North Carolina is closing the year with intense debate in Raleigh, steady economic growth, and major investments in schools and rural communities, even as health care funding and flu season strain state systems. According to WUNC and the Associated Press, Democratic Governor Josh Stein has ordered Medicaid reimbursement rates restored after cuts that began October 1, reversing reductions of 3 to 10 percent for doctors and hospitals while lawsuits from patients and providers mounted. WUNC and ABC News report that Stein blamed the Republican-led General Assembly for failing to pass a new state budget or fully fund Medicaid, leaving a projected $319 million shortfall and making North Carolina the only state without an enacted budget this fiscal year.
The NC Department of Health and Human Services notes that court rulings forced the state to back off some of the Medicaid cuts, and advocates for people with disabilities, behavioral health services, and home care providers have praised the reversal while warning that care for more than 3 million Medicaid patients remains at risk without legislative action, according to NCDHHS and North Carolina Health News.
On the economic front, Governor Stein’s office announced that the Rural Infrastructure Authority approved more than 5 million dollars in grants for 15 rural communities to support building reuse, industrial expansions, and a new behavioral health headquarters, an effort expected to help create hundreds of jobs in places like Asheboro, Zebulon, Ashe, Davie, Nash, and Wayne counties. The governor said these projects will boost competitiveness and quality of life in rural North Carolina, according to the Governor’s Office.
Education and infrastructure are also seeing significant investment. EducationNC and the Department of Public Instruction report that ten school districts will share 392 million dollars in lottery-funded grants for new or replacement buildings at seven elementary schools, two high schools, and one career and technical education center. Many of the facilities being replaced date back to the 1950s or earlier, and state Superintendent Mo Green said the projects will modernize learning environments in some of the most economically distressed counties. Additional construction continues in larger districts as Wake County unveils new elementary schools and advances a multi-billion-dollar building plan, according to School Construction News.
Public health officials are watching a severe respiratory season. The Department of Health and Human Services reports that North Carolina recorded 542 flu-related deaths in the 2024–25 season, the highest flu death toll since statewide tracking began, and is urging vaccinations and basic precautions as infections climb again.
Looking ahead, listeners should watch for renewed budget and Medicaid negotiations when lawmakers return in 2026, continued rollout of rural job-creation grants, and the next wave of school construction and facility needs data expected from DPI. Thank you for tuning in, and please remember to subscribe. This has been a quiet please production, for more check out quiet please dot ai.
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