Thousands turned out at East Carolina University's Minges Coliseum to greet the president, waving miniature American flags, chanting "Dubya" and holding up three fingers -- forming a "W" sign.
Before Bush began his speech, he thanked Sen. Jesse Helms, R-N.C., and Rep. Walter Jones, R-N.C., for inviting him to North Carolina.
Bush recently began touring the nation, trying to build support for his tax-cut plan. Both Helms and Jones supported Bush's tax-cut plan when it reached Capitol Hill.
The plan was passed by the House, but Senate Democrats were able to reduce it by about $450 billion to $1.15 trillion, channeling the extra money to Social Security and education.
The tax-cut plan will remain stuck in a bicameral conference committee until both houses reach a compromise.
"Either way we cut it, tax relief is on the way," Bush said, vowing to meet his campaign promise to slash taxes.
As he had many times on the campaign trail last fall, Bush told the emotionally charged crowd that the federal budget belonged to them, not politicians. "We're not spending the government's money," Bush said. "We're spending the people's money."
Bush said his tax-cut and budget proposals were linked together and that it was possible to slash taxes while continuing to provide a high level of government programs.
He also attacked critics who claim his budget eliminates vital projects by saying that his proposal increases the discretionary fund about 4 percent.