Inside this issue
 
  Last Week at the General Assembly  
 

Last week, after nearly 15 hours of floor debate, House lawmakers voted 72-47 to give final approval to the chamber's $19.3 billion spending plan for next year. The lynchpin of the House budget is the expiration of a pair of temporary tax increases that Republicans promised to do away with during the 2010 campaign.  However, their expiration will result in at least $1.3 billion less in revenue. The plan also spends $650 million less than Gov. Perdue proposed in her budget for public schools, the University of North Carolina system and community college system, and 11 percent less than what was required to keep services running at current levels. Republicans argue the overall cut is less than half of that percentage when compared to projected annual spending this current fiscal year.  Democrats argue more than 20,000 jobs could be lost in the House budget. Republicans say that number is exaggerated.

Five Democrats joined Republicans in voting for the GOP plan, so there may be enough votes in the House to override Gov. Perdue’s  promised veto.  The bill now goes to the Senate, which will create its own version that was rumored to attempt to rework the level of reductions in the public schools and the UNC system.  However, the Democratic defections on the House side have caused Senate Republicans to reassess how they will form the budget in the next few weeks. Meaning, the budget could run through the Senate at warp speed and be sent to the Governor largely in-tact.  The Senate's GOP majority is already veto-proof as long as Republicans remain unified. And, just to add fuel to the fire, Gov. Perdue said she's not concerned that five House Democrats voted for the spending plan when she said,  "They will be with me when the going gets tough.  If we have to make hard decisions, I can take that to the bank."  It will be interesting to see how the game of “budget roulette” advances. 

 

Top

  Bills Introduced This Week  
 

H 875 Extend Crossover/Lift Resolution Deadline would amend the permanent rules of the House and move crossover deadline to June 9, 2011.  (This is significant, as the week of crossover deadline is usually the busiest week in the legislature’s long session. As NCHBA’s legislative conference is June 7-8, this could make it more challenging to schedule visits with Representatives and Senators. Click here for memo regarding scheduling your legislative visits.)

H 893 Small Business Income Tax Exemption would allow qualified business entities to deduct $50,000 from state net income prior to computing taxes owed.

H 899 Parity in Tax Paid by Small Businesses would ensure that small businesses are not placed at a competitive disadvantage as compared to large corporations by virtue of a higher income tax rate.

H 918 Housing Stimulus would create an incentive for home renovations and energy efficient homes.  This is not the tax credit bill introduced at NCHBA’s request; however, NCHBA supports.

H 919 Small Business Tax Relief & Stimulus would provide tax and other economic incentives and relief to small businesses.

H 922 Annexation Reform Yet another in the long list of annexation bills introduced this session.

 

Top

  Bills on the Move  
 

H 200 Appropriations Act of 2011 passed the House and moves to the Senate.

H 497 Clarify Definition of General Contractor is scheduled to be heard on the House floor 5/11/11.

H 806 Zoning Statute of Limitations/Agricultural District Change is scheduled to be heard on the House floor 5/9/11.

H 845 Reform Annexation Laws was reported favorably out of the Rules committee and was discussed in the Finance committee.

H 875 Extend Crossover/Life Resolution Deadline was immediately passed upon introduction, thus extending the “crossover deadline” to June 9, 2011.

S 118 Downtown Service District Definition was reported favorably out of the Government Committee and now awaits action in the Finance committee.

S 229 Transfer DENR Soil & Water to DACS passed the Senate and moves to the House. 

S 281 Municipal Service Districts/Streets passed the House and awaits the Governor’s signature.

S 354 Rental Property/Lithium Battery Smoke Alarms was reported favorably out of the Health Care committee and is scheduled to be heard on the Senate floor 5/10/11.

S 380 ETJ/Definition of Bona Fide Farm Purpose is scheduled to be heard on the Senate floor 5/10/11.

S 388 Transfer Forestry & Forestry Council to DACS was reported favorably out of the Agriculture/Environment/Natural Resources and now awaits action in the Finance committee. 

S 521 Repeal Rule in Dumpor’s Case passed the Senate and moves to the House.

S 676 Clarify Water and Well Right/Private Property was reported favorably out of the Agriculture/Environment/Natural Resources and is scheduled to be heard on the Senate floor 5/10/11.

 

Top

  Bills Enacted  
  S 464 (S.L. 2011-66) Debt Reduction Act of 2011  

Top

  NCHBA Legislative Conference Coming Up Soon  
 

The NCHBA 2nd Quarter Committee Meetings, Legislative Conference and Board Meeting will be held at the Raleigh Marriott City Center Hotel June 7-8, 2011. The Legislative Reception will be held at the North Carolina Museum of History in downtown Raleigh from 6 p.m. - 8 p.m. on Tuesday. On Wednesday, we will visit our legislators in their offices at the General Assembly to share with them the important issues facing our industry.

The deadline for room reservations is May 16. Be sure to mention the North Carolina Home Builders Association to receive the group rate of $122 for single/double occupancy. The rate also includes one complimentary valet parking pass per room night. Call 1-866-260-1270 or use this link to make a room reservation for the meeting.

Click here for a schedule of events and the registration form. There is no fee to attend any event.
 

Top

  Quote of the Week  
 

"We've found a new product up in the in mountains called 'moonshine."

Sen. Martin Nesbitt (D-Buncombe) during a debate on a proposed amendment to a bill that would allow brewers to sell their own products. The amendment would expand the measure to include distillers.

 

Top



VoterVoice