Legislative Bulletin

JUNE 8, 2001



State Government News

Revenue Department solves backlog problem,
processes all income tax returns on time this year

Last year was a disaster for the state Revenue Department, which couldn’t get its new computer system to work right and fell nearly a month behind schedule in mailing out tax refund checks.  The state ended up paying $2.5 million in interest penalties on refunds to taxpayers who had waited weeks for their money.

This year it’s a different story. Revenue workers processed all on-time income tax returns by May 11, got most refunds in the mail within three weeks and all payments in the bank by the end of April, according to Secretary Norris Tolson (left). More accustomed now to the new computers and scanners, the agency nearly doubled its daily productivity, processing more than 100,000 returns on its busiest day, compared to 57,000 last year. "Going into the April 15-16 crunch last year, we were already 20 to 25 days behind," Tolson said in a News & Observer story. "This year, we were 100 percent caught up."

Besides learning to use new computer systems, the department suffered when a January snowstorm kept state government closed just when returns were beginning to arrive. Plus, the department’s ability to attract good workers is limited to finding people willing to process tax forms for $8.23 an hour, the newspaper story said.

Tolson said the pressure was high for Revenue to get its act together, particularly as the state’s budget crisis worsened in the Spring. The department delivered April's revenue figures to Easley's budget writers by the end of April, something officials desperately needed in order to arrive at an accurate figure on the year-end budget shortfall.


DOT’s Tippett comes up with plan to ease freeway congestion
State Transportation Secretary Lyndo Tippett on Tuesday announced measures he said would improve traffic flow along I-40 in the Triangle and I-77 in Charlotte -- two of the most congested highways in the state. Tippett’s plan includes construction of a temporary connector road from I-540 leading directly into Research Triangle Park. For Charlotte, Tippett has directed engineers to examine the feasibility of a High Occupancy Vehicle (HOV) lane along I-77.

Tippett asked engineers to look at the feasibility of HOV lanes along I-40 from Wade Avenue in Raleigh to U.S. 15-501 in Durham and along I-77 from I-85 to I-485 in Charlotte. Traffic engineers determined that although a HOV lane is not feasible for Interstate 40 at this time, it may work along I-77 in Charlotte.

Highlights: I-40 in the Triangle
Engineers determined that an interim HOV lane would not be feasible on I-40 because there isn’t one common destination for the majority of motorists traveling the corridor. Motorists would need to exit the HOV lane at several locations, and engineers concluded that crossing three lanes of traffic in a short distance would be too hazardous. They also determined that converting a general-purpose lane to an HOV lane at this time would have a negative effect on traffic. In the meantime, the department is taking a number of other steps to provide relief in the most congested areas in the Triangle, including:

Building an additional lane in each direction on I-40 from I-540 to U.S. 15-501. Work will begin later this year.  
DOT is working on plans for a temporary connector road from I-540 to Slater Road to provide relief until I-540 is extended to Davis Drive. Motorists traveling to RTP will have the option of exiting onto I-40 or taking the connector road to Slater Road into RTP.
Extending I-540 to Research Triangle Park, with exits at N.C. 54, N.C. 55 and a temporary exit at Kit Creek Road (with access to Cisco Systems). These projects will be let in 2003. The I-540 southbound collector at Interstate 40 was restriped earlier this year, creating an additional lane for motorists exiting onto I-40.
Widening N.C. 55 from Cornwallis Road in Durham to U.S. 64 in Apex.

Highlights: I-77 in Charlotte
Tippett directed staff to examine the feasibility of an HOV lane along I-77 as part of a widening project set to begin next spring. The project will widen I-77 from I-85 to I-485 in Charlotte from four to eight lanes. The proposed HOV lanes would be dedicated for cars, buses or vans with two or more persons 24 hours a day, seven days a week. Engineers will analyze current traffic counts and projected counts in an effort to determine whether demand for an HOV lane exists. Throughout this process-which should be complete by the end of the year-NCDOT will work closely with the City of Charlotte and the Federal Highway Administration. The widening project should be complete by December 2003 -- one year ahead of schedule.


State Board of Education eliminates three tests
The State Board of Education, reacting to criticism by educators, parents, members of the General Assembly and the public over the amount of time required for testing, voted Thursday to eliminate three tests beginning in the 2001-02 school year. The Iowa Tests of Basic Skills sample testing at grades 5 and 8, the Open-Ended Assessments in grades 4 and 8, and the High School Comprehensive Tests in Reading and Mathematics at grade 10 will all be eliminated.

“I’m glad that we were able to eliminate these tests without undermining our state’s important commitment to accountability,” State Board Chairman Phil Kirk said. “Our students have experienced tremendous gains in achievement and we’re committed to doing what we have to do to ensure public confidence is maintained.” State Superintendent Mike Ward added, “It’s important . . . to strike the right balance in the testing program. We must stay focused on the core of our accountability program:  annual assessments in reading and mathematics in grades 3-8 and the core courses in grades 9-12, and an exit exam on line by 2003-04 for the junior class.”

Last year, approximately 6,000 students took the Iowa Tests of Basic Skills; 189,414 students took the Open-Ended Assessments, and 77,360 students took the High School Comprehensive Tests in Reading and Mathematics.  Eliminating these tests saves the state money associated with test administration, time spent by schools administering the test, and increases time for classroom instruction.

Roadside cleanup collects 2.2 million pounds of litter
Participation in the N.C Department of Transportation's spring clean-up drive, Litter Sweep, saved the state $1 million in labor costs. Volunteers contributed an estimated 107,120 hours of free labor to the cleanup.  A total of 2.2 million pounds of litter was collected during Litter Sweep. A breakdown of the litter collection figures includes:

  • 63,330 bags of litter collected by Adopt-A-Highway and Litter Sweep volunteers

  •  56,040 bags of litter collected by NCDOT workers and Department of Correction inmates

  •  23,971 bags of litter collected by participants in the Community Service Work Program

  •  70,240 pounds of litter was recycled

State employees appeal ruling in tiff over retirement funding
The state employees' association said it has decided to appeal a lower court's ruling that it has no standing to challenge Gov. Mike Easley's decision to withhold pension fund contributions. The State Employees Association of North Carolina contends that Easley should not have withheld $151 million in pension fund contributions in order to meet an $850 million state budget shortfall. Last month, Judge Narley Cashwell denied the group's request for a temporary restraining order to block Easley from taking the money and dismissed the lawsuit.

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