If your unit participates in the State Health Plan, note that the 2.4% surcharge originally scheduled for September 2025 will now take effect on July 1, 2026. This surcharge applies to pensionable salaries—not premiums—and will be reported and collected through the ORBIT system. You can read 2025 Senate Bill 449 Section VIII here. You can see past discussions about the surcharge on the listserv by searching the listserv archives.

The North Carolina House Select Committee on Property Tax Reduction and Reform (“the Committee”) voted on April 15, 2026, to advance proposed changes to North Carolina’s property tax laws and state constitution. The proposal would require the General Assembly to establish limits on property tax increases. Specifically, the Committee recommends legislation placing a constitutional amendment on the statewide ballot for the November 3, 2026 general election, asking voters to approve or reject a measure requiring limits on local government property tax increases.

The Committee also recommended revisions to the affordable housing property tax exemption to address an identified loophole. While potential changes related to sales tax refunds for hospitals and nonprofits, as well as limitations on excluded nonprofit hospital property values, were considered, no recommendations were made on those items.

The draft report includes the Committee’s recommendations, along with presentations and draft legislation, but does not capture member questions or discussion. The full draft report is available in the documents section of the Committee’s April 15, 2026 meeting materials here.

To stay informed and access analysis from key advocacy partners, members are
encouraged to monitor:

• North Carolina League of Municipalities (“NCLM”) League Bulletin. 
• North Carolina Association of County Commissioners (“NCACC”) website about Property Tax
  Information & Resources.

The NCGFOA Board and Advocacy Committee will continue to provide feedback and technical input to NCLM and NCACC to ensure that the perspective of local government finance professionals is represented as these discussions evolve.

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LATE BREAKING NEWS:  Action to Repeal Grocery Tax

On April 21, 2026 House Bill 1032 was filed that would repeal the two percent local grocery tax which would reduce local revenue. Follow the action here and watch for alerts from the NCLM and NCACC. 

The Governmental Accounting Standards Board (“GASB”) has released a new Exposure Draft proposing amendments to Statement No. 34 related to infrastructure assets. Comments on the proposal are due June 26, 2026, and GASB has scheduled public forums for stakeholder input, both in person and via videoconference.

Members are encouraged to review the proposal and related guidance in the GASB news release at gasb.org, which includes links to the Exposure Draft and instructions for submitting public comments.

The NCGFOA Advocacy Committee will discuss plans to submit comments on behalf of the Association. Members who would like to share input are invited to email their thoughts by May 31, 2026, to karen.mills@ncgfoa.org, so they may be compiled for consideration in the NCGFOA comments. Members are encouraged to submit comments to GASB on their own as well. 

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See Late Breaking News at the bottom of this newsletter for a recent GASB invitation to comment on the structure of GASB literature.

Local government units are required to submit reportable unclaimed property (escheat) to NC CASH after fiscal year-end, with reports due by November 1. But when was the last time you checked to see whether unclaimed property belongs to your unit?

Despite fiduciary obligations to locate owners, businesses sometimes report funds as unclaimed when they are unable to identify or contact the rightful owner. Check out nccash.gov to determine whether funds are being held on behalf of your organization.

If unclaimed property reporting obligations are new or unfamiliar to you, NC CASH offers guidance and resources under the “Holder Information and Reporting” section at nccash.gov to support compliance. If your reporting has fallen behind, the Voluntary Disclosure Program offers a path to get back on track.

Since January 1, 2026, Local Government Commission (“LGC”) staff have issued four blogs:

·    Save the Dates /Feedback Requested: 2026 Auditors’ Conference and Treasurer’s Conference

·     Late Audits as of April 1, 2026

·     Local Government Budget Development Reminders and Resources

·     FY 2026 Audit Contract Form Now Available

The League annually provides information that cities and towns can use in estimating certain revenues for the upcoming fiscal year. Information includes background, factors to consider in individual estimates, and estimated revenue growth. The League also provides quarterly revenue reports on actual data from the NC Department of Revenue. A March 2026 memo about the basis of distribution for state collected local taxes is also on the website along with additional research & surveys. 

A great place to begin is the North Carolina Treasurer’s Office, which maintains a comprehensive collection of resources for finance officers. The Information for Finance Officers section of the Treasurer’s website includes calendars, sample contracts, guidance documents, and training resources designed to support your work.

In addition, the Government Finance Officers Association (“GFOA”) makes many of its resources available regardless of membership status. Visit gfoa.org to access best practices, current research, and timely articles addressing issues facing public finance professionals nationwide.

Finance office hours, University of North Carolina School of Government (“SOG”) with Kara Millonzi, an opportunity for NC local government finance professionals to get guidance and share insights:

o    Thursday, April 23, 12:00-1:00pm

o    Monday, April 27, 8:30-9:30am

o    Monday, May 4, 12:00-1:00pm

o    Thursday, May 14, 8:30-9:30am

o    Friday, May 22, 8:30-9:30am

o    Thursday, May 28, 12:00-1:00pm

o    Thursday, June 4, 8:30-9:30am

o    Thursday, June 11, 8:30-9:30am

o    Thursday, June 18, 8:30-9:30am

o    Friday, June 26, 12:00-1:00pm

o    Tuesday, June 30, 8:30-9:30am 

Zoom Log in for all office hour sessions: 

https://zoom.us/j/95481909044?pwd=UlE2VHNhN2luS0JEYTJqeTZTMFRWdz09

Meeting ID: 954 8190 9044

Passcode: 779726

On demand Introduction to an Annual Comprehensive Financial Report

GASB, free, New video series to walk elected officials, citizens, accounting students, preparers, and other stakeholders through the highlights of the annual comprehensive financial report (ACFR), which presents the financial statements for a state or local government. The goal of the 16 videos is to explain how information within the ACFR may be used. The episodes, which average 5 to 10 minutes in length, include a 3-part introduction to government financial reporting and 13 segments on key areas of the ACFR. The videos may be viewed by clicking on the title links and/or downloaded here.

On demand Municipal Finance

NCLM, $40 each, Comprehensive set of videos to
strengthen foundational knowledge and practical skills in local government
finance. Includes key topics such as governmental accounting, internal
controls, cash management, financial reporting, and the roles and
responsibilities of municipal officials. Available in the NCLM
On-Demand Course Library.

On demand: The Penny Shortage and Local Government Payments: Limiting Cash, Accepting Pennies, and Using Rounding Rules

NCGFOA, $25 members, $50 non members. Across the country, coin circulation challenges are making pennies harder to come by—creating practical questions for local governments that accept cash payments. This recorded webinar explores how agencies can respond, including options for limiting cash, accepting pennies, and applying rounding rules. Learn the legal, operational, and customer service considerations for developing fair, consistent payment policies. Register here for a link to the April 16, 2026 recorded webinar. (Not eligible for CPE)

At the Spring Conference, NCGFOA honored outstanding performance
in local government finance with two awards, 2026 Finance Officer of the Year
and 2026 Innovation of the Year.

State Treasurer Brad Briner joined NCGFOA at the Spring Conference in Pinehurst, North Carolina to recognize and celebrate NCGFOA's inaugural annual Awards of Excellence program designed to honor and elevate exceptional leadership, ethical stewardship, innovation, and excellence in NC local government finance.

Hope Tally, CFO for Central Pines Regional Council, was named the 2026 Outstanding Finance Officer of the Year. In just 3 years Tally led a comprehensive modernization of the organization’s financial operations. Under her leadership, the organization implemented a new enterprise financial system, strengthened internal controls, improved reporting accuracy, and built a high-performing finance team.

Central Pines Regional Council Executive Director Lee Worsley praised Tally’s impact: “She is a consummate professional with unmatched finance knowledge and skills. But she is also compassionate and empathetic, with a unique ability to help people get what they need while maintaining financial compliance and excellence. Hope has built a top-notch staff of finance professionals who emulate the same qualities as their leader.”

“Hope Tally exemplifies the highest standards of public finance,” said Zachary Hewett, President of NCGFOA. “Her leadership reflects technical excellence, integrity, and a deep commitment to serving local governments and citizens across our state.” Hewett continued, "The judging process among eight nominations was extremely difficult. The nominations reflected a deep pool of excellence that deserves recognition, and we can learn from the submissions about what others value in our work. The award for Finance Officer of the Year considered leadership, tangible financial improvements, organizational and community impact, and professional collaboration.”

At the same Spring Conference event, NCGFOA presented its second award to the North Carolina League of Municipalities for Innovation of the Year. This award
recognizes individuals or teams who have successfully implemented innovative
financial strategies, technologies, or processes that enhance public sector operations.

The NCLM launched its Accounting Instruction and Mentorship Program, known as the AIM Program, to support small towns that often lack access to finance-specific resources. Led by Sharon Edmundson, NCLM Director of Municipal Finance Programs, and Susan McCullen, NCLM Accounting Assistance Consultant, AIM provides one on one, tailored hands-on guidance, catch-up support, and monthly face-to-face mentoring to help local staff build self-reliance and establish strong financial practices. 44 governments have participated in the program.

The AIM Program is one of seven programs implemented by the NCLM’s Municipal Accounting Services Department to address significant financial stresses of small municipalities. It is an innovative program and unlike any other in the United States.

At the Spring Conference, NCGFOA drew attention to Jessie Parris, Finance Director for the City of Morganton, as the recipient of the State Auditor’s inaugural Cardinal Award. Since that time, another NCGFOA member Peggy Reece, Chief Financial Officer for the City of Burlington, has also received this distinguished recognition. Peggy shared that she was surprised, honored and humbled, but that the credit for Burlington’s success belongs to everyone on her team in the Finance department as well as great department leaders across the city.

The State Auditor’s Cardinal Award recognizes excellence in public service in North Carolina and honors individuals and organizations that demonstrate strong stewardship of public resources, enhance government transparency, and improve operational efficiency.

Since launching in February 2025, the NCGFOA Job Board has featured 234 job postings, with each position receiving an average of 121 specific views totaling 28,000 job views and a total reach of 308,000 exposures. Job postings are free for all types of North Carolina local government finance positions from all local and state employers. Registered jobseekers automatically receive email alerts when new opportunities are posted. To learn more or to post an opening, visit ncgfoa.careerwebsite.com.

Have you found your ideal candidate—or your ideal position—through the NCGFOA Job Board? We would love to hear your success story. Please share it by emailing karen.mills@ncgfoa.org.

At a Glance: Financial Highlights

• 2024 membership fees were intentionally kept low to draw down the fund balance to policy levels, while new contracted services supported strategic improvements in member service and operations.
• 2025 membership income doubled after dues increased from $50 to $100, funding enhancements such as the job board, staffed committees, award programs, and broader organizational improvements.
• Growing sponsorship revenue strengthened conference programming, supported lifetime membership waivers, expanded scholarships, and enabled new CPE certification processes.
• Tools like Copilot, ChatGPT, and Canva improved efficiency in delivering quality upgrades.
• The 2026 budget continues investing in expanded member services, including online training, this newsletter, and website enhancements.

NCGFOA’s certification program is managed by Greg Allison and Shannon Morris at the UNC School of Government. Certification is awarded once at the beginning of the calendar year and ceremoniously recognized at the Spring Conference. 

For comparison to the figures below, in 2024, NCGFOA awarded new certification to 26 professionals and recertified 48 in recognition of their continuing education. 

The vision for the NCGFOA Fiscal Beacon newsletter includes:

• Legislative and regulatory updates
• Member spotlights
• Practice-focused resources
• Conference and professional development information
• Association news and services

Our goal is to respect your time by delivering concise, relevant information while providing direct access to deeper resources when needed. This publication is designed by finance professionals, for finance professionals, and your engagement helps shape its future. Please do not reply to this email. To share feedback use this feedback form or email karen.mills@ncgfoa.org. To share future content use the forms linked in the NCGFOA Board Update Section.