Memo Budget Replacement System

December 3, 2025

TO: All Department Heads, Chief Financial Officers, All State Departments, Institutions and Agencies

FROM: Kristin Walker, State Budget Director

SUBJECT: State Budget System Replacement

I am writing to inform you about a significant initiative that will shape the future of budget administration across North Carolina state government. As you may know, in October, the General Assembly appropriated funding (SL 2025-97, Sec. 6a) to replace North Carolina’s current Integrated Budget Information System (IBIS), which has been the backbone of our statewide budgeting infrastructure for over 13 years.

This investment offers a crucial opportunity to modernize our statewide budget system by enhancing efficiency, improving reporting, and ensuring the long-term sustainability of budget operations. OSBM has been planning for this replacement, and we are making it our top priority to design, build, and implement our new system as expeditiously as possible.

The timing of this effort is critical, as our goal is to have the system ready for the FY 2027-29 biennial budget. Meeting this goal reduces the risks associated with the existing system and minimizes the need for financial teams to run dual systems in the new biennium. The first key deadline will be in the fall of 2026 when the FY 2027-29 base budget process begins.

We are committed to keeping your agencies informed about plans, dates, and milestones. We are finalizing work to establish both interagency and executive governance committees for this project to ensure agency input into the design and rollout of the system.

We recognize the importance of coordinating all necessary support to ensure a successful transition. We will be actively communicating with your teams our plans for training, coordination, and technical support to ensure a smooth transition to the new budget system.

Thank you in advance for your partnership in this important project. Please do not hesitate to reach out to me, Carol Malony (Carol.Malony@osbm.nc.gov), or Rob Kindsvatter (Rob.Kindsvatter@osbm.nc.gov) in my office with any questions you have.