July 1st, 2009, 5:26 pm by Barry Smith
State government began its new fiscal year today without a budget in place. That’s nothing new, reports John Rustin, executive director of the N.C. Free Enterprise Foundation.
Rustin noted that 2003 was the last time that the fiscal year began with a budget in place. Before that it was 2000 and 1999. Rustin cites General Assembly research for the information.
The latest appears to be in 1998, when the General Assembly enacted a budget the day before Halloween, Oct. 30. Of course, that year, the budget was a modification of the budget enacted in 1997.
The General Assembly adopts two-year budgets during odd-numbered years. That’s when lawmakers come to town for their long session. During even-numbered years, or short sessions, the General Assembly modifies or tweaks the budget for the final year of the biennium
The latest that the General Assembly has adopted a budget during the first year of the biennium was in 2001, when the budget was enacted on Sept. 26.
Not having a budget in place by the beginning of the fiscal year doesn’t mean that the state will have to start issuing IOUs. Earlier this week, lawmakers agreed on a “continuing resolution” that will give state government authority to write checks until July 15.
Posted in: General Assembly • Government spending • State government | Post a Comment »
June 29th, 2009, 3:55 pm by Barry Smith
The investigation regarding Ken Wright, who is the chief lobbyist for Blue Cross and Blue Shield of North Carolina is over. A statement from Blue Cross says that the SBI has concluded its investigation and that the Wake County District Attorney’s office is not pursuing allegations regarding an interchange between Wright and a state House member any further.
Lew Borman, a spokesman for Blue Cross, said it would be fair to say that the investigation is over and that the complaint that came out of the interchange was all a misunderstanding.
Back in the spring, the Legislative Ethics Commission took up a complaint that a lobbyist had pledged that his principal would reduce or eliminate a debt of a legislator’s constituent if the legislator would not pursue a bill he had introduced.
Since then, it was revealed that Rep. Fred Steen, R-Rowan, had filed a bill specifying how a health insurer would recover overpayments made to a provider.
“We are grateful to the State Bureau of Investigation and to the Wake County district attorney for their thorough, professional and swift investigation,” Borman said in a statement. “They have found no wrongdoing and no crime. Ken is a valuable member of the Blue Cross and Blue Shield family and we are pleased that this matter is closed.”
The bill passed the House back in May and is now in the Senate Finance Committee.
Posted in: Ethics • General Assembly • State government | Post a Comment »
June 25th, 2009, 7:11 pm by Barry Smith
The quote of the day comes from Rep. Earl Jones, D-Guilford: “Democracy is already chaotic enough.”
Jones was responding to a proposal by Rep. Johnathan Rhyne, R-Lincoln, that would have resulted in a bill dealing with changes to the state’s annexation law being easier to change when the bill gets to the House floor. Rhyne said he was trying to make it so that people other than those on the House Judiciary Committee reviewing the bill would be able to offer amendments without having to get a supermajority of votes to suspend the rules.
Jones disagreed, as did a majority of the committee members. Unless changed by the House Finance Committee, which reviews the bill next, the procedural measure will remain in effect when the bill gets to the floor.
There’s an old saying that laws are like sausage; you kind of like them both until you see how they’re made. It’s apropos in this case.
Posted in: Annexation • General Assembly • State government | 2 Comments »
June 24th, 2009, 3:21 pm by Barry Smith
Corporal punishment in North Carolina isn’t dead yet. The Senate on Wednesday defeated a bill that opponents said would have ended the use of paddling in the state’s public schools.
The bill, sponsored by Rep. Martha Alexander, D-Mecklenburg, would have required a school to get parental permission before paddling a child. The bill passed the House back in the spring.
But Sen. Doug Berger, D-Franklin, argued that the effect would be to end corporal punishment, reasoning that a teacher wouldn’t use different methods of discipline on two different students who broke the same rule. If one parent wouldn’t give permission for paddling, the teacher wouldn’t then go and paddle the second student, whose parents permitted such discipline, Berger said.
Sen. David Hoyle, D-Gaston, argued that he had not received calls or emails from constituents saying that the schools were misapplying corporal punishment. Sen. Phil Berger, R-Rockingham, agreed with his colleagues.
The bill failed by a 21-25 vote.
Posted in: Education • General Assembly • State government | Post a Comment »
June 23rd, 2009, 6:18 pm by Barry Smith
I’ve jokingly told friends and acquaintances that I won the lottery back in 1993. I won $25 on a tic-tac-toe scratch-off game while traveling through Pennsylvania on my way home from a vacation in upstate New York in August of that year.
Today, I got the opportunity to meet Jeff Wilson, who really did win the lottery. It seems that Jeff’s father has been purchasing Powerball and other lottery tickets quite some time for family members. He lays the tickets down on a table and each family member chooses which one will be their ticket.
Saturday night was Jeff’s lucky night. He won the Powerball Jackpot, winning $88.1 million. Of course, that’s $88.1 million payable in 30 installments over the next 29 years.
Jeff took the lump-sum option, meaning he’ll get $42.4 million right away. I can’t blame him for doing that. I’d do the same thing. You know what they say about having a bird in the hand. Anyway, after taxes, he’ll have $28.8 million to put away in a savings account.
His father, Bill, was highly complimentary of the lottery, noting that proceeds go to the schools. He told me he’s probably spent $10,000 in lottery tickets since the lottery came on board in North Carolina in 2006. And he doesn’t plan to stop, even though his son is now a millionaire.
Posted in: Lottery • State government | Post a Comment »
June 22nd, 2009, 7:02 pm by Barry Smith
A number of current and former state officials, including former Republican Gov. Jim Martin, believe that former Democratic House Speaker Jim Black of Mecklenburg County should get mercy and have his prison sentence reduced, reports The Charlotte Observer.
Bob Hall, executive director of Democracy North Carolina, is not one of those who thinks Black deserves mercy. Hall said that Black already had his chance to get a shorter prison sentence and he blew it. A couple years ago, Black had the opportunity to get a lighter sentence by cooperating with federal prosecutors investigating political corruption. But he gave them virtually no help, Hall said in a statement.
“In fact, he continued to hide the truth behind self-serving stories that lacked credibility, right through to his tale about a $500,000 ‘loan’ from lobbyist Don Beason,” Hall said. “Consequently, federal and state judges gave him what they considered a fair prison sentence.”
If Black wants reduced prison time, Hall suggests that maybe he can change his mind and “tell the truth about what he knows about pay-to-play politics in North Carolina.”
Posted in: Courts • Crime • Ethics • Federal government • General Assembly • State government | Post a Comment »
June 19th, 2009, 9:42 am by Barry Smith
Here’s some not-so-great news to start your weekend. The Employment Security Commission reports that North Carolina’s unemployment rate for May rose by four-tenths of a percentage point last month. The May unemployment rate is 11.1 percent. It was 10.7 percent in April.
We’re still above the national rate, which is 9.4 percent. The only silver lining in this cloud? North Carolina’s rate didn’t increase as quickly as the national rate. The national rate rose by five-tenths of a percent last month.
Posted in: Economy • Federal government • State government | Post a Comment »
June 18th, 2009, 10:16 pm by Barry Smith
Thursday didn’t turn out as planned. My car overheated on my commute into the state capital. Fortunately, I called AAA, had my car towed to a garage and returned to my abode to work the afternoon from home.
I was disappointed because I wanted to hear the debate on the bill sponsored by Rep. Earl Jones, a Guilford County Democrat, which would have made medical marijuana legal in North Carolina. I understand the House Health Committee didn’t get finished, so maybe I’ll get to hear some more discussion next week.
I also understand that the House Health Committee took up another bill, one that would have increased the taxes on alcohol, with the money going to pay for underage drinking prevention campaigns. I’m not sure I understand why the committee is spending time on this bill, since the House Finance Committee last week stripped out beer and wine tax increases from its tax package. Nevertheless, the Health Committee at least had the bill heard.
While I didn’t get to hear about those bills, my detour afforded me the opportunity to read up on some longer-range projects. And, by the way, it looks like my car just needs a new thermostat. Good thing my car broke down before the tax package became final, or I’d probably have to pay a sales tax on the labor charges.
Posted in: General Assembly • Health • State government • Taxes | Post a Comment »
June 17th, 2009, 6:42 pm by Barry Smith
Thursday should be a unique day at the General Assembly. A bill making medical marijuana legal in North Carolina is scheduled to be heard by the House Health Committee.
The bill, sponsored by Reps. Earl Jones, D-Guilford, Pricey Harrison, D-Guilford, and Nick Mackey, D-Mecklenburg, would allow people suffering from certain diseases to possess and use marijuana to treat their illnesses. The diseases include cancer, glaucoma, HIV, rheumatoid arthritis, severe migraines, multiple sclerosis, Crohn’s disease, fibromyalgia and spinal cord injuries.
It would set up a regulated medical marijuana system and allow a person or caregiver to maintain a sufficient supply of marijuana to treat the diseases, provided a doctor believed the doctor believes the medical use of marijuana’s benefits outweighed the risks.
According to a press release from the Marijuana Policy Project, a number of North Carolinians with sever pain from various diseases and injuries plan to speak in favor of the bill.
The committee will meet at noon Thursday in Room 544 of the Legislative Office Building.
Posted in: General Assembly • Health • State government | Post a Comment »
June 16th, 2009, 3:24 pm by Barry Smith
About 400 employees of Reynolds American rallied Tuesday across the street from the Legislative Building in hopes of convincing lawmakers to avoid efforts to increase the taxes on cigarettes.
The employees braved a soggy morning to sit under a big tent and cheer on speakers, including state lawmakers, who opposed the tax. To weather the rain, they wore yellow rain jackets which bore the outline of a North Carolina map on the back with the words: “N.C. needs more jobs, not more taxes.”
Rep. Dale Folwell, R-Forsyth, addressed the crowd, saying he’d never worked at Reynolds but had worked in service sector jobs servicing Reynolds employees.
He said it was frustrating for the people in Raleigh to pay companies to come to North Carolina with incentives while disrespecting companies who’d been here for 100 years.
R.J. Reynolds Tobacco CEO urged lawmakers to reject Gov. Bev Perdue’s proposal to increase cigarette taxes by $1 a pack. Last week, the House Finance Committee stripped a proposed 25 cent per pack increase in the cigarette tax from its revenue package. Some Senate leaders have discussed a 15 cent per pack increase in the cigarette tax, but so far, nothing has come out of committee.
The budget and tax package are now in a conference committee, which will work out the final budget plan and decide whether taxes will be increased and if so, which ones.
Posted in: Budget • Economy • General Assembly • Government spending • State government • Taxes | Post a Comment »
