a state budget Thursday before sending the $34 billion bill to Democratic Gov. Josh Stein’s desk.

In the House, the final vote was 88-21 on Thursday.

Some Democrats in both chambers joined with Republicans, who have majorities in both, to pass legislation that would give overdue raises to thousands of teachers and state employees, with the highest raises for starting teachers and law enforcement.

The House and Senate each approved the measure in key votes on Wednesday after debate. In the Senate, two Republican senators voted against the bill because it includes tolls on coastal ferries, which have been free.

Rep. Terry Brown speaks with N.C. House Democratic Leader Robert Reives during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C.
Rep. Terry Brown speaks with N.C. House Democratic Leader Robert Reives during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C. Kaitlin McKeown kmckeown@newsobserver.com

In the first vote, Republicans in the House, who all voted in favor, were joined by 23 Democrats, with the other half of Democrats voting against it. Both independent House members voted in favor. In the Senate’s first vote, nine Democrats voted in favor, with 11 against.

Those margins are enough for lawmakers to handily override a veto from Stein, if he chose to veto the bill. House Speaker Destin Hall told reporters on Wednesday evening after the voting session that the support of Democrats is an indicator that Stein will not veto the bill.

Final debate is set for the Senate on Thursday afternoon.

During floor debate on Wednesday, Democratic Rep. Amos Quick likened his support of the bill to unenthusiastically eating fast food when he’d rather have a healthy meal. But he, and other Democrats who voted for the bill, favored just getting the job done and raises out quickly.

Rep. Brandon Lofton, a Mecklenburg County Democrat who voted against the budget, said on Thursday that while the raises in the bill are important, he opposed it because the state passes down too many funding needs to local governments.

Democrats criticized the yearlong delay of the budget. On Thursday, Rep. Donny Lambeth, a top Republican budget writer from Winston-Salem, said that other states finish their budgets in the spring, not the summer, and that future North Carolina budgets should aim for that, too.

Rep. Jonathan Almond speaks with Rep. John Bell, House Rules Chair, during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C.
Rep. Jonathan Almond speaks with Rep. John Bell, House Rules Chair, during the House session on Wednesday, July 1, 2026, at the Legislative Building in Raleigh, N.C. Kaitlin McKeown kmckeown@newsobserver.com

Raises effective in July if budget becomes law

If Stein signs the bill, or lets it become law without his signature after 10 days, raises are coming as fast as the government can process them. The legislation gives an effective date of the raises of July 1, with bonuses coming this fall.

Retirees will get a 2.5% one-time bonus, and teachers and state employees will also get bonuses. Raises — an average 8% for teachers — and 3% for most employees should arrive in a matter of weeks. Various law enforcement workers are set to receive double-digit raises, with some on new salary scales.

This story was originally published July 2, 2026 at 12:16 PM with the headline "NC House takes final vote on budget. Senate expected to send to governor today."

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Dawn Baumgartner Vaughan
The News & Observer
Dawn Baumgartner Vaughan is the Capitol Bureau Chief for The News & Observer, leading coverage of the legislative and executive branches in North Carolina with a focus on the governor, General Assembly leadership and state budget. She has received the McClatchy President’s Award, N.C. Open Government Coalition Sunshine Award and several North Carolina Press Association awards, including for politics and investigative reporting.
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