Legislative Bulletin

JULY 20, 2001


Legislative Actions

 

Lawmakers give final approval to several election reform bills

The General Assembly completed work Wednesday on five election reform bills, including an omnibus measure that lengthens the one-stop non excuse early voting period and gives more power to the State Board of Elections over county elections boards. Another bill received final approval that bans the use of butterfly and punchcard ballots in the six counties that continue using them.

H. 831 Election Changes {Alexander} makes several changes to existing election laws. The measure provides a greater role for the State Board of Elections in personnel decisions concerning county election directors; enhances the certification program for election officials; removes limitations on two provisions concerning precincts; changes the length of the one-stop voting period; allows county boards of elections to use other one-stop sites instead of the county board office as long as a nearby site is provided; allows later acceptance of voter registration applications; provides for electronic transfer of voter registration applications from the Division of Motor Vehicles; updates the statutes concerning voter registration list maintenance; requires permanent voter registration numbers; applies the write-in statute to Superior Court judge elections; corrects a reference in the campaign finance law; requires that all new precinct lines follow census block lines unless the executive director of the state board of elections grants a waiver after making certain findings; and renames the executive secretary-director of the State Board of Elections the "executive director."

 

The House voted 61-53 to accept the Senate version of H. 831 sent it to the governor's desk for his signature. House GOP members questioned several aspects of the bill, particularly on provisions adjusting the hours for one-stop voting sites. The sites allow voters to cast ballots during the three week before the election in person without mailing in an absentee ballot. The bill would let county boards to keep the one-stop voting sites open through the Saturday afternoon before the primary or general election instead of the Friday afternoon before the election. The bill specifies that the sites can remain open evenings and weekends.

 

The measure gives the State Board of Elections greater authority to fire county election directors. New county directors also will be required to receive four weeks of training, and current directors would have to complete a certification program. The measure also requires that voter registration rolls be updated according to federal standards.

By a vote of 105-4, the House on Thursday concurred with Senate amendments to H. 34 Ban Butterfly and Punchcard Ballots {Goodwin} and the measure was enrolled. It outlaws the use of such ballots – the kind that caused such controversy in Florida in the presidential election – in the six counties that still use them (Cabarrus, Duplin, Forsyth, McDowell, Mitchell, Onslow). The measure doesn’t give the counties any money to pay for new voting machines, but it gives them until 2006 to make the change.

 

Meanwhile, the Senate gave unanimous second- and third-reading approval Wednesday H. 1186 Voter Registration by Fax and H. 1193 Voter Address Change by Fax {both by Blue}, measures that allow voters to register and change their address by facsimile. Military personnel stationed overseas already have the option to register by fax. The Senate also gave final approval Wednesday to H. 1126 Clarify Residency/Registration/Voting {Thompson}, a measure that clarifies that state officials who work in Raleigh may maintain a residence in another county for voting purposes.

 

Lastly, the House concurred with Senate amendments to H. 57 Labeling Campaign Ads {Baker}, a bill that makes slight changes to existing campaign laws requiring disclosure of an ad's sponsor.

 

 

Senate passes bill allowing schools to display Ten Commandments
The Senate on Tuesday gave second- and third-reading approval to H. 195 N.C. History Taught in Fourth and Eighth Grade {Barefoot} and returned the measure to the House for concurrence in amendments. The vote was 44-6. As the name implies, the bill requires the State Board of Education to implement two years of instruction in state history and geography.

 

But more contentious were provisions that allow public schools to display the Ten Commandments in the classroom and require school systems to develop a character education curriculum that teaches students courage, integrity, kindness, perseverance and other traits. The bill also orders local school systems to develop "a reasonable dress code."

 

Opponents charged that the bill unconstitutionally violates the principle of separation of church and state and promotes Judeo-Christian teachings over other religious teachings. Addressing those concerns, Sen. Walter Dalton (D-Rutherford) offered an amendment that added the Justinian Code, the Magna Carta and the Mecklenburg Declaration of Independence as examples of documents that could be displayed in schools "in proper historical context."

In other legislative actions of note:

Streamlined sales tax passes House: The House gave second-reading approval Thursday to S. 144 Streamlined Sales Tax {Kerr} and scheduled a final vote on the measure for Monday. The Senate passed the bill in May. Rep. Paul Luebke (D-Durham) explained on the House floor that this bill would bring “fairness to brick and mortar merchants” in North Carolina. Rep. Art Pope (R-Wake) echoed support for the measure and indicated the bill is not a new tax. The Department of Revenue estimates the state is losing $120 million to $140 million a year from Internet, catalog and home-shopping purchases on which use taxes -- the equivalent of sales taxes -- aren't collected. State budget analysts estimate that could grow to $450 million by 2003, $300 million in state taxes and $150 million for local governments. A coalition, including NCCBI and the N.C. Retail Merchants Association, has worked on this issue for about two years.

 

Senate panel approves loophole closings: The Senate Finance Committee on Thursday favorably reported H. 1157 Enforce Tax Compliance and Equality/No Fraud {Hackney}. The bill passed the House last week. The legislation closes three corporate tax loopholes. One provision in the bill would prevent companies from deducting royalty payments as a business expense when payable to affiliated companies. A second change would prevent a corporation from avoiding paying franchise tax on its assets by transferring them to an affiliated limited liability company. Currently, limited liability companies are not subject to franchise tax. A third provision narrows the loophole on taxation of corporate subsidiary dividends by making state law conform to federal tax law.

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