BY REP. TODD CARVER

This work in the the N.C. House of Representatives has turned to the budget process. Before I say where we are, let me tell you about the process. North Carolina operates under a two-year budget system. So the budget that hopefully will be passed and signed by the governor is one which will guide us for fiscal years 2025-2026 and 2026-2027. On alternating sessions, the budget is presented by alternating houses of the legislature. This session the Senate provided its version of the budget proposal first and then the House presented its version.

To bring everyone up to speed: Gov. Josh Stein submitted his budget proposal in March, the Senate rendered its proposals in mid-April and now this week the House will submit its version of the spending and tax plan. Once the House budget is agreed upon and passed, the budget will next go to a conference, which involves members of the House and Senate working together to reconcile the two proposals. As with any negotiation, there will be give and take from both sides. In the end, the hope is that the two chambers can agree on a budget that the governor will sign into law.

One thing to remember about the process is North Carolina has what is called a continuing budget provision. That means if a budget is not approved by the House and Senate and signed by the governor, the state will continue to operate under the previous budget’s spending levels. So, if there is no agreement we continue to fund state agencies and departments at the 2023-2025 budget levels. There is no risk in North Carolina of a government shutdown due to failure to adopt a new budget. This is very different than the federal government. The other primary difference is that there is no option to run a deficit in the state budget. We must operate under a balanced budget in North Carolina.

One of the things I hope we can pass is an investment in education. I will always view education as an investment and not a liability. Education is the most viable option we have to create change in a child’s economic future. The best chance we have to create a love for learning is a highly effective and motivated teacher in the classroom. Motivated teachers must feel valued and be viewed as professionals in the classroom. Most people are not aware that we have moved the starting pay for teachers up in recent years, but we have left many of our teachers with 15 to 25 years of experience frozen in their pay. When you move up the bottom end of any pay scale and don’t move the top you have a condition called compression. In every profession, you must compensate people for their experience and knowledge. Teaching should not be exempt from this requirement.

We have many decisions to be make surrounding the budget in the upcoming weeks. My hope is we can find a tax rate which encourages growth in our economy, and a spending plan which allows us to make investments in our future.

Rep. Todd Carver represents the 95th District in the N.C. House.