Lawmakers reach tentative deals on spending, taxes, Medicaid

RALEIGH (AP) -- House and Senate negotiators have reached tentative agreements on a two-year budget that would make a "temporary" sales tax increase permanent and let counties raise additional taxes for school construction and infrastructure.

The deals require final approval by the full House and Senate.

House and Democratic leaders say the deal would transfer the counties' share of Medicaid expenses to the state in a three-year phase out.

The two sides still have to sign off on some tax credits and other minor changes today.

The first of two required votes on the final budget in each chamber could come tomorrow or Saturday.