WNC Citizens Blog

Governor's 2008 - 2009 Proposed State Budget

Recommended budget adjustments for the 2008-2009 fiscal year will increase tax on cigarettes, beer, fortified wine and spirits.


NC Governor Mike Easley

May 14,
2008


NC NEWS -- Governor Easley has released his
recommended budget adjustments for the 2008-2009 fiscal year, which will
increase tax on cigarettes, beer, fortified wine and spirts. The proposed
budget will provide $12.5 billion for education including a 7% increase in
public school teachers pay. Currently, the difference between the US and North
Carolina average for a teacher with a bachelor's degree and 15 years experience
is 6.9 percent.


The budget proposal further improves the state's ability to
compete for jobs in the global economy, increases funding for mental health
services, and helps communities' better plan to deal with droughts. The
Governor also wants to expand funding for the oversight of prison parolees,
which means, "Operation FreeBird" is working.


The NC Governor also believes the budget better prepares the state
to deal with the uncertain economy by expanding the Rainy Day Fund to $848
million. Unlike most states that are facing shortfalls, North Carolina will end
the current fiscal year with a $152 million surplus. The budget also includes
$396 million in general fund budget cuts equaling nearly 2% of the total
operating budget.


Governor Easley said, "As I release the 2008-09 budget proposal,
the last one of my administration, I remain just as restless about improving
the lives of every North Carolinian. While we have made great progress in this
state, I am still not satisfied. We must build on our strengths to face the
challenges of the global economy and the best way we can do this is to expand
education at all levels."


Governor Easley's budget proposal includes a cigarette tax
increase
, recommending a 20-cents-per-pack increase. The increase, which would
total 55 cents per pack, would keep North Carolina's cigarette tax among the
lowest in the nation, about 40th. Easley said, "It takes real revenue to make
real progress in education," therefore, once again singling out evil tobacco
smokers.


The budget recommends state employees receive the equivalent of
a 4 percent pay increase through a 1.5 percent cost-of-living adjustment and a
$1,000 one-time bonus. State employees will also receive five days of paid
bonus leave. The budget also includes a cost of living adjustment for state and
judicial system retirees.


The state mental health system will receive more than $76
million designated to implement changes in and improve services. The additional
costs will be offset by another tax increase on beer, fortified wine and
spirits.


More than $65 million is set aside for repairs to university and
state buildings along with another $97 million for pay-as-you-go finance of new
construction projects and borrowing for another 553 million in projects.


Highlighted recommendations in Easley's budget include:


PUBLIC SCHOOLS -- $492 million overall budget increase.



  • $302.7 million to bring teacher pay to the national
    average.

  • $90 million to fully funding the ABC bonuses for school
    teachers.

  • $39.8 million to increase by 6,345 the number of More At Four
    early childhood education program slots to bring enrollment to 35,000.

  • $12 million for increases in at-risk enrollment.

  • $6.6 million to expand the Learn and Earn early college high
    school program to continue operation of 55 schools and expand to an additional
    16 schools in 2009-10.

  • $6 million to expand broadband high-speed connectivity for
    public schools.

  • $2 million to assist those public schools with the greatest
    needs.


COMMUNITY COLLEGES -- $58.3 million overall budget increase.




  • $23.8 million for increased enrollment.

  • $4.8 million for nurse accreditation programs and to add 55
    allied health faculty positions to cut program waiting lists.

  • $5 million to address equipment needs, including health
    programs.

  • $2.5 million to expand the NC Community College System Data
    Warehouse.

  • $1 million to expand the Minority Male Mentoring initiative.


UNIVERSITY OF NORTH CAROLINA -- $107.5 million overall budget
increase.



  • $34.6 million for increased enrollment.

  • $11 million to implement the recommendations of the UNC
    Campus Safety Task Force recommendations.

  • $2.5 million to implement American Bar Association
    recommendations to accredit N.C. Central University Law School.

  • $2 million to support a new bioengineering facility and other
    areas at NC State University's College of Engineering.

  • Expand EARN grants to accredited private NC colleges and
    universities (can be done within existing budget).


HEALTH AND HUMAN SERVICES -- $217 million overall budget
increase.



  • $20.9 million for community hospitals support short-term
    stabilization in psychiatric inpatient services.

  • $6.8 million to support 30 mobile mental health crisis
    teams.

  • $5.4 million to improve clinical staff ratios by adding 107
    positions to provide closer patient supervision.

  • $5.5 million to address shortfalls in shift premiums and
    worker compensation payments.

  • $5.2 million to support 36 beds at Dorthea Dix Hospital.

  • $4.3 million for crisis intervention services for people who
    have development disabilities by establishing nine regional START teams.

  • $4.2 million for walk-in crisis and psychiatric after
    care.

  • $10 million to expand Health Choice to provide health care
    for an additional 10,680 children from low income families.

  • $9 million to remove 1,110 children from subsidized child
    care waiting lists and keep 931 children from being dropped.

  • $8.3 million to increase foster care and adoption assistance
    payments.


JUSTICE AND PUBLIC SAFETY -- $49 million overall budget
increase.



  • $22.6 million to restore funding for community programs that
    reach out to delinquent and at-risk youth.

  • $9.1 million to restore funding for community-based programs
    that aim at reducing recidivism and the costs of incarceration for the state
    and counties.

  • $4 million to improve case management and supervision of
    adult offenders on probation, parole and post-release.

  • $1.9 million to ensure female parolees and probationers have
    access to residential substance abuse treatment services.

  • $600,000 so uninsured rape victims will no longer have to pay
    a portion of the cost for forensic exams.


NATURAL AND ECONOMIC RESOURCES. -- $10 million for the One North
Carolina Fund to recruit new and expanding businesses.



  • $5 million for the One North Carolina Small Business
    Innovation Research Program to assist in capturing federal innovation research
    grants.

  • $5 million for the Farmland Preservation Trust Fund.

  • $4 million for the N.C. Biotechnology Center.

  • $1 million to the N.C. Green Business Fund for grants to
    small businesses to encourage growth of the green economy in the state.

  • $1 million to assist those facing foreclosure on their
    homes.

  • $870,000 to establish a Drought Response Unit to aid
    communities in preparing to withstand periodic droughts.

  • $720,000 to hire ten safety and health compliance officers in
    the Occupational Safety and Health Division, positions that because of federal
    funding cuts have been vacant.

  • $400,000 to clean up inactive hazardous waste sites.

  • $141,330 for two food safety and security inspectors for the
    meat and poultry industry.


TRANSPORTATION



  • $28.8 million increase for highway maintenance
    activities.

  • $25 million reduction in the Highway Trust Fund transfer to
    the General Fund as the first step in phasing out the $172.6 million annual
    transfer. These funds may be used for gap funding for N.C. Turnpike Authority
    projects authorized by the legislature or urban loop project in the
    Transportation Improvement Program.


SUPPORTING THE MILITARY



  • $ 2.2 million to improve health and mental health services to
    National Guard combat veterans and their families.

  • $1 million to support social service and morale programs on
    North Carolina's military installations.

  • $1 million for college scholarships for children of National
    Guard members killed or disabled while on active service duty.

  • $200,000 for Operation Kids On Guard to assist children of
    deployed members of the N.C. National Guard.


CAPITAL IMPROVEMENTS – Financed Through Appropriations and
Certificates of Participation.



  • $280.5 million for five University of North Carolina
    projects that received planning funds previously including $97 million for the
    new library on the N.C. State Centennial Campus; $62 million for the new School
    of Dentistry at East Carolina University; $69 million for a new School of
    Dentistry at UNC-Chapel Hill; $42.6 million for a new classroom building at
    UNC-Greensboro and $9.8 million for the completion of a student activity center
    at Winston-Salem State University

  • $14.5 million for a new classroom building at the Upper
    Coastal Plains Higher Education Center.

  • $108.3 million for a women's health and mental health
    medical facility in the Department of Corrections.

  • $63.1 million for additions to correctional facilities at
    Scotland, Bertie, Lanesboro and Tabor.

  • $25.7 million to match federal and local funds for water
    resource and sewer development projects.

  • $109.4 million for completion of the Green Square Complex in
    Raleigh.

  • $5 million to be added to $10.2 million in receipts to
    renovate a berth at the port in Wilmington and $2.5 million for berth
    construction at the port in Morehead City.

  • $40.4 million for a new Capital Area Visitors Center and
    parking deck in downtown Raleigh.


Finally, Governor Easley said, "This budget makes progress in
education, human services, public safety and economic development. I look
forward to working with the General Assembly to get this budget enacted before
June 30."


To read the complete NC Governor's recommended North Carolina State
Budget
adjustments for 2008 through 2009 - Click Here.

7 comments:

Thanks to the blog owner. What a blog! nice idea.


I am so frustrated by the millions of dollars going "out the window" and the workers getting so little in return. How do you say that state workers are getting the "equivalent of a 4% raise" with a straight face. How do you sleep at night? The economy is scarrier that I've ever seen it in my 55 short years on earth. It's the first time I've ever been afraid. I am a widow, and my husband left me a nice IRA, but what if I have to use it just to make a house payment, or choose between food and medicine or medical care? It's an outrage what the government has become. It sucks money out of hard working people to GIVE to those in need, and those who just take.

I could go on and on and on, but it won't get me anywhere. It will just frustrate and outrage me even more. I live a simple life, and it takes all the money I make.


Dear Anonymous, please clarify to whom you are addressing. For example, I did not say, “state workers are getting the equivalent of a 4% raise.” I wrote, “The budget recommends state employees receive the equivalent of a 4 percent pay increase through a 1.5 percent cost-of-living adjustment and a $1,000 one-time bonus. State employees will also receive five days of paid
bonus leave.” Furthermore, I said the Governor’s proposed tax increase is “therefore, once again singling out evil tobacco smokers.” I’m not in favor of this action. I personally believe our state and nation’s tax burden should be shared equally by all citizens. Additionally, I’m not in favor of “big government.” That is why I posted this article in the first place. Citizens need to know where their tax dollars are going. As far as sleeping at night, I don’t get much sleep. Trying to get this type of news distributed is a full time job.

Now, if I misunderstood to whom you where addressing, I strongly suggest contacting your state representatives and telling them you’re against this Budget adjustment. Telling me does no good. You have to tell them.


I just want to know where all the lottery money that was earmarked for education is going??????


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