House, Senate making 'major progress' toward state budget deal, key lawmakers say

House and Senate negotiations have made "major progress" and are close to reaching a deal on the state budget, key House budget writers told WRAL on Friday afternoon.

The movement is an important development after budget negotiations broke down earlier in the week over whether to include expanded gambling in the $30 billion annual spending plan.

It’s premature to say a final deal has been struck, House Appropriations Chairman Jason Saine, R-Lincoln, said in a text message. "Both sides have to check boxes,” he said, declining to provide details. "Need to inform more people in both caucuses."

However, Rep. Donny Lambeth, R-Forsyth, another House budget chair, said negotiators were "getting very close."

"It has been a crazy week, but we are almost there," said Lambeth, R-Forsyth.

The state's fiscal year began July 1, but government continues to operate at last year's funding levels until a new budget is approved.

House Speaker Tim Moore, R-Cleveland, said that despite majority Republican support in his chamber for the proposal to add four casinos in select counties and to legalize video lottery terminals statewide, he didn't have the votes to pass the budget with expanded gambling in it.

That earned a strong rebuke from Senate leader Phil Berger, R-Rockingham, who said Moore had broken an agreement to place items with majority Republican support into the budget. Berger said he thought the votes to pass the budget would be there if it were put on the floor.

The budget is expected to include raises for teachers and state workers, millions in projects across the state. It is also expected to trigger Medicaid expansion, which would provide taxpayer-funded health insurance for hundreds of thousands of North Carolinians. The budget would also include other GOP policy priorities, including a massive expansion of school vouchers.

Exact details on the expanded gambling provision as well as the precise amount of raises for teachers and state workers have not been disclosed. WRAL previously reported on a draft of the gambling proposal.

Moore said earlier this week the gambling piece was the lone hold up.

Moore said 42 of 72 House Republicans said they would vote for the budget with gambling included, but that he did not have enough Democratic support to get to the 61 votes needed to pass the 120-member chamber.

Negotiations have been ongoing throughout the week.

Senate Budget Chairman Brent Jackson said late Friday that he believed negotiators were close to an agreement, but that he was “not aware of a deal.”