The new year will place new hurdles in the path of North Carolina's current and future governors before states of emergency they issue can extend into months or even years, as happened during the COVID-19 pandemic.
The new law says a governor now must receive formal support from a majority of the Council of State — composed of the lieutenant governor, attorney general and several other statewide elected executive positions — to extend the declaration beyond 30 days or it expires. The General Assembly would have to pass a law for the declaration to go beyond 60 days.
Another finance provision in the 2021 budget law will cut the state individual income tax rate from 4.99% to 4.75%. It’s part of a six-year effort that began in 2022 to reduce the rate from 5.25% to 3.99% in 2027. Most income earners will see the latest lower rate reflected in how much tax is removed from their paychecks in 2023 and when they file their tax returns in early 2024. The budget law also directs and simplifies the business franchise tax in a way that should reduce the tax amount for North Carolina-based businesses.One tax that most motorists pay — on gasoline — will go up automatically starting Sunday from 38.5 cents per gallon to 40.5 cents.
A couple new laws have laid out the plan for government officials to move the state’s prison and probation systems out from under the Department of Public Safety to the Cabinet-level adult correction agency. A similar stand-alone correction department was operating barely a decade ago before it was merged into the public safety department. Cooper has already picked previous state prisons commissioner Todd Ishee to become the new adult correction secretary.
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