Easley prepares to submit his first budget
concerned about pay raises for school teachers
The
state’s uncertain finances mean that state
employees, including school teachers, won’t get substantial
raises next fiscal year, and Gov. Mike Easley is concerned
that will mean that teacher pay will fall below the national
average. Getting teacher pay up to the national average was a goal North Carolina attained this year after four
years of repeated sharp raises in teacher pay, which soared
from an average $31,286 in 1996 – 43rd in the
nation – to $39,220 last school year – 23rd
nationally. Insiders say the budget the governor will send
over to the legislature on Monday will propose 2 percent
raises for all state employees, including teachers. however,
in an interview with the Charlotte Observer, Easley said his
budget will propose giving every teacher an additional $200 to
$300 in the form of an expense account. "If I give you
$1,000 in a pay increase, you pay $350 in taxes. It costs the
state $1,000 to give you $650," Easley was quoted as
saying. He added that an expense stipend is not taxed and
would cover supplies many teachers already are paying for
themselves. The money would include some mechanism to ensure
it was spent on school supplies. The national average in
teacher pay rises each year, and keeping North Carolina
teachers at that level would require a pay raise of between 3 percent and 6 percent, which would cost the state up to $200 million. NCCBI
President and State Board of Education Chairman Phil Kirk said
teachers likely would understand smaller raises this year, but
warned the state could drop back into 43rd place if they
continue more than a year. "One year is a blip, not a
trend," he told reporters.
Hyler testifies
on banking industry
NCCBI
Second Vice Chairman Jim Hyler told the Senate Commerce
Committee on Tuesday that the state’s banking industry
remains healthy despite suffering “ some bumps in the
road.” Hyler, the First Citizens bank executive, said North
Carolina has become one of the top money and banking centers
in the United States because of vision and legislative
environment. “North Carolina has a sound and balanced
economy … we are fortunate to have achieved this lack of
dependence on any one business and industry. Secondly,
banks in North Carolina have been led by what I would describe
as conservative visionaries.
Hyler said the economic environment created by the General
Assembly was a major contributor to the success of banking in
North Carolina and its extension across the country. “The
permitting of statewide branching was truly visionary, for in
a capital deprived state, as was typical of the South, the
only practical way to concentrate capital was through
statewide branching,” Hyler said. “The General Assembly
has historically maintained a legislative climate that is
favorable to the banking community but never at the expense of
the citizens or consumers. There has always been a
balance and this must be continued.”
Banking is one of the
largest employers in the state, Hyler said. North Carolina’s
banks employ 74,096 people within the state and of that number
35,593 are defined as corporate or headquarter employees. For
this reason, Hyler said, the legislative climate must continue
to be sensitive to the banking industry in order to maintain
bank headquarters in North Carolina.
“North Carolina has some
of the greatest banks in this country, and this statement is
not addressing just size,” he said. “Certainly we
have numerous highly respected major money center banks that
are among the biggest in the country, but we also have some of
the most outstanding community banks to be found in the United
States. This is a tribute to their management, staff and
customers.”
Crawford,
Gulley to co-chair panel to review DOT nominees
House
Speaker Jim Black has appointed his members of the Joint
Legislative Transportation Oversight Committee, which will
meet next week to review Gov. Mike Easley's appointments to
the state Board of Transportation. Rep. Jim Crawford
(D-Granville) was named co-chair of the 16-member panel. The
other House members are Reps. Jonie Bowie (R-Guilford), Monroe
Buchanan (0R-Mitchell), Nelson Cole (D-Rockingham), Lorene
Coates (D-Rowan), Larry Justus (R-Henderson), Drew Saunders
(D-Mecklenburg) and Ronnie Sutton (D-Robeson). Sen. Wib Gulley
(D-Durham) is the Senate co-chair. Other senators are Bob
Carpenter (R-Macon), Ham Horton (R-Forsyth), David Hoyle
(D-Gaston), John Kerr (D-Wayne) Bob Martin (D-Pitt) Tony Rand
(D-Cumberland) and Eric Reeves (D-Wake).
Bills of
interest introduced this week
Education
issues
H. 511 2001 EDUCATION LOTTERY {Fitch} Substantially
Identical to H 1, with following exceptions: (1) Directs net
income of Lottery Fund to be used as follows: up to 50 percent
of net revenues must be transferred annually to fund the
Education Improvement Scholarship Program, $1 million must be
transferred annually to each local school administrative unit
for capital outlay projects for educational facilities as
defined in act, and balance of fund must be transferred to the
Early Childhood and Development Initiative Program to expand
the program into all 100 counties and to fully fund the
program. (2) Does not prohibit games based on video poker. (3)
Sets compensation paid to lottery game retailers for sales of
lottery tickets or shares at 5 percent and allows incentive
bonus of up to 2 percent. Referred to Rules.
S. 378
EDUCATION DEGREE NOT REQUIRED./LOCAL SUPERINTENDENT {Lee,
six others}. Amends GS 115C-271 to specify that local
superintendent of schools, to be eligible to serve, may have,
in lieu of service as a principal of a N.C. public school,
“leadership, management, and administrative experience”
(now, requires “equivalent experience”). Specifies that
State Board of Education, in promulgating minimum eligibility
requirements to serve as superintendent, may not require
experience as an educator, or require that the person have an
education degree or a certification as an educator. Effective
July 1, 2001, for superintendents elected after that date.
Referred to Education.
H. 542 NOMINATING UNC BOARD OF GOVERNORS {Oldham}
Assigns to the House University Board of Governors Nominating
Committee the duty to nominate members of UNC Board of
Governors and sets forth nominating procedures. Allows each
representative to nominate up to two persons. Nominations must
be in writing and submitted to the House principal clerk by
5:00 p.m. on March 29. An individual may not be nominated in
more than one category and is not eligible for nomination if
he or she was nominated and not elected to the Board of
Governors by the Senate during the 2001 session. Provides that
House will elect nine board members: six at-large members for
four-year terms; two persons in the political minority party
category for four-year terms; and one person in the minority
race category for the remainder of an unexpired term that ends
on June 30, 2003. Provides for screening of nominees by the
committee with respect to qualifications, experience,
opinions, and statutory suitability. Directs committee to
present a slate of candidates with no more than twice the
number of candidates for the total number of seats open in
each category. Requires House to hold its election no later
than the beginning of the daily session on April 5. Referred
to UNC Board.
S. 304 LEGISLATORS CAN'T SERVE ON COMMUNITY COLLEGE
BOARD
{Albertson}. Prohibits members of the General
Assembly from serving on the board of trustees of a community
college. Effective
when it becomes law and applies to terms beginning on or after
that date. Referred to Education.
S. 308 A&T STATE, NCCU/NEW-MASTERS OF EDUCATION
{Martin of Guilford}. Increases the number of school administrator programs that may be established by the UNC
Board of Governors and provides that one of those programs
shall be at North
Carolina Agricultural and Technical State University and one
at North Carolina
Central University. Referred to Education.
H. 458 BOY SCOUT/GIRL SCOUT PROTECTION ACT {Blust}. Amends GS 115C-524(b)
by adding a new provision stating that rules and regulations
adopted by a local board of education, other than those
relating to conduct on school premises, shall not be used to
exclude the Boy Scouts of America or the Girl Scouts of
America from using school property. Referred to Education.
H. 478 CHILDREN'S INTERNET SAFETY NET {Ellis}. Requires
public libraries and schools to use technology and take other effective measures to limit access
of children to obscene or violent material on the Internet.
Referred
to Science & Technology.
H. 498
CHARLOTTE-MECKLENBURG SCHOOL BOARD MEMBERS {Gulley}. Adds two
at-large members to the Charlotte-Mecklenburg Board of
Education. Referred to Local Government I.
H. 499 REVIEW OF COURT ORDERS BY LOCAL SCHOOL BOARDS {Gulley}.
Amends GS 115C-47 to require every local board of education to
review federal court orders to which the board is a party and
seek release from the court’s directives if order has been
in effect at least twelve years. Requirement must be met in
2001-02 school year and every five years thereafter. Referred
to Rules.
H. 500 CHARLOTTE-MECKLENBURG SCHOOL OMNIBUS ELECTION {Gulley}.
Changes terms on the Charlotte-Mecklenburg Board of Education
from four years to two years, adds two at-large members, and
provides for nonpartisan primary elections. Referred to Local
Government I.
Tax
issues
H. 479 ZERO-BASED BUDGET
{Gulley}. Directs the Director of the Budget to review
every program in state government at least once every five
years by requiring each agency to submit a zero-based budget
plan that justifies the existence of each activity, among
other things. Referred to Appropriations.
S. 338 HARNETT LOCAL SALES TAX (=H 284)
{Harris}. Authorizes Harnett County to levy a one-cent local
sales and use tax for public school buildings and for water
and sewer capital outlay projects. Referred to Finance.
H. 482 PITT LOCAL SALES TAX {Edwards}. Authorizes Pitt County to levy a one-cent
local sales tax for county and municipality capital outlay and
infrastructure improvements, if approved by the voters of the
county. Referred to Rules.
Business
issues
S. 340 DAMAGES FOR SALES REPRESENTATIVES
{Carpenter}. As title indicates, rewrites GS 66-192(a) to
allow exemplary damages of up to three times the amount of
commissions due to the sales representative. Effective Oct. 1,
2001, and applies to causes of action arising on or after that
date. Referred to Judiciary I
S. 353 DOR DEBT COLLECTION CHANGES
{Kerr}. Provides a permanent mechanism for the collection of
out-of-state tax debts and modifies the fee for federal setoff
of state tax debts. Codifies Sec. 5(a) of SL 1999-341, as
amended by Sec. 16 of SL 2000-120 as GS 105- 268.3 and amends
the provision to provide that the Secretary of Revenue shall
contract for the collection of delinquent tax debts owned by
nonresidents and foreign entities. Defines “delinquent tax
debts.” Adds a requirement providing that a collection
assistance fee shall be imposed on each debt collected and
that Revenue must set the amount of the fee based on its
actual cost of collection. Provides that before Revenue
submits a delinquent tax for collection, it must notify the
taxpayer that the debt will be submitted for collection if
payment is not received. Effective July 1, 2001. Referred to
Finance.
Governmental issues
H.
532 TEAM TICKET {Ellis}. Amend the North Carolina
Constitution to provide that the governor and lieutenant
governor run as a joint ticket in the general election after
forming a “joint candidacy” so that votes are cast for the
team. Directs that proposed amendments be voted on in November
2002 general election. Adds new GS 163-115.1 to require party
nominating candidate for governor in primary to also nominate
candidate for lieutenant governor, or nomination is void.
Makes similar changes to provisions dealing with nominations
by new political party or by petitions by unaffiliated
candidates. Amends GS 163-151 to require write-in vote for
governor to include names of both governor and lieutenant
governor candidates to be counted. Constitutional amendment
effective with 2004 general election if approved by voters.
Referred to Rules.
S. 309 REVISE TREASURER INVESTMENT AUTHORITY (=H 327) {Hoyle}.
Makes technical and conforming
changes to the state treasurer's investment authority. Referred
to Commerce.
S. 310 UNIFORM SECURITIES REGULATION
{Hoyle}. Clarifies
the law governing administrative proceedings of the secretary of state. Authorizes the
secretary of state to appoint a hearing officer to conduct hearings on licensing
matters; and authorizes the secretary of state to adopt
uniform national securities regulation standards by temporary
rule.
Referred to Commerce.
H. 481 CONFIRMATION OF LORINZO LITTLE JOYNER (= S. 362) {Smith}.
Joint
resolution providing for the confirmation of the appointment of Lorinzo Little Joyner made
by the governor to membership on the North Carolina Utilities
Commission
to serve the remainder of the unexpired term of William R.,
which will expire June 30, 2001, and to serve a full term
which will begin July 1, 2001, and expire June 30, 2009. Referred to Public Utilities.
H. 495 LEFT TURN ON RED {Hensley, Gulley}. Rewrites GS 20-158( b), intending to
allow left turn on red from the leftmost lane of a one-way
street onto the extreme left lane of another one-way street
traveling in that direction, after coming to a complete stop
and yielding to pedestrians and to other traffic. Effective
Dec. 1. Referred to Judiciary II.
S. 366 REGULATORY FEES
FOR UTILITIES COMMISSION {Hoyle}. Provides that the percentage
rate to be used in calculating public utility regulatory fee
under GS 62-302 is 0.11 percent for revenues earned during
each quarter and that annual fee imposed on N.C. Electric
Membership Corp. for fiscal 2001-02 is $200,000. Effective
July 1. Referred to Finance.
Legislative
actions
 The House Finance Committee on Wednesday
amended and favorably reported H. 9 Modify Avery County
Occupancy Tax. The bill establishes the Beech Mountain Tourism
Development Authority to administer funds collected from
occupancy tax established by town. Requires that at least
2/3rds of funds available be spent for promotion of travel and
remainder for tourism-related purposes. Spells out membership
requirements of Authority, as well as duties and reporting
requirements for authority. Adds similar statutes applicable
to any other towns in Avery County that levy an occupancy tax.
The House on Tuesday passed gave second- and third-reading
approval to H.
115 Business Transactions Involving Public Funds {Baker}, H.
41 Securities Transfer on Death {Barefoot} and H. 228
Set Date for Community College Board Elections {Bonner},
and sent the bills to the Senate.
Legislation
Enacted
S. 29 CORNING ACCESS BRIDGE. An act to
authorize the Department of Transportation to permit private
encroachment on the highway right-of-way of NC 132 in New
Hanover County for construction of a Corning access bridge.
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