Here’s what you need to know about the proposal:
“Budgeted appropriations in North Carolina grew three times faster than population and inflation from 1978 to 2008,” he said. “Using constant 2010 dollars, per capita General Fund appropriations grew from $1,170 to $2,412.”
Meanwhile, personal income growth compared to the rest of the country peaked in 1997, Coletti said. By 2009, per capita personal income dipped back to the same level recorded in 1987.
“With this budget proposal, state General Fund spending per capita would be $1,891, basically the same level adjusted for inflation as in 1996 and throughout most of the 1990s,” Coletti said. “In other words, this plan returns spending to levels last seen when North Carolina per capita personal income was at its highest compared to the national average.”
The governor and legislators should ignore pleas to raise taxes, Coletti said. “North Carolina already has one of the highest tax burdens in the South, higher tax rates than most states, and one of the worst business tax climates in the country,” Coletti added. “Advocates for higher taxes recognize this. Instead of admitting it, they argue for ‘tax reform’ to hide their desire to transfer more money from the private sector to the public sector.”
Shrink Raleigh — before it ends up like Madison.
