Stein signs 4 bills, blasts ‘petty’ limits on his power

On Tuesday, Gov. Josh Stein signed four bills into law, despite the fact that one of those further reduces his appointment powers and made other changes to his office.

House Bill 268, 2026 Budget Technical Corrections II, removes the secretary of state, currently Democrat Elaine Marshall, as an ex officio member of the Local Government Commission and replaces that seat with a member appointed by the General Assembly upon the recommendation of the Senate president pro tempore, currently Republican Phil Berger of Rockingham County. It would also require the governor’s appointee to be a current or former mayor or member of a city governing board and to be confirmed by the General Assembly. The appointee would serve a four-year term.

Additionally, the bill would allow the State Bureau of Investigation and State Highway Patrol to opt out of Department of Administration oversight for purchasing, contracts, acquiring and maintaining real property, and leasing office space. Any acquisition of real property would still require Council of State approval.

He showed his disdain for the changes in a press release.

“This bill strengthens disaster relief, teacher workforce pipelines, and economic development programs,” Stein, a Democrat said. “It supports the Small Business Infrastructure Program and the Division of Community Revitalization, which are working tirelessly to support western North Carolina recovery. It also enables public schools to start teacher apprenticeship programs as early as this year and supports access to loans for North Carolina teaching fellows. I regret that the General Assembly saw fit to include some petty provisions that undermine the executive branch and impede the work of government on behalf of North Carolinians.” 

The new law builds on appointment changes included in the state budget Stein signed July 7. The budget reduced the governor’s appointment authority on several boards and commissions and assigned some appointments to the General Assembly and other Council of State officials in the executive branch of state government.

The bill would also create a 15-member North Carolina High School Redesign Commission to examine changes to the state’s high school model, including graduation requirements, competency-based education, work-based learning, career credentials, and the use of artificial intelligence in career exploration. 

Although the commission would be housed within the Department of Public Instruction, it would operate independently, and the State Board of Education would not receive a seat. The state superintendent would serve on the commission, while lawmakers and the governor would appoint other members. The commission would issue annual reports through 2031.

HB 268 also contains several changes that address technical issues or errors. Among them, the bill clarifies how directed grants of exactly $1 million are to be distributed, corrects a drafting error involving Kernersville’s extraterritorial jurisdiction, and adjusts several budget codes and statutory references.

Among the largest items is a $10 million nonrecurring appropriation from the Economic Development Project Reserve to the Piedmont Triad Charitable Foundation to secure PGA Tour Championship Series events in Greensboro.

The bill also appropriates $25 million in nonrecurring General Fund money to the Department of Commerce to support the 2027 Military World Games in North Carolina, and money for film grants.

HB 562 Budget tech corrections Mods

The governor also signed House Bill 562 Budget Technical Corrections Modifications into law. In addition to referencing the North Carolina Department of Health and Human Services, among others, to direct grant funding, a conference report for the bill would redirect both state budget earmarks for the Carolina Lakes Property Owners’ Association to Harnett County. 

The county could use the funding for “any public purpose.” 

The conference report does not explain why lawmakers decided to redirect the money. 

Carolina Journal first reported July 22 that lawmakers awarded the Carolina Lakes Property Owners’ Association $160,000 for “emergency services needs” and $140,000 for “various needs, including shelter replacement, repair, and maintenance.” 

The budget contains 727 earmarks but does not identify which lawmaker requested each one, including the two for Carolina Lakes. 

Carolina Journal reported exclusively July 27 that members of the association’s private Facebook group credited Rep. Joe Pike, R-Harnett, with helping secure the funding.  

Carolina Journal confirmed through multiple state records and several current and former residents that Pike lives in Carolina Lakes. 

HB 834 SBOE Admin Changes

Stein also signed HB 834 SBOE Administrative Changes into law. It would extend several post-election deadlines from three business days to five. Voters would receive additional time to correct missing information on registration forms, provide required identification, and fix certain problems with absentee or provisional ballots.

The bill would also prevent an absentee or early ballot from being counted if the voter died after casting it but before 11:59pm on the day before the election.

The provisions in HB 834 would be implemented upon passage, impacting the upcoming November election.

SB 445 REgultory reform act of 2026

Finally, the governor signed Senate Bill 445, Regulatory Reform Act of 2026, into law.

It includes several housing and development provisions aimed at expanding housing supply and limiting some local zoning barriers.

The bill would require cities with at least 50,000 residents outside the state’s coastal area to allow at least one accessory dwelling unit on property zoned for single-family homes.

ADUs, sometimes called backyard cottages, garage apartments, or in-law suites, are smaller homes built on the same property as a primary residence.

Under the bill, cities could not require special zoning approval, impose minimum parking requirements, charge higher permitting fees, or limit ADUs to less than 800 square feet. Cities also could not prevent the primary home and ADU from being rented to separate households on a long-term basis.

Local governments could still impose certain setback and placement requirements. The legislation would not override private covenants or apply to historic preservation districts, National Historic Landmarks, or units without the required water and wastewater connections.

The ADU requirement would take effect Jan. 15, 2027. Affected cities would have until July 1, 2027, to adopt local regulations.

The bill would also make it easier to convert previously developed commercial, business, or industrial property into single-family, two-family, or multifamily housing. Local governments could not limit those developments to less than 60 feet in height.

That provision would apply to cities with at least 80,000 residents in counties with at least 1 million residents. It would not apply to vacant land that has never been developed.

The final provision is significantly narrower than the version previously approved by the House, which would have applied to cities with at least 50,000 residents in counties with at least 275,000 residents.

“North Carolina is growing rapidly, and the cost of housing is increasing,” Stein said in the release. “We need to build more housing units of all types to drive down rents and mortgages. This bill cuts red tape to help produce more houses and apartments and deliver results for North Carolinians. It also makes it easier for families to install solar panels or battery systems to save on their utility bills.”

Andrew Pomeranz contributed to this report.

“Stein signs 4 bills, blasts ‘petty’ limits on his power” was originally published on www.carolinajournal.com.