2025 NASW-NC Legislative Session Update: Gov. Stein Statement on Passage of Reconciliation Bill

In this week's update:

• Statement from Governor Josh Stein on the U.S. House Passage of the Senate Reconciliation Bill
• Secretary Dev Sangvai Releases Statement on the U.S. House Passage of the Reconciliation Bill
• Gov. Stein Urges NC Congressional Delegation to Oppose Reconciliation Bill
• NCDHHS warns of drastic changes to SNAP, Medicaid under ‘Big Beautiful Bill’
• Governor Stein takes action on several bills 
• Trump administration withholds $169M from NC public schools amid review
• In case you missed it - Social Work Compact is Law
• Registration is open for 2025 Virtual Essentials Conference 
   

Statement from Governor Josh Stein on the U.S. House Passage of the Senate Reconciliation Bill

(RALEIGH) Today Governor Josh Stein released the following statement on the U.S. House’s passage of the Senate reconciliation bill:  

“Congress and the White House are charging forward with a bill that will have devastating consequences for the people and economy in North Carolina, while also significantly increasing the national debt to pay for tax breaks for the wealthiest among us. More than half a million people stand to lose their health care, tens of thousands working in clean energy and manufacturing could lose their jobs, electricity bills could rise nearly 20 percent, and 1.4 million people – including 600,000 children – could find themselves without the help they need to afford food. The bill is a disgrace, and I am disappointed in those who did not stand up for the people they serve, choosing instead to ignore warnings from local leaders and groups across the state who have sounded the alarm about the dangers in this bill.   

“We cannot simply accept these harmful impacts. The General Assembly must step up to protect our bipartisan Medicaid expansion law and food assistance through SNAP. This will require taking a hard look at our laws, our state budget, and our long-term revenue requirements. Even as those in Washington have left North Carolinians behind, I stand ready to do whatever I can to protect people’s health care and jobs and keep children fed and healthy. We can and must do better.” 

Read more about the impacts in North Carolina . 

Secretary Dev Sangvai Releases Statement on the U.S. House Passage of the Senate Reconciliation Bill

RALEIGH — Today, the U.S. House passed the Senate reconciliation bill. The bill includes significant changes to federal funding for Medicaid, the Supplemental Nutritional Assistance Program (SNAP) and other public health and social support programs. The North Carolina Department of Health and Human Services is reviewing the final legislation to determine its full impact on the state and its residents. NCDHHS will provide additional information as more details become available and will remain focused on serving the people of North Carolina.

In response to the bill’s passage, NC Health and Human Services Secretary Dev Sangvai released the following statement regarding the impact of the legislation on North Carolinians. 

"Today's passage marks a significant moment with real consequences for North Carolina. While the full impact will become clearer in the coming weeks, we already know that it will result in billions of dollars being taken out of our state’s economy and will undermine the health of North Carolinians.

This bill includes major changes to Medicaid and SNAP – programs that provide vital support to millions of North Carolinians. There will be a significant reduction in federal funding for services that are core to the well-being of individuals and families across North Carolina. These cuts not only impact the people that rely on them directly but also strain the systems and communities that hold us all together.

The mission of the North Carolina Department of Health and Human Services remains unchanged – we will continue to work to improve the health and well-being of all North Carolinians. This moment presents real challenges, and while our ability to offset these losses may be limited, our resolve is not. We will continue this work with determination, and compassion and a focus on the people we serve."

Gov. Stein Urges NC Congressional Delegation to Oppose Reconciliation Bill

(RALEIGH) Today Governor Josh Stein urged North Carolina’s US House delegation to vote against the Senate budget reconciliation bill.

“This legislation is being rushed through at a time when many North Carolinians, who are worried about feeding their families, being able to continue seeing their doctor, or keeping their jobs,” said Governor Josh Stein. “This reconciliation bill would undo decades of bipartisan progress and harm the health, well-being, and economic security of people, families, and communities in our state. I urge you to oppose the bill.” 

Under the Senate’s budget reconciliation bill, an estimated 520,000 North Carolinians could lose their health insurance due to proposed changes to Medicaid, Marketplace health plans, and if the Marketplace subsidies expire at the end of 2025. The number of uninsured North Carolinians could increase further without action at the federal and state level to protect the more than 670,000 people enrolled in Medicaid expansion. 

SNAP faces equally serious threats. Under the Senate proposal, North Carolina is expected to owe as much as $420 million annually to keep SNAP funded. If the state cannot pay that share, it would be forced to end the program completely – leaving 1.4 million North Carolinians – including 600,000 children – without food assistance. Moreover, this proposal would jeopardize the well-being of both farmers and rural grocery stores, which depend on SNAP for their bottom line.

North Carolina’s leadership in the clean energy economy means that the Senate proposal would stunt the state’s economic progress. More than 100,000 North Carolinians are currently employed in the clean energy sector, but the loss of clean energy and manufacturing tax credits could cost up to 45,000 jobs. The removal of tax credits for wind and solar energy will make electricity in North Carolina as much as 18 percent more expensive, increasing the average family’s electricity bill by $275 each year. 

Read Governor Stein’s letter here. 

NCDHHS warns of drastic changes to SNAP, Medicaid under ‘Big Beautiful Bill’

"While on the surface, this may be in the best interest of trimming national debt and so forth, the implication for North Carolina is severe and very real.”

Dr. Devdutta Sangvai, Secretary of the North Carolina Department of Health and Human Services (NCDHHS), commented at the end of a Zoom call with reporters on Tuesday, describing what would happen in North Carolina to Medicaid expansion and SNAP recipients if President Donald Trump’s “Big Beautiful Bill” is passed into law.

The bill passed in the Senate on Tuesday after a tie-breaking vote 51-50 vote from Vice President JD Vance after Republican senators, including North Carolina’s Thom Tillis, Rand Paul, Kentucky, and Susan Collins, Maine, all voted no.

Tillis has been adamantly against the bill, stating that it would hurt thousands of North Carolinians with the loss of their Medicaid coverage. His disapproval also led to him stating that he would not seek re-election next year.

The bill cleared the House Rules Committee Wednesday morning and now heads to the House floor for a vote. If it passes, it will head to the president’s desk for his signature.

Dr Sangvai said the changes would hurt not only individuals and families, but also North Carolina’s economy and workforce, and that there are smarter ways to control healthcare costs, like investing in prevention and primary care so people don’t end up in the emergency department.

“We will not save money by creating barriers to food and to healthcare,” he said. “Instead, those costs will show up elsewhere: in our schools, our justice system, and our housing programs.”

SNAP

Officials first gave an overview of how the bill would affect the over 1.4 million people in the Supplemental Nutrition Assistance Program (SNAP), including older adults, veterans, individuals with disabilities, and children.. Eighty percent of the recipients come from working families.

SNAP benefits have been 100% federally funded since the program’s creation 50 years ago.

Under the bill, the state’s payment error rate would be used to calculate the payment error rate, which measures how accurately the state and counties determine eligibility and benefit amounts for SNAP recipients.

The primary contributor is usually an overpayment or underpayment of the benefit amount. The state’s current rate is just above 10%. The House proposal would require North Carolina to cover 25% or $700 million per year, and the Senate version would require the state to cover 10% or $420 million.

Both proposals also further shift administrative costs away from the federal government and onto the state and local governments, which are now split 50/50 between the state and federal governments.

The proposals would require states to cover 75% going forward, resulting in an extra $65 million in costs that North Carolina would have to absorb annually, which would result in over 100,000 North Carolinians losing benefits.

THREE OPTIONS

The bill would leave North Carolina with three options:

• Find the funding to cover the amount being shifted from the federal government to the state, which would be up to $700 million annually.
• Reduce enrollment to lower costs.
• The state’s complete withdrawal from the SNAP program.

In addition to the 1.4 million who would lose the benefit, NCDHHS officials said North Carolina would lose $2.8 billion in annual federal funds, which generate $4.2 billion in economic impact. Rural grocery stores that depend on SNAP for revenue would be at risk of closure, and over 7,000 jobs created by the program across the state would be eliminated.

MEDICAID

Jay Ludlam, Deputy Secretary for the state’s Medicaid program, said if the bill becomes law, changes to the program would hit rural communities the hardest. More than 50% of the population of many rural counties relies on Medicaid.

Read More Here. 

Governor Stein takes action on several bills 

Governor Stein made the following statement on his veto of Senate Bill 266:  

“This summer’s record heat and soaring utility bills has shown that we need to focus on lowering electricity costs for working families -- not raising them. And as our state continues to grow, we need to diversify our energy portfolio so that we are not overly reliant on natural gas and its volatile fuel markets. Recent independent analysis of Senate Bill 266 shows that this bill could cost North Carolina ratepayers up to $23 billion through 2050 due to higher fuel costs. This bill not only makes everyone’s utility bills more expensive, but it also shifts the cost of electricity from large industrial users onto the backs of regular people -- families will pay more so that industry pays less. Additionally, this bill walks back our state’s commitment to reduce carbon emissions, sending the wrong signal to businesses that want to be a part of our clean energy economy. My job is to do everything in my power to lower costs and grow the economy. This bill fails that test.”  

Governor Stein made the following statement on his veto of House Bill 549:  

“House Bill 549 would grant the Auditor sweeping access to the data and records of any private corporation that accepts any amount of state funding. Giving the Auditor this intrusive power may undermine our state’s efforts to recruit businesses to North Carolina. Additionally, the bill would remove the Office of State Auditor from the state’s cybersecurity efforts led by the Department of Information Technology, putting North Carolinians’ personal identifying information at heightened risk of a breach.” 

Governor Stein made the following statement on his veto of Senate Bill 254:  

“Senate Bill 254 is an unconstitutional infringement on the authority of the State Board of Education and the Superintendent of Public Instruction. Additionally, it weakens accountability of charter schools when every North Carolina student deserves excellent public schools, whether traditional or charter.”  

Governor Stein made the following statement on his vetoes of Senate Bill 558, Senate Bill 227, House Bill 171, and House Bill 805:  

“At a time when teachers, law enforcement, and state employees need pay raises and people need shorter lines at the DMV, the legislature failed to pass a budget and, instead, wants to distract us by stoking culture wars that further divide us. These mean-spirited bills would marginalize vulnerable people and also undermine the quality of public services and public education. Therefore, I am vetoing them. I stand ready to work with the legislature when it gets serious about protecting people and addressing North Carolinians’ pressing concerns.” 

Governor Stein made the following statement on signing Senate Bill 600:  

“This bill enables people to sign up to be organ donors while doing tax returns and keeps patients safe from toxic chemicals. It also helps schools recruit and retain school nurses and gives schools more tools to quickly treat children with severe allergies.”

Governor Stein also signed the following bills into law: 
• House Bill 620 
• House Bill 928 
• House Bill 768 
• Senate Bill 472 
• Senate Bill 710 
• Senate Bill 690 
• Senate Bill 387 
• House Bill 763 
• Senate Bill 442 
• House Bill 357 
• Senate Bill 125 
• Senate Bill 655 
• Senate Bill 307 
• Senate Bill 133 

(Source: Governor.nc.gov)

Trump administration withholds $169M from NC public schools amid review

About $169 million is being withheld from North Carolina public schools pending a federal review of how those dollars are spent.

The six grant funding programs that are held up support teacher training, before- and after-school education programs in low-performing schools, enrichment programs, English language education for immigrant students, immigrant student and family support, and special education services for migrant students.

Nearly every North Carolina public school system or public charter school receives funding from at least one of the programs, and more than 70 organizations receive funding for before- and after-school educational programming, including YMCA chapters and chapters of the Boys and Girls Clubs of America.

The U.S. Department of Education sent notice Monday to the North Carolina Department of Public Instruction of the pause, which said federal officials were reviewing the programs.

"Decisions have not yet been made concerning submissions and awards for this upcoming academic year," the notice states. "Accordingly, the Department will not be issuing Grant Award Notifications obligating funds for these programs on July 1 prior to completing that review. The Department remains committed to ensuring taxpayer resources are spent in accordance with the President’s priorities and the Department’s statutory responsibilities.”

The funds were due to be distributed by July 1.

The Trump administration has canceled numerous grants worth hundreds of millions of dollars for schools, including in North Carolina, related to student mental health, teacher training and teacher apprenticeships.

As of Wednesday afternoon, school systems told WRAL News they had not received any communication from the state Department of Public Instruction nor the federal education department about the latest review.

The Wake County Public School System, which received $8.3 million in these grants last year, according to state allotment data, plans to proceed as normal, a spokeswoman told WRAL News. Dozens of the district's schools are year-round and start the new school year Monday.

Durham Public Schools Superintendent Anthony Lewis released a statement to WRAL News calling for the immediate release of the funds, which he said were already authorized by Congress to be spent.

"These funds are critical to ensuring our classrooms are fully staffed, our schools are safe, and our scholars receive the support and enrichment they deserve," Lewis said. "With the new school year quickly approaching and our year-round schools beginning in less than three weeks, any delay in funding jeopardizes our ability to deliver on our promise to scholars and families - to ignite limitless potential.

"We urge the U.S. Department of Education and the White House Office of Management and Budget to act without delay. Our children cannot afford to wait."

U.S. Department of Education officials declined to answer questions from WRAL about why the review was taking place, how long the review would take and whether funding could be cut based on the review. Instead, the officials routed WRAL to the federal Office of Management and Budget at the Trump White House.

A spokesperson there told WRAL News at least some of the funds had been used in ways the Trump administration disagrees with.

"Initial findings have shown that many of these grant programs have been grossly misused to subsidize a radical leftwing agenda," the spokesperson said in a statement. "In one case, NY public schools used English Language Acquisition funds to promote illegal immigrant advocacy organizations. In another, Washington state used funds to direct illegal immigrants towards scholarships intended for American students. In yet another, School Improvement funds were used to conduct a seminar on 'queer resistance in the arts.' As stated before, this is an ongoing programmatic review and no decisions have been made yet."

Read more HERE. 

In case you missed it - Social Work Compact is Law

On Friday, June 13th, HB 231 -Social Work Interstate Licensure Compact was signed into law by Governor Josh Stein. Because of our significant advocacy and lobbying efforts to introduce and pass this bill, the National Association of Social Workers North Carolina (NASW-NC) staff and members were invited to join the Governor for this historic bill signing ceremony. Earlier in the week, HB231 was heard on the Senate floor for its final vote in the NC Senate, where it passed unanimously 44-0.North Carolina is now the 29th state to become a member of the Social Work Licensure Compact.

The Social Work Licensure Compact was activated in fall 2024, upon the passage of the bill in 7 states, however, multistate licenses are NOT yet being issued. The implementation period for the Compact is expected to take 12-24 months from when it was activated; it is only after the implementation period that multistate licenses will be issued. You can learn more details about the Social Work Licensure Compact and the Compact Commission by going to the Compact website here. 

NASW-NC's top priority for the 2023, 2024, and 2025 legislative sessions has been the passage of the Social Work Interstate Licensure Compact.

NASW-NC is also the ONLY organization lobbying and advocating for the entire Social Work Profession at the North Carolina Legislature. The NASW-NC lobbying team would not exist without the incredible support of NASW-NC membership. If you are already a member of NASW-NC, THANK YOU. Our members are the only reason that we have been able to do this work! 

NASW-NC is not federally funded; we are not state-funded. We are funded by the members of NASW and will not exist to advocate for you and the social work profession without YOU!  We are able to do more if we have a large voice and robust membership. If you are not yet a member, please join NASW and join us in our advocacy efforts.

Read the Social Work compact press release here. 

Watch the Governor's bill signing ceremony with NASW-NC staff and members here.

Registration is open for 2025 Virtual Essentials Conference 

Join NASW North Carolina for our Essentials Conference being held virtually on August 13, 2025. The conference title is "Beyond Words: Affirming Equity and Inclusion in Social Work Practice."

This transformative conference brings the social work profession together to explore and reaffirm our shared commitment to diversity, equity, and inclusion as foundational principles of ethical practice. Grounded in the core values and standards outlined in the National Association of Social Workers (NASW) Code of Ethics, the conference emphasizes the importance of self-awareness, intersectional understanding, and institutional accountability in creating inclusive environments within agencies, organizations, and communities.Whether you are new to the profession or a seasoned practitioner, this conference invites you to reflect, learn, and take actionable steps toward building a more just and inclusive society through ethical social work practice. Join us as we affirm our professional duty to lead with integrity, empathy, and a relentless pursuit of equity for all.

Early Bird Pricing: NASW Members: $75 / Not yet a member: $150... prices go UP after July 7, so register today!

Click here to register!

Thank you to the members of NASW-NC for supporting the advocacy work we do. We would not be able to advocate for the social work profession or social justice issues in North Carolina without a robust and engaged NASW membership. If you are a social worker and not a member, we ask that you join NASW today. Our voice is louder with your membership.

Learn more about NASW-NC membership here.

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