A Reflection on Gov. Josh Stein’s Term So Far

Thank you for joining us this Saturday morning. We’re eight months into Governor Josh Stein’s tenure: What can we discern so far about his governing philosophy and style?

His predecessor, Roy Cooper, had a famously contentious relationship with the Republican-led General Assembly, a dynamic that produced raucous inter-branch fights. The state had no formally adopted budget for nearly three years because of a dispute over Medicaid expansion. Lawmakers hired former federal agents to investigate Cooper’s maneuverings over a natural gas pipeline permit. Cooper’s lawyers argued in court that the Republican majority itself was illegitimate, full of “usurpers” in office only because of partisan gerrymandering.

Though Stein entered office facing a remarkably similar situation as Cooper – legislators stripped both of some executive powers in the months between the election and the inauguration – Stein has largely avoided the knock-down, drag-out fights of yesteryear. His approach, marked by clear disagreements but less open confrontation, was the subject of a recent Associated Press profile.

His department head appointments, too, have mostly flown under the radar, suggesting a head-down-get-to-work philosophy.

We outline today some of Stein’s moves and what they portend for the next three years. Thanks for reading.

Hurricane Helene Recovery

One of Gov. Stein’s most urgent needs was, and is, rebuilding western North Carolina communities devastated by Hurricane Helene. The General Assembly, led by Senate President Pro Tempore Phil Berger and Speaker Destin Hall, swiftly approved $524 million in relief, which became the first bill Gov. Stein signed into law.

The administration has since directed funds toward infrastructure repairs, housing assistance, and economic recovery programs, while Stein has visited affected counties and worked with local leaders.

In April, President Trump’s Administration approved Gov. Stein’s proposal for $1.4 billion in housing recovery investment — the largest single influx of relief dollars to North Carolina so far — allowing the state to repair homes and rebuild communities.

Stein has also marked milestones on the ground in Western North Carolina, using his 100th day in office to highlight rebuilding. His visible presence has reinforced that recovery is one of his central priorities.

State lawmakers and Gov. Stein also approved more than $125 million in targeted relief to rebuild driveways, bridges, and private roads in Western North Carolina. And at the federal level, the U.S. EPA has committed more than $700 million since July to strengthen the state’s water systems against future storms.

Still, recovery remains uneven. Nearly 40 percent of North Carolinians report dissatisfaction with progress, according to an Elon University survey. Local officials continue to call for faster disbursement of funds and greater program flexibility. And a recent study also found that Western North Carolina’s small businesses are struggling to return to pre-storm revenue levels.

The effort underscores both the scale of the challenge and the need for steady, transparent governance; an expectation extending beyond disaster relief to Stein’s broader engagement with the business community.

Engagement with the Business Community

Stein’s second early pledge was to engage with North Carolina’s business leaders. His administration has hosted regional economic development roundtables and met with technology, manufacturing, and agriculture stakeholders. He has emphasized workforce development, particularly career and technical education, to sustain North Carolina’s competitive edge.

Conversely, on certain policy matters, Governor Stein’s use of the veto has drawn sharper distinctions with the General Assembly. For example, he has blocked measures aimed at curbing executive agencies and legislation providing support for private schools before public school funding was ironed out. These actions, however, have not come as a surprise; for those who followed his campaign and policy platform closely, such vetoes were largely expected.

Beyond the veto disputes, Gov. Stein has also stood up two high-profile advisory groups with bipartisan and cross-sector participation: an Artificial Intelligence Leadership Council, co-chaired by Cabinet Secretaries Teena Piccione of the Department of Information Technology and Lee Lilley of the Department of Commerce, and an Energy Policy Task Force, co-chaired by Department of Environmental Quality Secretary Reid Wilson and Rep. Kyle Hall of Forsyth and Stokes Counties. (We will dive further into Gov. Stein’s cabinet below.) Both groups bring together a bipartisan mix of lawmakers, business, higher education, and advocacy leaders to tackle emerging challenges around technology, workforce development, and energy affordability.

These councils demonstrate Stein’s effort to position himself as a leader bringing together stakeholders across party and sector lines. Still, daylight between the executive and legislative branches of state government won’t be settled in a single veto dispute. Instead, they’ll play out in the day-to-day work of his administration, and much of that will depend on the leadership team he has assembled.

Stein’s Cabinet and Policy Direction

The leaders Gov. Stein tapped to oversee state agencies will shape how his agenda is carried in areas like environmental regulations, economic and workforce development, healthcare, infrastructure, and many more.

Let’s dive into Governor Stein’s cabinet.

Department of Administration Secretary Gabriel J. Esparza
Secretary Esparza, a former U.S. Small Business Administration leader and longtime corporate executive, now heads the Department of Administration (DOA), which manages state facilities, purchasing, and contracting. DOA’s oversight of procurement, state property, and contracting directly shapes opportunities for private vendors doing business with the state.

Department of Commerce Secretary Lee Lilley
Secretary Lilley, a legislative strategist under former Gov. Cooper, with roots in both Washington and Raleigh, leads Commerce after coordinating North Carolina’s pandemic recovery and infrastructure efforts under the previous administration. Commerce is the state’s lead agency for corporate recruitment, incentives, workforce development, and business retention.

Department of Environmental Quality Secretary D. Reid Wilson
Secretary Wilson is a veteran of the U.S. Environmental Protection Agency under former President Bill Clinton, led the Sierra Club’s national political action committee in the early 1990s, and has also worked for the environmentalist organization U.S. Public Interest Research Group (PIRG). Wilson’s portfolio at DEQ includes issues critical to the business community, including permitting, environmental compliance, energy policy, and utilities.

Department of Health and Human Services Secretary Dr. Devdutta Sangvai
Dr. Sangvai is a physician who has previously served as president of both Duke Regional Hospital and the North Carolina Medical Society. He now leads the state agency tasked with overseeing healthcare policy such as Medicaid, childcare licensing and oversight, and workforce health initiatives.

Department of Information Technology Secretary Teena Piccione
Secretary Piccione is a former executive with companies such as Google and Fidelity, and has also held senior roles at RTI International. As cabinet secretary and state CIO, she oversees North Carolina’s IT strategy, cybersecurity, and broadband expansion. NCDIT’s work on broadband access, digital infrastructure, and cybersecurity readiness directly affects business competitiveness statewide.

Department of Military and Veterans Affairs Secretary Jocelyn Mitnaul Mallette
Secretary Mallette is a former U.S. Air Force intelligence and JAG officer, and she now leads DMVA’s efforts to support active-duty personnel, installations, and veterans statewide. The department supports one of the state’s largest economic sectors by connecting military communities with businesses and expanding veteran workforce pipelines.

Department of Natural and Cultural Resources Secretary Pamela Cashwell
Secretary Cashwell previously served as Secretary of Administration under Gov. Cooper. She now oversees the DNCR’s cultural institutions, parks, and history programs. DNCR manages tourism, outdoor recreation, and cultural assets that drive visitation, local business revenue, and quality-of-life factors in economic development.

Department of Revenue Secretary McKinley Wooten, Jr.
Secretary Wooten, a veteran state government executive, became Revenue Secretary in 2025 after serving as assistant secretary for tax equity. The Department of Revenue administers tax collection and compliance, directly impacting corporate finances, competitiveness, and fiscal predictability.

Department of Transportation Secretary Joey Hopkins
Secretary Hopkins, a 30-year NCDOT veteran and professional engineer, leads the department managing highways, rail, aviation, transit, and DMV. Transportation infrastructure is one of the most critical business inputs, shaping supply chains, commuting, tourism, and economic development.

Moving forward

North Carolina’s divided government brings both opportunities and limits for Gov. Stein. On his two early priorities — hurricane recovery and business engagement — there has been progress, much of it in conjunction with legislative leadership. But the speed of rebuilding, and how his regulatory policy takes shape, will be key markers in the months ahead.

Like any governor working with a legislature controlled by the opposite party, Stein’s success will hinge on finding workable compromises on the issues that matter most to North Carolinians. For business leaders, the real question is whether Stein can turn recovery efforts and business outreach into concrete action; especially on permitting, energy, and infrastructure financing. North Carolina’s claim to being the “Best State for Business” may well depend on it.