North Carolina

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    • Headlines : North Carolina

      N.C. lawmakers return to consider state budget and other controversial issues

      The Winston-Salem Journal | by Lynn Bonner | May 14, 2012

      The so-called short session is designed to tweak the two-year state budget approved in 2011

    • Headlines : North Carolina

      Gov. Bev Perdue to seek more school funding, sale tax hike in budget

      The News & Observer | by Lynn Bonner | May 11, 2012

      Gov. Bev Perdue will ask legislators to spend an additional $562 million on K-12 schools and increase the state sales tax in the $20.9 billion budget she plans to release Thursday.

    • Headlines : North Carolina

      Nc budget discussions beginning at Legislature

      CBSNews.com | May 3, 2012

      The annual North Carolina state budget dance is about to begin in earnest now that legislators know how much money they'll have to spend. Republican legislators still have yet to hear formally from their partner - Democratic Gov. Beverly Perdue - about what she'd like.

    • Headlines : North Carolina

      State school superintendents decry budget woes

      The News & Observer | by Jane Stancill and John Frank | April 4, 2012

      Some budget tightening was worthwhile, several superintendents said, leading to creative new approaches. Mostly, though, the 25 superintendents who spoke said the cuts had taken a heavy toll in school districts across the state.

    • Headlines : Alabama, Illinois, Kentucky, New Hampshire , Ohio, North Carolina , Georgia, Arkansas, Hawaii, Iowa, Wisconsin, Alaska, Idaho, Montana, Pennsylvania, Vermont, Michigan

      State spending transparency portals vary in their approaches and results

      by Cory Eucalitto | March 12, 2012

      In a way, the very idea of state budget reform presumes some basic level of government transparency. Many simply take for granted the premise that access exists to information like budget documents and state expenditures. Yet the amount of information related to the spending of tax dollars provided by each of the state governments varies wildly.

    • Solutions : North Carolina

      Technology in the Classroom Paying Off

      American Legislator | by John Stephenson | March 9, 2012

      With state and local education budgets under pressure and questions about student achievement front and center, administrators, parents, and teachers are now looking to advanced and increasingly less-expensive technology as a way to help address some of the current issues in education. One school district in particular, the Mooresville Graded School District, in Mooresville, NC stands out as an example of how technology can help improve student achievement in times of tightening budgets

    • Headlines : North Carolina

      NC gov wants higher sales tax for education

      CBSNews.com | January 18, 2012

      Perdue said her spending proposal for the year starting July 1 will call for a temporary sales tax increase of three-quarters of a penny, whose revenues would be dedicated to public education. That would raise the sales tax consumer in most counties pay from 6.75 percent to 7.5 percent.

    • Headlines : North Carolina

      State government reorganizes seeking more efficiency

      The News Observer | by Rob Christensen | December 30, 2011

      North Carolina state government is undergoing the biggest reorganization in 40 years, in an effort by Democratic Gov. Bev Perdue - with the support of the GOP legislature - to save money during difficult financial times.

    • Headlines : North Carolina

      NC: Gov, lawmakers tussle over Medicaid shortfall

      Businessweek | by Gary D. Robertson | December 8, 2011

      How to close North Carolina's projected $139 million Medicaid shortfall this year is once again breeding conflict between the governor's office and Legislature.

    • Solutions : North Carolina

      Transparency and accountability in North Carolina's state budget

      The John Locke Foundation | by Joseph Coletti | December 2, 2010

      North Carolina should expand NCOpenBook.gov to provide transaction-level detail updated daily with spending and revenue for all of state government. Each state agency should provide easy access to its transaction information on every page of its website.


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    Budget timeframe: Biennial


    Fiscal Year begins: July 1 
     

    NC Gov. PerdueGov. Bev Perdue
    Office of Governor Beverly Perdue
    20301 Mail Service Center
    Raleigh, NC 27699-0301
    Phone: (919) 733-5811
    Fax: (919) 733-2120
    http://www.governor.state.nc.us/

     

     

     

    Andy Wills, State Budget Director
    Office of State Budget & Management
    20320 Mail Service Center
    Raleigh, NC 27699-0320
    Phone (919) 807-4700
    Fax: (919) 733-0640
    www.osbm.state.nc.us
    andy.willis@osbm.nc.gov 

     

    2012 Legislative Calendar: Convening and adjourning date TBD. Will be set by resolution.

     

    Legislative Budget Leaders:

    Rep. Harold J. Brubaker (R), Chair, House Appropriations Committee, Harold.Brubaker@ncleg.net 919-715-4946

    Rep. James W. Crawford, Jr. (D), Vice-Chair, House Appropriations Committee, Jim.Crawford@ncleg.net 919-733-5824

    Sen. Peter S. Brunstetter (R), Chair, Senate Appropriations & Base Budget Committee, Peter.Brunstetter@ncleg.net 919-733-7850

    Sen. Neal Hunt (R), Vice-Chair, Senate Appropriations & Base Budget Committee, Neal.Hunt@ncleg.net 919-733-5850

    Rep. Julia C. Howard (R), Chair, House Finance Committee, Julia.Howard@ncleg.net 919-733-5904

    Rep. Dale R. Folwell (R), Vice-Chair, House Finance Committee, Dale.Folwell@ncleg.net 919-733-5787

    Sen. Fletcher L. Hartsell, Jr. (R), Co-Chair, Senate Finance Committee, Fletcher.Hartsell@ncleg.net 919-733-7223

    Sen. Bob Rucho (R), Co-Chair, Senate Finance Committee, Bob.Rucho@ncleg.net 919-733-5655

    Sen. Tom Apodaca (R), Chair, Senate Ways & Means Committee, Tom.Apodaca@ncleg.net 919-733-5745

    Sen. Andrew C. Brock (R), Vice-Chair, Senate Ways & Means Committee, Andrew.Brock@ncleg.net 919-715-0690

     

    The current state budget can be found here.

     

    Want a more robust, long-term look at your state's fiscal health, beyond the budget? There are two parts: Click here for the FY2011 Comprehensive Annual Financial Report compiled by the state government, and click here for information on the state's pension liabilities.

     

    north carolina budget trends graph

     

    North Carolina is required to pass a "balanced budget." Article III, Section 5 of the 1971 Constitution states that the total expenditures of the State for the fiscal period covered by the budget shall not exceed the total of receipts during that fiscal period and the surplus remaining in the State Treasury at the beginning of the period. Section 143c-4-1 of the State law further declares that the budget recommended by the Governor and the budget enacted by the General Assembly shall be balanced and shall include two fiscal years beginning on July 1 of each odd-numbered year. Each fiscal year and each fund shall be balanced separately. The budget for a fund is balanced when the beginning unreserved fund balance for the fiscal year, together with the projected receipts to the fund during the fiscal year, is equal to or greater than the sum of appropriations from the fund for that fiscal year. North Carolina law forbids the carrying over of a deficit from one year to the next. North Carolina law requires the Governor to keep a watchful eye on the budget, and to make necessary corrections when deficits begin to develop.

     

    Our study revealed that despite the balance budget requirements mentioned above, North Carolina's Budgetary Comparison Schedules reported three years of budget deficits (negative net transactions).

     

    The State maintains the following individual major funds: the General Fund, the Highway Fund, and the Highway Trust Fund. Information within the CAFR for all other funds is aggregated for presentation purposes. The State budgets on a cash basis and the major governmental fund that is budgeted is the General Fund. This is evident by significant differences between actual and budgeted figures (revenues and expenditures) being reported with the State's CAFRs.  [from the Institute for Truth in Accounting]

     

    Find the state's bond ratings here.

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    • K-12 Education :

    • HEADLINES: North Carolina

      Gov. Bev Perdue to seek more school funding, sale tax hike in budget

      The News & Observer | by Lynn Bonner | May 11, 2012

      Gov. Bev Perdue will ask legislators to spend an additional $562 million on K-12 schools and increase the state sales tax in the $20.9 billion budget she plans to release Thursday.

    • HEADLINES: North Carolina

      State school superintendents decry budget woes

      The News & Observer | by Jane Stancill and John Frank | April 4, 2012

      Some budget tightening was worthwhile, several superintendents said, leading to creative new approaches. Mostly, though, the 25 superintendents who spoke said the cuts had taken a heavy toll in school districts across the state.

    • SOLUTIONS: North Carolina

      Technology in the Classroom Paying Off

      American Legislator | by John Stephenson | March 9, 2012

      With state and local education budgets under pressure and questions about student achievement front and center, administrators, parents, and teachers are now looking to advanced and increasingly less-expensive technology as a way to help address some of the current issues in education. One school district in particular, the Mooresville Graded School District, in Mooresville, NC stands out as an example of how technology can help improve student achievement in times of tightening budgets

    • HEADLINES: North Carolina

      NC gov wants higher sales tax for education

      CBSNews.com | January 18, 2012

      Perdue said her spending proposal for the year starting July 1 will call for a temporary sales tax increase of three-quarters of a penny, whose revenues would be dedicated to public education. That would raise the sales tax consumer in most counties pay from 6.75 percent to 7.5 percent.

    • SOLUTIONS: North Carolina

      Education spending in North Carolina

      The John Locke Foundation | by Terry Stoops | December 2, 2011

      The state should discontinue the confusing practice of allocating funds to each school district using various funding formulas. Coupled with open enrollment for schools statewide, student-centered funding would ensure that schools of the parents' choosing receive funds necessary to educate each child and nothing more. The state should also implement a merit pay system for teachers that will pay a portion of their salary based on the value that they add to their students' academic performance.

    • HEADLINES: North Carolina

      Obama Plan: Teacher Jobs One Year Only

      The Carolina Journal | by Don Carrington | October 3, 2011

      Since the average annual cost of teacher pay and benefits in the state is $56,000, funding in Obama's jobs bill would cover a little more than one year of compensation.

    • HEADLINES: North Carolina

      State lawmakers pass budget; some school jobs cut

      WCNC.com | by Diana Rugg | June 6, 2011

      The North Carolina legislature has sent its budget to Governor Bev Perdue's desk, and it includes deep cuts for agencies around the state, including education.

    • HEADLINES: North Carolina

      State budget headed for final House vote today

      The Greensboro News & Record | June 3, 2011

      The state House is scheduled to vote today and a second and final time early Saturday on the nearly $20 billion spending plan crafted by the Republican majority in the Legislature.

    • HEADLINES: North Carolina

      NC Senate gives tentative OK to budget bill

      Forbes | by Gary D. Robertson | June 2, 2011

      As expected, the GOP-controlled chamber voted along party lines in favor of the two-year budget for the fiscal year starting July 1. The approved version is about $220 million less than Perdue proposed earlier this year.

    • HEADLINES: North Carolina

      NC House budget has state set school layoff policy

      Forbes | by Emery Dalesio | May 6, 2011

      The budget just approved by the House includes a provision that makes the State Board of Education, not local boards, responsible for setting policy on how impending school layoffs will be handled.


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    • Solutions: North Carolina

      Technology in the Classroom Paying Off

      American Legislator | by John Stephenson | March 9, 2012

      With state and local education budgets under pressure and questions about student achievement front and center, administrators, parents, and teachers are now looking to advanced and increasingly less-expensive technology as a way to help address some of the current issues in education. One school district in particular, the Mooresville Graded School District, in Mooresville, NC stands out as an example of how technology can help improve student achievement in times of tightening budgets

    • Solutions: North Carolina

      Transparency and accountability in North Carolina's state budget

      The John Locke Foundation | by Joseph Coletti | December 2, 2010

      North Carolina should expand NCOpenBook.gov to provide transaction-level detail updated daily with spending and revenue for all of state government. Each state agency should provide easy access to its transaction information on every page of its website.

    • Solutions: North Carolina

      Education spending in North Carolina

      The John Locke Foundation | by Terry Stoops | December 2, 2011

      The state should discontinue the confusing practice of allocating funds to each school district using various funding formulas. Coupled with open enrollment for schools statewide, student-centered funding would ensure that schools of the parents' choosing receive funds necessary to educate each child and nothing more. The state should also implement a merit pay system for teachers that will pay a portion of their salary based on the value that they add to their students' academic performance.

    • Solutions: North Carolina

      Spending reform in North Carolina

      The John Locke Foundation | December 2, 2010

      North Carolina should define government's role in each policy area. Some policy goals are better achieved by families, charities, or free enterprise.  It should post budget bills online 72 hours before the first vote and provide a five-year fiscal note with each budget.   The state should also expand the rainy day fund to 10 percent of General Fund appropriations in the most recent fiscal year.

    • Solutions: North Carolina

      Start Building a Better Budget: Seven steps to saner state spending

      April 9, 2010

      Article presenting seven steps that would make future budgets better, including posting budget bills online 72 hours before the first vote and providing a five-year fiscal note with each budget.

    • North Carolina

      Public Employee Pension Debt Explodes

      Carolina Journal Online | by Karen McMahan | February 11, 2011

      Analysts put liability at $3.23 trillion - more than $10,000 per person.

    • BLOG : Michigan, New York, Oklahoma, Oregon, North Carolina , Louisiana

      Tick Tock Goes the Pension Bomb

      by Bob Williams | October 26, 2010

      Public sector compensation and retirement benefits have made headlines lately for their sheer size and weight in comparison to the private sector. The problem of unfunded liabilities is decades in the making, but the bills are starting to come due this legislative session. Budget leaders are learning that they won't have decades to undo this disaster.

    • North Carolina

      Perdue Signs $19B State Budget Bill On Time

      MyNC.com | July 27, 2010

      The North Carolina General Assembly gave final approval Wednesday to a new state government budget that contains no raises for state employees for a second straight year and threatens to underfund pension contributions even more if extra money doesn't arrive from Congress.  Gov. Beverly Perdue signed the bill into law, marking the first time a budget was approved on schedule since 2003.

    • California, Indiana, New York, North Carolina

      The Other Financial Crisis

      Time Magazine | by David von Drehle | June 29, 2010

      Nearly everywhere, tax revenue plummeted as property values tanked, incomes dwindled and consumers stopped shopping. Falling prices for stocks and real estate have made mincemeat of often underfunded public pension plans. Unemployed workers have swelled the demand for welfare and Medicaid services. Governments that were frugal in the past are just squeaking by. Governments that were lavish in the good times, building their budgets on optimism and best-case scenarios, now risk being wrecked like a shantytown in an earthquake.

    • California, West Virginia, New York, Washington, Tennessee, North Carolina

      Underfunded Teacher Pension Plans: It's Worse Than You Think

      The Foundation for Educational Choice and Manhattan Institute | by John Barrow and Stuart Buck | April 14, 2010

      To all the other fiscal travails facing this country’s states and largest cities, now add their pension obligations, which are far greater than they may realize or are willing to admit. This paper focuses on the crisis in funding teachers’ pensions, because education is often the largest program area in state budgets, making it an obvious target for cuts.

    • OPINION: Pensions

      Taxpayers get crushed when pensions and bonds collide

      May 21, 2012

      This all boils down to who gets to pick taxpayers' pockets first, public pensioners or municipal bond investors? More people are waking up to the hard reality that when it comes to state and local government, somebody has to lose money over the next few decades. The National Association of Bond Lawyers is worried enough about it to issue "Considerations" for advising clients who think they're getting safe investments.

    • BLOG: Pensions

      COMMENTARY: Municipal, state pension reform message gaining momentum

      by Frank Keegan | May 17, 2012

      Despite an organized campaign to stop public pension reform, reality is beginning to break through.  One recent report outlines a possible path to long-term solutions and another details the necessity of states and municipalities finding their own way because federal bailout is impossible.  And Chicago Mayor Rahm Emanuel released a plan that could have been based on both reports.

    • OPINION: Pensions

      Public pension 'best practices' omit 1 thing: How do we pay benefits?

      by Frank Keegan | May 4, 2012

      Hey, young public employees, what are you going to do when your pension checks bounce after you paid in for decades? That is what will happen in many - maybe all - states and municipalities sooner or later if they do not reform right now. If you want to see the future, just look at Illinois. One citizen there did, and came up with a real reform plan that might work.

    • OPINION: Pensions

      COMMENTARY Municipal, state workers should take their pension money and run, fast

      by Frank Keegan | May 2, 2012

      Public employees should take their pension money now and run to avoid risk of getting reduced benefits - or nothing - in the future. It's the best deal for them and for taxpayers. A growing chorus of credible voices including the Government Accountability Office, a Federal Reserve bank and now the Harvard Kennedy School Mossavar-Rahmani Center for Business and Government confirm state and local government finances are "spiraling out of control" and even draconian reforms only make it "more likely" that future benefits will paid in full.

    • BLOG: Pensions

      COMMENTARY: This plan could save municipal, state workers' pension checks

      by Frank Keegan | April 26, 2012

      Hey, young public employees, what are you going to do when your pension checks bounce after you paid in for decades? That is what will happen in many - maybe all - states and municipalities sooner or later if they do not reform right now. If you want to see the future, just look at Illinois. One citizen there did, and came up with a real reform plan that might work.

    • BLOG: Pensions, Federal Government Impact

      COMMENTARY: Fed screams softly in warning about public pension crisis

      by Frank Keegan | April 18, 2012

      This is what it sounds like when the Federal Reserve Bank screams: "Much has been written about the various headwinds restraining economic activity over the near term. However, our economy also has other headwinds to confront over the medium- to-longer-term. ... the finances of some state and local governments are also under stress and in need of serious adjustments."  - Federal Reserve Bank of Cleveland President Sandra Pianalto

    • BLOG

      West Coast States Making Progress

      by Bob Williams | May 6, 2011

      State legislatures are still working out the logistics to make the July 1 budget deadline. The states on the West Coast are working on getting their finances in some semblance of order, while those on the East Coast are still struggling to balance their budgets for the upcoming fiscal year.

    • BLOG: Pensions

      Tick Tock Goes the Pension Bomb

      by Bob Williams | October 26, 2010

      Public sector compensation and retirement benefits have made headlines lately for their sheer size and weight in comparison to the private sector. The problem of unfunded liabilities is decades in the making, but the bills are starting to come due this legislative session. Budget leaders are learning that they won't have decades to undo this disaster.