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North Carolina's largest business group proudly serves as the state chamber of commerce

Other stories below: Democrats get 33-23 edge in House chairmanships.... Morgan will get his choice for speaker pro tem.... ESC warns companies about 'SUTA dumping'.... Names in the News.... Bills of Interest Introduced This Week...Members volunteer for 'Second Mile' campaign....Crevar becomes YEF leader.... Big crowd turns out for NCCBI reception in Cherokee


NCCBI applauds governor’s move to link 
growth in state budget to rise in personal income

Gov. Mike Easley stole a page right out of the Republican playbook this week when he proposed linking growth in state spending to the growth in taxpayers’ personal income. He wants the General Assembly to pass a law to that effect and said the new budget he will present soon to the legislature will adhere to the cap. NCCBI enthusiastically endorsed the concept and praised the governor’s “leadership and foresight on the state’s budget problems.”

Easley’s budget cap sounds a lot like the  “Taxpayer Protection Act” that Republicans have touted for years that would link growth in state spending to growth in population, plus inflation. Easley’s idea, which is a little less rigid, would limit budget increases to the 10-year average growth in personal income. He said linking state spending to personal income is a more reliable guide because it more accurately reflects real dollars moving through North Carolina’s economy. If the state had been following Easley’s spending cap formula for the past 10 years, the current state budget would be $1.2 billion less than it is now, officials said.

After the governor’s press conference, NCCBI issue a statement that said: “NCCBI strongly supports the plan announced today by Governor Easley to put a cap on state spending. The Governor said, and we agree, that we don’t need any new taxes. What we do need, and what the Governor is proposing, is to reform the state budget process so that we even out these cycles of boom and bust. Limiting growth in state spending to growth in personal income is a reasonable approach. NCCBI also believes that there are other steps that can and should be taken to improve the efficiency of state government. We are eager to learn more about the cap, but from what we can see today, we feel sure that he is on the right track. NCCBI applauds Governor Easley for his leadership and foresight on the state’s budge problems, and we will work with the Governor and the General Assembly to support the reform process.”

Two days after the governor called for legislation establishing the budget cap, a bill largely to that effect was offered in the Senate by Republicans Fred Smith of Johnston County and Richard Stevens of Wake County. S. 256 Budget Growth Factor would amend the North Carolina Constitution to limit the annual growth of the state budget in any one year to a percentage equal to the 10-year average of personal income growth in the state. The limit could be exceeded only with approval of at least two-thirds of the members in both the House and Senate. The limit also wouldn't apply to capital improvements.

Personal income grew 5.9 percent in North Carolina over the past 10 years. Using that as a cap, the state’s current $14.3 billion budget could grow by no more than $844 million next year. That will be the upper limit on the budget the governor will propose. The budget for the second year of the biennium, fiscal 2004-05, would be capped at a 5.6 percent growth. The last two budgets signed by Easley were under the cap, and the 2002-03 budget actually fell from prior year levels.

Easley also said, to NCCBI’s delight, that his new budget will not propose any new taxes. But the governor did say he will call for a “revenue freeze,” meaning he wants the additional half-cent in the sales tax rate scheduled to expire July 1 to remain in place.

Easley said he picked a 10-year window to compute growth in personal income because that period likely would include some boom years as well as a few busts. He noted that the growth in the state budget outpaced growth in personal income four straight years in the 1990s, including two years that growth exceeded 9 percent. During years when actual growth in state tax revenues exceeded the 10-year cap, the excess would be diverted to the Rainy Day Fund, Easley said. 

Senate Minority Leader Patrick Ballantine (R-New Hanover) said he was glad the Democratic governor was endorsing a GOP idea, a sentiment heard frequently in Republican circles. Democrats such as House Speaker Jim Black generally supported the concept but said they wanted to see more details.

“The current budget model needs to be reformed,” said Easley. “Last year, we have reduced the state operating budget for the first time in over 30 years and brought spending under control, but now it is time to take the next step. We must stop the practices of letting spending run away when the economy is strong.”

Currently, 30 states have some limits on spending growth, the majority of which use personal income as the basis for their restrictions.

Easley is expected to tout his budget cap proposal during his State of the State speech Monday night. The speech begins at 7 p.m. and will be carried live on WUNC-TV affiliate stations.
 

Democrats get 33-23 edge in House chairmanships
See a complete list of House committees, chairs and members
The House Appropriations Committee and the Finance Committee will have an equal number of Republican and Democratic chairs under the assignment plan unveiled Tuesday by Speakers Jim Black and Richard Morgan. The two political parties will have an equal number of members on all committees, but Democrats still come out ahead. They were named to 33 chairmanships compared to 23 for Republicans, an edge that Morgan said he had agreed to in the deal he cut with Black that led to their becoming co-speakers. As expected, Black loyalist Rep. Bill Culpepper (D-Chowan) will chair the Rules Committee.

Four Republicans and four Democrats will co-chair House Appropriations -- Reps. Rex Baker (R-Stokes), Debbie Clary (R-Cleveland), Jim Crawford (D-Granville), Beverly Earle (D-Mecklenburg), Robert Grady (R-Onslow), Bill Owens (D-Pasquotank), Wilma Sherrill (R-Buncombe), and Thomas Wright (D-New Hanover). Three Republicans and three Democrats will co-chair House Finance -- Reps. Gordon Allen (D-Person), Julia Howard (R-Davie), Paul Luebke (D-Durham), Danny McComas (R-New Hanover), David Miner (R-Wake), and William Wainwright (D-Craven).

Black and Morgan also appointed four “floaters” to all committees – ex officio members who can show up and vote however they like. They are Reps. Harold Brubaker (R-Randolph), Pete Cunningham (D-Mecklenburg) Rick Eddins (R-Wake) and Culpepper.

Republicans who opposed Morgan in his fight with the party establishment didn’t fare well in committee assignments, just as they didn’t fare well in seat assignments. Rep. Sam Ellis (R-Wake), who stood with caucus nominee George Holmes for speaker, was not named a chairman. Republicans who did support Morgan came out OK. Rep. Connie Wilson (R-Mecklenburg) was named chairman of a new economic growth committee. Six of the 12 Republicans who helped Morgan were appointed to either Appropriations or Finance.

With the committees now appointed, the House has completed organizing itself and can finally get down to business one month after the session convened.

Legislative Actions

West Pharmaceuticals relief bill passes
The House gave unanimous third-reading approval Wednesday to S. 8 Industrial Disaster Unemployment Benefits, a measure that will speed up unemployment benefits to workers at the West Pharmaceuticals plant in Kinston. The bill waives the one-week waiting period those workers would have had to go through before getting benefits. With the delay in organizing the House, there had been some doubt whether the measure would clear the legislature before the workers missed a week of benefits.

Morgan gets his choice for speaker pro tem
Republican House Speaker Richard Morgan consolidated his control over GOP politics this week when Rep. Joni Bowie (R-Guilford) withdrew as a candidate for speaker pro tem in favor of Morgan’s choice for the post. Bowie was the choice of the House Republican Caucus after last November’s election, but Morgan recently indicated he wanted Rep. Julia Howard (R-Davie) to get the job. House Democrats say they want to pair their choice for speaker pro tem, Rep. Thomas Wright (D-New Hanover), with Morgan's choice. The speaker pro tem position is largely ceremonial – to preside over the House in the absence of the speaker – but it pays an additional $8,000 a year and comes with better office space. The vote by the House on Reps. Wright and Howard as co-speaker pro tems is expected next week.

State Government

ESC warns companies about ‘SUTA dumping’
North Carolina’s Employment Security Commission warned employers and CPAs that it will actively pursue and prosecute companies engaging in “SUTA dumping” – the practice of reducing liability for unemployment insurance taxes by transferring employees to dummy entities to shield themselves from high experience ratings when those workers are laid off. ”Employers engaged in this activity knowingly misrepresent the purpose of the new business entity on quarterly UI tax returns and reports. It is illegal under ESC statutes to knowingly make false statements and omit material facts on UI tax documents in order to reduce unemployment taxes. This practice is in violation of N.C. G.S. 96-18(b), with a two-year statute of limitations,” the ESC said in a news release.

Committee finalizes rules for job development grants program
A summary of the criteria the committee will use is reprinted below
The five-member committee of state officials overseeing the new Job Development Investment Grant program, which offers cash grants to lure businesses to North Carolina, has completed its organizational activities and said it could begin approving the awards in late March. At a Wednesday meeting, the committee approved interim rules governing the process under which selected companies could receive cash grants of as much as 75 percent of the state income taxes paid by workers in new jobs the company creates. Secretary of Commerce Jim Fain said the program already has attracted the attention of several businesses considering expansions. Fain said one company, which he declined to name, is expected to apply for a grant soon. The interim rules the committee adopted Wednesday respond to criticism voiced by some legislators that the process for awarding grants was too vague. Detailed information about the program and rules for applying for a grant can be downloaded from the Commerce Department’s web site by clicking here. 
 

Names in the News

 Rep. Mary McAllister (D-Cumberland) was elected chair and Sen. Jeanne Lucas (D-Durham) was elected vice chair of the General Assembly’s Joint Women's Legislative Caucus. The caucus includes the 28 women House members and the seven women members of the Senate. Rep. Edith Warren (D-Pitt) was elected historian.

 Chris Fitzsimon, president of the liberal the Common Sense Foundation in Raleigh, has resigned to become project director for the Environmental Integrity Project within the Rockefeller Family Fund. Before founding the Common Sense Foundation nine years ago, Fitzsimon worked for then-House Speaker Dan Blue.

 Cong. Robin Hayes (R-8^th) has been appointed to three subcommittees of the House Armed Services Committee. Hayes will serve on the Readiness Subcommittee; the Terrorism, Unconventional Threats and Capabilities Subcommittee; and the Total Force Subcommittee.

 Sabre Faires, an assistant secretary in the Department of Revenue, was named chief of staff for  House Republican Speaker Richard Morgan. Before her tenure with the Department of Revenue, Faires was legal counsel to both the House Finance Committee and Senate Finance Committee.  

 NCCBI President Phil Kirk was given a plaque by Supreme Court Chief Justice I. Beverly Lake Jr. for his service on the Chief Justice’s Commission on Professionalism.

Bills of Interest Introduced This Week 

 H. 71 (Walend) Convene Session Early - An act to amend the North Carolina Constitution to provide an earlier convening of the General Assembly for organizational purposes, so as to allow increased efficiency.
 H. 78 (Culpepper) Revise UCC Article On Bulk Transfers - An act to enact revised Article 6 of the Uniform Commercial Code, bulk sales, and conforming amendments to other articles of the Uniform Commercial Code, as recommended by the General Statutes Commission.
 H. 79 (Alexander) DNA Registry - An act to require that a DNA sample be taken from any person arrested of a violent felony or certain other criminal offenses and to require that a DNA sample be taken from any person convicted of any felony or certain other criminal offenses.
 H. 81 (Insko) Funds for UNC-CH School Of Medicine - An act to appropriate funds to the Board of Governors of the University of North Carolina for the rehabilitation psychology program at the University of North Carolina at Chapel Hill School of Medicine.
 H. 100 (Allred) Voter Identification - An act to provide at the polls a means of identification for all voters parallel to that required of some voters by the federal Help America Vote Act; to require voters to sign before voting at the polls and at early voting sites; and otherwise to bring North Carolina into compliance with the Help America Vote Act.
 H. 102 (Allred) School Calendar Flexibility/Alamance Co. - An act to give the Alamance-Burlington Board of Education additional flexibility with regard to instructional time lost due to inclement weather.
 H. 117 (Yongue, Bonner and Sutton) Low-Wealth School Supplemental Funding - An act to appropriate supplemental funding for low-wealth school systems.
 H. 148 (Starnes) Plumbing, Heating, Fire Sprinkler Contracting - An act to repeal the exception to the law governing plumbing, heating and fire sprinkler contractors that allow retailers who are not licensed as plumbing, heating and fire sprinkler contractors to sell goods and services to be installed by licensees.
 S. 161 (Clodfelter) Restrict Court-Ordered Arbitration - An act to restrict court-ordered nonbinding arbitration to district court actions in which claims do not exceed ten thousand dollars.
 S. 172 (Sloan) School Calendar Flexibility/Iredell & Catawba - An act to give certain local boards of education additional flexibility with regard to instructional time lost due to inclement weather.
 S. 174 (Lucas) Nomination And Election of Board ff Governors - A Senate resolution to establish the procedure for nominating and electing members of the Board of Governors of the University of North Carolina.
 S. 175 (Lucas) Amend Higher Education Laws - An act to amend the laws regarding higher education.
 S. 205 (Swindell) Long-Term Care/Enhancement Funds - An act to appropriate funds for labor enhancement payments for nurse aides in noninstitutional settings.
 S. 206 (Swindell) Long-Term Care Remediation/Study - An act to direct the Department of Health and Human Services to study the implementation of a remediation program for long-term care facilities.
 S. 207 (Gulley) Restructure Prior Criminal Record Points - An act to restructure the prior record level point ranges in order to expand the points in prior record level I and to even out the remaining ranges, as recommended by the N.C. Sentencing and Policy Advisory Commission.
 S. 208 (Gulley) Sentence Lengths - An act to make the increase in sentence lengths between prior record levels more proportionate using a set percentage increment, as recommended by the North Carolina Sentencing and Policy Advisory Commission.
 S. 209 (Gulley) Adjust B1-E Felony Penalties - An act to reallocate three months from the minimum sentence of classes B1 through E to the maximum sentence, and to increase the period of post-release supervision from nine months to twelve months, as recommended by the North Carolina Sentencing and Policy Advisory Commission.
 S. 220 (Horton) Winery Wastewater Management - An act to establish a streamlined program for permitting the management of winery wastewater.
 S. 227 (Kerr) Lease Purchase Two New Prisons - An act to increase from three to five the number of prisons the state is authorized to finance by lease purchase.
 S. 228 (Hartsell) Uniform Tax Refund Procedure - An act to establish a uniform procedure for tax refund claims.
 S. 229 (Hartsell) Increase Science & Math School Trustees - An act to increase the membership of the Board of Trustees of the North Carolina School of Science and Mathematics to conform to the increase in the number of congressional districts in the state.
 S. 230 (Hartsell) Revise UCC Article on Bulk Transfers - An act to enact revised Article 6 of the Uniform Commercial Code, bulk sales, and conforming amendments to other articles of the Uniform Commercial Code, as recommended by the General Statutes Commission.
 S. 231 (Hartsell) Classroom Experience For School Personnel - An act to give classroom experience to professional public school employees who are not classroom teachers.
 S. 235 (Hoyle) One-Time Rental Car Tax Election Exception - An act to allow a retailer who leases motor vehicles and has paid the Highway Use Tax on motor vehicles to pay an additional gross receipts tax on the motor vehicles.
 S. 236 (Kerr) Revenue Administrative Changes - An act to modify the dividend received deduction for regulated investment companies and real estate investment trusts to ensure that all dividends are treated uniformly, to extend for two years the Department of Revenue's authority to outsource the collection of in-state tax debts and to make various administrative changes in the tax laws.
 S. 250 (Dalton) Internal Revenue Code Update - An act to update the reference to the Internal Revenue Code used in defining and determining certain state tax provisions.


NCCBI News

Many members volunteer to go
the ‘Second Mile’ for Annual Meeting
NCCBI members have contributed nearly $70,000 toward the association’s “Second Mile” fund in support of the Annual Meeting. That’s well along toward meeting this year’s goal of $115,000, with three weeks to go before the event.

”I’ve been very impressed with the strong response from members who are stepping up to the plate even during these tough economic times,” said NCCBI Vice President of Development Rosemary Wyche, who is leading the campaign. “We want to offer our deepest thanks to the members who are supporting the campaign.”

Gifts to the campaign help defray the cost of inviting elected officials to the Annual Meeting, toward balancing the association’s budget and for building a reserve fund for emergencies. “Second Mile” contributors receive free tickets to the Annual Meeting and are acknowledged in the program and in other printed materials.

Sponsors receive 20 free tickets to both the luncheon and the reception, formal recognition from the podium and a profile story in the North Carolina Magazine.

Patrons receive 10 free tickets to the luncheon and the reception and a listing in the Annual Meeting program and in the magazine.

Supporters receive four free tickets to the luncheon and the reception plus a listing in the Annual Meeting program and the magazine. Contributors receive two free tickets to the luncheon and the reception plus a listing in the program and the magazine.

NCCBI members are urged to watch their mail for a brochure that includes a ticket order form and a “Second Mile” pledge card. The same information can be downloaded from the NCCBI web site by clicking here.



Crevar installed as leader of Young Executives Forum
Tracy Crevar, director of marketing and business development for Dixon Odom PLLC in Greensboro, was installed as the new chair of NCCBI’s Young Executives Forum during the group’s Feb. 21 meeting, and Harry Williams, associate vice chancellor of Appalachian State University, became vice chair. Crevar succeeds Jeff Benson of Kilpatrick Stockton in Raleigh.

The Young Executives’ meeting focused on economic development issues and the changing business environment in North Carolina. Speakers were Doug Byrd, manager of community relations for the N.C. Department of Commerce; Katherine Thomas, manager of economic development for Progress Energy; Leslie Bevacqua, vice president of governmental affairs for NCCBI; Evan Covington-Chavez, cultural training coordinator for the N.C. Center for International Understanding; NCCBI Chair Jim Hyler; and Dr. Keven Malkewitz, N.C. State University professor of business and management.

Byrd spoke about the state’s continuing efforts to recruit and retain quality business and industry. He noted that the continued effort to sustain the interest of venture capitalist funding is helping to nurture small businesses in the state. Byrd also pointed out that the Department of Commerce is committed to promoting North Carolina’s most progressive industries because in the current business environment, “you’d better think global and look global.”

Thomas said that there were many reasons that Progress Energy, the triangle’s only Fortune 250 corporation, has turned down more lucrative short-term contracts in other states for the prospect of more long-term growth in North Carolina. Thomas cited the state’s public education system, comprehensive infrastructure, low taxes, caring and involved industries, and overall quality of life as reasons for new and existing industry to appreciate North Carolina’s business opportunities.

Pointing out the diverse nature of the workforce in North Carolina and the growth in the number of Hispanic workers in our communities, Bevacqua and Covington-Chavez led a discussion on the ways in which businesses across the state are striving to meet today’s cultural challenges. Bevacqua pointed out that 75 percent of the construction work force in Charlotte and the Triangle is Hispanic, which she used to illustrate the extent to which the state’s productivity has come to depend on Hispanic workers. Covington-Chavez spoke about the ways in which North Carolina’s businesses can and are responding to this growth in our immigrant population. She pointed out that by helping their Hispanic employees to understand our banking, insurance, medical and government systems, in addition to our cultural traditions, business leaders can help to create a more open and ultimately productive environment.

Hyler shared his personal philosophy of success, which included “always being ready for opportunity”. He told the group that as individuals in a company or organization they should determine the compatibility of the organization’s values and their own; have a positive attitude that exudes energy, work ethic and a desire for more responsibility; take constructive criticism; be willing to ask for help; and have a mentor or a hero.

Malkewitz focused on the emerging fields of marketing in North Carolina and how business leaders could most effectively promote their services, products and themselves. He said that marketing is simply “the delivery of customer satisfaction at a profit” and that successful marketing campaigns research buyer behavior towards their product and the societal impact of that product.

The Young Executives Forum was established in 1997 to expand opportunities for young professionals of NCCBI member companies. The group meets quarterly for networking and to hear from top-level government officials and business and education leaders from across the state.  If you are not currently a member and would like to join our Young Executives Forum, contact Julie Woodson at jwoodson@nccbi.org.

Kirk addresses Burke County, Clayton chambers
Predicting the toughest, most challenging legislature in the past several decades, NCCBI President Phil Kirk told audiences at the Burke County and Clayton Chambers of Commerce annual meetings that this makes it even more crucial that they stay in touch with their local legislators. Kirk told the groups that NCCBI will aggressively pushing for implementation of the report of the Governor's Commission to Promote Government Efficiency and Savings on State Spending.  "As the economy is beginning to make a slow recovery, now is not the time to raise taxes. Instead, we should assist the legislature and the Governor in looking for ways to continue to reduce unnecessary spending." He also discussed improvements in public schools in his role as Chairman of the State Board of Education.  "Our public schools are showing the most improvement of any in the nation, and much of the credit goes to the business community for not only demanding higher standards and higher expectations, but for providing money and volunteers to help educators in the classrooms," Kirk said.

House Committee Assignments

Aging
meets Tuesdays at 1 p.m. in Room 605
Weiss, Chairman; Rhodes, Vice Chairman; Womble, Vice Chairman; Members: Adams, Bordsen, Creech, Culp, Earle, Farmer-Butterfield, Gillespie, Gulley, Hall, McMahan, Wilson, G.

Agriculture
meets Tuesdays at 12 noon in Room 1228
Hill, Chairman; Lewis, Vice Chairman; Church, Vice Chairman; Johnson, C., Vice Chairman; Members: Baker, Bell, Bonner, Coates, Creech, Culp, Daughtridge, Jr., Daughtry, Ellis, Fox, Holmes, Kiser, Mitchell, Nye, Owens, Pate, Tolson, Walker, Warren, Williams, A., Wilson, G, Yongue.

Alcoholic Beverage Control
meets Tuesdays at 1 p.m. in Room 415
Hall, Chairman; Ray, Vice Chairman; Members: Baker, Gibson, Lucas, Moore.

Appropriations
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 643
Baker, Co-Chairman; Clary, Co-Chairman; Crawford, Co-Chairman; Earle, Co-Chairman; Grady, Co-Chairman; Owens, Co-Chairman; Sherrill, Co-Chairman; Wright, Co-Chairman; Cole, Vice Chairman; Fox, Vice Chairman; Haire, Vice Chairman; Jeffus, Vice Chairman; Nye, Vice Chairman; Tolson, Vice Chairman; Yongue, Vice Chairman; Members: Hackney, McComas.

Appropriations Subcommittee on Education
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 421
Johnson, L., Co-Chairman; Preston, Co-Chairman; Tolson, Co-Chairman; Yongue, Co-Chairman; Justice, Vice Chairman; McLawhorn, Vice Chairman; Parmon, Vice Chairman; Members: Bell, Bonner, Dockham, Goforth, Gorman, Hilton, Johnson, C., Moore, Pate, Rapp, Ray, Sauls, Warner.

Appropriations Subcommittee on General Government
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 425
Jeffus, Co-Chairman; Walend, Co-Chairman; Lucas, Vice Chairman; Members: Adams, Allen, B, Daughtry, McMahan, Wilson, G.

Appropriations Subcommittee on Health and Human Services
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 424
Barnhart, Co-Chairman; Nye, Co-Chairman; Farmer-Butterfield, Vice Chairman; Members: Allred, Blust, Bowie, Church, England, Insko.

Appropriations Subcommittee on Justice and Public Safety
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 415
Haire, Co-Chairman; Kiser, Co-Chairman; Frye, Vice Chairman; Members: Goodwin, Hall, Justus, Mitchell, Nesbitt, Sexton, Sutton.

Appropriations Subcommittee on Natural and Economic Resources
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 605
Fox, Co-Chairman; West, Co-Chairman; LaRoque, Vice Chairman; Warren, Vice Chairman; Members: Culp, Harrell, Hunter, McHenry, Michaux, Miller, Rhodes, Walker

Appropriations Subcommittee on Transportation
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 1327
Cole, Co-Chairman; Gillespie, Co-Chairman; McAllister, Vice Chairman; Williams, K., Vice Chairman; Members: Allen, L., Barbee, Coates, Daughtridge, Jr., Dickson, Gulley, Holmes, Saunders, Stiller, Williams, A.

Children, Youth and Families
meets Wednesdays at 12 noon in Room 605
Hunter, Chairman; Weiss, Vice Chairman; Members: Alexander, Barnhart, Carney, Dockham, Ellis, McAllister, Parmon, Preston, Rayfield, Stam.

Economic Growth and Community Development
meets Tuesdays at 12 noon in Room 1425
Wilson, C, Chairman; Harrell, Vice Chairman; Sauls, Vice Chairman; Members: Blust, Cole, Decker, Dickson, Dockham, England, Farmer-Butterfield, Frye, Goforth, Hunter, Parmon, Rayfield, Rhodes, Stam, West.

Education
meets Tuesdays and Thursdays at 11 a.m. in Room 643
Bonner, Co-Chairman; Hilton, Co-Chairman; Warner, Co-Chairman; Wood, Co-Chairman; Gorman, Vice Chairman; Justice, Vice Chairman; McAllister, Vice Chairman; McLawhorn, Vice Chairman; Warren, Vice Chairman; Members:  B. Allen,  G. Allen,  Barnhart,  Bell,  Blackwood,  Bordsen,  Bowie,  Carney,  Daughtridge,  Dickson,  Dockham,  England,  Fox,  Frye,  Glazier,  Goforth,  Goodwin,  Grady,  Gulley,  Haire,  Holmes,  Insko,  Jeffus,  Johnson, C.,  Johnson, L.,  Lewis,  Lucas,  McGee,  McMahan,  Michaux,  Miner,  Moore,  Nesbitt,  Nye,  Owens,  Pate,  Preston,  Rapp,  Ray,  Rayfield,  Ross,  Sauls,  Sexton,  Stiller,  Tolson,  Walend,  Walker,  West,  Womble.

Education Subcommittee on Community Colleges
meets Tuesdays and Thursdays at 11 a.m. in Room 424
McLawhorn, Co-Chairman; Sexton, Co-Chairman; Bordsen, Vice Chairman; Rayfield, Vice Chairman; Members: Allen, B, Allen, G., England, Frye, Goodwin, Justice, Lewis, Nye, Owens, Pate, Ray, Sauls, Tolson, West.

Education Subcommittee on Pre-School, Elementary and Secondary Education
meets Tuesdays and Thursdays at 11 a.m. in Room 421
Dockham, Co-Chairman; Warren, Co-Chairman; Bell, Vice Chairman; Goforth, Vice Chairman; Gulley, Vice Chairman; Members: Blackwood, Carney, Glazier, Gorman, Jeffus, Johnson, C., Johnson, L., Lucas, McGee, McMahan, Nesbitt, Preston, Walend, Walker, Womble.

Education Subcommittee on Universities
meets Tuesdays and Thursdays at 11 a.m. in Room 425
Bowie, Co-Chairman; McAllister, Co-Chairman; Holmes, Vice Chairman; Rapp, Vice Chairman; Members: Barnhart, Daughtridge, Jr., Dickson, Fox, Grady, Haire, Insko, Michaux, Miner, Moore, Ross, Stiller.

Election Law and Campaign Finance Reform
meets Thursdays at 12 noon in Room 1228
Michaux, Co-Chairman; Stam, Co-Chairman; Holliman, Vice Chairman; Members: Alexander, Blust, Bonner, Crawford, Daughtridge, Jr., Daughtry, Kiser, Nesbitt, Parmon, Rayfield, Ross, Starnes, Wood.

Environment and Natural Resources
meets Tuesdays and Thursdays at 12 noon in Room 643
Gibson, Chairman; Hackney, Vice Chairman; LaRoque, Vice Chairman; Members: Allen, L., Blackwood, Capps, Carney, Gillespie, Gulley, Haire, Insko, Luebke, McComas, McCombs, McHenry, Preston, Rapp, Rhodes, Stiller, Warner, Weiss, Womble Ethics Cunningham, Co-Chairman; Howard, Co-Chairman; Members: Bell, Brubaker, Jeffus, Justice, McComas, Yongue.

Ethics
meets upon call of the chairman
Cunningham, Co-Chairman; Howard, Co-Chairman; Members: Bell, Brubaker, Jeffus, Justice, Ivey, Yongue.

Finance
meets Tuesdays, Wednesdays and Thursdays at 8:30 a.m. in Room 544
Allen, G., Co-Chairman; Howard, Co-Chairman; Luebke, Co-Chairman; McComas, Co-Chairman; Miner, Co-Chairman; Wainwright, Co-Chairman; Alexander, Vice Chairman; Decker, Vice Chairman; Gibson, Vice Chairman; Hill, Vice Chairman; Members: Blackwood, Bordsen, Capps, Carney, Creech, Ellis, Glazier, Hackney, Holliman, Jones, Lewis, McCombs, McGee, Munford, Rayfield, Ross, Setzer, Starnes, Weiss, Wilson, C, Womble, Wood.

Financial Institutions
meets Tuesdays at 1 p.m. in Room 1425
Church, Co-Chairman; Starnes, Co-Chairman; Jones, Vice Chairman; McGee, Vice Chairman; Saunders, Vice Chairman; Members: Allred, Clary, Cole, Glazier, Gorman, Holliman, McHenry, Miller, Munford, Stiller, Wainwright, Walend, Williams, A.

Health
meets Tuesdays and Thursdays at 12 noon in Room 415
Insko, Co-Chairman; Justus, Co-Chairman; England, Vice Chairman; Members: Adams, Allen, B, Allen, G., Allred, Barnhart, Bowie, Clary, Earle, Glazier, Hilton, McAllister, Munford, Setzer, Sherrill, Wainwright, Wilson, C, Wright.

Insurance
meets Tuesdays and Thursdays at 10 a.m. in Room 425
Holliman, Co-Chairman; Setzer, Co-Chairman; Hall, Vice Chairman; Members: Allen, L., Barbee, Grady, Hunter, Johnson, C., Johnson, L., Lewis, Miner, Ray, Saunders, Wainwright, Wilson, C, Wright.

Judiciary I
meets Tuesdays and Thursdays at 10 a.m. in Room 1228
Hackney, Chairman; Ross, Vice Chairman; Members: Alexander, Capps, Clary, Daughtry, Harrell, Insko, Miller, Sexton, West, Wood.

Judiciary II
meets Tuesdays and Thursdays at 10 a.m. in Room 421
Nesbitt, Chairman; Goodwin, Vice Chairman; Moore, Vice Chairman; Members: Bonner, Bordsen, Ellis, Farmer-Butterfield, Gulley, Stam, Walend.

Judiciary III
meets Tuesdays and Thursdays at 10 a.m. in Room 1425
Sutton, Chairman; McHenry, Vice Chairman; Michaux, Vice Chairman; Weiss, Vice Chairman; Members: Barnhart, Blust, Fox, Holmes, McLawhorn, Wilson, C.

Judiciary IV
meets Tuesdays and Thursdays at 10 a.m. in Room 415
Munford, Chairman; Glazier, Vice Chairman; Stiller, Vice Chairman; Members: Bowie, Earle, Goforth, Haire, Jeffus, Justus, Kiser.

Legislative Redistricting
meets upon call of the chairman
Alexander, Co-Chairman; Eddins, Co-Chairman; Cunningham, Vice Chairman; Sutton, Vice Chairman; Members: Brubaker, Church, Clary, Crawford, Culpepper, Decker, Gibson, Grady, Howard, Johnson, L., Justice, Justus, Luebke, McComas, McLawhorn, Nye, Sauls, Saunders, Sherrill, Starnes, Wainwright, Williams, K.

Local Government I
meets Wednesdays at 11 a.m. in Room 415
Walker, Chairman; Carney, Vice Chairman; Members: Barbee, Dickson, Frye, Gillespie, McAllister, McCombs, McGee, Owens, Ross, Warren.

Local Government II
meets Wednesdays at 10 a.m. in Room 425
Adams, Chairman; Allen, L., Vice Chairman; Capps, Vice Chairman; Members: Decker, Farmer-Butterfield, Harrell, Jones, Justice, Mitchell, Pate, Walker, Wilson, G.

Military, Veterans and Indian Affairs
meets Wednesdays at 10 a.m. in Room 1425
Lucas, Chairman; Sutton, Vice Chairman; Members: Coates, Gorman, Grady, Johnson, C., McCombs, Sexton, Warner, Williams, K.

Occupational Safety and Health
meets Wednesdays at 10 a.m. in Room 415
Goodwin, Chairman; Blackwood, Vice Chairman; Dickson, Vice Chairman; Members: Baker, Cole, Daughtry, Hall, Hunter, McHenry, West.

Pensions and Retirement
meets Wednesdays at 10 a.m. in Room 1228
Bell, Co-Chairman; Wilson, G, Co-Chairman; McCombs, Vice Chairman; Yongue, Vice Chairman; Members: Allen, B, Barbee, Kiser, McGee, McLawhorn, Munford, Rapp, Tolson.

Public Utilities
meets Wednesdays at 10 a.m. in Room 544
Brubaker, Co-Chairman; Saunders, Co-Chairman; Allen, G., Vice Chairman; Members: Bordsen, Coates, Culpepper, Gibson, Hill, Holliman, Howard, Johnson, L., LaRoque, McComas, Miner, Sauls, Sherrill, Williams, K., Wright.

Rules, Calendar, and Operations of the House
meets upon call of the chairman
Culpepper, Chairman; Hackney, Vice Chairman; Members: Brubaker, Church, Crawford, Gorman, Hill, Howard, Justus, LaRoque, Luebke, McComas, Miller, Miner, Owens, Setzer, Sherrill, Yongue.

Science and Technology
meets Wednesdays at 11 a.m. in Room 425
Miller, Chairman; Tolson, Vice Chairman; Members: Creech, Earle, Ellis, Hilton, Jones, McMahan, Michaux, Walend.

State Government
meets Wednesdays at 11 a.m. in Room 1425
Womble, Chairman; Adams, Vice Chairman; Allen, B, Vice Chairman; Members: Baker, Bowie, Capps, Culp, Dockham, England, Goforth, Setzer, Warner.

Transportation
meets Wednesdays at 11 a.m. in Room 1228
Allred, Co-Chairman; Coates, Co-Chairman; Daughtridge, Jr., Vice Chairman; Williams, A., Vice Chairman; Williams, K., Vice Chairman; Members: Allen, G., Allen, L., Cole, Crawford, Frye, Haire, Hill, Hilton, Holmes, LaRoque, Lewis, Moore, Nye, Rapp, Ray, Starnes, Sutton, Wright.

Ways and Means
meets Wednesdays at 12 noon in Room 1228
Decker, Co-Chairman; Pate, Co-Chairman; Members: Blackwood, Culp, Gillespie, Goodwin, Harrell, Jeffus, Jones, Luebke, Mitchell, Nesbitt, Parmon, Preston, Rhodes, Wood.

Wildlife Resources
meets Wednesdays at 12 noon in Room 1425
Barbee, Chairman; Fox, Vice Chairman; Members: Blust, Creech, Lucas, Sexton, Warren, Williams, A.


Proposed Criteria for Operation and
Implementation of Job Development Grant Program
The following is excerpted from criteria approved at the Jan. 29 organizational meeting of the Economic Investment Committee. Hard copies of the proposed criteria are available from the Public Affairs Office of the Department of Commerce. The complete document can be downloaded from the Department of Commerce’s web site.

9.1 Statutory Criteria
In making decisions on whether to award a grant, the amount to be awarded, and the terms of the award, the Committee will consider criteria set out in G.S. §§ 143-437.52, 143-437.53, 143-437.56 and the policies set out in G.S. § 143-437.50.

9.2 Additional Criteria
In making decisions on whether to award a grant, the amount to be awarded, and the terms of the award, the Committee will also consider the following criteria. See N.C. Sess Laws 2002-172 § 2.1(b).

(1) Factors related to the economic impact of the project, such as the following:
a. Impact on gross regional product and gross State product.
b. Costs and benefits of the project to the State, including the expected return on investment made in the project by the State.
c. Number of direct jobs that will be created by the project, the wages of those jobs, and the total payroll for the project.
d. Number of induced short-term, project-related jobs expected to be generated by the project as well as the number of long-term permanent jobs expected to be generated indirectly in the economy as a result of the project.
e. Dollar value of the investment, including the size of the investment in real versus personal property and expected depreciation rates.
f. Economic circumstances of the county and region, including the extent to which the project will serve to mitigate unemployment.
g. The expected time frame during which the project is expected to pay back in State tax revenues the amount of any grants to be paid out.
h. The economic demands the project is expected to place upon the community or communities in which it will locate.
i. The number of eligible positions that would be filled by residents of development zones.

(2) Factors related to the strategic importance of the project to the State, region, or locality, such as the following:
a. The extent to which the project builds or enhances an industrial cluster.
b. The extent to which the project falls within a classification of business and industry that the Department of Commerce regards as  target for growth and expansion in the State.
c. The ability of the project to attract follow-on investment in the State by suppliers and vendors.
d. The extent to which the project serves to maintain and grow jobs in the State in a business undergoing an internal restructuring or rationalization process.
e. The extent to which the project can be expected to contribute significantly to and support the local community.

(3) Factors related to the quality of jobs, such as the following:
a. The wage level and status of the jobs to be created.
b. The quality and value of benefits offered by the company.
c. The potential for employee advancement.
d. The extent of training programs offered by the company.
e. The sustainability of the jobs in the future.
f. The workplace safety record of the company.

(4) Factors related to the quality of the industry and the project, such as the following:
a. The nature of the project and the project's relationship to the larger business of the company.
b. The nature of the industrial classification of the project and the nature of the business of the company undertaking it.
c. The long-term prospects for growth at the project site or sites.
d. The long-term prospects for growth of the company and the industry within the United States.
e. The financial stability of the company associated with the project.

(5) Factors related to the environmental impact of the project, such as the following:
a. The nature of the business to be conducted.
b. The ability of the project to satisfy State, federal, and local environmental law and regulations.

(6) The degree to which use of the program has been geographically dispersed among the various regions of the State and between rural and urban areas.

(7) The past performance of the Applicant or any proposed party to an Agreement under other grants.


END OF NEWSLETTER