Notable Pieces of Legislation Set to Take Effect in 2026
Notable Pieces of Legislation Set to Take Effect in 2026
North Carolina implemented a wide-ranging of reforms that took effect on January 1, affecting healthcare workforce licensing, tax policy, investment governance, real estate and more.
Income tax rate reduction (state budget provisions)
North Carolina’s individual income tax rate will decrease from 4.25 percent to 3.99 percent as part of the state’s previously enacted multi-year tax reduction plan, continuing a gradual shift toward lower personal income taxes.
Road design standards and local regulation limits (Regulatory Reform Act of 2025)
Local governments will be restricted from enforcing roadway design standards that exceed those established by the North Carolina Department of Transportation. The law is intended to standardize transportation infrastructure requirements and reduce regulatory inconsistencies across jurisdictions.
Real estate, housing, and business law changes (Senate Bill 690)
Several updates to real estate and business regulations will take effect in 2026, including changes to appraiser licensing requirements and expanded flexibility for real estate brokers to register with multiple firms under common ownership. The law also updates landlord-tenant provisions related to recoverable expenses and allows buyer-agent compensation to be included directly in purchase offers.
Healthcare workforce and licensing reforms (House Bill 67 and related bills)
North Carolina will implement a series of healthcare workforce reforms aimed at addressing provider shortages across the state. These changes include streamlined licensing pathways for physicians and physician assistants, expanded participation in interstate licensure compacts, and new limited licensing options for internationally trained physicians, with the goal of improving access to care, particularly in rural and underserved areas.
State investment modernization (House Bill 506)
This legislation restructures the governance of North Carolina’s state pension and investment systems by transferring authority to a new multi-member investment board. The change is intended to modernize investment strategies, strengthen oversight, and improve long-term returns for state retirement funds.
Prescription drug transparency and pricing rules (Senate Bill 479)
A new prescription drug transparency law will take effect in 2026 with the goal of increasing clarity around drug pricing practices. The legislation requires reporting of significant prescription drug price increases, supports independent pharmacies, and provides consumers with greater access to pricing information.
School technology and internet safety policies (House Bill 959)
Local school boards across North Carolina will be required to adopt policies regulating student access to social media platforms, internet content, and personal devices on school-issued networks and equipment. These policies aim to improve student safety, reduce classroom distractions, and ensure appropriate use of technology in schools.
Occupational licensing and interstate practice expansion (various bills)
Several occupational licensing reforms passed in prior legislative sessions will expand or take effect during 2026, including interstate licensure compacts that allow licensed professionals in healthcare and related fields to practice more easily across state lines.
Article written by Daryna Maznytska