The sad fact is that while North Carolina is a conservative state (in that most of its residents hold traditional values), and while it has reliably voted GOP for most federal races, the Democrats nonetheless dominate state politics.
We've had very few GOP governors (maybe just 2), and only briefly held the statehouse in the mid-90s. I think all but maybe one statewide office is held by Democrats. Thousands of people who have voted for Reagan, the Bushes, Helms, Dole, and Burr have turned around and voted Democrat for most other offices.
State House and Senate Democrats, many of whom run as conservative Democrats, won't even let a ballot initiative on gay marriage reach the people, even though it would likely pass with 70-75% of the vote, and even though Dem Gov Easley came out in support of it before being reelected in 2004 (that he did so in an election yr was no surprise, but he actually didn't need to do so as never failed to enjoy a healthy lead in the polls).
NC isn't alone in the South as a state which has gone GOP federally but retained strong Dem loyalties for state offices. Part of the problem is obviously the media, but the rather strong liberal element in the NC state legislature is very frustrating.
How do you explain the division of people's votes in NC?
My wife and I are considering a move there so it is more than just idle curiosity.
When conservative workers get their jobs outsourced to China and Mexico, and local Democrats are the ones screaming about it and the GOP says free trade is good for America, guess who the people of NC would vote for? Nationally the GOP is lucky that the Dems have put up so many North East liberals, that the people of NC know better to vote for the GOP. Illegal immigration and economic nationalism will assure the next party in power, issues that the GOP runs away from and the Dems have no answers for.