Legislative Update from Rep. Iler — May 28, 2025
Last week at the North Carolina General Assembly saw the House of Representatives finalize their version of the state budget (Senate Bill 257 – 2025 Appropriations Act) for the fiscal years 2025-26 and 2026-27 Our fiscal year runs from July 1st to June 30th each year. It now goes back to the Senate.
The General Fund budget contains approximately $32 billion the first year and $33 billion the second year. We also passed a separate disaster relief bill appropriating over $450 million for recovery from Hurricane Helene. This brings the total last year, and this year combined to $1.8 billion for western NC.
The House Appropriations Committee voted on it Tuesday in a meeting that took most of the day and considered over 40 amendments. The next move was for the full House to vote on it Wednesday and Thursday, as it requires a two-day vote. It passed the House on a strong bipartisan vote of 93 – 20 and 86 – 20, respectively.
Some of the departmental allocations include;
- Education – over $18 billion, each year with over $11 billion for K-12 classrooms, approximately 55 % of the General Fund budget;
- Health & Human Services – $8.2 billion in 25-26 & $8.6 in 26-27;
- Justice & Public Safety- approximately $3.8 billion each year;
- Agriculture and Natural & Economic Resources – $821 million in 25-26 & $803 million in 26-27;
- All other departments combined total $668 million and $647 respectively.
We also retain reserves of $970 million in 25-26 and $1.3 billion in 26-27. Most of this is referred to as “The Rainy Day fund”.
The Transportation Budget, in which I am most involved, is separate from the General Fund. It is supported mainly by motor fuels tax at the pump and various fees, including DMV fees. It appropriates $5.8 billion in 2025-2026 and $5.9 billion in 2026-2027. It is divided between infrastructure, mainly road building, and maintenance, such as road and bridge repairs and resurfacing. Approximately $2.5 billion is budgeted for new infrastructure each year, and approximately $3.3 billion for maintenance. DOT maintains over 80,000 miles of roads as well as other activities, such as ferry operations/vessel replacement and the ports.
While we had long hours in meetings last week, we get a break over the long weekend and get to honor our fallen heroes.