Governor Stein Statement on Revised State Revenue Forecast

NORTH CAROLINA, May 29 - Today Governor Josh Stein released the following statement on the Consensus Forecasting Group’s revised consensus general fund revenue forecast:

“This nonpartisan report confirms our concerns about the fiscal cliff the state faces if we do not take action to address future revenue shortfalls. State revenues for the two fiscal years ahead are predicted to be lower than what was expected in February: $218 million for FY 2025-26 and $222 million for the fiscal year after that. Slower revenue growth means fewer state dollars to invest in keeping people safe, educating our young people, and providing other important public services.

“This news comes in the midst of an uncertain economy and federal budget pressures that may put funding for critical resources including Medicaid and SNAP in jeopardy. It also comes as we find ourselves on the hook for even more Hurricane Helene recovery expenses. That’s why I proposed freezing tax rates where they are. While the House rejects my proposal and keeps the tax cuts in law, it did create more fiscally prudent triggers that must be satisfied before the cuts go into effect. I call upon the Senate budget writers to follow suit. We need to balance our books, not bury our heads in the sand.”