Paying for Hurricane Pat

by | Jun 28, 2016 | Editor's Blog, NC Politics | 86 comments

Pat McCrory and the Republicans in the legislature are fighting hard to protect the gains they’ve made for North Carolina’s wealthiest citizens and ensure that the burden of any needed revenue is squarely on the backs of the middle class. The state House and Senate want to put a constitutional amendment on the ballot that would cap income rates at 5.5%, relying on regressive sales taxes to cover additional revenue.

So when that Class 3 or Class 4 hurricane barrels into North Carolina (And it will happen. Remember Fran and Hugo?) causing billions of dollars of damage, the burden of paying for the damage will fall on the people who can least afford to pay for it and many who will already be disproportionally affected. The people who lose their vacation homes will be bummed but they’ll recover. The people who lose their mobile homes will be devastated and then forced to pay for the disaster through higher sales taxes on the recovery efforts.

McCrory and the free-market ideologues running the state are more concerned with protecting what people make than ensuring broad prosperity. They’re very concerned with economic growth, not who benefits from it.  They come from the Ayn Rand “Greed is good” school of thought and the amendments they’re pushing will keep money concentrated at the top while hamstringing the institutions that help people move up the socio-economic ladder.

To hear the modern GOP tell it, the New Deal and the Great Society (think Social Security, Medicare, SNAP) have ruined our country, turning it into a nation of takers.  In reality, they miss the greatest accomplishment of the 20th Century—the partnership between the free market and government to assure widespread prosperity and upward economic mobility. While the free market generated wealth, the government made sure that society benefited through institutions and programs that built a powerful middle class.

Nowhere has that arrangement been more successful than in North Carolina. In just a few decades, we moved from a backward Southern state to the most forward-thinking state in the South. We had a public-private partnership that was supported by both Democrats and Republicans. Together, the business community and government built the Research Triangle Park, the University of North Carolina system, the Community College System, Smart Start and host of other programs that provided a well-trained workforce. We protected our environment and built a tourist industry that attracts people from all over the world.  We grew faster than almost any other Southern state and were held up as model for smart investments and moderate government.

With the amendments  they are proposing, McCrory and the GOP are trying to permanently restrict the tools that North Carolina used to build our state. They want to concentrate wealth in the hands of those who already have it and restrict state and local governments from providing the tools that move people out poverty and into the middle class. The real shame, though, is that the free-marketeers missed the lessons of the 20th century and are doing all they can to take us back to era of narrow prosperity and massive inequality because, somehow, they consider that “fair.”

86 Comments

  1. Ebrun

    BTW, don’t know if you saw this recent news report, but the FBI has found no basis to conclude that the Orlando shooter was motivated by hatred of LGBTs. I don’t have the link handy, but I’ll see if I can find it.

  2. Ebrun

    Norma Munn: I’ve been familiar with SPLC since the mid 70s. Sure they call the KKK and Nazis hate groups. But that’s obvious to just about everyone. But then they take on groups and politicians that promote conservative policies. I do not consider the AFA a hate group. But they are a group that pushes for conservative policies. I support some of the AFA’s positions. I guess in your and D.g. eyes, that makes me a supporter of hate groups. But the most hateful comments and name calling I see on this blog come from liberals like D.g.

    • Ebrun

      I won’t be backing out anytime soon, D.g. I am having too much fun yanking your chain and seeing your intolerant reactions, long pompous lectures and over-the-top invective.

      • Ebrun

        “…wine little bitch… “, “…most egomaniacs, like yourself…”, “take pleasure from engaging in unacceptable public behavior…”

        Once again, D.g., your over-the-top invective tells more about your character than anything I could ever post.

        • Hawkeye

          Ebrun got on my case for ‘name calling’ as well.

          I can’t help it . The GOP has created a lot of damage , both to the nation and me , personally. And , not just Ebrun , but Neocons I run into on any forum , anywhere , are like a broken record , or a robocall, that keeps repeating the same old talking points over and over.

          And they are not above using stereotypical insults either!

          I expect better from my country.

          I appreciate all of the replies to Ebrun that this thread has generated, which are beyond my personal abilities.

          “Paying for Hurricane Pat” has generated more interest than I have seen anywhere else. That may be because North Carolina is a cauldron of voodoo for the upcoming elections.

          I wonder if individuals like Ebron are being paid to interact on blogs like this.

          I mean , they always hawk the same line , logic and pleas don’t move them , just like Climate Change deniers ; the science , hell , personal observation , means nothing to them.

          Kudos to Progressives everywhere.

          Vote Blue , whatever you do.

      • Hawkeye

        “I used to be a republican, as was my parents. But the republican party has lost sight of what is important.

        They are a party which has failed to make the transition into the 21 century. This last minute business of acting like they have seen the light is something we have observed in the past. Nothing new here…”

        As others have said, and I agree , ultra-conservatives are like a man facing backwards as he walks , not seeing where he is going. The dangers are obvious.

    • Ebrun

      Norma, beginning in 2015, ( I believe,or was it at the beginning of this tax year?) medical expense deductions are allowed on your state income tax. But with a $17,500 standard deduction for families, that will be helpful to only a very few.

      • Norma Munn

        I do not recall mentioning the status of medical deductions in this post although I am well aware of how NC handled it in the past , as well as the changes recently enacted . Not sure why your answer was directed at me. However, for the record I moved to NC in mid 2013 and earned no money in this state, only a small consulting fee earned in NYS. You know that bastion oh high taxes! Surprise I owed no taxes in NYS , nor NYC, and had not for several years. But good old NC took a nice bite out of my consulting fee.

        • Ebrun

          My mistake, Norma. I should have addressed my comment about medical tax deductions to Elizabeth.

          • Elizabeth

            Thanks, Ebrun! I will haul out our returns and figure why our state taxes remained higher for 2015.

  3. Ebrun

    Glad you’re enjoying my comments here, D.g. For awhile there I thought you were hoping I’d quit challenging the liberals who post on this blog. I believe your exact quote was “So go peddle your nonsense some place where folks appreciate it.”

    And BTW, any organization that labels folks who disagree with their political positions a “hate group” is acting like a hate group. That describes the zealots at SPLC to a tee.

    • Norma Munn

      Ebrun, I have read most of your comments over the past few months, and even if I disagreed, I could comprehend at least some aspects. But your labeling of he SPLC as a hate group is so wrong as to be repugnant. You are either genuinely ignorant of their work, or blind to it. Are white extremist groups not hate groups? Clive Bundy and his sons and associates come to mind. Is the KKK not a hate group? The lists are long and sadly, widespread. I have no idea where you grew up, but I spent most of the first decades of my life in rural Ga and later in larger communities in Fla. Bigotry and hatred were as routine as filling the gas tank. To disagree was to risk one’s livelihood and possibly one’s safety. Why do you think Dr. King was murdered? If you think that this is past, you are living in a dream world. The KKK still marches. Hatred was at the root of the Orlando massacre and the Dallas murder of five police officers. Individuals carried out those acts, but they read the hatred and bigotry spread by hate groups through social media. Try reading some of it and if you can’t identify them without help, check out the groups listed on the SPLC and take a deep dive into their cauldron of venomous poison. Then tell me an organization that issued the following press release a few hours after the Dallas shootings is a hate group.

      MONTGOMERY, Ala. – The following statement regarding the deadly attack on police officers in Dallas is by Southern Poverty Law Center President Richard Cohen:

      “We condemn the racially motivated killings of law enforcement officers in Dallas and mourn the loss of life. This was an act of domestic terrorism.

      “Racial tensions are extremely high in this country – not just in the wake of the most recent highly visible killings of black men by law enforcement but in the overheated rhetoric of our politics and hate deliberately stoked from all corners.

      “Our communities need healing. Until a gunman motivated by hate fired a shot, the protest was a peaceful one in a city that serves as a model for law enforcement reform. We must not allow this act of violence to lead to more violence and more hate.”

    • Elizabeth

      I rely on the SPLC for Klan updates, since I’m not brave enough to visit the sites myself. We had a Klan leafleting in my area recently, and SPLC has resources to help communities respond positively. The SPLC project to teach tolerance in the schools is a hopeful note in these challenging times.

      The label “hate group” does not mean what many assume, explained Mark Potok, editor at SPLC:

      “He says the Southern Poverty Law Center didn’t designate the Family Research Group a hate group because they view homosexuality as a sin or oppose same-sex marriage…. There are plenty of Christian groups who hold those beliefs but are not hate groups, he says.

      “A group becomes a hate group when it attacks and maligns an entire class of people for their ‘immutable characteristics,’ Potok says. The Family Research Council spreads known falsehoods about gays and lesbians, he says, such as the contention that gay men are predisposed to abuse children.

      “ ‘That’s a lie,’ Potok says. ‘These guys are engaging in straight-up defamation of a very large group of people. There are not many things much worse than you can say in America about somebody than they are a child molester.’ ” http://religion.blogs.cnn.com/2013/05/05/when-christians-become-a-hated-minority/

      On the subject of tax reduction, there’s a great letter in yesterday’s Durham paper describing the situation our family too is in after the changes — as a retired couple, we pay 4 to 5x more than before. Our tax guy called us the year the changes went into effect so we wouldn’t faint when we saw the returns. I would be very interested to see a study showing how high or low one’s income has to be for the changes to begin to help. Even that wouldn’t take into account increased taxes on purchases. services, fees, etc. If I thought revenues were being spent well, I would be happy to contribute… but I see how teachers in our area are struggling, I had a friend who I think would be living if the Medicaid expansion had happened here, etc. I would like for the legislature to value more than increased business and legislation that ignores the plight of citizens who are glbt. Hopefully you could take a message to them?! : ) They don’t seem to be listening to me!! Thanks, Ebrun

      • Ebrun

        The NC General Assembly just passed a substantial pay raise for public school teachers and a standard state income tax deduction of $17,500 which greatly benefits low and moderate income families. I expect they believe, as do I, that teachers’ pay raises and across-the-board tax cuts are a much higher priority than “the plight of citizens who are glut.”

        • Elizabeth

          Yes, I was very glad to see the pay raises! that needs to be matched with per-pupil spending that will likewise get us out of the national basement — currently, raises will help teachers purchase supplies. Total per-pupil expenditures are up, but so are the numbers of students, and I understand the new budget won’t be getting us ahead.

          Thankfully, it’s possible to value both business and citizens who are gay, lesbian, transgender. Actually, we’ve just witnessed the harm to business by violating the basic human rights of individuals. And ironically, we spent $42,000 on a special session to do it. That cannot stand in the country of “freedom and justice for all.”

          The standard deduction will help some, but not those who’ve been able to deduct medical expenses. We say ouch! when people talk about lowering taxes on the middle class. : )

          Ebrun, I very much admire your civil responses when those to you are regrettable.

  4. Ebrun

    From the Indiana Business Review, University of Indiana,

    “Indiana’s Outlook for 2016”

    Employment
    “The state has been doing well on the employment front (see Figure 2). The year began with a seasonally adjusted unemployment rate of 6.0 percent, but by September 2015, the rate had decreased to 4.5 percent (preliminary estimate, seasonally adjusted). It is expected to continue to drop until it is significantly below the “go-go” times of July 2007 when it had dipped to 4.5 percent.”

    “While 2015 GDP actual results were below last year’s forecast, the actuals for unemployment in 2015 greatly exceeded expectations. The decrease from 6.0 percent to 4.5 percent or better by the end of the year exceeds last year’s forecast of 5.3 percent by the end of 2015.”

  5. Ebrun

    A gas tax, which is small in NC compared to many states such as Florida, helps pay for our roads and highways. Better to have those who use the roads the most pay the most in user taxes.

    And it is a blatant lie that the middle class is paying higher taxes since the GOP cut income tax rates. Now, a family’s first $17,500 in income is exempt from any state income tax. This helps everyone, but low and middle income earners are helped the most.

    • Ebrun

      There’s a major road project under way in my area, D.g. A dangerous 20 mile stretch of a two land highway is being upgraded to four lanes. In Raleigh, I notice I 440 is under improvement. I am sure there are numerous road upgrades going on all over the state. You should travel around the entire state instead of taking the same route over and over. It would greatly improve your perspective.

  6. Ebrun

    D.g, You apparently can’t accept the fact that there are millions of Americans who do not share your radical leftist point of view, myself included. I am retired, work for no one and am not paid for my political opinions. But if you would like to forward my comments to some conservative organization willing to employ a retired blogger, I’ll consider any and all offers.

    With regard to Professor Walden, I would think the opinion of the UNC Board of Governors (even when dominated by Democrats) has much more credibility than that of a disgruntled undergrad who got a B because his prof used “little or no curve.” What a farce!

    • Ebrun

      What can I tell you, D.g., that I haven’t already told you? I am a movement conservative and have been active in NC grassroots politics since the Ford-Regan convention battles in ’76. Yes this is a Democrat blog, although its name certainly doesn’t reflect or even imply that this is a partisan site.

      I don’t post here to win a popularity contest. I post here to expose the intolerance, misinformation and vitriolic reactions of liberals when their talking points and conventional wisdom are challenged. And I greatly appreciate your cooperation in helping me make that clear over and over again.

      • Ebrun

        Sorry, D.g., but I will be posting on this blog for awhile. I know it irks leftists like yourself to see facts presented here that refute your biased claims and outlandish opinions. You have two choices–either ignore my comments or resort your long, pompous, emotional diatribes, (like you have posted on this thread) that contain few facts and much demagoguery.

        BTW, I challenge you to cite where I referred to “the biblical values of HB2.” I am not particularly devout and never refer to religious teachings to support my political opinions.

  7. Ebrun

    Gosh, D.g. if you would only take the time to do the most rudimentary research, you would not embarrass yourself so often. Just do a Google search of Michael Walden and you will find that he was (is?) a “Distinguished” Professor of Economics at NC State who received a medal of excellence from the college in 2014, another medal in 2103 and the UNC Board of Governors Award for Excellence in Public Service in 2010 (when the Democrats were still in total control of the state).

    You would find that he is the primary author of the NC Index of Leading Economic Indicators, which is why the liberal NC press so often seeks his comments on current economic issues. You would find that he has authored eight books on economics, some of which are college textbooks, and has written numerous Journal articles for a variety of publications.

    Now Dr. Walden is around 65 (his NC State web page did not give his exact age), and he may have retired within the past year. But he is still listed as the primary authority for the monthly NC index of leading economic indicators.

    But I do understand the need for far left ideologues like yourself to attempt to disparage the reputations of any knowledgable authority who presents factual information that contradicts liberal misinformation. But your petty insinuations are just no match for Dr. Walden’s reputation as a respected economist and expert on NC economic trends.

  8. Ebrun

    He probably gave some of his numb nuts students a low grade. Not surprising, as your typical liberal college student has little understanding of or interest in economics.

    While his students may not like him, the liberal press as well as the NC business community apparently pay close attention to his economic analyses and forecasts.

  9. Ebrun

    D.g., Yes my state income taxes decreased when I recalculated my 2014 income using the tax rates and exemptions in place under the Democrats. Haven’t done it for 2015 as my total tax bill was lower than I had projected despite a modest increase in taxable income.

    Speaking of citing sources, I suppose you think Professor Micheal Walden of NC State, a well-respected economist who is an acknowledged expert on NC economic trends, is some partisan hack? I’ll repost a paragraph from a January, 2016 article in the Charlotte Observer (you know, that right wing mouthpiece) quoting Professor Walden on why NC income tax collections are increasing while income tax rates are being reduced.

    “When asked to explain why income tax receipts were increasing while income tax rates were reduced, Michael Walden, an Economics professor at NC State, explained that labor force growth in NC for 2015 “was five times stronger than the national rate and job growth exceeded the national rate as well.”

    Keep your head in the sand if don’t like the positive economic trends now evident in NC, D.g. I know you just don’t get it. Lower income tax rates are resulting in increased business activity in NC which in turn is resulting in job growth above the national and regional averages. Those 90,000 new jobs that Walden predicts will be created this year will look pretty good for the McCrory Administration come November.

    BTW, a Wall Mart distribution center is opening near Mebane next week. Company projects the creation of 550 new jobs. And Lidl, a European grocery chain, is building its regional Headquarters and distribution center in Mebane to open later this year or early next year. Guess these companies aren’t too worried about transgender bathroom access in NC. LOL

    • Ebrun

      D.g., You reflect the height of progressives’ arrogance. Ever even recently been in a Wall Mart store or Sam’s Club? Literally millions of low-and moderate-income Americans on tight budgets shop there to take advantage of low prices. Not everyone can afford the high prices of the upscale grocers where urban liberals, many with cushy government-funded jobs, choose to shop.

  10. Troy

    I know. They’re trimming “State government”. Right down to the point that State government is seriously failing in what it can do.

    • Ebrun

      Troy, I doubt state universities, parks and even major highways will be “worn out” by the time today’s grade schoolers enter college or obtain their drivers’ licenses. Bond financing is much more than academic theory. Just about every state and many local governments rely on bonds (borrowing) to finance long-term capital improvements. Surely your professors, who knew the reality of the real world, pointed that out to their students.

      BTW, the latest budget adopted by the NCGA eliminated the transfer of $215.9 million that in the past had been taken out of the highway fund and reallocated to the General Fund. As someone who seems very concerned with the condition of state roads, I would think you would approve of that move. But since Republicans did it, there must be some pernicious hidden motive, right?

      And I don’t just assume that managers will behave irresponsibility. I held professional positions in two federal agencies, two different state offices and a regional agency supported by state funds. In every case, executives were most concerned with their budgets and how they could expand their operations, staff and influence. There was virtually no concern with larger issues like non essential spending or saving public dollars.

      Your attitude does not surprise me if you were or are a manager in a public bureaucracy. Every agency manger wants freedom to make decisions without minimal oversight, and success is judged by how much their budgets and staff can be increased, not by how they can efficiently manage resources. In the case of regulatory agencies, the goal is always to issue new regulations.

      I posed this question earlier. For liberals who have a vested stake in big government: Is more ever enough? Based on our back and forth on this thread and comments by other liberal posters, the inescapable answer is that more will never be enough.

      • Troy

        I used roads as an example. Practically everyone uses them. They’re something that everyone can understand and everyone generally complains about the sorry condition of. They are in a sorry state of repair and if you’ve noticed, patching is not repairing. You don’t try to stop an arterial hemorrhage with a band-aid.

        I said there are other means of funding besides floating bonds. Usually every entity will explore all funding options prior to borrowing or floating a bond so as to borrow as little as possible in that eventuality. If I wasn’t clear on that, now perhaps you will see the point.

        Money is budgeted and entrusted to those who have the power to spend it. If you are going to keep oversight absent allegation of misconduct or wrong-doing, what do you need those managers for to begin with? Just let the legislature run everything and do away with the middle man. And if you have a manager that is running through the budget recklessly, I’d say you need a new manager, not more oversight. As far as success, I disagree with your measures. Success is getting the job done. I’m guessing that in your ideology, you don’t need the right tools or the right people. You simply need a ‘can do’ attitude and be willing to work. You can dig a ditch with a tablespoon, doesn’t make it the right tool for the job.

        Ok, $215.9 million. What was it appropriated for since it wasn’t transferred to the general fund? Is it going to improve 440 around Raleigh or another pet project for one of the budget writers? If it’s going to be used for something productive, that’s one thing. If it’s going to be used as another savings account or to put cash in another contractor’s pocket, I’m certainly not for it, regardless of who did it.

        I’ve seen you use the same words “Big Government” over and over. What is that indicia of? What do you mean by that? What is “Big Government” to you? Let’s start there first.

        • Ebrun

          Troy, I just can’t believe you can’t see the need for bond financing for long-term capital improvements. It just makes no sense, economically or equitably, to load all the costs of a 25 to 30 project life in the first year or two of the project, unless their is an extraordinary revenue surplus.

          The $215.9 million was taken out of the state’s Hwy fund, which I believe is funded through state gas tax collections, and reallocated to the General Fund most likely to make up for revenue shortfalls affecting the General Fund. I do not know when this practice was started by previous General Assemblies or why it has been continued until this latest budget.

          Obviously, I am not familiar with the priorities of those charged with administering the highway fund. I was just suggesting that keeping gas tax collections for road construction or improvements seems like sensible policy. And of course, any major highway improvements projects will “put cash in another contractor’s pocket.”

          I would certainly agree with you that success should be defined as getting the job done. I was just noting that in every bureaucratic office I worked in, the executives were more interested in increasing their staff, funding and power. In effect, they were saying that they could never successfully complete the bureau’s assigned mission. (If they ever did, of course, they might be out of a job). Or as I have put it, more was never enough.

          As far a big government is defined, I would contend that a state budget that that has increased over from $5.5 billion to $22.4 billion over a 30 year period is illustrative of profligate public spending. This is much greater than the rate of inflation or population growth would justify. I worked for the state of NC when the budget was in the single digit billions. There were no more unmet needs then than there are now and public priorities were about the same then as they are today.

          One sobering fact that should be of interest to those who claim there are a plethora of public needs that government must address. About two/thirds (66%) of the state’s total annual operating budget is spent not on direct services or benefits to the public, but on salaries, health care and pension benefits for state workers. As a former state employee, I can attest to the fact that the primary beneficiaries of big government are government workers.

        • Troy

          I’ve never said there is no need or that bonds/loans aren’t a necessity, I did say there are other funding options and once you’ve exhausted them or used them, that is the time to go loan shopping or the bond issuance route. But to control the costs of that debt, it makes no sense running it out for decades either. To use a Republicanism here, just because your kids are going to inherit your real property, you don’t run your mortgage for 50 years so they get to pay for part of what they are gaining. Some projects are of sufficient size that makes sense; I’ve never denied or argued against that eventuality when the project is that large. But just to draw it out so that more people share in the debt; its illogical.

          I understand fully why the money was transferred. I don’t agree with that either; whenever the practice started. I’m not familiar with projects funding either at DOT. But I do know that there once was a time when road improvements and maintenance were handled by DOT major or minor, not contractors. That’s not true any more either.

          I understand those issues in the offices of which you speak. I remember those discussions on those exact problems succinctly from grad school. We also discussed the whys too. Which is, when you don’t spend what you were budgeted, next year, they’ll cut your budget. It becomes a “spend it or lose it” mentality. I think just because you manage your budget well, you shouldn’t be penalized by having your funding cut. So I can see both sides of this matter.

          (if I’m reading my calculator correctly) that’s a 246% increase or 8% per year. Across those years, how was North Carolina growing and expanding; in population and GDP? Perhaps Government shouldn’t have grown in a 1:1 ratio with that expansion, but it is refreshing in my view to see that government at least was in tune with what was going on. I know that during those last 30 years, North Carolina finally turned from being considered a ‘rural’ State to an ‘urban’ one. We grew, we changed demographically. I can’t say if that’s good or bad since that hinges on the individual. But the budget kept pace. Again, was that good or bad? Apparently this legislature doesn’t think it was bad since the funding level is where it is at 22.4 billion. And my disagreement isn’t with the amount; it’s with what they’re spending it on. Now that I’ve rambled aimlessly for a bit, big government isn’t gauged by the budget bottom line. Let’s face it, 25 people, a copier, a few laptops, and a couple of attorneys could manage the budget. Big Government for me is a leviathian. I understand that you perhaps view it in that aspect now. I can’t wholly disagree but I think Government is necessary and should be proportional to size and population.

          As for your question, “Is more ever enough?” Enough is enough. What/where/when is that determined? Well, that’s why we have politicians (who are supposed to be representatives of the people) and elections. What we’re supposed to have and what we end up with are two different things however. As for government, you control costs, but the costs of doing business always increase. Corporations strive to increase profit and sales every quarter. That is growth. But that line is going to flatten at some point. So too with Government. Cost increases are going to happen regardless. You budget as best you can. And if you don’t increase revenues, that is when you have to start transferring funds from one fund to the next. That is when you start encountering shortfalls. That is when the alarms start going off. The question is, what remains left undone and unfunded?

  11. Ebrun

    Mr. Mills claims that the GOP-controlled General Assembly wants to rely on regressive sales taxes to cover additional needed revenues. Interestingly, he doesn’t claim revenue shortfalls as a result of the GOP-sponsored income tax rate cuts that the state’s entire liberal establishment was predicting would occur just over a year ago. As we all now can see, the income tax cuts resulted in increased in revenue collections.

    But Mr.Mills is still distorting the facts. Analysis by the non partisan, professional staff of the NCGA’s Division of Fiscal Research has reported that additional income tax revenues were collected by the state as a result of increased business activity and new job creation that occurred after the reduction in state business and individual income tax rates.

    In other words, lower state income tax rates spurred economic growth that resulted in increased state income tax revenues. This phoemonia is absolutely anathema to the conventional wisdom that has been proffered and endorsed by the liberal establishment for decades.

    NC’s experience with income tax cuts posses a lethal threat to progressive dogma. It’s not surprising that Mr. Mills and other leftist collaborators will resort to any facile and disingenuous claims in an attempt to obfuscate this significant trend in state fiscal policy.

    • Hawkeye

      Here’s an item about the end results of the economic policies being pushed by ALEC/NCGOP. Kansas is the canary in the coal mine.

      Kansas Rebellion: Bipartisan Revolt Against Governor Brownback

      By Rod Kackley, PJ Media
      03 July 16

      Jeff Blackwood has had enough of Kansas Gov. Sam Brownback’s economic policies that included across-the-board tax cuts.

      Blackwood, the founder of the Kansas City healthcare technology firm Pathfinder Health Innovations, announced on the company’s blog June 13 that he’s moving to Missouri.

      “I can’t, in good conscience, continue to give our tax money to a government that actively works against the needs of its citizens; a state that is systematically targeting the citizens in most need, denying them critical care and reducing their cost of life as if they’re simply a tax burden that should be ignored,” Blackwood wrote on his blog.

      That’s the kind of statement that has been sending shockwaves through the Kansas political hierarchy, and some of those who ran things for decades in Topeka have also had enough

      All four living, former Kansas governors — two Democrats and two Republicans — are among more than a dozen politicians who have launched a bipartisan group, the Save Kansas Coalition, to warn fellow Kansas residents about Gov. Sam Brownback.

      Republicans Bill Graves and Mike Hayden, along with Kathleen Sebelius and her fellow Democrat John Carlin, accused Gov. Brownback of pushing Kansas into a financial crisis by pushing the Legislature to cut personal tax rates by 29 percent in 2012 and 2013.

      Kansas has struggled to balance its budget ever since, and the state’s credit rating has fallen.

      Both Standard & Poor’s Ratings and Moody’s Investor Service downgraded Kansas’ credit rating in August 2014 and warned in April 2016 that further downgrades could be coming.

      “Our state of affairs is on a continuous decline,” said Hayden in the Save Kansas Coalition press release.

      The latest financial crisis to embroil Topeka was legislation to keep public school classrooms open.

      A special session of the Legislature culminated with lawmakers passing the school finance bill June 24, and Gov. Brownback promising to sign it.

      The AP reported the bill boosts state aid to poor schools in response to a court mandate and ended a threat that the state’s public schools might be forced to close.

      “Now we can move forward with the other issues that the state faces,” Brownback said.

      Rep. Melissa Rooker (R) told the Kansas City Star the legislation was nothing more than a temporary “safe harbor.”

      “This was triage,” Rooker said. “The state has a number of different areas of crisis going on. This was the most immediate.

      Democrats and some Republicans have continually blasted Brownback’s idea that cutting taxes would be the key to revitalizing the Kansas economy.

      They argued that the 2016-2017 budget approved by House and Senate negotiators in February did nothing more than paper over problems for another year.

      http://readersupportednews.org/news-section2/318-66/37805-kansas-rebellion-bipartisan-revolt-against-governor-brownback

      • Troy

        There is a book, “What’s the Matter with Kansas?” written by Thomas Frank. It was written in 2005 and I will refrain from calling it prophetic, but it would seem that everything the write laments has come to pass in Kansas. Brownback was a US Senator at the time.

      • Ebrun

        Interesting how liberals want to change the discussion to Kansas when presented with the data showing that NC is enjoying substantial economic growth under Republican control.

    • Ebrun

      I think you failed to report some important data, D.g. Individual income tax collections had increased by$489 million as of January, 2016, despite a reduction in income tax rates, according to a report in the Charlotte Observer. A report from the Legislative Services office on 2014 tax revenues found that:

      “Growth in April [2015] payments was consistent with other states’ experiences: Based on information from other budget and revenue officers across the nation, April tax payments were up 15-20%. North Carolina had yearly [revenue] growth of that magnitude, which was well above expectation given tax law changes. It appears that the increase was driven by increases in business income, which is often paid under the Personal Income tax, and by capital gains from the sale of stocks and real estate holdings. However, detailed IRS data will not be available until this time next year.”

      When asked to explain why income tax receipts were increasing while income tax rates were reduced, Michael Walden, an Economics professor at NC State, explained that labor force growth in NC for 2015 “was five times stronger than the national rate and job growth exceeded the national rate as well.”

      Walden went on to predict new job growth in NC of around 90,000 for this year. With another large surplus in revenue collections apparent, it seems obvious that economic growth is again resulting in increased individual income tax collections despite reduced income tax rates.

      • Elizabeth

        As I reported earlier, our state taxes increased 500% when the medical deduction was eliminated… while our federal taxes remained basically the same. There were no major changes in our life situation. As a lower-middle class retired couple, it’s annoying to see the TV ads claiming state taxes were reduced under this administration! Part of the increased tax revenues are likely coming from people like us.

        • Elizabeth

          Rather than getting our customary return, we’ve had to pay the state since the changes took effect (while federal has remained basically the same). I figure if you’re high income, 5.75% is a reduction; if you’re low income with medical expenses, you pay more than before. No one mentions this, so I wonder if anybody in power cares.

    • Ebrun

      Troy, I think we’ve beaten this subject to a pulp. But I do appreciate having a civil discussion where our disagreements are clearly defined or, in some cases, nuanced. But it is gratifying to engage in an reasoned debate rather than resort to the invective that many commenters here are prone to do when their views are challenged.

  12. Ebrun

    Troy, you ignore the McCrory Administration’s support for that huge bond referendum that passed last election. That’s how most capital costs, including infrastructure, are financed, not through the biennial budget. It is perfectly appropriate to finance long-term capital projects through borrowing. In this manner, future generations that will benefit from long-term projects are assessed some of the costs. Bone up a little on principles of public finance and you will see how flawed your “position” is.

    • Troy

      Oh I didn’t ignore it; I never considered it. As you and I have debated previously, neither of us supported that bond referendum. Me from the perspective that all it does is line the pockets of private interests and does very little to improve anything. He’s going to use bond money to pay off his cronies. I don’t support that. I don’t remember your slant on it but I seem to recall you thought there was too much pork in it.

      Indeed, capital expenditures are financed through borrowing…unless there is cash on hand. But I think that my exact words were “…construction and infrastructure improvements…” If you have $1.6billion on hand, WHY are you borrowing money?

      And…we were talking about the metrics this Legislature uses to control spending and philosophical differences between the parties; NOT capital project financing. If you’d stay on track rather than pick and choose what you can try to refute and spin in a positive context, we’d have fewer of these sidebar discussions.

      Having managed and written budgets, I don’t see anything wrong with my public finance principles. I was always a good steward of the public trust and worked diligently to get the most for every dollar spent; qualitatively and quantitatively. Too bad this legislature can’t say the same thing. Their recurring theme is how much they’ve managed to cut and squirrel back, not the good they’ve done with it. What good is money if you don’t spend it?

      • Ebrun

        Troy, You still ignore an important principle of public finance. Long term capital improvements primarily benefit future generations. Someone who is born today will benefit from roads built today and other infrastructure in their adult years. Thus long term bond issues tend to spread the costs out so future beneficiaries also share the costs.

        It doesn’t make since from an equitable or practical stand point for this year’s tax collections to pay the full costs of investments that will benefit future citizens. Don’t know if you’ve ever taken a graduate level course in public finance, but the concept was called “intergenerational equity” in my public finance course.

        And I can’t believe you are well schooled in public finance if you believe governments should not put aside funds for future emergencies, but instead spend all of what they have today and not be concerned about future economic downturns and revenue shortfalls. This is another basic principle of modern public finance.

        With regard to the state bond issue that recently passed, yes I opposed it not because it involved borrowing, but because of the line item projects that were slated to be funded. A majority of the capital costs will be spent on brick and mortar for the UNC system instead of transportation and other vital infrastructure.

        BTW, you were the one who started complaining about not enough funds being budgeted for infrastructure and capital construction. Bond financing is an integral part of budgeting and public finance. Take off the blinders and try to see the big picture instead on just moaning about not spending enough this year.

        • Troy

          I’m not ignoring it; I’m not considering it. It’s something that has outlived its usefulness. Why?

          First of all, and I’m going to use roads here for a moment, aren’t built with consideration of “future”. They are built for the here and now. They are built with the sole consideration of traffic conditions as they now are. If they were built with any consideration of future growth, we wouldn’t be confined to the limitations we now find ourselves constrained with.
          This may seem to contradict that first premise but it dovetails nicely. No one’s crystal ball works. There is no way to project future growth based on past growth. There are too many extraneous factors and you can’t model it, not with any confidence. No, I haven’t forgotten or ignored the traffic surveys and counters that NCDOT set up every so often to capture that data and use it to map “Traffic Improvement Plans” for various areas. The problem with those plans is they are dependent on funding. Priorities shift as does funding. I’m not saying that what is necessary has become less so, it’s that something has gotten moved forward at the behest of someone who has the power to shift it regardless of necessity. So how can we predict future need when we can’t even get the present taken care of and build what we know we need?

          Third, nothing is built to last. It’s built for the here and now and on the cheap. When it starts to fail or needs repair, well, that’s someone else’s problem. Too many projects are built with that in mind. It’s done to keep current tax payers happy. It has no consideration of service life before repair and/or replacement becomes necessary. The overreaching problem with is, the generation it fails in is still paying off the debt to bring that project to fruition in the first place. There’s no money for repairs or replacement. If you borrow more money, you’ve encumbered another generation or two. It’s circular logic. None of that by the way is done for fiscal responsibility; it’s done for political expediency.

          Fourth, isn’t that a major sticking point with your party and the Libertarians, borrowing money now and encumbering future generations to service that debt? Isn’t that what many young people are now up in arms about? Is that not taxation without representation?

          I never said that these projects should be tasked and financed on the basis of one budget year. But the project should be financed, completed, and the debt serviced within a reasonable amount of time; say 10-15 years, depending on the size of the project. Taxes should thus be levied according to that debt service. If there is enough in revenues to service the debt without an increase, so be it. If not, well, even the rich use the roads not just the lower classes.

          With regard to your commentary on capital projects et seq. What I said was, “The costs for construction and infrastructure improvement aren’t going to go down. So if they don’t have the money or the time now, when will they in the future?” My comment was more rhetorical than directed. It certainly wasn’t complaining and it remains a question unanswered.

          Go back and read everything I’ve written thus far. Nowhere, not in this entire thread, have I said, advocated or lead anyone to the conclusion that I am advocating against putting aside funds for emergency use. What I did question was the amount being squirreled back. The Local Government Commission in its publication “Local Government Finance” requires that local governments keep 6% of their annual operating budget in reserve. Local governments have fewer financing and funding options than State government but even there at that percentage, that’s only $1.32billion. That extra $300 (okay, $280) million would go a long way filling some of the shortfalls from prior budgets.

          I assure you, my blinders are off. I never once said anything about one partisan party having a better fiscal plan than another. Mistakes have been made on both sides and what I’m lamenting about here is, an even bigger mistake than over-spending and that’s under-funding. If you have the money it should go for needs. These are needs that have been ignored for too many years; either because of recession, tax cuts, or budget cuts.

          We can’t go back and fix what was. We can only move forward and try to look ahead. In that regard, we need to be responsible and do what’s right for the people; not the well connected, not the corporations, not the corporate proles; but the people. There’s what, 15 million of us, the citizens, the huge collective. Us.

          • Ebrun

            Troy, your philosophy on government spending is right in sync with managers in the today’s liberal public bureaucracy. “Needs” are very subjective and any good bureaucrat will argue that his agency serves essential needs. So they will spend all they can spend now and ask for more in the next budget. Not only does this promote the self-esteem of the bureaucrats, it presents an avenue for increased power and importance for the office or agency.

            One problem with spending as much as feasible now is that there will always be leaner years in the future causing revenue shortfalls. Once funding of government programs is increased, it is extremely difficult to reduce even in hard times. Program constituencies howl about budget cuts and the press rails against tight fisted legislators. To make up for revenue shortfalls, taxes are often raised on a citizenry already hurting from hard times. (This happened in NC in 2009-10). Prudent state/local fiscal policy demands stable allocations and only incremental increases when necessary with a substantial reserve fund held back for emergencies.

            It is reassuring to see that you finally acknowledge the need for a reserve fund. So I guess our disagreement on that point is reduced to how large the reserve should be.

            And with regard to the current budgetary situation in NC, it has been reported that not only did the state have a revenue surplus of several hundred million for the past two years, but there was a $62.4 million surplus remaining from funds budgeted but not spent. Perhaps this surplus can be attributed to close spending oversight by the McCrory Administration, but I am not sure of that. But I am sure that had the agencies spent all that was budgeted, odds are great that it would have resulted in wasteful, non essential profligacy.

            You apparently reject the concept of intergenerational equity. Young people born this year will benefit well into their adult years from current capital expenditures on state colleges, roads, parks and environmental projects, etc. The current generation should not have to pay the FULL costs of projects that will benefit today’s youth in the future. It may spending without representation, but the young will always have to deal to some extent with decisions made by their elders.

            BTW, state and local bond issues that I am familiar with are for periods of 20 or more years. Your projection of 10 to 15 years of debt service for capital improvements seems unrealistic for many capital projects. And there is money in most every agency’s annual budget for maintenance and repairs.

          • Troy

            Needs vs wants. Difference. Good managers will have contingency built into the budget to handle things unforeseen. It is the micro-managing mental midget that allows no leeway for the eventuality since it is literally impossible to foresee every potential outcome. You may consider it trivializing, but I like George Carlin’s analogy here on this issue. Paraphrasing, “We saw excellent government oversight once. It was in black and white and the purveyors of said oversight were speaking German and wearing swastikas.” Frankly a little excess here and there doesn’t bother me that much. You assume that without a beancounter looking over one’s shoulder, managers will act irresponsibly. I disagree, if on no other premise, principle.

            Your philosophy follows the logic of someone I once knew. He opined that, “if you keep track of your pennies, you won’t have to worry about the dollars.” Another of those -isms that sorta makes sense until you start thinking about it. To that end, he never saw the forest, only trees.

            There are means other than floating bonds to generate revenue for projects.

            Again, I never disputed the need, only the amount.

            As far as spending, I wonder how much of those funds were “unbudgeted” or “unallocated”. You know, plugged into budget lines for which they will never be expended. Yes, I know that trick and a few others too. You can estimate revenues to the tune of 97% of the prior year’s revenues but if you only budget 95% and your estimations are on target, you’ve already got a 2% surplus not counting any extra that may be generated. And when you’re budgeted ‘x’ amount of dollars and you get that call stating you better only spend ‘y’ amount, that isn’t hard to figure either. No matter what is left undone. So yes, you might be demonstrating budget constraint, but what are you really doing? Are you being a good steward of the public trust or pandering to some micro-managing bureaucrat appointee trying to make him/herself look good at the expense of the people you are sworn to serve? I contend the latter. Yes there is maintenance and repair budget lines. Apparently not enough, gauging the number of potholes I see on a daily basis. And there is hardly anything complicated about a pothole other than the frequency of them.

            Those future generations are going to have their own problems and should be free to address them as they see fit rather than being constrained with debt incurred on their behalf, perhaps for something that is worn out and obsolete by the time they finish paying for it. I don’t know where you did your grad work, but at the University I went to, I was fortunate enough to have professors that not only knew theory, but had worked in and knew the realities of the real world. That educational rounding makes a world of difference in application. Theory is the domain of the academician. Application and practice is the domain of the practitioner. The two rarely overlap.

    • Ebrun

      D.g., While I strongly disagree with Troy about current state fiscal policies, at least we are engaging in a rational debate with no name calling and just modest partisan rancor. I suspect our conversation is a little out of your league, so why not butt out and avoid looking like a partisan hack.

  13. Ebrun

    Sorry, D.G., but it’s more gratifying yanking your chain than preaching to the choir. And even a laughing fool should be able to understand state spending trends as historic budget and population data are readily available.

  14. Ebrun

    Wow, D.g, another of your comments full of your opinions but devoid of any data or indisputable facts.

    BTW, latest statewide poll has McCrory’s favorability at a positive 51% to 40%. That’s a reversal from April when it was a negative 39% to 49%. Roy Cooper’s favorability is now at 32% to 25% unfavorable. That’s down from 38% to 17% favorable/unfavorable in April. Wonder what caused McCrory’s to improve while Cooper’s declined? Could it be McCrory’s support for HB2 while Cooper has refused to defend the law in legal proceedings?

    Poll also shows McCrory with a five point lead over Cooper. That’s down from seven last month. Same poll has Hillary now up two over Trump in NC.

    • Ebrun

      Troy, don’t be disingenuous. Even in a severe recession, the state continues to collect tax revenues. The rainy day fund is designed to supplement state tax collections when revenue shortfalls occur.

      Here’s an issue that seems to really be at the heart of differences between liberals and conservatives: The current GOP-controlled NCGA’s policy is to increase state spending no more than is required to take population growth and inflation into account. Apparently, you and other liberals who comment here do not believe that is appropriate public policy, right? But is more ever enough? What policies would you propose to guide state spending?

      As a frame of reference, annual state spending is four times larger today (around $22 billion) than it was 30 years ago when it was $5.5 billion. This growth in state spending is much higher than the state’s rate of population growth or inflation.

      To examine state fiscal trends another way, there has been a 42% increase in inflation-adjusted state spending per capita over the past 30 years. That’s 42% more money spent per person. And that rapid spending increase is on top of federal spending in NC, which is growing faster than state spending.

      So for those liberals on this blog who advocate that state spending of public dollars should be much higher it’s relevant to ask: Is more ever enough?

      And BTW, it seems to me that that it’s the liberals on this blog that are predicting doom and gloom. Conservatives are elated at the progress the state is making under Republican leadership.

      • Haha

        Where did those numbers come from? Can you give us a link, or was it just pulled from one of your bodily orifices?

      • Troy

        I wasn’t being disingenuous; you said we needed to increase the rainy day fund in order to guard against another recession. Given that was the only fact stated, I took it to literal task. I’m well aware of the other revenue streams and that they’ll continue…as long as people can pay them.

        With regard to differences. Republicans want to quantify things. They want proof for something before they spend money. What they don’t realize is, not all things are quantifiable. You build a road. People drive on it. I guess you can measure the number of users as a means of justification; but the result isn’t readily apparent. The people using it know however. The same with street lights, law enforcement, and any number of things tax dollars are spent on that really have no need or anything else upon which to so cost benefit analysis.

        The thing being ignored is that spending should grow exponentially rather than a 1:1 ratio to population and inflation. Why would I say that? Because the demands increase exponentially rather than at a 1:1 ratio to those criteria. You can base raises on an average GDP increase of 3.3%, but does that mean reflect increases of 20% in utilities or 30% in fuel costs? They want salary increases to reflect on output, but they ignore the years prior that no increase was given but the costs of living went up regardless of whether they approved or not. Strange the legislature didn’t fight to control those costs. But that is the difference. They want “free-market” on the one hand to run rough shod across the population and choke out the population with what they spend on the other. There’s got to be some give and take and not just take/take.

        As for me, I’m more of an adherent to Keynesian Economic Theory. The more money in circulation, the more people can buy, they more they spend, that drives the economy. It’s been proven too many times despite the “common sense” arguments to the contrary. Government budgeting has nothing to do with household budgets in the specific sense of the meaning. Saying that I’ll say this. The costs for construction and infrastructure improvement aren’t going to go down. So if they don’t have the money or the time now, when will they in the future? When they ‘save’ enough? That simply means it will never happen. When they finally figure that out and start to spend, it’s going to cost more. More on the basis of whatever needed fixing back when is now in a more severe state of disrepair and more because of the rise in costs. Either way, it’s going to cost more by waiting than just biting the bullet and doing it now. I don’t mean patching it up either. If you don’t fix it right the first time, when are you going to have the time and money to do it over?

        So while the adjusted spending has increased by that much across the past three decades, how much has the cost of living likewise increased across those same three decades?

        As you stated, those are the two measures this legislature chose to use as a means of measurement. While the measurement may very well be accurate on the basis of what is being measured, does it provide an accurate account of what needs to be measured? I don’t believe it does.

        That’s my position.

    • Ebrun

      I’ll believe the Civitas poll (that now show Hillary over Trump by 2 in NC) over the Democrat PPP poll, D.g. The Civitas poll is conducted by a non partisan, professional polling organization. It’s also has Burr up by 10 over whatshername. But you should keep believing PPP if it makes you feel better.

      • Hawkeye

        hahahahahahaha

        Deliverance was a love story.

        A good one. I never thought of it that way before!

  15. Russell

    I went to one of the best public high schools in Greensboro. I went to a slum school on the South Side of Chicago. The slum school in Chicago was better. In fact I ought not have ever come back to North Carolina, where what I learned and was set on to do was pretty well wasted.
    North Carolina owes RTP to Luther Hodges who could not get the money for it from those in the state who had money. Specifically at the time he tried with the Cannons.
    I read in the Triad Business Journal last year that 25 percent of those in some of the strongest economic areas were living in food insecurity. That is the definition of poverty from my perspective.
    I believe poverty in North Carolina is on purpose in accordance with the economist William Petty’s theories that work is horrible and workers ought be trapped through low subsistence wages to do it.
    No former C.S.A. State pays as well as other states that were of the Union.

  16. Yojji

    HURRICANE PAT DISCUSSION NUMBER 2
    NcWS NATIONAL HURRICANE CENTER RALEIGH NC
    500 AM AST WED JUN 2016

    Hurricane Pat has shown steady intensification in the last three months and satellite imagery shows an impressive, well-defined 30 mi diameter closed eyewall. The last aircraft reconnaissance reports show surface-level pressure is 881 mbar and winds have increased to 161 kts. Pat is now a category five hurricane. A hurricane warning remains in effect from Cape Hatteras westward to Murphy. All interests in the warning area should closely monitor Pat and begin preparations. Evacuation of low-lying areas may be recommended if Pat maintains its intensity as it approaches landfall.

    $$
    Forecaster Yojji

  17. Norma Munn

    Just got home from a day of errands and moving boxes out of a storage unit to my new storage unit in my apartment building. Read all the comments about the budget details and what the legislature has/has not done. Very well written, and I can’t recall ever seeing a list with as many negatives about the actions of elected officials. I can add nothing, but I will copy and circulate to a Rep who seems unsure of what to do in the current election. It is a pretty comprehensive condemnation of the work of the last few years. Also, a depressing example of backward thinking (well, may not actually thinking). Perhaps the nitwits in Raleigh who are so proud of this record would like to do their magic elsewhere. (Texas? Alabama? Kansas?) I would personally contribute for them to move. In lieu of that fantasy, after a glass of wine, I will get out the credit card and make some more campaign donations. Thanks to all who contributed to the “List'”

  18. Hawkeye

    Well , I can’t add much to this , it gives me a headache!

    But I can say that, among the NCGOP’s ‘accomplishments’ is the continued tyranny directed at local governments , above and beyond SB2.

    Cases in point : redistricting county and city precincts to favor rejected Republicans , confiscation of infrastructure : airports, parks , water , fairgrounds , etc . All , without input from the people , or over their objections.
    Retiring state Sen Tom Apodca is , at this moment, redesigning Asheville’s precincts , that will lead to the removal of at least 3 councilpersons , all Democrats.

    This activity is the definition of dictatorship , and some out here are batting around the idea of succession. West Carolina ! Franklin , maybe ? Raleigh has a long bi-partisan history of ignoring us !

  19. Mike Leonard

    Saw a pro-McCrory ad on TV today that claimed he’d given public school teachers “the biggest raise in the country”. What a joke!

  20. Maurice Murray III

    Similar to Thom’s reporting in this post, “Governor Pat McCrory and the Republican-led legislature raised the sales tax” on new mobile homes. This article reports that the “average mobile home buyer will spend about $41,000 on a single wide home. New tax laws will result in a sales tax jump of $300 for a single wide to close to $2,000.”

    http://wunc.org/post/sales-tax-jumps-manufactured-homes#stream/0

    What, generally, is the income level of those buying a new mobile home?

  21. Ebrun

    Lower taxes for all, revenue surpluses every year, increased education spending, biggest teacher pay raises since ’06, largest “rainy day” fund in state history, Medicaid spending finally under control, new job creation above the national average, lower tuition costs at state colleges, special education scholarships for low and middle income families, pay off of debt to the federal government. Not any damage from these policies.

    The agreement has been reported today on several neutral web sites Oh but, yes, there must be some “rewards” in there for the fat cats. Surely, some enterprising liberal will be able to point them out. In the meantime, NC continues to prosper through new economic activity, new job creation and rising personal incomes despite a nationwide campaign by NC Democrats to denigrate the state’s reputation. Increasing net in migration of people and businesses here shows that this partisan, negative propaganda is not convincing anyone but liberal pundits and disgruntled local Democrats.

    • Troy

      If I may Sir:

      7. Cutting the unemployment benefit.

      8. Increasing the sales tax on utility bills.

      9. Increasing or creating fees for services.

      Oh yes, there is a surplus of cash. There’s a surplus because they aren’t spending money for schools, medicare, roads, and 100 other things that are needed and necessary for this State to function. Things that if left alone will continue deteriorate and fester. Right now, the Republican idea is that they don’t have the money to do things right, but eventually another Legislature will have the money to them over. A legislature they can mock and jeer for wasting money.

      There is always more than one or two sides to anything.

      • Elizabeth

        If the medical expense deduction has not been reinstated, can add “10. Eliminated medical expense deduction.” Our state taxes increased 500%, as a retired low-middle class couple, the year that went into effect — no major changes in life situation, federal taxes remained about the same.

      • Marie

        Bob Luddy and Art Pope, to name two NC Koch brothers toadies.

      • Ebrun

        Spend now, tax and borrow later, right Troy? I am afraid you’ll have to wait till big spending Democrats get back in control. Under GOP control, state spending will increase, but by no more than the rate of inflation plus population growth. No doubt Democrats are salivating to regain power and splurging with the state’s rainy day fund, which now sets at a record $1.6 billion.

        Democrats’ spending will inevitably result in their raising taxes and borrowing when the next recession hits the state, as they did during the last recession. Prudent state fiscal policies will only survive as long as the GOP controls the NC General Assembly.

        • Charles Hogan

          that is why they out a rider in the state budget to amend the state constitution to cap the income tax they know they are destine to loose power in November, so the wanted to make the damage permanent before they loose.

        • Troy

          So, what are they sitting on that $1.6 billion for? When the beaches and the soil starts to erode from fracking? When the next big polluter uses up every resource we can muster and flees offshore? Or like most capitalistic narcissists, they just want to sit around and crow about how great they are because they have money in the bank?

          Last I checked, taxes are levied to provide for good government and to provide for things like roads, education, law enforcement. Not to sit on and gloat over and brag about.

          Or, if they aren’t going to spend it, they can give it back…with interest. Which is why they’re sitting on it; it’s drawing interest. Making money off our money. How…Republican.

        • Hawkeye

          Big Spending Democrats?
          That’s just really old propaganda from the 70’s.

          It’s a real good trick on the uninformed , but the truth was , and is , that there is plenty of big spending to go around.

          The difference between Republicans and Democrats has always been who’s doing the spending , and who or what they’re spending it on.

          The GOP , naturally , prefers to spend for their big pocket corporate donors.

        • Someone from Main Street

          Umm. NCGOP slashed income taxes (and got rid of key deductions) then passed a massive bond to pay for infrastructure improvements. So yes, debt is the plan.

    • Ebrun

      No facts, D.g, just more hyperbole, distortion and partisan opinions from the radical left. NC is prospering under Republican leadership and the left is desperate to regain power before it becomes apparent to all but a few hard core liberals.

      • Ebrun

        So you think the state should spend whatever it has today and not save for tomorrow, eh Troy? Bet you don’t run your household that way.

        Another recession will inevitably occur and savings will enable the state to continue it level of services without raising taxes on already hard hit citizens. That is exactly what happened in 2009-10 when the Democrats were in complete control of the state. Ever wonder why the Republicans swept NC Democrats out of power in the 2010 elections? I suspect that was an important contributing factor.

        • Hawkeye

          Gimme a break!
          The GOP didn’t win on economics or sane issues.

          They won by scaring the carnival marks with that old saw , Gays, Guns and God ; ie: Amendment 1 , which , like the racist congressional districts drawn up by you GOP TYRANTS , was deemed illegal by the courts.

          Now we have to go through it all again with SB2 and racist precincts assigned to Asheville by ‘Boss Hogg’ Apodoca, who , like other GOP carpetbaggers , doesn’t live here.

        • Troy

          That’s all ya got? We need savings”. Well let’s see, we have a 1.6 billion reserve and a 22.5 billion budget; so we’re using 1.875 billion a month…wow, a short recession. Which, if Donald Trump is elected, is going to prove to be anything but short.

          Yes I did. I wondered how a group of people so diverse could collectively be so damn stupid. The people however took the only choice they felt they had since the Democrats in office weren’t doing a whole lot. Of course, without jobs, there wasn’t a whole lot to do anything with. But at least we tried.

          McCrory and this bunch in Raleigh aren’t even trying. They’re trying to ensure their legacy; they’re protecting their compatriots in business. They are running the legislature like an investment banker taking over a failing business. They’re gutting and selling off anything of value and then they’re going to declare the whole thing a failure. Leaving out their contribution to the failure of course.

          Self serving prophecy my friend. The dogma of doom and gloom.

      • Ebrun

        Another pompous lecture, D.g.? Your ego must be bolstered by the amount of verbiage you post. But your verbose ramblings do little to enhance your intellectual persona.

        • Hawkeye

          Speaking of carpetbaggers , Mark Meadows doesn’t really live here , either.

          He’s a Florida ‘bizness’ man. Likely kin to Bernie Madoff.

      • Hawkeye

        Democrat Rick Bryson is running for Congress in the 11th district.
        During his interview yesterday , he pointed out that the government shutdown both Meadows and Ryan bragged about may not only have cost $$$$$$ money , but may have cost LIVES, due to medical care that became unavailable. No better than the ENRON shutdown in California circa 2001. People lost lives there just so these cretins could turn a profit .

        See : “The Smartest Guys in the Room” , both a book and a film.

        You’re slick , Ebrun , but you’re basically a tyrant , just like little Timmy Moffitt and Tom Apodoca, and the rest , from McCrory , McConnell on down.

        You can just Fade Away.

  22. Ebrun

    NC state House and Senate leaders just agreed on a revised budget for the second year of the biennium. The budget agreement includes:

    *An average 4.7% raise for public school teachers, raising, with local
    supplements, average annual teacher salaries to over $50,000;

    *Bonuses for teachers who do well in Advanced Placement and Career
    Certification tests;

    *A 1.5% raise for state employees and bonuses worth 0.5 percent of salary,
    plus permanent merit-based raises decided by state agency;

    * A 1.6% increase in the pensions for retired state workers;

    *Fee freezes and fixed tuition rates at UNC system colleges;

    *A $10 million increase in the State’s emergency relief fund;

    *A $474 million increase in the state’s “Rainy Day Fund;”

    *A substantial increase in the standard deduction representing a tax cut for all
    state tax payers;

    *A substantial increase in the Opportunity Scholarship Program for low and
    moderate income families;

    *Nearly $500,000 for Zika prevention and protection.

    There is little doubt NC’s fat cat millionaires and out-of-state billionaires are just drooling over this new state budget agreement which obviously “concentrate[s] wealth in the hands of those who already have it and restrict[s] ]state and local governments from providing the tools that move people out poverty and into the middle class.” LOL

    • Norma Munn

      Did you find all of those goodies in a press release? Or did you actually read the revised state budget documents. I mean the final version they have to vote on, and did you put it into the context of the original.

      It is an election year. Of course, the state budget has some money spent on ordinary voters. Never seen a state budget that somehow did not manage that during election times. (And most large cities.) I have not read the NC state budget, and frankly, do not intend to, but I can guarantee you that there are rewards buried in it for the fat cats. Nobody neglects their big donors during election year. They just don’t advertise what they do. Probably also a few really startling surprises that few other than the legislative leaders knew about, and which were added in the last few days.

      None of that changes the long term approach of the current legislature and governor, nor undoes the damage on the public education system of NC.

      • Marie

        Thanks again for your wise comments. I hope people are listening!

      • A. D. Reed

        You’re so right about the “opportunity” scholarships. The money they offer to attend the private schools of their choice is laughable. As I recall (correct me if I’m wrong), the cap per student is $4,000 per year.

        The school I attended in the 1960s is still a very elite, highly regarded private school in Asheville. Three or four years ago I checked into its current tuition rates: $11,000 per semester for the upper school (middle and high school grades).

        So all those poor families looking for help would get 18% of what they need to attend such a school (and boarding schools are even more), or have to rely on school scholarships or loans for the rest. When you earn $30,000/year with no benefits, pre-tax, you’re not going to get much opportunity from these phony grants. Their real purpose is to drain cash from the public school system and support private, for-profit charter schools owned and managed by friends of the GOP.

    • Charles Hogan

      well let’s see how that tax reform works for Kansas our sister state that implimented to Koch tax plan ..

      “On the whole, Brownback’s policies modestly increased taxes for the poor and working class, who pay more in sales taxes than income taxes, while reducing taxes drastically for the rich.”

      “The poorest 20 percent of households — those making less than $23,000 a year — are paying about “$200″ more, on average, according to an analysis by the Institute on Taxation and Economic Policy in Washington. For the middle class, the changes have been a wash, with less-affluent households paying somewhat more and more-affluent households giving up a little less.”

      “Meanwhile, the wealthiest 1 percent of households, those making at least $493,000 a year, are saving an average of “$25,000”

      Source : WP https://www.washingtonpost.com/news/wonk/wp/2016/06/17/one-state-raised-taxes-the-other-cut-them-guess-which-one-is-in-recession/

    • Someone from Main Street

      “average annual teacher salaries to over $50,000”

      Teacher salaries TOP OUT at $50,000 – and I don’t know about your school district, but our experienced teachers at my children’s schools are retiring in droves, thanks to NCGOP disdain for the profession and lack of raises for many years now – also thanks to NCGOP disdain for the profession.

      And don’t forget, NCGOP abolished longevity bonuses, which some considered to be a “slap in the face.”

  23. Vicki Boyer

    We, the people, are no longer their constituents. They answer only to Ayn Rand-worshiping, out of state billionaires.

  24. Norma Munn

    Characterization of “the greatest accomplishment of the 20th Century—the partnership between the free market and government to assure widespread prosperity and upward economic mobility” is striking similar to comments from a financial professional on CNBC sometime over past couple of days. When asked how he viewed the Brexit vote and its impact on investing, he said his fund preferred economies which were essentially based on cooperation with other economies. Said in his experience the results were greater progress and stability for all involved, and that leaving the EU was a step backward in that regard. He certainly did not seem like a flaming liberal and given the size of the assets being managed, there had to be a lot of people trusting his fund with very large sums of money. (Cannot remember the name as I was only half listening at first.)
    As for that proposed amendment, if it passes and is approved by the voters, I would suggest to young people they look into a future elsewhere. It is a vote to hogtie the hands of future elected officials with regard to revenues regardless of what happens, except for the sales tax, of course.
    What’s next — a resolution to secede from the Union?

    • Troy

      Don’t tempt them with secession Norma. Texas and several other Southern states are batting it around seriously, particularly on the back of the Brexit ‘success’.

      It wouldn’t surprise me to learn that they have a plan to accomplish just, depending on who the election plays out.

      • Troy

        “…accomplish just that…depending on how…”

        I’ll earn to spell one day.

        • Norma Munn

          I sympathize. Spell check is my idea of a technological miracle. Even then, there are sometimes errors.
          I knew about Texas and it nutty notion that its state constitution somehow gave it the right to leave the union. Sort of Alice through the Looking Glass!

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