Government Reform

The John Locke Foundation is continuing its tradition, started in 1995, of offering an alternative to the governor’s budget recommendation. Consistent with prior years, this JLF budget focuses on core government. This budget spends less in both years of the biennium than the governor’s, and only increases spending by 2 percent from the last fiscal year.

The creation of a Department of Information Technology would likely lead to increased government efficiency and cost savings. However, there is no compelling reason to create a new Department of Veterans Affairs.

Overall, North Carolina ranks 23rd in the nation and 5th among the 12 states of the Southeast in freedom. North Carolina ranks 16th in fiscal freedom, 18th in educational freedom, 36th in regulatory freedom, and 46th in health care freedom.

Along with hopes for new jobs and a stronger economy, the prospect “fracking” in North Carolina has raised concerns. Some are legitimate questions informed by responsible skepticism, but others are fears fanned by activists and pressure groups. This paper seeks to address those questions and concerns.

Policymakers in the many local governments of North Carolina face a host of important challenges. This issue guide offers solutions to problems that confront North Carolinians at municipal and county levels. The common thread in these recommendations is freedom. By increasing individual freedom, local governments can foster the prosperity of all North Carolinians and keep open avenues to innovative solutions from enterprising citizens.

The debate over NC’s Medicaid program pits defenders of the status-quo Community Care of North Carolina (CCNC) model against reformers touting Governor McCrory’s proposed Partnership for a Healthy North Carolina. This report identifies and explains CCNC’s flaws and shows how the Partnership for a Healthy North Carolina is a far more effective approach to not only improve patient health, but also rein in Medicaid spending and save taxpayer dollars.

North Carolina excise taxes generated $2.4 billion in revenue in FY2011, amounting to 13 percent of total tax revenue collected. They are used to manipulate choices freely made by taxpayers.

The last statewide General Obligation Bond referendum was held in 2000; all debt since then has been issued without voter approval, making special indebtedness the sole form of debt in North Carolina since 2001. Special Indebtedness is more expensive than traditional General Obligation debt, thus creating a larger burden on taxpayers. Certificates of Participation (COPs) are the most favored form of special indebtedness.

North Carolina has over 22,500 permanent administrative rules, which carry the full force of law but are not passed by legislators. The General Assembly should return major legislative authority to elected, accountable representatives of the people.

Cronyism is an umbrella term covering a host of government activities by which an industry or even a single firm or speculator is given favors and support that they could not attain in market competition. This report explains what opens government to cronyism, gives a brief rundown of recent examples of cronyism in North Carolina, and offers several possible reforms.