JUNE 25, 2004	ISSUE No. 8	2004 SHORT SESSION
Published every Friday during legislative sessions exclusively for NCCBI members

Budget goes to conference committee
with just days left in state’s fiscal year

Voting along party lines, the Senate gave final approval Thursday to a $15.8 billion state budget that differs from the House version in some small but politically important details. The chamber’s 19 Republicans voted against the bill mainly over concerns that the budget relies heavily on about $1 billion in revenues that will disappear next year, including the extra half-cent in state sales tax set to expire in 2005.

The House quickly reject the Senate’s version of the budget, and a conference committee was appointed to resolve differences between the two budget bills. The conferees hope to reach a resolution in time for it to be adopted by the House and Senate before the start of the new fiscal year on Thursday. The members of the conference committee are listed on page 13.

The Senate budget offers a tax cut for small businesses that the House rejected. It would exempt the first $25,000 in profits from corporate taxes at companies with net earnings of $100,000 or less. Companies with net earnings of $100,000 to $200,000 would pay no corporate tax on the first $15,000. But analysts said many small businesses would not qualify for the tax break because they pay individual rather than corporate taxes.

During floor debate in the Senate, Republicans tried to offer eight amendments, including one that would reduce corporate and personal income tax rates and pay for the move by eliminating vacant positions in state government. However, that and the others were all defeated.

Other highlights of the Senate budget:

 It increases state spending by about $267 million next year over levels that had been approved at the beginning of the biennium, compared to about $320 million in the House plan. Both versions of the budget raise spending by about $1 billion over the current year.

  It includes less than half of the $59 million Gov. Mike Easley requested to expand his More at Four prekindergarten program and to reduce class size in third grade. The House initially proposed similar funding levels for the governor’s two pet projects but eventually gave in. A House proposal to cut $27 million from local school system budgets was also dropped in the Senate plan.

  It offers bigger pay raises for state employees than the House – a $1,000 lump sum or 2.75 percent of salary, whichever is greater. The House budget provides a flat $1,000-a-year raise for state workers.

  It includes $1.6 million in funding for the Global TransPark. The House budget has no funding for the TransPark.

  It restores some cuts to social programs made by the House, particularly in a health insurance program for the working poor and local mental health programs.

The Senate found money to cover those greater expenses by trimming $100 million from the $117 million that the House had earmarked for repairs to state buildings, and by assuming that the state Department of Revenue will collect $23.8 million more in revenue than the House projected. Bottom line, there’s only about $19 million difference between the House and Senate budgets. The exact numbers are $15,849,844,954 in spending by the House compared to $15,830,410,054 by the Senate.

At the end of this newsletter are charts comparing spending in the House and Senate budget for major revenue and expense line items. These comparisons are not always congruous because of definitional and other accounting between the chambers. Significantly, the Senate’s increase in appropriations for the Department of Public Instruction seems out of line – at $18.9 million vs. $127.4 million in the House budget. That’s explained by the fact that the Senate shifts payment of $108 million in teacher bonuses to the current fiscal year.

School calendar bill still pending in House Commerce
Comments were heard on H 1464 School Calendar Changes, sponsored by Rep. Connie Wilson (R-Mecklenburg) for the second consecutive week in the House Commerce Committee.  No vote was taken but further discussion is expected next week. The proposed legislation would require public schools to start no earlier than Aug. 25 and end no later than June 10.

After several opponents and proponents of the bill spoke on Tuesday, NCCBI Vice President of Governmental Affairs Leslie Bevacqua Coman presented NCCBI’s position in support of a study to bring the two sides together. “You have heard arguments on both sides of this issue and the concerns that have been voiced on both sides have merit. None of us like to see the tourism industry, which is so important to our state, and education interests, which is also so vital to our state, pitted against each other. We believe there are reasonable people on both sides of this issue who can come together and work this out.”  She reiterated NCCBI’s position of recommending that the General Assembly direct the State Board of Education and the N.C. Travel and Tourism Board to conduct a joint study (to be completed by Nov. 15) of the potential benefits and liabilities associated with mandating a date when public schools should begin.

State Board of Education Chairman Howard Lee also encouraged the committee to give the State Board and the tourism industry the opportunity to work together for a compromise prior to the 2005 session of the General Assembly. He also said that the bill deserved consideration by a legislative education committee.

Supporters touted the potential positive impact of the proposed bill on economic development. Speakers in favor of the bill included Stephanie Simpson with the N.C. Board of Realtors, Harris Prevost with Grandfather Mountain, David Mandt with Carowinds, Erica Upton Peterson with the N.C. Agribusiness Council, Surf City Mayor Zander Guy and a representative from Golden Corral.  Opponents speaking against the bill included Leanne Winner with the N.C. School Boards Association, Susan Harrison with Wake County Public Schools and Deborah Greenblatt, mother of a special needs child, who told the committee that the bill would negatively impact special education because too much time in the summer would require more time to catch up when school began again.


Billboard bill moves forward
The Senate on Thursday gave second- and third-reading approval to a bill requiring local governments to compensate billboard owners in cash if they require existing billboards to be removed. H 0429 Just Compensation/Local Government Taking, which is supported by NCCBI, the N.C. Outdoor Advertising Association and others, would limit payments to five times the net annual income from the billboard, minus advertising agency fees. For the past 20 years, local governments have been allowed to ban billboards and compensate owners by letting them keep existing signs for a few years before removing them. Supporters said this practice, called “amortization,” is not compensation at all and local governments should not be able to take private property without paying for it.


House defers consideration of R&D tax credit
The House on Thursday deferred consideration of H 1415 Alternative R&D Tax Credit, sponsored by Rep. Bill Daughtridge (R-Nash). After lengthy discussion on the bill on the House floor, Rep. Paul Luebke (D-Durham) asked that the bill be displaced until a fiscal note was prepared. The bill would create an alternative tax credit for research and development expenditures and would become effective with the 2005 tax year. The proposed new credit is based on North Carolina research and development expenditures rather than on an apportioned share of nationwide increases in expenditures. Also, an additional credit of 15 percent of R&D expense is allowed for work conducted in North Carolina by a research university. The bill would expire for taxable years beginning on or after January 1, 2009.

At a Tuesday meeting of the House Finance Committee, UNC President Molly Broad explained how important R&D is to business and industry and to our higher education institutions. “There are many good examples of partnerships between the public and private sectors with regard to R&D,” she said. Joan Myers, president and CEO of NCEITA, gave examples of a number of high-tech companies and how they have expanded in North Carolina in recent years. “R&D is important to these companies and we want to encourage more R&D,” Myers said. Leslie Bevacqua Coman, NCCBI’s vice president of governmental affairs, noted that “we need to evaluate our strengths and build on them. Encouraging additional research and development in North Carolina is one way to do this. This legislation is another step towards encouraging companies already located in North Carolina and companies looking to locate in North Carolina to expand their research and development in our state.”

House, Senate committees approve JDIG changes
The House Committee on Finance approved a committee substitute for H 1416 Extend and Amend JDIG, sponsored by Rep. Bill Daughtridge (R-Nash). The House bill would increase the maximum number of agreements that the state may enter into each calendar year from 15 to 25 and extends the sunset of the program to Jan. 1, 2009. It does not raise the cap on the grants from $10 million to $18 million per year as proposed in the original legislation. Leslie Bevacqua Coman, NCCBI’s vice president of governmental affairs, spoke in support of the House bill. “This is a program that is working to bring jobs to North Carolina. By expanding this program, we are building on our strengths.” The bill was re-referred to the Committee on Appropriations. The state budget proposal that passed the Senate this week also recommends strengthening the program, including extending the sunset to Jan. 1, 2006, increasing the possible numbers of projects from 15 to 25 and a lift of the cap on the grants from $10 million to $15 million per year.

Both the bills addressed above (R&D and JDIG) were included in recommendations that NCCBI made in February to the Joint Select Committee on Economic Growth and Development.
 

Legislative Actions

   The House on Wednesday gave third-reading approval to S 1063  Eliminate Industrial Revenue Bonds Wage Standard (Hartsell). The bill was returned to the Senate for concurrence in amendments.

 The House Finance Committee on Tuesday favorably reported H 1609 Correct Streamlined Sales Tax Inequity.

 The Senate Commerce Committee on Tuesday favorably reported H 0964 Furniture Requirements Contracts, H 1152 Installing MV Parts and Air Bags and H 1463 Health Insurance Innovations Commission.

 This week the House and Senate both adopted a conference committee report on S 0051 Amend Franchise Tax Loophole (Clodfelter) and the measure was enrolled.


State Government

State hires expert to assure efficient IT purchases
Jonathan P. Womer, who has served for the past five years in Washington as a senior policy analyst in the Office of Management and Budget, was hired by Gov. Mike Easley as an assistant state budget officer for information technology charged with ensuring North Carolina’s IT efforts are efficient and cost effective. He fills a new position in the Office of State Budget and Management that was created through restructuring.

“Womer’s new role is designed to make certain that information technology efforts throughout state government are being performed in an efficient and cost-effective manner,” Easley said. “His past experience in federal government on IT issues will prove invaluable in this position.”

Womer will serve as a liaison between state agencies and the Office of Information and Technology Services and assist with hardware and software purchases. He will coordinate with and assist ITS in its efforts to ensure information technology management throughout state government operates uniformly. He will review and conduct cost-benefit analyses and make budget recommendations. In addition, Womer will serve as his office’s liaison with state and federal agencies, the legislature and the public on IT-related matters. He will begin work July 12.

In his job at OMB in Washington, Womer recommended final federal budget decisions on IT projects for the Department of State, U.S. Agency for International Development, Department of Housing and Urban Development, National Archives and Records Administration, and the Environmental Protection Agency.  In 2002, he was named by Federal Computer Week as one of the top 100 executives from government, industry and academia as having the greatest impact on government information systems.

A graduate of the Mississippi School for Mathematics and Science, Womer earned a bachelor’s degree from Duke University’s Terry Sanford Institute of Public Policy in 1994, a master’s in pubic policy from the Gerald R. Ford School of Public Policy in 1997 and a master’s in information economics/systems from the University of Michigan in 2000.


State gains 49,000 jobs in five months
North Carolina has gained 49,000 jobs since January, according to statistics compiled by the state's Employment Security Commission. From April to May 2004 alone, non-farm seasonally adjusted industry employment increased by 13,400 jobs. While manufacturing jobs declined by 1,900 jobs since January, all other sectors of the economy have gained jobs during that period. Job gains were especially large in professional and business services, and in educational and health services. North Carolina non-farm industry employment has increased by 1.3 percent since January, compared to national average growth of 0.8 percent over the same time period, according to data released by the US Bureau of Labor Statistics earlier this month. The state's seasonally adjusted unemployment rate remained at 5.3 percent for May, the third consecutive month that North Carolina's unemployment rate has been below the national average of 5.6 percent.


DOI cracks down on unlicensed workers’ comp insurance company
The N.C. Department of Insurance (DOI) issued a cease and desist order and fines worth $390,000 against American Benefits and Insurance Services Inc. of Salt Lake City for allegedly selling workers compensation coverage for at least 39 North Carolina employers without being properly licensed by the state. American Benefits and its president, Talmage Pond, were both fined $195,000 each and ordered to cease doing any insurance business in the state without first complying with North Carolina's licensure laws. Evidence developed by DOI revealed that American Benefits began offering workers comp coverage in 2002. Some claims generated through this phony coverage were paid, but two of the 39 employers have already reported approximately $70,000 in unpaid claims. More unpaid claims are expected.  "American Benefits simply did not have the funds to cover claims, and this left many North Carolinians out in the cold,” said Insurance Commissioner Jim Long. “This would never have happened if the company had been properly licensed.” Employers who have questions about American Benefits and Insurance Services, or other such entities, should call DOI at 1-800-546-5664.


Names in the News

Defense attorneys elect officers
J. Nicholas Ellis, a partner with Poyner & Spruill practicing in the firm’s Rocky Mount office, was elected president of the N.C. Association of Defense Attorneys during the organization’s annual meeting in Hilton Head, S.C. Ellis has served continuously on the NCADA’s governing body as a member of the board of directors and as an officer since 1998. Gary S. Parsons is immediate past president.  Parsons is a partner with the Raleigh law firm of Bailey & Dixon LL.P. and is head of the firm’s litigation section. Other association officers elected include:  Mel J. Garofalo, a partner with Hedrick Eatman Gardner & Kincheloe in Charlotte, as president-elect; Leslie O’Toole, a partner with Ellis & Winters in Cary, as executive vice president; Harvey L. Cosper Jr., a partner with Parker Poe Adams & Bernstein practicing in the firm’s Charlotte office, continues a second year as secretary; and Clay A. Collier, a partner with Crossly McIntosh Prior & Collier in Wilmington, as treasurer. Elected to serve a three-year term on the board of directors are:  Brian O. Beverly, Young Moore & Henderson, Raleigh; Stephen W. Coles, Brinkley Walser, Lexington; Martha W. Surles, Morris York Williams Surles & Barringer, Charlotte; Allan R. Tarleton, Van Winkle, Buck, Wall, Starnes & Davis, Asheville; and, Demetrius L. Worley, Brotherton Ford Yeoman & Worley, Greensboro.

 Former UNC System president Bill Friday was honored by the General Assembly on Tuesday during a rare joint session of the House and Senate. Gov. Mike Easley presented Friday with the Order of the Longleaf Pine, the state's highest civilian honor, and the House and Senate approved a joint resolution honoring his service to the state. Among others lauding Friday were former governors Jim Hunt and Jim Holshouser, current UNC system president Molly Broad and former Lt. Gov. Bob Jordan. Friday served as president of the UNC system from 1956 until 1986.

 Danielle Kaspar was named vice president of small business for the Durham Chamber of Commerce. Kaspar is a 1999 graduate from N.C. State University, where she earned a degree in business management with a concentration in marketing. After completing her studies, she worked in The Herald-Sun’s marketing department for two years and with the Durham Convention & Visitors Bureau. Kaspar filled the vacancy created by the departure of Jack Boyd, who accepted a position with the Baltimore County (Md.) Chamber of Commerce.

   Michael C. Miller of Asheboro, president and chairman of First National Bank and Trust, was elected chairman of North Carolina Bankers Association. Miller succeeds H. Kel Landis III, CEO of RBC Centura in Rocky Mount. Hope Connell, group vice president of First Citizens Bank in Raleigh, becomes NCBA vice chairman. Commencing two-year terms expiring in 2006 are Larry Barbour, president and CEO of North State Bank, Raleigh; Kieth Cockrell, consumer banking executive/Atlantic of Bank of America; Clement E. Medley Jr., president and CEO of First Federal Bank, Dunn; Charles L. Myers, president and CEO of High Point Bank and Trust Co., High Point; and Vincent Randazzo, senior vice president and director of public policy of Wachovia, Charlotte. Elected to one-year terms were Norman B. Osborn, president and CEO of Cornerstone Bank, Wilson; and Randolph J. Cary Jr., president and CEO of MidCarolina Bank, Burlington.

  Maj. William Fletcher Clay Jr., 46, of Raleigh was named colonel of the N.C. Highway Patrol, succeeding the retiring Col. Richard W. Holden Sr. Maj. Cecil Eugene Lockley of Holly Springs will replace Lt. Col. Wilson M. Autry, who retired last year.

 Bradley Newkirk, a member with Dixon Hughes’ Winston-Salem office, was elected president of the N.C. Association of Certified Public Accountants. Newkirk has been active in the CPAs association for several years, having served on the board of directors and executive committee.




NCCBI News

Amtrak president visits NCCBI
North Carolina is one of the only states in the nation with significant potential for expansion of passenger rail service, according to David Gunn (right), president and CEO of Amtrak. Gunn spoke with a group of NCCBI members on Tuesday morning about the importance of creating “success stories” to get federal dollars for rail expansion. The train between Raleigh and Charlotte should be running four times per day, he said. When frequency is up, the state can validate the request for federal dollars. “There are only a handful of areas in the country that have potential and North Carolina is one of them,” he said

Thirty-four people filled the NCCBI board room to hear what Gunn had to say as he passed through North Carolina. NCCBI Transportation Committee Vice Chair Henry Liles welcomed Gunn while Raleigh Mayor Charles Meeker was on-hand to make the official introduction. NCCBI Chair Barry Eveland was in attendance and former governor James B. Hunt Jr., stopped by right before the meeting. State Reps. Margaret Dickson (D-Cumberland) and Ray Rapp (D-Madison) also attended.

Gunn, who has led Amtrak since 2002, says the passenger rail system is doing well and has restored fiscal controls. “Expenses have flattened and we’re under-running our operating budget,” he said. “Ridership surpassed a record 24 million passengers in 2003 and Amtrak began the process of ramping up a capital program in order to work through the backlog of capital projects that had accumulated over the years.”

When asked about the possibility of privatizing Amtrak, Gunn said the people who discuss privatization are either cynical and want to get rid of passenger rail all together or are naïve and think an entity could take it over and run it better. With the complexities of running and maintaining a large passenger rail system, Amtrak has the expertise and experience to continue making it work, he said.


BoA’s Graham Denton kicks off
annual membership campaign

When Graham Denton, North Carolina president of Bank of America and NCCBI’s Second Vice Chair, accepts a challenge, he jumps in with both feet – a fact he is again demonstrating in his management of the association’s annual membership campaign. “This year’s campaign has all the signs of being a record year, “ according to Rosemary Wyche, NCCBI’s vice president of development.

Denton (right) tapped Lynda Looney, senior vice president of Atlantic Middle Market Banking, to coordinate the Bank of America campaign and she has assembled a dynamite group of volunteers. Twelve teams consisting of 88 volunteers will canvas the state recruiting new members to achieve their goal of $100,000.

To reward and encourage the volunteers, NCCBI First Vice Chair Steve Miller, executive vice president of The Biltmore Company, asked travel and tourism related industries and NCCBI board of directors to donate prizes for the volunteers. The response from the industry has been overwhelming. A partial list of the prizes is below. At press time, they were still coming in.

We want to thank and recognize these companies for assisting with the campaign. If others would like to donate, please contact Rosemary Wyche at rwyche@nccbi.org.

Team 1: Captain Mike Mayer, members John Mercuri, Joe Donlevy, Saeed Moghadam, Susan Vercauteren, Jason Ziegler, Bonnie Tomberlin.

Team 2: Captain Bob Warfield, members David Sedor, Tony Marano, Roger Portaro, Mark Caulton, Marcia Fredell, Bill Bridges.

Team 3: Captain Steve Park, members David Houston, Mark Mackinnon, Mark Goodwin, Otis Northington, Allen Sprinkle, Paul Cucchiara.

Team 4: Captain Steve Windell, members Paula Takacs, Marsha Miller, Sam Kottyan, Bryant Brewer, Jolaine Blankenship.

Team 5: Captain Sabrina Miller, members Ken Vance, Becky Girard, Carol R. Allen, Michael Andry, Michelle Weerasuriya, Cynthia Fuller, David Greiner.

Team 6: Captain Dale Hall, members Keith Strickland, Sapna Carter, Don Ward, Phil Sizemore, Julie Benitz, Rob Hone.

Team 7: Captain Greg Cox, members Derek Ellington, Tom Johnson, William J Burns, Susan Apple, Jackie Fayne, Mike Marion.

Team 8: Captain Sherry Ledoux, members Gary Gore, Frank Manship, Chris Woelfel, Mel White, Ellen Lindh, James Stemple.

Team 9: Captain Henry Essey, members Rick Brown, Jeff Lee, Holly Tucker, Ed Hollowell, Dave Klinge, Paula Stewart, Gregoire Kokomo.

Team 10: Captain Lee McInnis, members Rod Webb, Grady Jackson, Chris Harris, Pam Keene, Rob Weaver, Chris Frushone, Eva Choy.

Team 11: Captain Pam Parker, members Ray Vaughn, Bland Benthall, Helen Ballentine, Janie Raper, Marie Stapleton, Luann Herring, Scott Padalecki.

Team 12: Captain Mike Williams, members Jon Hand, Tom Dodson, Loren Hamlin, William Vaughan, Natalie Waggett, Dawn Raiford, Cindy Tillinghast.


Incentive prizes donated by NCCBI members to campaign volunteers
(as of 6/24/2004)

Angus Barn: $100 gift certificate
Atlantis Lodge: Two nights stay at Atlantis Lodge located in Pine Knoll Shores
Ballantyne Resort: One night stay for two, including breakfast and dinner
Battleship North Carolina: Four tickets to tour Battleship, Battleship cap & tote bag
The Biltmore Company: Three bottles of Biltmore Wine
Capel Inc.: $100 gift certificate
Council Tool Co. Inc.: Ax and ground hog gardening tool
Dismal Swamp Canal Welcome Center: One pullover logo sweat shirt
Emerald Isle Realty Inc.: Three nights stay at one of three homes - Atlantis, Breezy or Boat House
First Citizens Bank: Four Carolina Hurricanes tickets
Ford's Fancy Fruits & Gourmet Foods: Variety pack of nuts (4)
Grandfather Golf & Country Club: Weekend stay, including round of golf
Great Smoky Mountains Railroad: Three passes for two adults and two children each for round trip excursion on Great Smoky Mountain Railroad scenic line
The Grove Park Inn: One night stay for two, including breakfast and two rounds of golf
Hampton Inn & Suites: One night stay at one of three Hampton Inns in Asheville
Handmade in America: Two books, Farms, Gardens & Countryside Trails and The Craft Heritage Trails
Harrah's Cherokee Hotel: Two nights stay at hotel and dinner for two at Selu Gardens Café
The Hickory Courtyard: Weekend stay for two, including breakfast
Hickory Furniture Mart: $100 gift certificate
Hilton North Raleigh: Weekend accommodations for two
Kitty Hawk Kites: Beginner dune lesson and one kayak ECO-tour
Linville Caverns: Pass for four people
Lowe's Motor Speedway: Two tickets for Oct. 16 NASCAR race, two pit passes and one VIP parking pass
Martin Marietta Materials Inc.: Week’s use of at beach house at Hilton Head
Mid Pines Inn & Golf Club: Three-day, two-night golf package for two. Package includes room accommodations (double occupancy); 18 holes of golf including cart, range balls, bag handling and storage. Estimated value of $650.
Miller Brewing Co.: Golf bag
Mountain Air Country Club: Complimentary round of golf for 4 including cart fees
North Carolina Zoo: Two sets of passes for four people.
Charles D. Owen Manufacturing Co.: Four warm, beautiful double/queen blankets
The Park Hotel, Charlotte: Special weekend for two, including Sunday brunch
Piedmont Natural Gas Co.: Gas BBQ grill
Pinehurst Resort: Resort accommodations for two for three-days and two nights, includes breakfast, dinner and golf in Pinehurst.
Pinehurst/Southern Pines/Aberdeen CVB: Overnight accommodations at Residence Inn by Marriott and two rounds of golf at The Club at Longleaf
PSNC: Two 20-piece gourmet stainless steel BBQ tool sets
Radisson Hotel, High Point: Overnight accommodations
RagApple Lassie Vineyards & Winery: Ten complimentary wine club membership packets that offer discounts and specials for RagApple wine
Greater Raleigh Convention & Visitors Bureau:  Accommodations for two at the Sheraton Capital Center and breakfast buffet; $50 gift certificate to Caffe Luna; two tickets for Broadway Series South (choice of shows)
Ramada Inn at Nags Head Beach: Two-night stay in deluxe room equipped with a refrigerator, microwave and a private balcony
RBC Centura Banks: Four tickets to an RBC Center event
Reynolda House, Museum of American Art: Tickets for four
The Sanderling: Two nights accommodations, daily breakfast in The Lifesaving
Station Restaurant and dinner for two in the Lifesaving Station Restaurant
Second Empire Restaurant & Tavern, Raleigh: $100 gift certificate
Shelton Vineyards: Dozen bottles of wine and 24 tour/tasting passes to the winery
Tweetsie Railroad: Four passes to Tweetsie Railroad, a Tweetsie tote bag and a Tweetsie Railroad shirt
Wachovia Bank: Two premium tickets to Carolina Panthers game

Eveland discusses link between
quality child care, improved workforce

Members of the House-Senate conference committee
The Senate sent its version of the state budget to the House on Thursday, where members voted unanimously not to concur. House and Senate conferees were named as follows:

House conferee chairs are Reps. Rex Baker, Debbie Clary, Jim Crawford, Beverly Earle, Robert Grady, Bill Owens, Wilma Sherrill and Thomas Wright. Members are Reps. Martha Alexander, Gordon Allen, Jeff Barnhart, Harold Brubaker, Nelson Cole, Bill Culpepper, Pete Cunningham, Bill Daughtridge, Jean Farmer-Butterfield, Stan Fox, Mitch Gillespie, Michael Gorman, Joe Hackney, Phil Haire, Mark Hilton, Julia Howard, Howard Hunter, Verla Insko, Maggie Jeffus, Linda Johnson, Carolyn Justice, Carolyn Justus, Joe Kiser, Stephen LaRoque, Paul Luebke, Danny McComas, William McGee, Marian McLawhorn, David Miner, Edd Nye, Earline Parmon, Jean Preston, John Sauls, Bonner Stiller, Joe Tolson, William Wainwright, Jennifer Weiss, Roger West, Keith Williams and Doug Yongue.

Senate conferee chairs are Sens. Walter Dalton, Linda Garrou and Kay Hagan. Members are Sens. Charlie Albertson, Dan Clodfelter, Charlie Dannelly, Katie Dorsett, Feltcher Hartsell, Robert Holloman, David Hoyle, Clark Jenkins, John Kerr, Jeanne Lucas, Vernon Malone, Bill Purcell, Tony Rand, Eric Reeves, A.B. Swindell, Scott Thomas and David Weinstein.


Comparing the House and Senate budgets
The House and Senate budgets both start with the general assumption that the state will end its fiscal year on June 30 with about $146 million left in the bank and about $14.7 billion in anticipated income (tax revenues). To those numbers, legislators add additional anticipated revenues, including reversions from state agencies, nontax revenues and excess tax collections. Because they use different estimates and different accounting techniques, the House and Senate end up about $19 million apart in their reckoning of hoe much the state can spend in the coming fiscal year, as indicated in the chart below. On the following two pages are charts detailing how the House and Senate would spend all that money. Numbers in parentheses indicate a reduction from expenditures that had been approved in the biennial budget adopted last year.

* The Senate’s beginning unreserved credit balance reflects a $100 million credit to the savings reserve account, $18.4 million in credits to the repairs and renovations reserve account, and $108 million in credit for ABC teacher bonuses earned this fiscal year.