Governor's 2008 - 2009 Proposed State Budget
Adjustments
Recommended budget adjustments for the 2008-2009 fiscal year will
increase tax on cigarettes, beer, fortified wine and spirits.
May 14,
2008
NC NEWS -- Governor Easley has released his
recommended state budget adjustments for the 2008-2009 fiscal
year, which will increase tax on cigarettes,
beer, fortified wine and
spirits. The proposed budget will provide $12.5 billion for
education including a 7% increase in public school teachers pay. Currently, the
difference between the US and North Carolina average for a
teacher with a bachelor's degree and 15 years experience is 6.9 percent.
The budget proposal further improves the
state's ability to compete for jobs in the global economy, increases funding
for mental health services, and helps communities' better plan to deal with
droughts. The Governor also wants to expand funding for the oversight of prison
parolees, which means, "Operation FreeBird" is working.
The NC Governor also believes the budget better
prepares the state to deal with the uncertain economy by expanding the Rainy
Day Fund to $848 million. Unlike most states that are facing shortfalls,
North Carolina will end the current fiscal year with a $152
million surplus. The budget also includes $396 million in general fund budget
cuts equaling nearly 2% of the total operating budget.
Governor Easley said, "As I release the 2008-09 budget proposal,
the last one of my administration, I remain just as restless about improving
the lives of every North Carolinian. While we have made great progress in this
state, I am still not satisfied. We must build on our strengths to face the
challenges of the global economy and the best way we can do this is to expand
education at all levels."
Governor Easley's budget proposal includes a
cigarette tax increase, recommending a 20-cents-per-pack
increase. The increase, which would total 55 cents per pack, would keep North
Carolina's cigarette tax among the lowest in the nation, about 40th. Easley
said, "It takes real revenue to make real progress in education," therefore,
once again singling out evil tobacco smokers.
The budget recommends state employees receive
the equivalent of a 4 percent pay increase through a 1.5 percent cost-of-living
adjustment and a $1,000 one-time bonus. State employees will also receive five
days of paid bonus leave. The budget also includes a cost of living adjustment
for state and judicial system retirees.
The state mental health system will receive more than $76
million designated to implement changes in and improve services. The additional
costs will be offset by another tax increase on
beer, fortified wine and
spirits.
More than $65 million is set aside for repairs to university and
state buildings along with another $97 million for pay-as-you-go finance of new
construction projects and borrowing for another 553 million in projects.
Highlighted recommendations in Easley's budget
include:
PUBLIC SCHOOLS -- $492 million overall budget increase.
- $302.7 million to bring teacher pay to the national
average.
- $90 million to fully funding the ABC bonuses for school
teachers.
- $39.8 million to increase by 6,345 the number of More At Four
early childhood education program slots to bring enrollment to 35,000.
- $12 million for increases in at-risk enrollment.
- $6.6 million to expand the Learn and Earn early college high
school program to continue operation of 55 schools and expand to an additional
16 schools in 2009-10.
- $6 million to expand broadband high-speed connectivity for
public schools.
- $2 million to assist those public schools with the greatest
needs.
COMMUNITY COLLEGES -- $58.3 million overall budget increase.
- $23.8 million for increased enrollment.
- $4.8 million for nurse accreditation programs and to add 55
allied health faculty positions to cut program waiting lists.
- $5 million to address equipment needs, including health
programs.
- $2.5 million to expand the NC Community College System Data
Warehouse.
- $1 million to expand the Minority Male Mentoring initiative.
UNIVERSITY OF NORTH CAROLINA -- $107.5 million overall budget
increase.
- $34.6 million for increased enrollment.
- $11 million to implement the recommendations of the UNC
Campus Safety Task Force recommendations.
- $2.5 million to implement American Bar Association
recommendations to accredit N.C. Central University Law School.
- $2 million to support a new bioengineering facility and other
areas at NC State University's College of Engineering.
- Expand EARN grants to accredited private NC colleges and
universities (can be done within existing budget).
HEALTH AND HUMAN SERVICES -- $217 million overall budget
increase.
- $20.9 million for community hospitals support short-term
stabilization in psychiatric inpatient services.
- $6.8 million to support 30 mobile mental health crisis
teams.
- $5.4 million to improve clinical staff ratios by adding 107
positions to provide closer patient supervision.
- $5.5 million to address shortfalls in shift premiums and
worker compensation payments.
- $5.2 million to support 36 beds at Dorthea Dix Hospital.
- $4.3 million for crisis intervention services for people who
have development disabilities by establishing nine regional START teams.
- $4.2 million for walk-in crisis and psychiatric after
care.
- $10 million to expand Health Choice to provide health care
for an additional 10,680 children from low income families.
- $9 million to remove 1,110 children from subsidized child
care waiting lists and keep 931 children from being dropped.
- $8.3 million to increase foster care and adoption assistance
payments.
JUSTICE AND PUBLIC SAFETY -- $49 million overall budget
increase.
- $22.6 million to restore funding for community programs that
reach out to delinquent and at-risk youth.
- $9.1 million to restore funding for community-based programs
that aim at reducing recidivism and the costs of incarceration for the state
and counties.
- $4 million to improve case management and supervision of
adult offenders on probation, parole and post-release.
- $1.9 million to ensure female parolees and probationers have
access to residential substance abuse treatment services.
- $600,000 so uninsured rape victims will no longer have to pay
a portion of the cost for forensic exams.
NATURAL AND ECONOMIC RESOURCES. -- $10 million for the One North
Carolina Fund to recruit new and expanding businesses.
- $5 million for the One North Carolina Small Business
Innovation Research Program to assist in capturing federal innovation research
grants.
- $5 million for the Farmland Preservation Trust Fund.
- $4 million for the N.C. Biotechnology Center.
- $1 million to the N.C. Green Business Fund for grants to
small businesses to encourage growth of the green economy in the state.
- $1 million to assist those facing foreclosure on their
homes.
- $870,000 to establish a Drought Response Unit to aid
communities in preparing to withstand periodic droughts.
- $720,000 to hire ten safety and health compliance officers in
the Occupational Safety and Health Division, positions that because of federal
funding cuts have been vacant.
- $400,000 to clean up inactive hazardous waste sites.
- $141,330 for two food safety and security inspectors for the
meat and poultry industry.
TRANSPORTATION
- $28.8 million increase for highway maintenance
activities.
- $25 million reduction in the Highway Trust Fund transfer to
the General Fund as the first step in phasing out the $172.6 million annual
transfer. These funds may be used for gap funding for N.C. Turnpike Authority
projects authorized by the legislature or urban loop project in the
Transportation Improvement Program.
SUPPORTING THE MILITARY
- $ 2.2 million to improve health and mental health services to
National Guard combat veterans and their families.
- $1 million to support social service and morale programs on
North Carolina's military installations.
- $1 million for college scholarships for children of National
Guard members killed or disabled while on active service duty.
- $200,000 for Operation Kids On Guard to assist children of
deployed members of the N.C. National Guard.
CAPITAL IMPROVEMENTS – Financed Through Appropriations and
Certificates of Participation.
- $280.5 million for five University of North Carolina
projects that received planning funds previously including $97 million for the
new library on the N.C. State Centennial Campus; $62 million for the new School
of Dentistry at East Carolina University; $69 million for a new School of
Dentistry at UNC-Chapel Hill; $42.6 million for a new classroom building at
UNC-Greensboro and $9.8 million for the completion of a student activity center
at Winston-Salem State University
- $14.5 million for a new classroom building at the Upper
Coastal Plains Higher Education Center.
- $108.3 million for a women's health and mental health
medical facility in the Department of Corrections.
- $63.1 million for additions to correctional facilities at
Scotland, Bertie, Lanesboro and Tabor.
- $25.7 million to match federal and local funds for water
resource and sewer development projects.
- $109.4 million for completion of the Green Square Complex in
Raleigh.
- $5 million to be added to $10.2 million in receipts to
renovate a berth at the port in Wilmington and $2.5 million for berth
construction at the port in Morehead City.
- $40.4 million for a new Capital Area Visitors Center and
parking deck in downtown Raleigh.
Finally, Governor Easley said, "This budget makes progress in
education, human services, public safety and economic development. I look
forward to working with the General Assembly to get this budget enacted before
June 30."
To read the complete NC Governor's recommended
North Carolina State Budget adjustments for
2008 through 2009 -
Click Here.
Published by:
Rob Cross
mailto:editor@357news.com
# # # |
WNC Citizens blog