ASHEVILLE, N.C. (828newsNOW) — North Carolina’s newly enacted state budget directs hundreds of millions of dollars toward Tropical Storm Helene recovery, infrastructure repairs, housing assistance and economic revitalization efforts across Western North Carolina.

The 2026-27 budget, approved after more than a year of delays and negotiations, includes more than $700 million in Helene-related recovery investments aimed at helping communities rebuild after the September 2024 storm.

The package includes state funding to match federal disaster programs, repair damaged infrastructure, assist displaced residents, support volunteer fire departments and improve long-term flood and landslide planning.

The budget also creates a recurring $10.2 million annual investment for wildlife crossings, including safety improvements along corridors such as the Pigeon River Gorge, where officials have worked to reduce wildlife-vehicle collisions.

Helene recovery funding highlights

Among the largest Western North Carolina allocations are:

• $450 million for state matching funds needed to unlock federal disaster recovery programs, including Community Development Block Grant-Disaster Recovery funding.
• $65 million for local government infrastructure needs, including projects that support communities and volunteer fire departments.
• More than $118 million for housing repairs, temporary relocation assistance and road and bridge recovery efforts.
• $20 million for dam repairs related to storm impacts.
• $5 million for Asheville’s Veterans Restoration Quarters.
• $27 million designated for Madison County recovery needs.
• More than $2.5 million for flood gauges and specialized mapping efforts to better understand future risks.

Housing recovery remains a major focus

Housing continues to be one of the biggest challenges facing communities recovering from Helene, with thousands of homes damaged or destroyed across the mountains.

Housing-related investments include:

• $40 million for temporary housing assistance for families displaced by Helene.
• $43 million for nonprofit organizations and Voluntary Organizations Active in Disaster groups working on home repairs, rebuilding and private road and bridge repairs.
• Continued support for FEMA hazard mitigation programs, including property acquisitions and buyouts.

The budget also establishes a separate $35 million statewide Housing Reserve that could support future affordable housing initiatives in communities, including Buncombe County.

In Buncombe County, those programs could support ongoing efforts to purchase and remove severely damaged properties along the Swannanoa River corridor and convert flood-prone land into permanent open space.

Landslide mapping targets infrastructure risks

The budget includes $1 million for landslide mapping in Western North Carolina, but lawmakers limited how the information can be used.

The funding is intended to identify landslide risks near critical infrastructure, including highways, bridges, power substations and other public facilities. It cannot be used to map risks directly affecting private homes or residential neighborhoods.

Local governments are separately funding their own landslide studies. Asheville City Council approved nearly $11 million for engineering studies involving 89 landslide sites, while Buncombe County commissioners approved engineering work focused on high-risk areas in the Fairview and Garren Creek communities.

Business recovery and economic development

The state’s investment in federal matching funds is expected to unlock additional disaster recovery dollars for businesses and economic development.

Under the state’s recovery plan, more than $101 million in CDBG-DR funding is designated for regional economic revitalization, including potential small business recovery grants and commercial corridor improvement projects.

Volunteer fire departments receive support

The budget includes up to $30 million for capital projects at volunteer fire departments that may not qualify for traditional FEMA assistance.

Many volunteer departments across Western North Carolina were impacted by Helene and continue to serve communities facing increased emergency response needs.

Wildlife, forests and wildfire prevention

Environmental recovery and safety funding includes:

• $7 million for wildfire mitigation related to storm debris and forest conditions following Helene.
• $10.2 million annually for wildlife crossings designed to improve roadway safety and reduce animal-vehicle collisions.

The wildlife crossing funding is expected to benefit high-risk areas, including the Pigeon River Gorge corridor.

Transportation and infrastructure

Western North Carolina lawmakers also highlighted transportation investments included in the budget.

U.S. Rep. Chuck Edwards said $173 million is headed to Western North Carolina for Helene recovery and infrastructure improvements, including roads, bridges and airport access.

The funding comes as N.C. Department of Transportation crews continue repairing storm damage while advancing major projects, including the Interstate 26 Connector in Asheville.

Statewide budget includes local education and public safety impacts

Beyond Helene recovery, the budget includes statewide investments affecting Western North Carolina communities.

Major provisions include:

• Teacher pay increases, including what state officials called the largest starting teacher pay increase in nearly 50 years.
• Increased funding for community colleges and workforce development programs.
• Additional investments in child care assistance, including a statewide child care subsidy reimbursement floor.
• Salary increases for public safety employees.
• Additional funding for the DMV, cybersecurity, clean drinking water programs and summer food programs.

The budget also continues operating funding for UNC Asheville and North Carolina’s community college system, including A-B Tech, which serves thousands of Buncombe County students each year.

Medical examiner pay doubles

The budget doubles the fee paid to North Carolina medical examiners from $200 to $400 per case.

State lawmakers said the increase is intended to help recruit and retain physicians who conduct death investigations, an issue many counties have faced in recent years. Buncombe County, like other counties across North Carolina, relies on local medical examiners to investigate unattended and suspicious deaths.

Local officials praise recovery investments

Hot Springs Mayor Abigail Norton said additional state funding will help communities continue rebuilding after Helene.

“Rebuilding major infrastructure takes time, and communities like ours continue to navigate lengthy federal funding and construction processes,” Norton said in a statement released by Gov. Josh Stein ’s office. “The additional funding included in this budget for local government capital grants and to cover the local FEMA cost share will allow us to keep critical projects moving forward.”

Housing Assistance Corporation CEO Margaret Fenton Lebeck said nonprofit organizations will continue playing a major role in recovery.

“Recovering the thousands of homes damaged or destroyed by Helene will take all of us working together,” Lebeck said in the statement.

What happens next

With the budget now signed into law, local governments and agencies will begin applying for funding and implementing programs.

For Western North Carolina communities, officials say the focus now shifts from securing recovery dollars to making sure the money reaches residents, businesses and infrastructure projects most affected by Helene.