State Politics

NC Gov. Stein says he’s weighing budget bill on his desk that split Democratic votes

Key Takeaways
Key Takeaways

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  • Gov. Josh Stein has 10 days to sign, veto, or let the 600+‑page budget become law.
  • The budget bill would give teachers an average 8% raise and 3% for most state employees.
  • Half of House Democrats and several Senate Democrats voted for the Republican budget.

When Republican leaders of the North Carolina General Assembly announced they had a deal on raises for teachers and state employees in the budget, Democratic Gov. Josh Stein said he would wait to weigh in until he sees “the proof in the pudding.”

More than a month later, lawmakers finally sent him a year-overdue comprehensive budget bill on Thursday afternoon.

“I have 10 days from today to respond,” Stein told The News & Observer as he talked with reporters Thursday afternoon. “It is a long, complicated bill, and yes, it has good provisions, it has some bad provisions. My job as governor is to weigh those to determine what my action will be.”

Stein spoke after signing two unrelated public safety bills in a ceremony at the Executive Mansion, a block away from the Legislative Building.

“At this point, it’s premature, but in the coming days, I will surely do my homework. As I said, it’s a long bill, so we need to do the thorough read, and then we will let you know as soon as I know what I’m going to do,” he said.

The state budget bill, which is more than 600 pages, would give teachers an average raise of 8% with the highest raises for starting teachers, as well as double-digit raises for law enforcement and 3% for most state employees.

This is the first comprehensive budget to cross Stein’s desk, aside from a few small spending bills. Half of House Democrats voted for the Republican-negotiated final document during a key vote, and several Senate Democrats also voted in favor of it, even if they don’t like everything in it. The pressing reason for passing the document, for Democrats, was tardy raises and other spending needs.

Asked by The N&O about Democrats who voted in favor of the budget, Stein said he thinks “that’s a sign that there’s some good things in the bill and there’s some bad things in the bill.”

“And I have to evaluate those, weigh them, compare them, and decide what’s in the best interest of the state, and I will act accordingly,” he said.

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

Republican House Speaker Destin Hall told reporters on Wednesday that the number of Democrats who already voted for it was a sign that Stein won’t veto it. Vetoes can be overturned with a three-fifths majority of votes, meaning that Republicans only need a few Democrats or independents to vote with them.

With Stein noting Thursday that he has 10 days to take action, there’s a third option beyond signing or vetoing the bill. He can also let the clock run out, and after 10 days it becomes law without his signature.

On timing, he told reporters to enjoy the Fourth of July weekend, meaning no action is expected before next week. Friday is the observed state and federal holiday for Independence Day — a significant one as our country’s 250th birthday.

Also Thursday, Stein signed two public safety bills into law: House Bill 83, revising laws on minors and human trafficking, including penalties for sending graphic images to minors; as well as House Bill 481, which lets local and state law enforcement officers keep their eligibility for a special separation allowance if they retire and meet certain criteria.

This story was originally published July 2, 2026 at 5:24 PM.

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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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