NC Legislature Returns to Address Property Tax Reform, Data Center Bills
Lawmakers return to Raleigh as constitutional amendment on property tax limits heads for floor votes, while data center bills gain bipartisan momentum.
RALEIGH, NORTH CAROLINA — North Carolina lawmakers returned to the state capital today to begin the 2026 legislative session, with property tax reform and data center legislation emerging as bipartisan priorities despite ongoing budget disputes.
While partisan legislators have squabbled over a state budget for months, several measures appear positioned to gain support from both sides of the aisle during the short session.
Constitutional Amendment Targets Property Tax Increases
A proposed constitutional amendment limiting property tax increases has gained momentum after approval last week by the House Select Committee on Property Tax Reduction and Reform. The committee, formed by Republican House Speaker Destin Hall of Caldwell County, advanced the measure that would allow state lawmakers to restrict how much and how quickly property taxes can rise.
The amendment requires a three-fifths vote in both chambers to advance to voters, who would decide its fate on the November 3 ballot. Republicans argue the change is necessary to address what they characterize as unreasonable tax increases in some counties.
“Property tax hikes are overburdening North Carolina families, who are footing the bill while some local governments take in far more than inflation and population growth can justify,” Hall said in a statement.
Democrats Voice Opposition to Amendment
Democratic lawmakers have criticized the proposed amendment, arguing it would restrict local governments’ ability to fund essential services. They contend the measure would hamstring funding for schools, public safety and public health programs.
Both parties acknowledge that rising local property taxes are creating challenges for low-income and senior homeowners trying to remain in their homes, but they disagree on the appropriate solution.
Many Democrats place responsibility for high property taxes on Republican legislative leaders and the cuts to state spending they have championed over recent years.
Cross-Party Support Expected for Select Bills
Despite the property tax disagreement, legislative observers expect certain measures to attract bipartisan backing during the session. Data center legislation appears among the bills likely to advance with support from lawmakers across party lines.
The legislative session comes as North Carolina continues to grapple with budget negotiations that have stretched on for months without resolution between the Republican-controlled legislature and Democratic priorities.
