One has to wonder what legislative leaders and the governor are thinking as unemployment rises yet again to a staggering 11.1%, up from the 10.9% in December. In spite of millions upon millions in incentives and hundreds of millions from Golden Leaf and still more millions given away at the local level, the economic development of our state has become a serious concern.
North Carolina has hovered around 11 percent unemployment since last April. In January 2009, unemployment statewide was at 9.2 percent.
If one adds the Global Transpark to the mix, economic development looks even more preposterous. Rather than look at ways to bring businesses to the state, our motto seems to be that we can bribe them to come here. In spite of numerous lists depicting NC as a great place to do business our tax system is antiquated, taxes are too high and we’re not focused on making the system any better.
Here’s a great visual of how bad things are statewide. My own county of Lee now sits at 14.6% in spite of ten years of manufacturing incentives.
The latest installment in the Civitas Institute Agenda “20 Changes for 2010: A Primer for State Reform” focuses on strengthening state marriage laws in North Carolina. I recommend echoing the two-thirds of North Carolina voters who support passing a constitutional amendment and declare that marriage is defined as one man and one woman.
A Defense of Marriage Act would allow North Carolina voters to amend the state constitution to include the definition of marriage as solely between a man and a woman. If approved by voters, a constitutional amendment would strengthen already existing state marriage laws and not allow activist courts and legislatures to alter the definition of marriage.
In our poll this month, we once again tested voters’ opinion on privatizing the ABC system of government-run liquor stores. While we found increased support for privatization, some very deep divides emerged in the crosstabs that present some fairly large hurdles for privatization advocates to overcome.
While privatizing was supported by 47% of North Carolinians overall , it was opposed by 50% of African-Americans and 49% of people who consider themselves to be part of the “religious right.” Two quite powerful interest groups on opposite sides of the aisle.
Mainly, the fear of these groups is that removing government control from the ABC system will result in an increased availability and consumption of hard liquor.
Although it may be the most free-market solution, I think it’s unrealistic to think that North Carolina is going to go from the tightly-controlled limited access system we have now to one like many other states where liquor is available on every corner in convenience stores. The process of privatization will come through many steps.
Gov. Perdue is taking a good first step to determine the value of the assets of the system, but I think there is going to be little motivation for the General Assembly to tackle this monster during the short session. More than likely some minor ethics reforms will be passed to address the controversies in Wilmington and Charlotte and any major reform or privatization of the system will have to wait until 2011.
Full press release and crosstabs from this question from the poll here.
I imagine there were a few people shaking their heads this morning when they read about the punishment – or lack thereof – that was handed out to State Sen. R.C. Soles (See: news article). Yesterday Sen. Soles pled guilty in a Columbus County Courthouse to a misdemeanor assault with a weapon charge and paid a $1,000 fine. The incident in question took place last August when Soles fired on an intruder, Kyle Blackburn who had broken into his Tabor City home. Blackburn also happened to be a former client of Soles and — at the time of the incident — had been recently released from jail. Yeah, I know it sounds like a bad script from one of those TV movie channels. Unfortunately, it’s true.
So much for the work of those folks who served on the grand jury in January and indicted Sen. Soles on a felony assault charge. Soles’ plea means he will face no other penalties. Had Soles been convicted of a felony, he faced losing his senate seat, prison time and his law license. Sen.Soles is the longest serving member of the North Carolina legislature, having first been elected to the General Assembly in 1968. He is also Chair of the Senate Democratic Caucus. I wonder if a few of the ties Sen. Soles developed over the past four decades came in handy in resolving his troubles. Anybody who thinks an average citizen would have been treated the same way, let me know.
Race to the Top taught us that competition and incentives drive reform . . .So even as we continue funding important formula programs like Title I and IDEA, we are adding money to competitive programs that are changing the landscape of our educational system.
The quote is from Arne Duncan, U.S. Secretary of Education in a February 1, 2010 press release on President Obama’s new budget for education. It’s hard to miss the new emphasis on reform, innovation and competition. Gosh, states now battle with each other for Race to the Top funds – and may the best application win.
I wonder, if everyone benefits from states competing, you’d think the same logic would apply to schools. The reality is, such logic is still alien to the federal mindset. President Obama has not supported a single real initiative to bring competition to our schools since taking office. In fact, earlier this year – despite favorable Congressional evaluations — President Obama and Secretary Duncan worked to dismantle the DC Opportunity Scholarship program, a voucher program that allowed 3,300 of Washington’s poorest families to attend quality private schools. A new emphasis on competition? Don’t believe it. Actions speak louder than words.
Not covered in the mainstream media, but problematic for local officials statewide is that the state has once again withheld money promised to local governments because of their inability to balance the state budget or make cuts in their realm.
In North Carolina, about 7 percent of the proceeds from the state’s corporate income tax had routinely been transferred to local governments for school capital costs, but starting this year, lawmakers decided to put that money — roughly $125 million over two years — towards the deficit. For Cabarrus County, a fast-growing county near Charlotte, that translates into an annual loss of about $2 million. “We’re not counting on it coming back,” says Pam Dubois, the county’s finance director. “If it does, great. But when we’re projecting out what we’re going to be doing for the next five years we’re acting like it’s not going to be there.”
This is always a problem as county governments are forced by state law to adopt a budget by July 1st even as the state can simply go on and on and on with producing a budget by passing continuing resolutions. But counties must know what they can and cannot count on while preparing their budgets. The state has not acted in good faith and over the past ten years has lied to local governments again and again. Sadly, the public could usually care less.

If you thought that the Wake County School Board was having fun with controversy (in spite of being elected with their issues on the table) the Tennessee Board of Education has brought forth a bible class for public schools.
Beginning in the fall of 2010 high schools that want to teach students from the Bible will be able to do so using this approved cirriculum. Here are a few of the guidelines according to the Tennessean:
• Students will read biblical narratives, identify chief characters and analyze plot, literary form and intended impact on the reader.
• Students will learn and discuss pivotal historical events and geographic locations and compare the religious, social and cultural lives in the ancient world.
• Students will show how the Bible has impacted art, literature, music and thought by reading pieces of work that use biblical allusions and listening to music that relies on biblical text.
So, how controversial would this be in North Carolina? Better yet, would elected officials in our state EVER let such a system even be considered on the floor of our legislature? But in North Carolina we are content, from an educational standpoint, to ignore the impact that the Bible has had on our society or on history. It is as if it never existed.
A new report says that children in the Milwaukee school choice voucher program were 18 percent more likely to graduate than students in the Milwaukee Public Schools (See: news article). The author of the study, Professor Robert Warren of the University of Minnesota, studied the voucher program from 2003-2008. Warren said if public school students graduated at the same rate as voucher students, 3,352 more public school students would have graduated over the same period. The difference in graduation rates is particularly striking considering the Milwaukee school choice program only enrolls low income students, while the Milwaukee Public Schools enrolls students from all economic classes.
Considering the beneficial impacts of school choice for the students, parents and community, it’s hard to find a credible reason why North Carolina shouldn’t adopt a similar program. Sixty-Seven percent of likely voters in North Carolina said they support giving parents vouchers so that their child can attend any school they choose (December 2009 Civitas DecisonMaker Poll). Even most charter schools have higher graduation rates than traditional public schools. Despite 16,000 kids on charter school waiting lists and 56 percent of likely voters in North Carolina (January 2010 Civitas DecisionMaker Poll) who favor lifting the cap, law makers in Raleigh continue to ignore public sentiment. Political candidates take note.

From our good friends over at the NC Institute for Constitutional Law. More taxpayer giveaways:
$107,170 in tax incentives grants was approved on Monday, February 1, by the Statesville City Council for an unnamed furniture company to expand its local operations.
~ Jim McNally, Statesville Record & Landmark, February 4, 2010
$100,000 to Commonwealth Brands Inc. from the state’s One North Carolina Fund to add a product line for its cigarette tubes. The Corporate Welfare Weekly’s issue #34 previously reported that the company is also eligible to receive an additional $83,207 from the City of Reidsville and $81,600 from Rockingham County.
~ Richard Craver, Winston-Salem Journal, February 4, 2010
$341,000 in local incentives has been approved for Kewaunee Scientific Corporation, a localStatesville laboratory furniture manufacturer. The company is to receive $184,000 from Iredell County and $157,000 from the City of Statesville. The furniture manufacturer announced it will be expanding its operations and renovating its corporate headquarters.
~ Joe Marusak, Charlotte Observer, February 4, 2010
$50,000 in incentives has been approved for Solaris Industries, Inc. from the One North Carolina Fund. The international manufacturer of steel tubing will build a new manufacturing facility in the Cleveland Town of Kings Mountain. All One North Carolina Fund grants require a local match.
~ Chris Baysden, Triangle Business Journal, February 3, 2010

Democrat Congressman Larry Kissell achieved notoriety as a school teacher in touch with the common man. He campaigned as an outsider who felt the pain of folks who had lost their jobs. He wore his liberalism proudly campaigning as the answer to the jobless woes of the 8th district.
But rhetoric and reality are catching up with the 1st term congressman. Though liberal, Kissell has been rather difficult to read. He voted against healthcare legislation and cap and trade. One has to wonder what he really stands for. Of the districts likely to fall in the state this year, I’d say Kissell’s is squarlely within the GOP’s grasp. It doesn’t hurt that most of the lamentations seem to be coming from his own team.
Dannie Montgomery, a teacher from Anson County who served as first vice chair of the N.C. Democratic Party, said in a news release that Kissell “has turned his back on the grassroots supporters who propelled him to office,” Jim Morrill of The Charlotte Observer reports. She said Kissell has alienated some African American leaders in the 8th District, which could dampen black turnout. She said she has encouraged Charlotte lawyer Chris Kouri to challenge Kissell. Kouri ran unsuccessfully for the seat in 2002 against Republican Robin Hayes
(comment correcting cap and trade appreciated)