North Carolina Legislative Update
Thursday, House budget writers rolled out pieces of what is likely to be a $21 billion budget proposal. Budget leaders held several subcommittee meetings to lay out spending proposals for the second year of the two-year state budget that takes effect July 1. The subcommittee proposals will then be sent to the House chief budget writers, who are hopeful that a budget proposal can be voted on next week on the House floor.
May 30, 2008
Highlights of the House Budget
- Teachers would receive a 3% raise and state employees a 2.75% raise or a one time $1,100 bonus, whichever is greater
- $23 million for the Governorâ€™s More at Four Program
- $15 million for Drop Out Prevention Grants
- $50 million in tax relief to lower income families and small businesses that provide health insurance
- $1 million to help sheriffs enforce immigration law
- $4 million for drought relief for farmers
Tax Credits approved by the House Finance Committee
- $21 million increase to the earned income tax credit for low income families
- Extend the Research and Development Tax Credit sunset to 2014
- Provide a 3 day sales tax holiday on energy efficient products
Lawmakers filed legislation in both chambers to tackle urban traffic congestion, start building the stateâ€™s first modern toll roads and find money for better bus service and a rail transit network.
The legislation would:
- Set up a statewide fund for urban transit and congestion relief
- Allow voters in urban areas to consider implementing a half cent sales tax dedicated to public transit
- End the $172 million yearly transfer from the Highway Trust Fund to the General Fund
- Provide seed money to start the Triangle Expressway, an 18 mile toll road for Research Triangle Park and Western Wake County
- Underwrite a $1 billion statewide transportation bond
Also This Week
- Reps. Lorene Coats (D-Rowan) and Becky Carney (D-Mecklenburg) introduced a joint resolution urging congress to end North Carolina's status as a donor state of federal highway tax revenues and to return 100% of the federal highway revenues the state remits to the federal government each year.
- Rep. Alma Adams (D-Ruilford) introduced a resolution that would authorize the 2008 session of the general assembly to consider a bill that would provide all workers with paid sick days.
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