H.B. 430
GENERAL ASSEMBLY OF NORTH CAROLINA
Mar 21, 2023
SESSION 2023 HOUSE PRINCIPAL CLERK
H D
HOUSE BILL DRH10207-MHfa-93B
Short Title: Governor's Budget. (Public)
Sponsors: Representative Lambeth.
Referred to:
1 A BILL TO BE ENTITLED
2 AN ACT TO MAKE BASE BUDGET APPROPRIATIONS FOR CURRENT OPERATIONS
3 OF STATE AGENCIES, DEPARTMENTS, AND INSTITUTIONS.
4 The General Assembly of North Carolina enacts:
5
6 PART I. TITLE AND INTRODUCTION
7
8 TITLE OF ACT
9 SECTION 1.1. This act shall be known as the "Current Operations Appropriations
10 Act of 2023."
11
12 INTRODUCTION
13 SECTION 1.2. The appropriations made in this act are for maximum amounts
14 necessary to provide the services and accomplish the purposes described in the budget in
15 accordance with the State Budget Act. Savings shall be effected where the total amounts
16 appropriated are not required to perform these services and accomplish these purposes, and the
17 savings shall revert to the appropriate fund at the end of each fiscal year, except as otherwise
18 provided by law.
19
20 PART II. CURRENT OPERATIONS AND EXPANSION/GENERAL FUND
21
22 GENERAL FUND APPROPRIATIONS
23 SECTION 2.1.(a) Appropriations from the General Fund for the budgets of the State
24 departments, institutions, and agencies, and for other purposes as enumerated, are made for each
25 year of the 2023-2025 fiscal biennium, according to the following schedule:
26
27 Current Operations – General Fund FY 2023-2024 FY 2024-2025
28
29 EDUCATION
30 Community College System 1,593,867,202 1,596,283,053
31
32 Public Instruction 13,413,370,088 14,284,695,040
33
34 Appalachian State University 184,193,982 184,193,982
35 East Carolina University
36 Academic Affairs 266,602,993 266,607,048
*DRH10207-MHfa-93B*
 General Assembly Of North Carolina Session 2023
1 Health Affairs 96,525,963 100,446,390
2 Elizabeth City State University 46,160,370 46,160,370
3 Fayetteville State 78,937,840 78,937,840
4 NC A&T State University 150,219,848 145,719,848
5 NC Central University 91,623,233 91,623,233
6 NC State University
7 Academic Affairs 499,416,715 499,416,715
8 Agricultural Extension 44,109,008 44,109,008
9 Agricultural Research 58,953,248 58,953,248
10 UNC-Asheville 50,651,165 50,651,165
11 UNC-Chapel Hill
12 Academic Affairs 329,373,589 329,373,589
13 Health Affairs 230,809,848 230,809,848
14 AHEC 55,271,874 55,271,874
15 UNC-Charlotte 301,689,831 301,689,831
16 UNC-Greensboro 201,202,978 201,202,978
17 UNC-Pembroke 99,181,856 99,181,856
18 UNC-School of the Arts 40,089,624 40,089,624
19 UNC-Wilmington 190,447,266 190,447,266
20 Western Carolina University 152,710,156 152,683,380
21 Winston-Salem State University 69,510,370 69,510,370
22 General Administration 63,231,861 55,397,861
23 University Institutional Programs 484,246,765 554,790,360
24 Related Educational Programs 468,464,708 505,664,708
25 NC School of Science and Math 41,539,395 41,539,395
26 Aid to Private Institutions 16,209,300 6,209,300
27 Total – University of North Carolina 4,311,373,786 4,400,681,087
28
29 HEALTH AND HUMAN SERVICES
30 Department of Health and Human Services
31 Aging and Adult Services 53,990,792 54,117,772
32 Central Management and Support 297,632,120 274,525,753
33 Child Development and Early Education 661,823,553 888,953,961
34 Child and Family Well Being 77,670,941 83,322,027
35 Health Benefits 5,637,108,251 5,973,987,872
36 Health Services Regulation 27,338,777 28,058,476
37 Mental Hlth/Dev. Disabl./Subs. Abuse Serv. 831,031,029 847,367,050
38 Public Health 123,381,254 124,804,544
39 Services for the Blind, Deaf and Hard of Hearing 9,379,618 9,560,820
40 Social Services 225,505,445 227,636,990
41 Vocational Rehabilitation 43,225,441 43,960,547
42 Total Health and Human Services 7,988,087,221 8,556,295,812
43
44 AGRICULTURE, NATURAL, AND ECONOMIC RESOURCES
45 Agriculture and Consumer Services 208,991,963 180,456,953
46
47 Department of Commerce
48 Commerce 20,010,727 17,372,421
49 General State Aid 26,655,810 20,655,810
50 Economic Development 187,000,660 187,000,660
51
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1 Environmental Quality 124,725,731 119,905,697
2
3 Labor 27,288,827 28,003,313
4
5 Department of Natural and Cultural Resources
6 Natural and Cultural Resources 363,123,665 276,679,880
7 Roanoke Island 0 0
8
9 Wildlife Resources Commission 20,234,536 21,042,374
10
11 JUSTICE AND PUBLIC SAFETY
12 Judicial Department 764,505,014 777,037,776
13
14 Judicial Department – Indigent Defense Services 159,589,514 164,148,853
15
16 Department of Justice 71,629,203 73,099,975
17
18 Department of Public Safety 726,436,123 711,487,513
19
20 Department of Adult Correction 2,110,762,409 2,107,009,313
21
22
23 GENERAL GOVERNMENT
24
25 Department of Administration 68,522,026 69,034,955
26
27 Office of Administrative Hearings 8,218,385 8,386,295
28
29 State Board of Elections 11,324,110 10,759,290
30
31 Office of State Auditor 19,865,249 20,400,899
32
33 Office of State Controller 35,739,681 36,354,328
34
35 General Assembly 95,188,112 96,633,139
36
37 Office of the Governor 6,553,601 6,685,016
38
39 Office of State Budget and Management
40 Office of State Budget and Management 12,946,174 13,054,490
41 OSBM – Reserve for Special Appropriations 13,000,000 12,000,000
42
43 Housing Finance Agency 40,660,000 40,660,000
44
45 Office of State Human Resource 13,953,519 11,937,954
46
47 Department of Insurance
48 Insurance 72,314,798 75,406,059
49 Insurance – Industrial Commission 13,033,752 13,298,365
50
51 Office of Lieutenant Governor 1,348,734 1,364,973
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1
2 Department of Military and Veterans Affairs 14,965,824 15,038,969
3
4 Department of Revenue 131,569,639 130,873,680
5
6 Department of Secretary of State 21,074,593 21,074,235
7
8 Department of State Treasurer
9 Treasurer 7,538,138 6,933,160
10 Treasurer – Retirement for Fire and
11 Rescue Squad Workers 33,255,423 33,255,423
12
13 Information Technology 125,327,503 87,433,005
14
15 RESERVES, DEBT, AND OTHER BUDGETS
16
17 Statewide Reserves 54,282,000 -2,934,000
18
19 Total Net Appropriation 32,950,036,207 34,233,756,565
20
21 SECTION 2.1.(b) For purposes of this act, the requirements set forth in this section
22 represent the total amount of funds, including agency receipts, appropriated to an agency,
23 department, or institution.
24
25 GENERAL FUND AVAILABILITY
26 SECTION 2.2.(a) The General Fund availability derived from State tax revenue,
27 nontax revenue, and other adjustments used in developing the budget for each year of the
28 2023-2025 fiscal biennium is as follows:
29
30 FY 2023-2024 FY 2024-2025
31 Unappropriated Balance from Prior Fiscal Year 666,806,816 1,015,671,341
32 Projected Over Collections FY 2022-23 3,250,300,000 -
33 Public Instruction Reversion FY 2021‐22 Funds 151,524,307 -
34 Anticipated Reversions FY 2022-23 425,000,000 -
35 Medicaid Expansion Bonus – assumes June 1 enrollment date
36 194,100,000 -
37 Comprehensive Remedial Plan Court Order for Years 2 and 3
38 (677,801,707) -
39 Total, Current Beginning Unreserved Balance 4,009,929,416 1,015,671,341
40
41 Statutorily Required Reservations of Revenue
42 State Capital and Infrastructure Fund (1,412,592,500) (1,461,333,238)
43 Unfunded Liability Solvency Reserve (29,280,000) (87,795,000)
44 Subtotal (1,441,872,500) (1,549,128,238)
45
46 Investments to Reserves
47 $1.25 Billion IHOPE Fund (Medicaid Expansion Bonus)(1,055,000,000) (195,000,000)
48 Capital Improvements (1,415,000,000) (405,000,000)
49 Medicaid Contingency Reserve (391,217,272) –
50 Federal Infrastructure Match Reserve (225,000,000) –
51 Economic Development Project Reserve (325,000,000) –
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 General Assembly Of North Carolina Session 2023
1 Information Technology Project Reserve (180,000,000) –
2 Housing Reserve (160,000,000) –
3 Transportation Reserve (78,000,000) (78,000,000)
4 Contingency and Emergency Fund (5,000,000) (5,000,000)
5 Child Care Stabilization Grants 200,000,000 300,000,000
6 Subtotal, Investments to Reserves (3,634,217,272) (383,000,000)
7
8 Tax Revenues
9 Personal Income 16,610,100,000 16,818,000,000
10 Sales and Use 10,664,600,000 10,690,700,000
11 Corporate Income 1,680,700,000 1,633,500,000
12 Franchise 726,500,000 738,600,000
13 Insurance 1,270,000,000 1,271,700,000
14 Alcoholic Beverage 556,000,000 578,500,000
15 Tobacco Products 280,900,000 276,600,000
16 Other Tax Revenue 158,100,000 165,200,000
17 Subtotal, Tax Revenues 31,946,900,000 32,172,800,000
18
19 Non-tax Revenues
20 Judicial Fees 220,800,000 219,800,000
21 Investment Income 856,300,000 645,100,000
22 Disproportionate Share 164,500,000 88,400,000
23 Master Settlement Agreement 150,200,000 149,100,000
24 Insurance 114,900,000 117,800,000
25 Other Non-tax Revenues 252,800,000 255,300,000
26 Subtotal, Non-tax Revenue 1,759,500,000 1,475,500,000
27
28 Total, Net Revenues 33,706,400,000 33,648,300,000
29
30 Adjustments to Revenues:
31 Individual Income Tax Fairness, rate remains at 4.75% for income >$200K/100K
32 (MFJ/single) 69,000,000 222,000,000
33 Maintain Lowest Corporate Tax Rate at 2.5% - 65,000,000
34 Maintain General Fund Sales Tax Transfer to DOT at 2% 210,000,000 429,000,000
35 PHP New Revenue from HASP 162,400,000 84,800,000
36 Medicaid Expansion Bonus – assumes June 1 enrollment date
37 860,900,000 686,400,000
38 Subtotal, Adjustments to Tax Revenue 1,302,300,000 1,487,200,000
39
40 Other Adjustments to Availability
41 Golden Leaf (2,500,000) (2,500,000)
42 Adjustment to Transfer from Department of Insurance 23,395,558 26,486,819
43 Adjustment to Transfer from State Treasurer 2,272,346 1,667,368
44 Subtotal, Other Adjustments 23,167,904 25,654,187
45
46 Revised Total Net General Fund Availability 33,965,707,548 34,244,697,290
47
48 Less General Fund Net Appropriations (32,950,036,207) (34,233,756,565)
49
50 Unappropriated Balance Remaining 1,015,671,341 10,940,725
51
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 General Assembly Of North Carolina Session 2023
1 SECTION 2.2.(b) In addition to the amount required under G.S. 143C-4-3.1 the
2 State Controller shall transfer to the State Capital and Infrastructure Fund established under
3 G.S. 143C43.1 the sum of one billion four hundred fifteen million dollars ($1,415,000,000) in
4 nonrecurring funds in the 2023-24 fiscal year and the sum of four hundred five million dollars
5 ($405,000,000) in nonrecurring funds in the 2024-25 fiscal year. Funds transferred under this
6 subsection are appropriated for the fiscal year in which they were transferred and shall be used
7 in accordance with Part 40 of this act.
8 SECTION 2.2(b1) G.S. 143C-4-3-1(b)(1)(e) and G.S. 143C-4-3-1(b)(1)(f) are
9 repealed.
10 SECTION 2.2.(c) As required by G.S. 143-4-2 subsections (i) and (j), the State
11 Controller shall reserve from funds available in the General Fund the sum of twenty-nine million
12 two hundred eighty thousand dollars ($29,280,000) in nonrecurring funds in the 2023-24 fiscal
13 year and eighty-seven million seven hundred ninety-five thousand dollars ($87,795,000) in
14 nonrecurring funds in the 2024-25 fiscal year to the Unfunded Liability Solvency Reserve. Of
15 the funds reserved in the Unfunded Liability Solvency Reserve, the State Controller shall transfer
16 the sum of ten million dollars ($10,000,000) in nonrecurring funds in the 2023-24 fiscal year and
17 the sum of twenty-nine million two hundred eighty thousand ($29,280,000) in nonrecurring funds
18 in the 2024-25 fiscal year to the Health Benefit Fund and the Retirement System pursuant to
19 G.S. 143C-4-10. The funds in this subsection are appropriated in the year in which they are
20 transferred.
21 SECTION 2.2.(d) There is est