There is a new committee substitute for House Bill 2440. It takes money out of the state’s Rainy Day Fund to plug the hole in the state Health Plan: $100 million. House Minority Leader Paul “Skip” Stam, R-Wake, introduced an amendment to mandate that the governor cut spending 1 percent, with the usual exceptions, not to exceed he $100 million needed to fund the Health Plan. This is also known as a 1 percent reversion of the state budget.
Speaker Joe Hackney, D-Orange, ruled that the amendment would change the title and is not allowed to be considered under the rules. Stam made a motion to suspend the rules.
During debate, Rep. Dale Folwell, R-Forsyth, asked the senior appropriations chairman (budget writer), Rep. Mickey Michaux, D-Durham, if he would have adjusted the budget to pay for this. Michaux says, no, he wouldn’t have ? he would have just taken it out of the Rainy Day Fund.
Less than 24 hours after the governor signed the budget, we’re already in trouble and having to take money out of the state’s saving reserves. Instead of cutting back on spending, the House votes to raid the savings account by defeating the motion to consider the amendment. Forty-eight representatives voted yes, while 62 voted not to consider the amendment.
Rep. Leo Daughtry, R-Johnston, made a motion to send the bill to the Appropriations Committee for a full discussion of how to solve this revenue shortage and fix the shortfall in the state Health Plan. That discussion would include cutting spending. Once again, the House decided not to consider options. The vote to send the bill back to committee is 47 yes, 64 no.
The vote on the bill to take $100 million out of the state’s Rainy Day savings account ? instead of cutting spending by less than 1 percent ? to plug the hole so the state’s Health Plan has enough money to provide benefits for current and retired state employees and terachers is 107 yes, 3 no.
Those voting no: Folwell; Rep. Ric Killian, R-Mecklenburg; and Rep. David Lewis, R-Harnett.
