Politics & Government

No more General Assembly votes this year. Budget, Medicaid battles await in 2026

The North Carolina Legislative Building, with Christmas wreaths on the front doors, pictured in December 2025. No more voting sessions will be held this year, as legislative battles roll into 2026.
The North Carolina Legislative Building, with Christmas wreaths on the front doors, pictured in December 2025. No more voting sessions will be held this year, as legislative battles roll into 2026. dvaughan@newsobserver.com
Key Takeaways
Key Takeaways

AI-generated summary reviewed by our newsroom.

Read our AI Policy.


  • Legislature to meet procedurally with no votes; budget stalemate leaves NC unique
  • Gov. Josh Stein rescinds Medicaid provider cuts; funding ends in April amid lawsuits
  • House plans property tax reform as a 2026 priority; limited committee work continues

Good morning and welcome to Under the Dome. I’m Capitol bureau chief Dawn Vaughan, and this edition focuses on North Carolina’s governor.

Democratic Gov. Josh Stein’s battle with the General Assembly over Medicaid funding has come to a close, at least for 2025.

This past week, Stein decided to end the Medicaid cuts to providers that he put in place Oct. 1. He had made the cuts because funding will run out in April, and he reversed them amid lawsuits and a lack of legislative action.

The move to pressure state lawmakers to pass more money sooner failed, as the legislature can’t even come to an agreement on the state budget, which is in a stalemate over taxes between the Republican-controlled House and Senate. We’re now the last state in the country to not have a new spending plan.

There’s a legislative session scheduled for Monday in both the House and the Senate, but there won’t be any votes. Spokespeople for both chambers’ leaders told The News & Observer on Friday the session will just be procedural, and no further votes are expected, either.

General Assembly staff decorate the rotunda at the North Carolina Legislative Building in Raleigh on Dec. 3, 2025.
General Assembly staff decorate the rotunda at the North Carolina Legislative Building in Raleigh on Dec. 3, 2025. Dawn Baumgartner Vaughan dvaughan@newsobserver.com

No Senate committees are meeting. There are three House study committee meetings on Wednesday, however, so the Legislative Building won’t be completely empty. And legislative staff will be there even if lawmakers aren’t.

One of those House committees is the first meeting about reforming property tax law, a priority of House Speaker Destin Hall for 2026.

For those working in or visiting the Legislative Building this week, check out the Christmas decorations, including wreaths on the front doors and the window that overlooks Jones Street as well as two Christmas trees.

One of two Christmas trees on display at the North Carolina Legislative Building in Raleigh, pictured on Dec. 3, 2025. The window behind the tree faces Jones Street.
One of two Christmas trees on display at the North Carolina Legislative Building in Raleigh, pictured on Dec. 3, 2025. The window behind the tree faces Jones Street. Dawn Baumgartner Vaughan dvaughan@newsobserver.com

NC’s first Jewish governor lights Capitol Christmas tree

Stein is the state’s first Jewish governor. As previous governors have done, he lit the Christmas tree on the State Capitol grounds in the annual ceremony on Thursday. Stein was joined by schoolchildren for the moment of lighting, and talked some about his own faith.

“In my faith tradition, we celebrate a holiday called Hanukkah, that is also about the miracle of light, the miracle of hope and faith. Sometimes, when it’s really dark, it can feel overwhelming, despairing or even scary. But light is more powerful. Because when things are at their darkest, when it is pitch black, a single light can pierce the darkness. A single light can inspire more light,” Stein said before they lit the tree.

“So together, let’s be that light. Let’s ignite our own flame and keep it burning. Let’s be the light in our schools, in our homes, on our sports teams, in our neighborhoods — wherever we are, let’s draw inspiration from the many, many lights that are already shining brightly across our state,” he said.

The North Carolina Capitol Christmas tree, photographed after it was lit by Gov. Josh Stein on Dec. 111, 2025.
The North Carolina Capitol Christmas tree, photographed after it was lit by Gov. Josh Stein on Dec. 111, 2025. Dawn Baumgartner Vaughan dvaughan@newsobserver.com

Stay up to date on #ncpol

Here are more #ncpol headlines:

Be sure to listen to our Under the Dome politics podcast, with new episodes posting on Tuesdays. This past week, I was joined by democracy reporter Kyle Ingram and Raleigh local government reporter Anna Johnson.

Thanks for reading. Ideas or feedback about our Under the Dome newsletter? Email me at dvaughan@newsobserver.com or our entire politics team at dome@newsobserver.com. Not a newsletter subscriber? Sign up here.

Related Stories from Raleigh News & Observer
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.
Get unlimited digital access
#ReadLocal

Try 1 month for $1

CLAIM OFFER