For Members Only for September 2003

For Members Only is published monthly by NCCBI when the General Assembly is not in session

Fall membership meetings begin
Down East, in the Triangle and Triad

NCCBI staff members will be on the road much of this month for 15 regional membership meetings. The statewide tour will wrap up in early October with four other events. We’re looking forward to seeing you at one of the meetings and we hope you bring a prospective member along.

The Area Meetings are a great opportunity for members to tell the NCCBI staff what’s on your mind, to make suggestions for association activities and to hear brief reports on what we’ve done for you in the past year in Raleigh and Washington. They also offer a chance for you to chat with Sue W. Cole of Greensboro, the U.S. Trust Company of North Carolina executive who is the first woman chair of NCCBI, or with Barry Eveland of Raleigh, the NCCBI first vice chair who is the IBM senior state executive for North Carolina.

Brochures with complete information on the events and registration cards have been mailed to all members on two occasions. Please fill out the registration card so we’ll have an accurate count for the meal and a name badge waiting for you. Members also can register online through the NCCBI web site at http://nccbi.org/2003.Area.Meeting.Form.htm.

The first stop on the Area Meeting tour came Sept. 2 when the NCCBI staff visited Wilson for a steak cookout at the Wilson Chamber of Commerce. The tour moved to Elizabeth City Sept. 3 for a luncheon at Pine Lakes Country Club. The Triangle meeting will be Sept. 4 at the Angus Barn. Please consult the schedule below to make sure you have already marked your calendar for the event in your town.

There is no charge to attend an Area Meeting. All the costs are paid through the generous support of local hosts, who are listed below. Join us in thanking them for their support!

*Schedule of NCCBI Fall Area Meetings. Come and bring a friend!*
City	Date	Event	Location
Wilson/Rocky Mount	Tuesday, Sept. 2	Cookout	Wilson Chamber
Elizabeth City	Wednesday, Sept. 3	Luncheon	Pine Lakes Country Club
Triangle	Thursday, Sept. 4	Luncheon	Angus Barn
Winston-Salem	Monday, Sept. 15	Reception	Piedmont Club
High Point	Tuesday, Sept. 16	Breakfast	String & Splinter Club
Greensboro	Tuesday, Sept. 16	Luncheon	Grandover Resort
Greenville	Tuesday, Sept. 23	Reception	Greenville Hilton
New Bern	Wednesday, Sept 24	Luncheon	Riverfront Convention Center
Goldsboro/Kinston	Wednesday, Sept 24	Reception	Walnut Creek Country Club
Fayetteville	Thursday, Sept. 25	Luncheon	Holiday Inn Bordeaux
Wrightsville Beach	Thursday, Sept. 25	Reception	Holiday Inn Sunspree
Hickory	Monday, Sept. 29	Luncheon	Holiday Inn Select
Asheville	Monday, Sept. 29	Reception	Grove Park Inn Resort
Boone	Tuesday, Sept. 30	Luncheon	Broyhill Conference Center
Gastonia/Shelby	Tuesday, Sept. 30	Reception	Gastonia City Club
Concord/Salisbury	Wednesday, Oct. 1	Breakfast	Philip Morris
Charlotte	Wednesday, Oct. 1	Luncheon	Westin Hotel
Elon	Tuesday, Oct. 14	Luncheon	Elon Univ., Moseley Center
Pinehurst/S.Pines	Tuesday, Oct. 14	Reception	Pinehurst Resort
Breakfasts begin at 7:30 a.m., luncheons at 11:45 a.m., cookout and receptions at 5:30 p.m.

ASHEVILLE: The Biltmore Company; Biltmore Farms; Grove Park Inn; Hampton Inns of Asheville; Ingles Markets, Inc.; Charles D. Owen Manufacturing; Tanner Companies.

BOONE: First Citizens Bank; Grandfather Mountain; High Country Bank; Lowe’s Companies; Tweetsie Railroad; Walker College of Business, Appalachian State University.

CHARLOTTE: Allvac; Bank of America; Belk Inc.; BellSouth; Carolina Public Relations/Marketing Inc.; Carolina Tractor & Equipment; Charlotte Hardwood Center; Cummins Atlantic Inc.; Duke Energy; Hunton & Williams; Kennedy Covington; KPMG LLP; Lincoln Harris; Little & Associates Architects; Palmer & Cay; Shelco; Southern Shows; Wachovia Bank NA.

CONCORD/SALISBURY: Philip Morris.

ELIZABETH CITY: Albemarle Propane; Biggs Pontiac Inc.; City Beverage Co. Inc.; Gateway Bank & Trust Co.; J.W. Jones Lumber Co. Inc.; W.W. Owens & Sons Moving & Storage Inc.

ELON: BB&T; Bank of America; Café Concepts; Central Carolina Bank; Chandler Concrete Co. Inc.; Cobb Ezekiel Brown & Co. PA; Elon University Love School of Business; 1st State Bank; Gilliam Coble & Moser LLP; Glen Raven Inc.; LabCorp; MidCarolina Bank; Samet Corp.; Thomas, Stout, Stuart, Core & Stuart, LLP; Vernon Vernon Wooten Brown Andrews & Garrett PA; Wachovia Bank NA; Westcott Buick Pontiac Isuzu GMC; Wishart Norris Henninger & Pittman PA.

FAYETTEVILLE: Fayetteville Publishing; Glenn Jernigan & Associates; Tom Keith & Associates Inc.; Kelly-Springfield Tire Co.

GASTONIA/SHELBY: Citizens South Bank; First Gaston Bank; The First National Bank (Shelby); David Hoyle Investments; Parkdale Mills; PSNC Energy.

GOLDSBORO/KINSTON: Brody Associates; Group III Management, Inc.; Harvey Enterprises & Affiliates; T. A. Loving Co.; R. N. Rouse & Co.; Seegars Fence Co.

GREENSBORO: Brady Services; Koury Corp.; Southeast Fuels Inc.; United Guaranty Corp.; U.S. Trust Co. N.A.; VF Corp.

GREENVILLE: The Daily Reflector; DIMON International; Dixon Doub Conner & Foster PLLC; DSM Pharmaceuticals; Grady-White Boats; University Health Systems (PCMH).

HICKORY: Bank of Granite; Bernhardt Furniture; Broyhill Investments; CV Industries; Hickory Furniture Mart; Hickory Springs Manufacturing; Alex Lee Inc.; Shurtape Technologies; Office of Jack Suddreth.

HIGH POINT: B&C Associates Inc.; Classic Gallery; Dixon Odom; High Point Bank & Trust; Lexington State Bank; North State Communications; Phillips Industries.

NEW BERN: Amital Spinning; Hatteras Yachts; Jenkins Gas & Oil; Kenneth Morris Insurance; RSM McGladrey; Stallings & Thomas Inc.; Linda Staunch & Associates; Ward and Smith PA; Weyerhaeuser Co.

PINEHURST/SOUTHERN PINES: Asheboro Elastics Corp.; Capel Inc.; Century Associates of North Carolina; First National Bank and Trust; Hobbs, Upchurch & Associates; Jordan Lumber; George W. Little & Associates; Pinehurst Resorts.

TRIANGLE: Blue Cross/Blue Shield; First Citizens Bank; The Freelon Group; Golden Corral Corp.; IBM; Martin Marietta Materials; O’Brien/Atkins Associates; Progress Energy; Sprint; Verizon Communications; York Properties Inc.

WILSON/ROCKY MOUNT: Dove Knight & Whitehurst Architects; Merck; RBC Centura; Standard Commercial; Stephenson Millwork.

WINSTON-SALEM: BB&T; DB Alex Brown; TW Garner Food Co.; Kilpatrick Stockton; Krispy Kreme Doughnuts Inc.; Novant Health; Salem Academy & College; Wachovia Bank; Womble Carlyle.

WRIGHTSVILLE BEACH: Cameron Management Inc.; David Jones Investments; Pharmaceutical Product Development; North Carolina State Ports Authority; RSM McGladrey; Woodbury & Co.

Legislative Issues
Special session fails to override veto
As expected, the General Assembly met only briefly on Aug. 27 and failed to override Gov. Mike Easley’s veto of H. 917 Conform Mortgage Lending Laws. The measure was intended to conform the laws related to permissible interest rates for home loans secured by first mortgages, and to authorize the Legislative Research Commission to study issues related to banking and lending laws. Easley was required to call the special session under terms of the veto statute, which specifies that if the governor vetoes a bill when the legislature is in recess, lawmakers must be given the opportunity to quickly override it. However, the House, with 37 members present, met for less than half an hour before voting to send the bill to a committee and then adjourning. The Senate also met briefly with only eight members in attendance. The bill would have allowed consumer finance companies to charge fees of up to 3 percent on mortgage loans, up from 1 percent now. In his veto message, which was read in the House, Easley said the bill "has no economic benefit to North Carolina or our working families. It would simply increase the cost of loans for North Carolina citizens at a time that they can afford it least."

Senate to reconvene to examine medical malpractice reform
The Senate will reconvene Sept. 15 to consider medical malpractice reform and apparently will start by examining S. 9 Medical Malpractice Damages/Attorney’s Fees, legislation introduced early last session by Sen. Bob Pittinger (R-Charlotte). The bill was thoroughly discussed during nine committee hearings but was never voted on. Three thousand physicians came to Raleigh on April 8 to express their support for reform. Pittinger says North Carolina is losing a doctor a day who is retiring early or significantly limiting his or her practice over the soaring costs of medical malpractice insurance. However, several other states adopted medical malpractice reforms this year, mainly adopting caps on non-economic damages. The charts beginning on page 9 detail the reforms those states adopted.

Education
High school SAT scores climb above 1,000
North Carolina's average score on the SAT reached four digits for the first time last school year, to 1,001, a 3-point gain from the previous year. North Carolina's increase trailed a 6-point jump in the national average, which climbed to 1,026. Among 23 states where at least half the graduating seniors take the SAT, North Carolina's average score ranked 19th. But among that same group of states, North Carolina landed first in terms of improvement since the class of 1990. The state's average score has risen 53 points since then, while the nation's average gained 25 points.

With 68 percent of graduating seniors opting to take the exam, North Carolina ranked 13th in the nation, along with Maryland, in participation. States with the lowest rates of participation have the highest average scores. Among states where at least half the students took the exam, Washington ranked first, with an average score of 1,062. North Carolina was ahead of Florida, Texas, South Carolina, Georgia and the District of Columbia, all with high numbers of test takers. Among all states, regardless of the percentage of students taking the test, North Carolina's score ranked 46th, up from last year, when it tied Texas for 47th.

Among African-American students, the average score was 839, a point less than in 1996 and 211 points lower than the average score of 1,050 for white students this past year. The state's average for black students was 18 points lower than the national average for black students, also unchanged from last year. The average score among Hispanic students was 961, the same as last year, but down from 984 in 1998. The state average was 49 points higher than the national average for Hispanics, 1 point less than last year.

In the chart below, all 117 school systems in the state are ranked by SAT score.

School System	SAT Score
Chapel Hill-Carrboro	1,178
Transylvania Co.	1,087
Watauga Co.	1,078
Buncombe Co.	1,072
Elkin City	1,072
Wake Co.	1,067
Polk Co.	1,063
Hickory City	1,053
Shelby City	1,049
Henderson Co.	1,049
Moore Co.	1,044
Haywood Co.	1,043
Jackson Co.	1,042
Cabarrus Co.	1,037
New Hanover Co.	1,037
Madison Co.	1,036
Davie Co.	1,035
Yancey Co.	1,034
Caldwell Co.	1,033
Cherokee Co.	1,032
Swain Co.	1,032
Burke Co.	1,031
Roanoke Rapids City	1,025
Mount Airy City	1,021
Asheville City	1,020
McDowell Co.	1,019
Carteret Co.	1,018
Catawba Co.	1,016
Johnston Co.	1,015
Surry Co.	1,015
Granville Co.	1,012
Clay Co.	1,009
Wilkes Co.	1,009
Union Co.	1,008
Hyde Co.	1,007
Orange Co.	1,007
Newton-Conover City	1,006
Dare Co.	1,006
W-S/Forsyth Co.	1,005
Macon Co.	1,003
Charlotte-Mecklenburg	1,001
Chatham Co.	1,000
Asheboro City	1,000
Durham Co.	999
Mooresville City	999
Brunswick Co.	998
Craven Co.	998
Mitchell Co.	998
Davidson Co.	997
Yadkin Co.	997
Guilford Co.	996
Avery Co.	994
Onslow Co.	994
Pitt Co.	993
Iredell-Statesville	991
Rowan-Salisbury	989
Kings Mountain City	988
Currituck Co.	988
Ashe Co.	987
Lee Co.	985
Beaufort Couonty	983
Graham Co.	982
Lincoln Co.	981
Camden Co.	980
Gaston Co.	980
Cleveland Co.	978
Alexander Co.	977
Wilson Co.	977
Edenton-Chowan Co.	976
Harnett Co.	976
Alamance Burlington	975
Alleghany Co.	972
Stokes Co.	969
Randolph Co.	966
Pender Co.	965
Pamlico Co.	962
Kannapolis city	961
Lenoir Co.	960
Stanly Co.	960
Rockingham Co.	957
Franklin Co.	953
Person Co.	952
Wayne Co.	951
Rutherford Co.	950
Cumberland Co.	946
Clinton City	943
Richmond Co.	935
Sampson Co.	932
Nash-Rocky Mount	929
Pacquotank Co.	929
Martin Co.	928
Lexington City	924
Perquimans Co.	924
Greene Co.	921
Thomasville City	920
Montgomery Co.	914
Duplin Co.	913
Scotland Co.	907
Tyrrell Co.	905
Hoke Co.	899
Edgecombe Co.	896
Gates Co.	890
Columbus Co.	888
Whiteville City	888
Anson Co.	886
Bladen Co.	882
Vance Co.	873
Caswell Co.	870
Robeson Co.	869
Warren Co.	862
Cherokee Central	847
Jones Co.	829
Washington Co.	816
Hertford Co.	799
Bertie Co.	790
Northampton Co.	790
Halifax Co.	782
Weldon City	776

NCCBI is pleased to invite you to attend one of the four seminars we’re offering this fall on the latest developments and complexities in labor and employment law. NCCBI is staging these seminars in partnership with the respected law firm of Haynsworth Baldwin Johnson & Greaves. The seminars are geared toward business owners and the attorneys and CPAs who advise them.

The day-long seminars will be offered Oct. 28 in Greenville, Oct. 30 in Raleigh, Nov. 4 in Charlotte and Nov. 6 in Greensboro. Registration is $225 for NCCBI members, $250 for non-members. Seminar attendees will receive expert instruction on complying with such complex topics as:

Wage and hour issues;

Discrimination;

Family and Medical Leave Act;

Overtime and recordkeeping;

Americans with Disabilities Act;

Negligent hiring, and

Employment relationships.

North Carolina Chief Justice I. Beverly Lake Jr. will deliver the keynote address at the Raleigh seminar. U.S. District Court Judge Malcolm J. Howard of the Eastern District of North Carolina will speak at the Greenville seminar. U.S. District Court Judge Graham C. Mullen of the Western District of North Carolina will speak at the Charlotte seminar. U.S. District Court Judge Frank W. Bullock Jr. of the Middle District of North Carolina will speak at the Greensboro seminar.

The main presenters at the seminars will be Haynsworth Baldwin attorneys Thomas A. Farr and Gretchen W. Ewalt, co-authors of NCCBI’s new book, “The Employment and Labor Law Resource Guide.” Seminar attendees will receive a free copy of the book, a $112 value, plus a notebook complete with copies of all the texts and graphics from the seminar.

”NCCBI is pleased to offer this high-quality educational seminar,” said President Phil Kirk. “The subjects are very timely and important and the presenters are experts in their field. Add the quality of the luncheon speakers and we hope you will agree this is a bargain you cannot afford to miss.”

Please watch your mail for the registration brochure pictured above. For more information on the seminars, and to register online if you choose, go to http://www.nccbi.org/ecommerce/.

NCCBI News
Efficiency Commission initiative wins national award
The N.C. Utility Savings Initiative has received an award from the National Association of State Chief Administrators. The initiative won NASCA's Outstanding Program Award for leadership and innovation. The initiative was developed as a means to lower costs and conserve energy during lean budget times. The project was proposed in June 2002 by the Governor's Commission to Promote Government Efficiency and Savings on State Spending upon recommendation of the Capital Management Subcommittee. Jim Hyler, the First Citizens Bank executive who was NCCBI chair last year, led the commission. The project was formalized by legislation requiring a comprehensive energy management program for state government. The State Energy Office in the N.C. Department of Administration is overseeing the effort. The initiative has helped 25 state agencies and 17 universities reduce utility expenditures and conserve energy and water. Initiative leaders are hoping to expand the project to facilities leased to the state where utility savings can be realized.

Kirk touts manufacturing at industry appreciation banquet
"Manufacturing has long been the engine for economic growth, innovation, productivity, and good jobs," NCCBI President Phil Kirk told the audience at the Caldwell County Industry Appreciation banquet at Cedar Rock Country Club on Aug. 28.

"However, this most fundamental part of our economy is in a downward spiral," he continued. "Intense global competition on an uneven, unfair playing field is hurting our manufacturers in North Carolina. However, so is the cost of doing business in North Carolina."

He mentioned the high costs of regulation, costly lawsuits especially in the area of medical malpractice, and health insurance premiums. He said the federal government should enforce the trade laws that are on the books. "We need to get tough on China as it relates to illegal dumping and counterfeiting, along with their undervalued currency."

Kirk was introduced by George Robinson, a former state legislator.

In a recent speech to the Winston-Salem Rotary Club on August 12, Kirk spoke on major challenges facing North Carolina. He discussed the economy, education, health care, environmental protection, and efficiency in government, taxes, and transportation.

He told the Rotarians that there are some bright spots in the North Carolina economy. Agribusiness brought $59 billion into the economy last year, he pointed out. "Travel and tourism added more than $12 billion and North Carolina is now the sixth most-visited state in the nation with 43 million visitors coming to our state last year."

Kirk also praised the Governor, legislature, Golden LEAF Foundation, and the business community for its $65 million commitment to developing biotech jobs in North Carolina. He also reminded the Rotarians not to take the military presence in North Carolina for granted. "This is more than a $7 billion industry and we should work hard to make sure we do not lose any military bases in the next round of base closings.

He was introduced by former Senator Jim Broyhill and was invited to speak at the Rotary Club by NCCBI Chair Emeritus David Stedman.

State Government News Briefs
The infant mortality rate in North Carolina has fallen to its lowest ever, dropping last year to 8.2 deaths per 1,000 live births. That’s down 3.5 percent from the 2001 rate of 8.5. The infant mortality rate for minorities declined by 4.1 percent to 14.2 deaths per 1,000 live births, also a record low. The white infant mortality rate dropped to 5.9, compared to 6.1 in 2001, a decline of 3.3 percent.
The landfill created in Warren County to house 60,000 tons of roadside soil contaminated by polychlorinated biphenyls (PCBs) dumped illegally in the late 1970s is nearly detoxified. Crews anticipate completing work by the end of September and being off site before year’s end. Gov. Mike Easley, who helped steer more than $6.1 million to the project since taking office, said the property will soon be returned to beneficial public use. Options being discussed for the 142-acre tract include building a community park. In all, $16.2 million has been spent to detoxify or neutralize the contaminated soil. Funding came from a variety of sources, including appropriations from the General Assembly, a U.S. Department of Justice $570,000 settlement with Ward Transformer – the source of the PCBs -- and transfers from environmental projects that were completed under budget. The landfill, located in the Shocco Township, was constructed in 1982 to contain PCB-contaminated soil from more than 210 miles of North Carolina roadsides. The contamination resulted from the illegal disposal of transformer oils containing PCBs. The roadsides were listed as an U.S. Environmental Protection Agency Superfund site.
In a major victory for restaurants and other businesses that cater to the public, the N.C. Supreme Court has ruled that a man who fell and hurt himself at the Mid Pines Inn and Golf Club in Southern Pines should not get a new trial in his negligence lawsuit against the golf resort. The high court overturned a decision by a divided Court of Appeals that Alan Barringer should be allowed to proceed with his case. The high court based its decision on a dissent written by Appeals Court Judge John Tyson. In 2000, a Wake County Superior Court jury found that Barringer, who fell while serving himself from a buffet line, was mostly responsible for his injuries and ordered him to pay Mid Pines more than $22,000 for its legal fees. He appealed that decision and won in the Court of Appeals, over Judge Tyson’s sharp dissent.

Names in the News

Sen. Fern Shubert (R-Union) has thrown her hat into the ring for the Republican nomination for governor. Shubert, a first-term senator who previously served three terms in the House, said she would run on a platform of jobs, education and roads. She joins five other Republicans seeking to oppose incumbent Gov. Mike Easley: former Charlotte Mayor Richard Vinroot; Senate Minority Leader Patrick Ballantine of Wilmington; Davie County Commissioner Dan Barrett; George Little, a Southern Pines insurance executive; Timothy Cook, a Browns Summit textile chemist; and former state GOP chairman Bill Cobey.