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Last Action

Re-ref Com On Appropriations/Base Budget2026-04-23

Vote Breakdown

No floor votes recorded.

Plain Language Summary

This bill requires North Carolina state agencies to use zero-based budgeting on a rotating schedule, starting in 2026. Under zero-based budgeting, agencies must justify all spending from scratch rather than basing budgets on previous year amounts, and must document the purpose, cost, and effectiveness of each activity.

Arguments in Favor

• •Supporters argue zero-based budgeting eliminates wasteful or outdated spending by requiring agencies to justify every dollar spent rather than automatically continuing past budget levels.
• •This approach could identify inefficiencies, reduce unnecessary programs, and ensure state resources go to activities that genuinely serve statutory purposes and achieve measurable outcomes.

Arguments Against

• •Opponents contend that zero-based budgeting is time-consuming and costly for agencies to implement, potentially diverting resources from actual service delivery.
• •They argue the rotating eight-year schedule creates scheduling complexity, and that this approach may lead to service disruptions as agencies scramble to justify core functions that should be assumed as necessary.