North Carolina's ability to attract employers with economic incentives could be hamstrung through at least June 30 - possibly longer - if a Senate bill becomes law.

Under the bill, about $8.2 million in uncommitted One North Carolina Fund and Job Development Investment Grant money would be transferred to the General Fund to help reduce the state's $3.7 billion budget deficit.

That would wipe out for the rest of the 2010-11 budget year the main sweeteners used by the governor and the state Commerce Department to entice companies to open operations in the state or existing companies to expand here.

The bill also would require the transfer of about $142 million from more than 20 funds, including $67.5 million from the Golden Leaf Foundation, $22 million from the state Health and Wellness Fund, $14 million from the Motorfleet Internal Services Fund and $7.8 million from the Tobacco Trust Fund.

The bill, which lists Sen. Pete Brunstetter, R-Forsyth, as one of three primary sponsors, also requires that Perdue find at least an additional $400 million in budget savings. Perdue said she is aiming at recurring, not one-time, cuts.

Filed Under : Budget Gimmicks