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Old North State Report
March 21, 2025
Old North State Report – March 21, 2025
UPCOMING EVENTS
March 31, 2025
IIANC Thinkers Lunch: What Do Voters Want?
April 1, 2025
Wake County Bar Association April Luncheon – Raleigh
April 8, 2025
NC Chamber Spring Member Roundtable - Raleigh
April 14, 2025
Raleigh Chamber Business After Hours - Raleigh
NOTE: We could sponsor a future Business After Hours at the firm for $1,500
April 16, 2025
Federalist Society Housing Policy and Regulation in NC – Raleigh
April 17, 2025
Raleigh Chamber Young Professionals Network Social - Raleigh
NC Chamber Building NC - Durham
April 22, 2025
NC Chamber Spring Member Roundtable – Asheville
April 23, 2025
RTAC – Association of Corporate Counsel Spring Reception – Raleigh
LEGISLATIVE NEWS
HURRICANE HELENE AID BILL BECOMES LAW
On Wednesday, Governor Josh Stein signed into law a $524 million spending bill for Hurricane Helene relief. The bill was the first signed by Stein since he took office. The law, House Bill 47, is intended to support homebuilding, agricultural recovery, and infrastructure fixes in Western North Carolina and allocate $217 million to finish homebuilding projects in the eastern part of the state. This marks the third major aid bill from the Republican-led General Assembly related to Hurricane Helene, bringing total storm spending to about $1.4 billion.
The new aid package includes funds for various areas:
- Farmers will receive help with $300 million allocated for clearing debris and reimbursing crop losses.
- A new homebuilding program will receive $120 million to rebuild homes more efficiently.
- Private road and bridge repairs will get $100 million to restore critical transport routes.
- Local government grants of $55 million will support infrastructure needs for small businesses.
- Debris removal efforts will be boosted with $20 million focused on unaddressed areas.
- Fire department grants and nonprofit grants will provide $10 million each for related expenses and projects.
- Summer school funding of $9 million for grades 4-8 will help students catch up after the storm.
- A tourism marketing campaign will receive $4 million to attract visitors back to western North Carolina.
Certain requests were excluded from the funding, including small business grants, local government revenue grants, rental assistance, and state park repairs. Republican leaders indicated more relief efforts will follow, likely during the upcoming biannual state budget discussions.
GOVERNOR STEIN RELEASES BUDGET
On Wednesday, Governor Stein presented his budget recommendations for 2025-2027, focusing on public education, workforce development, child care, and public safety. The budget suggests spending $33.6 billion in fiscal year 2025-26, which is a 6.3% increase from last year. This includes significant funding for Medicaid, state employee pay, and the State Health Plan.
In education, Stein's proposal highlights proposed salary increases for teachers. He aims to raise starting teacher salaries to $53,000 from $42,800, increase pay for experienced staff, and end the GOP-led school voucher program for families earning over $115,000. Other initiatives include a 10.6% average teacher raise over two years, free community college for high-demand careers, free school breakfasts, the addition of pre-K slots, and school safety funding, along with a substantial bond for public school repairs.
The budget also addresses taxes, cost of living, and health care, proposing over $530 million in tax relief, freezing tax rates, and enhancing subsidies for child care and pre-K. Additional highlights include disaster relief reserves, increased unemployment benefits, and raises for certain state employees. Though Stein's proposal is unlikely to pass as law, it outlines his priorities. On Thursday morning, Stein’s budget director Kristin Walker shared recommendations with state lawmakers, focusing on spending plan details rather than tax policy conflicts, seeking common ground.
Read more by The Carolina Journal
HOSPITAL BILLING TRANSPARENCY LEGISLATION APPROVED BY COMMITTEE
On Wednesday, the Senate Health Committee approved Senate Bill 316, entitled “Lower Healthcare Costs.” The bill intends to give patients more information about hospital charges, fine hospital CEOs whose facilities fail to report their prices, and largely ban facility fees charged at hospital-owned clinics. The bill now goes to the Senate Judiciary Committee for consideration.
Hospitals would be required to give patients detailed information about costs before procedures and would require itemized bills in clear language before collecting unpaid bills. Additionally, they are required to provide quarterly reports on common procedure costs, with CEOs potentially facing fines of up to $2,000 daily for non-compliance.
For non-emergency situations, healthcare facilities must offer “good faith estimates” for procedures, ensuring final bills do not exceed these estimates by more than 5%. Senator Jim Burgin (R-Harnett) emphasized that increased price transparency will help lower costs, allowing patients to compare prices effectively. He stated that patients should be aware of potential separate bills from various medical providers such as anesthesiologists, radiologists, and labs.
BREAST CANCER SCREENING BILL ADVANCES
A bill in the state House would close gaps in health insurance for important breast cancer screenings and exams. House Bill 297, which has bipartisan support, would require insurance companies to cover diagnostic, screening, and supplemental breast exams to the same level as mammograms.
The bill's lead sponsor, Representative Mary Belk (D-Mecklenburg), is a breast cancer survivor. She explains, “The Breast Cancer Prevention Imaging Parity Bill is specifically aimed at helping three specific groups to afford medically necessary tests. Patients who have survived breast cancer, patients at increased genetic risk of breast cancer, and patients who have discovered a breast abnormality with standard screening.”
Women with dense breast tissue may be diagnosed at later stages, even with regular mammograms. Additional tests like MRIs or ultrasounds often require out-of-pocket payment, costing hundreds to over $1,000.
The bill passed unanimously in the House Health Committee and will undergo more discussions in House Insurance before a vote in the House.
THE REINS ACT ADVANCES IN THE HOUSE
As reported last week, the REINS Act (House Bill 402) was introduced on March 13. This legislation requires the General Assembly to approve any new rules from state agencies that may have an economic impact of $1 million or more in a year.
Currently, rules are approved by the Rules Review Commission made up of ten commissioners. The bill aims to ensure that any permanent rule with significant economic impact gets legislative approval.
House and Senate bill sponsors say the REINS Act increases government accountability and gives more power to the people. The House Regulatory Reform Committee has voted to advance the bill to the House Judiciary I Committee for further review. After review by the Judiciary Committee, the bill must receive consideration by the Commerce and Economic Development Committee. Then it must be passed by the House and Senate and signed by Governor Stein to become law.
Read more by The Carolina Journal
CARE FIRST ACT INTRODUCED
House Bill 434, introduced by Representative Tim Reeder, will allow doctors in North Carolina to make medical decisions with reduced oversight from insurance companies. On Tuesday, Reeder, an emergency physician, presented the CARE FIRST Act alongside healthcare advocates and patients affected by prior authorization rules.
Prior authorization requires providers to get approval from insurance companies for treatments, medications, or procedures based on coverage. Reeder explained that while prior authorization is meant to manage expensive care, it has become overly complicated and hinders patient care by causing delays.
Co-sponsor Representative Tricia Cotham (R-Mecklenburg) stated the bill will ensure insurers consult with physicians before denying treatment, set minimum standards for clinical reviews, and establish timely decision-making. The bill also mandates that insurance reviewers are licensed in North Carolina and are specialists relevant to the patient's care.
The bill must receive consideration by the House Health Committee and the House Insurance Committee before it goes to the full House for a vote.
Read more by The Daily Reflector
PROPERTY TAX EXEMPTION FOR DISABLED VETERANS ADVANCES IN HOUSE
North Carolina's property tax homestead exclusion for disabled veterans will increase from $45,000 to $61,000 according to House Bill 118, which was approved by the House Homeland Security and Military and Veterans Affairs Committee on Tuesday. Currently, the first $45,000 of property value is exempt from taxes, a figure set a decade ago. Supporters of the bill claim the increase is necessary to account for rising cost-of-living increases over the past ten years.
“All that this bill is doing now is — we took an average of three calculations of the cost-of-living change from the time this bill was passed until now,” said Representative Grant Campbell (R-Cabarrus), one of the bill’s sponsors.
The earlier version of HB 118 linked the exclusion to a veteran’s disability rating, which could financially burden local governments. In 2023, there were about 218,201 veterans with service-connected disabilities in North Carolina. The revised bill will have a $10 million financial impact compared to the original's $230 million. The bill will now move to the House Finance Committee.
WHAT WE’RE LISTENING TO
- Under the Dome Podcast
- Do Politics Better Podcast
- WUNC Politics Podcast
- Carolina Newsmakers Podcast
- NC Capitol Wrap Podcast
WHAT WE’RE READING
GET IN TOUCH
These materials have been prepared for informational purposes only and are not legal advice. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. Internet subscribers and online readers should not act upon this information without seeking professional counsel.