2006

As the law is currently written, the education lottery will do little to fund the most critical needs of North Carolina’s students. Too much of the revenue will be used for unproven class-size reduction efforts and pre-kindergarten programs. Too little of the lottery revenue will be given to school districts and charter schools that have critical school facilities needs. The General Assembly can maximize the educational benefit of the lottery revenue by distributing more funds for capital expenditures to high-growth school districts and to charter schools.

RALEIGH – North Carolinians are shouldering a heavier local-government tax burden, according to a new study by the Center for Local Innovation. The average North Carolinian saw local taxes…

State tax revenues grow in strong economies. Politicians use the new revenue to create or expand government programs. In recessions, revenues fall and tax rates rise to pay for the higher level of spending. Spending and taxes in the last ten years illustrate this pattern. As North Carolina enters another period of expanding revenues, Gov. Mike Easley and the General Assembly must avoid the temptation to increase spending so they do not have to increase taxes in the next recession.

North Carolina’s Urban Redevelopment Law is a major threat to private property rights. It is so broad that it would permit the government to seize private property that is not blighted and even to take property for economic-development purposes. Any urban redevelopment law should only permit the government to seize private property if it meets a narrow and common sense definition of blight.

County and municipal governments provide many key services while taking in billions in revenue. Their roles grow ever greater as state government shifts more taxing power to localities to make up for money kept by the state. Still, finding comparative data is hard. That's why this report provides information of how much local government costs in every city and county in NC.

Dr. Thomas Wigley from the U.S. National Center for Scientific Research has calculated that if the Kyoto Protocol were implemented with 100% compliance it would reduce the increase in global temperatures by between 0.18º F and 0.37º F in 100 years. This amount would be undetectable by standard measuring devices. It is unreasonable therefore to expect that North Carolina, acting along or in consort with other states, could do anything to mitigate future global warming.

In November, the State Board of Education released the final report of the High Priority Schools Initiative, a four-year, $23 million class-size reduction program targeting low-performing and low-income elementary schools. The report offered no statistical evidence that smaller class sizes raised student achievement. Between the first and final year of the program, fewer schools met their state ABC growth targets and even fewer made Adequate Yearly Progress under the federal No Child Left Behind law. Reduced class sizes failed to significantly increase student performance on state reading assessments. In the future, legislators and policymakers should not fund class-size initiatives because of their expediency or popularity but because they produce measurable gains in student achievement.

North Carolina needs a constitutional amendment to protect property rights that will contain very specific language. This approach will ensure that courts are unable to undermine the rights that the amendment is designed to protect. The amendment should define key terms such as “public use” and expressly prohibit all takings for private use, including those for economic development purposes.

State leaders claim that capping the gas tax at 27.1 cents per gallon would cost the state up to $135 million a year in road construction. They are wrong. The state will be just $5.3 million behind projections planned for in this year’s budget if it freezes the gas tax. Furthermore, nearly $400 million in gas tax revenues goes toward spending that has nothing to do with road construction. The General Fund, public transportation, railroads, and airlines all receive gas-tax revenues. There is no need to take money from road construction so long as gas-tax revenues are diverted to unrelated programs.