Building a More Efficient and Effective State Government

Governor McCrory’s budget delivers on the promise of building a more efficient state government with a culture of customer service to effectively meet the needs of our citizens. The Governor's recommended budget:

  • Makes investments to fix and modernize state government services. After more than a decade of neglect, Governor McCrory’s budget provides $77 million over two years to the Information Technology Reserve to fix our systems and increase customer service. The budget also continues the development of the Tax Information Management System and the state’s core Banking System.
  • Re-establishes Drug Treatment Courts. The Governor's recommended budget follows through on his commitment to help individuals battle addiction by re-establishing Drug Treatment Courts. This budget provides $7.2 million for Drug Treatment Courts to break the cycle of addiction that gives rise to violence in our communities and help individuals reclaim their lives.
  • Invests in North Carolina’s talented state employees. Governor McCrory’s budget provides a salary increase of 1% to teachers and state employees as well as a 1% cost of living adjustment for retirees. The budget also provides funds for a salary adjustment reserve to provide for competitive pay increases and retention bonuses for key employees who are not receiving market wages.
  • Saves taxpayer money by finding efficiencies and breaking down silos. The Governor’s recommended budget continues to break down silos and find efficiencies in state government by requiring departments and agencies to deliver cost savings of 2% to 3% to taxpayers.
  • Creates the NC Government Efficiency and Reform initiative (NC GEAR) to transform state government. To increase efficiency and improve customer service in state government, Governor McCrory’s budget provides funds to establish NC GEAR, an initiative to develop a strategic transformation plan for state government.
  • Fully funds the state’s Medicaid program. Governor McCrory’s budget reaffirms his administration’s commitment to reforming and strengthening the state's Medicaid program. The budget adds an additional $575M over two years to Medicaid to provide critical services to our state’s most vulnerable citizens.
  • Makes key investments in mental health. Governor McCrory’s budget provides an additional $13 million over two years to deliver needed services to individuals with mental illness. This budget also invests nearly $30 million over two years to help open the new Broughton Psychiatric Hospital.
  • Compensates eugenics victims. Governor McCrory’s budget provides $10 million to compensate victims of the state’s former Eugenics Board program, which involuntarily sterilized North Carolinians during the 20th century. The budget also continues operations of the Office of Justice for Sterilization Victims to provide ongoing help and counseling to victims.
  • Delivers savings through correctional facility realignment and consolidation. Governor McCrory’s budget saves taxpayers more than $54 million over two years by realigning outdated and inefficient correctional facilities. $20 million in savings is reinvested in community corrections to fund additional probation/parole officers and reduce the long-term need for prison beds.
  • Meets pension and health benefits obligations. Governor McCrory’s budget responsibly provides for a payment of $72 million to the state pension system over two years, fulfilling the state’s pension obligations. Additionally, Governor McCrory’s budget pays $181 million into the state health plan over two years.