The consensus revenue forecast for the state of North Carolina released this week projects a one-time $3.25 billion budget surplus.
North Carolina has recently been ranked as the best state in the country to do business by CNBC and Business Facilities magazine.
When Republicans took over control of state government a decade ago and announced a plan to reduce taxes, Democrats predicted huge budget deficits, but because of economic growth in the state the opposite has happened with the state budget.
North Carolina state House Speaker Tim Moore (R-Cleveland) in a press release said, “The surplus projected in today’s consensus revenue forecast demonstrates the economic strength of our state, which has attracted both businesses and families to North Carolina.”
Moore continued “Today’s consensus revenue forecast confirms that North Carolina’s tax policies are fueling economic growth. The surplus is a significant increase over the current fiscal year’s budget.”
President Pro Tem of the state Senate Sen. Phil Berger (R-Rockingham) said, “While this year’s surplus is welcomed news, we need to be cautious as we prepare the budget. We must continue to prioritize responsible spending, addressing our state’s workforce needs, and providing additional tax relief to our citizens.”
Berger added, “I am confident that as we continue to address some of the state’s most pressing needs, we will continue doing so in a fiscally responsible way that leads to even more growth for North Carolina. This is the approach we will take as we consider our budget priorities of targeted raises for law enforcement and other key personnel, greater investments in infrastructure, and workforce development initiatives.”
From those statements it appears that the Republican majorities in the state House and state Senate are on the same page moving forward in the 2023 legislative session. In the 2022 election the voters of North Carolina elected a veto proof majority in the state Senate and Republicans in the state House are one vote shy of a veto proof majority.