NC Republicans roll back DEI policies in new state budget

North Carolina is rolling back several diversity, equity and inclusion programs through the new state budget, part of a broader effort by Republican legislative leaders to reduce state spending on DEI programs. 

Policy provisions in the GOP-authored budget eliminate or restructure DEI-related offices, positions and initiatives across state government, including changes affecting the Department of Health and Human Services, public universities and other state initiatives.

The budget was signed Tuesday by Democratic Gov. Josh Stein, even though he disagreed with a number of policies in the $34-billion spending plan. 

The budget eliminates the standalone Office of Health Equity within the Department of Health and Human Services, transferring its responsibilities to another division within the agency. 

The budget also eliminates $810,000 in recurring funding for the Minority Male Success Initiative, a North Carolina Community College System initiative created to improve the progression and graduation rates of minority male students through mentoring, academic support and retention services. 

The spending plan also abolishes the state Office for Historically Underutilized Businesses, which was created to increase the participation of minority-owned businesses in state contracts and provides resources for certification and support.

Adding policy language to the budget is a common strategy lawmakers use to advance proposals that stall as individual bills.

A spokesperson for Stein didn’t immediately respond to a request for comment Thursday on the DEI provisions or overrides. Stein, a Democrat, said on Tuesday that he disagreed with a number of GOP-backed policies in the budget but signed it anyway because it funded raises for state employees.

Republican lawmakers and Stein have been at odds over DEI issues. GOP legislators last month overrode Stein’s vetoes of Senate Bill 227 and Senate Bill 558, which crack down on DEI in public schools and public higher education in the classroom as well as in training and hiring practices. The higher ed law bans universities from investigating reports of “offensive or unwanted speech that is protected by the First Amendment, including satire or speech labeled as microaggression.” 

The House last month also voted to override Stein’s veto of House Bill 171, which would outlaw DEI policies and training sessions in state and local governments. The Senate would need to override that veto for the bill to become law.

Spokespeople for Hall and Senate leader Phil Berger didn’t immediately respond to requests for comment Thursday on why the initiatives were eliminated or scaled back in the budget and where the money to fund them will be going.

Republican lawmakers have long argued that taxpayer-funded agencies should provide services without operating programs centered on race, ethnicity or other identity characteristics.

"Bills that are eliminating DEI in this state simply seek to erase all of those things out of the decision-making process for government," House Speaker Destin Hall, R-Caldwell, said after Republican lawmakers voted to override Stein's vetoes last month. "Private businesses, if they want to have DEI policies, that's up to them. But taxpayer-funded entities should not be engaging in DEI practices.”

DEI advocates argue the changes go beyond reducing bureaucracy and instead eliminate programs designed to address disparities in health care, education and economic opportunity.

“Programs labeled as DEI encompass a broad range of lawful initiatives that create fairer workplaces and equal opportunities for all people,” Reighlah Collins, policy counsel at the American Civil Liberties Union of North Carolina, said in a statement last month. “These programs are not discriminatory; they are essential to creating environments where everyone has a chance to succeed and addressing persistent barriers for individuals to receive a quality education and advance their careers.” 

Tammie Hall-Roberts, former executive director of the state Office for Historically Underutilized Businesses, criticized the office’s elimination, saying it supported businesses that make real change.

“This is too important to not have, but I have faith there will be a resource for people in the future,” she said.

The Department of Health and Human Services said in a statement Thursday, it is working to implement the legislation in a timely manner. While the budget eliminates the standalone Office of Minority Health and Health Disparities, the agency said its employees will remain within the Division of Public Health.

"Everyone in North Carolina deserves access to affordable and appropriate care, and the work of OMHHD helps close gaps and improve health outcomes across all communities," the department said in a statement.

The North Carolina Community College System didn't immeidately respond to a request for comment.