Discussion but no vote on annexation moratorium

The House Judiciary II Committee on Thursday discussed the proposed annexation moratorium bill, HB 2367 – Involuntary Annexation Moratorium, but did not vote. We expect discussion to continue next week, at either the Tuesday or Thursday meeting of this committee.

To answer a question raised by Rep. Dan Blue, chair of the committee, please let the League know if your city or town has a city-initiated annexation pending. This means if your municipality has passed a resolution of intent, a resolution of consideration or an ordinance with a pending effective date for a city-initiated annexation, please let us know by the end of the day on Monday. You may email Karl Knapp of the League staff at kknapp@nclm.org . We earlier surveyed municipalities about pending annexations, and if you responded to this online survey, you do not need to contact us again.

Municipal officials from Charlotte and Greensboro, and representatives of the N.C. Chapter of the American Planning Association, spoke against the proposed moratorium at this week's committee meeting. We thank them and all of you who have been contacting your House members. Please continue these contacts and, in particular, please contact members of the House Judiciary II Committee to ask them to vote against an annexation moratorium. Members of the committee and their email addresses are listed below.

Chair

Rep. Dan Blue      danb@ncleg.net

Vice Chairs
Rep. Rick Glazier    rickg@ncleg.net   
Rep. Jimmy Love    jimmyl@ncleg.net
Rep. Jennifer Weiss    jenniferw@ncleg.net

Members
Rep. Alice Bordsen    aliceb@ncleg.net
Rep. Jim Crawford    jimcr@ncleg.net
Rep. Dale Folwell    dalef@ncleg.net
Rep. Jim Harrell       jimha@ncleg.net
Rep. Pat Hurley       path@ncleg.net
Rep. Linda Johnson    lindajo@ncleg.net
Rep. Joe Kiser      joek@ncleg.net
Rep. Tim Moore      timm@ncleg.net
Rep. Earline Parmon     earlinep@ncleg.net
Rep. Karen Ray      karenr@ncleg.net
Rep. Tim Spear      tims@ncleg.net

Bill to protect children's information moves

The House Judiciary I Committee approved SB 212 – Local Park and Rec Participant Records this week. The committee substitute bill (which passed the Senate last year as legislation regarding land use appeals) limits the information about minors participating local parks and recreation programs that must be disclosed under the public records law. The bill specifies that the name, address, age, date of birth, telephone number, name or address of parent/guardian, and other identifying information with regard to the minor is not a part of the public record. The only information that must be released is the county, municipality, and zip code of each participating minor. The League membership supports the legislation to help protect children from predators, and we thank Reps. Bordsen, Hall and Ross and the members of the committee for moving it forward.

Senate passes budget

This was budget week in the Senate. The Senate rolled out its version of the state budget on Monday and Tuesday and gave final approval to the $21.4 billion budget proposal on Thursday. The Senate version does not include any tax increases, but proposes different spending priorities than the House version. Higher education, the debt level and children's health insurance will be among the issues to negotiate as legislators work toward getting a budget in place before the new fiscal year begins July 1.

The Senate budget would provide an average 3 percent raise for teachers and a raise for other state employees of either 2.75 percent or $1,100, whichever is greater. The House provisions on pay raises are similar, although the Senate budget allows the Governor to offer additional raises if state revenues come in above estimates.

The Senate budget allocates more for Governor Mike Easley's preschool program and for the University of North Carolina system. In addition, the Senate budget authorizes about $122 million more than the House in borrowing for prisons, university building and other capital projects. Both the House and Senate versions begin the phase-out of the $172 million annual transfer from the Highway Trust Fund to the state's general fund, with the Senate plan calling for a faster phase-out.

The House and Senate are also at odds over $50 million in tax relief. The House would expand the earned income tax credit for low- and moderate-income families and increase the property tax exclusion for disabled veterans (with reimbursement of lost revenue to local governments). The Senate's tax provisions are included in separate legislation, and would include cutting the sales tax on home heating fuels and repealing the gift tax.

Shortly after the Senate gave final approval to its budget proposal, the House voted not to concur with the Senate version. Budget negotiators from both chambers started meeting together Thursday afternoon to resolve the differences.

Union dues bill gets unfavorable vote

The House Local Government II Committee voted against SB 1271 – Firefighter/EMS Payroll Deductions on Wednesday of this week. The bill, which passed the Senate last year, would have required employers to make payroll deductions for union dues upon an employee's request. The requirement would apply to firefighters, police officers, and emergency medical services personnel, as well as to any other employee who belongs to an employee association with at least 2,000 members statewide, at least 500 of whom are law enforcement officers. The League opposed the legislation.

Smoking bills advance

Bills to authorize local governments to prohibit smoking in their vehicles and on the grounds of their buildings have passed the Senate and were referred to House Judiciary I. SB 1686 – Smoke Free State and Local Bldg. Grounds would allow local governments to restrict smoking on the grounds of buildings owned, leased as lessor, or leased as lessee and occupied by the local government. “Grounds” is defined to mean the area within 50 linear feet of the local government building. SB 1681 – Smoke-Free Motor Fleet clarifies the ability of local governments to prohibit smoking in the passenger vehicles owned, leased, or otherwise controlled by the local government and assigned to its employees. The League supports these bills.

Transfer tax repeal clears Senate

The Senate approved SB 1951 – Repeal County Land Transfer Tax this week. The legislation would remove the authority granted to counties in the 2007 session to levy a 0.4 percent transfer tax, subject to referendum. A floor amendment was added to allow counties, when holding a sales tax referendum, to specify the purposes for which the tax proceeds would be spent. The land transfer tax and sales tax options were provided to counties as part of last year's “Medicaid swap” and were intended to give revenue options for funding county infrastructure.

Looking to 2009-2010 – Municipal Legislative Policy Proposals

Please Submit Your Ideas Now

The NCLM's 100 th Anniversary Conference will be held on October 12-14, 2008 in Charlotte. The annual business meeting will be held on October 14, and in that meeting the membership will consider any changes to the advocacy agenda and core municipal principles for 2009-2010. The advocacy agenda sets the priority initiatives that the League will seek during the two-year legislative cycle. The core principles are the bedrock concepts for which the League and its membership stand and serve as the guidelines for determining our position on proposed legislation. In accordance with the League Bylaws, proposals from the membership must be submitted to the League at least 90 days in advance of the annual meeting.

Proposals should be sent to the League office as soon as possible, but no later than July 16, 2008. This is your policy process—please give this thoughtful consideration and participate so that the League speaks for you. The proposals will be forwarded to one of the League legislative action committees. Committee recommendations will be considered by the League Board of Directors at its August 12 meeting. Copies of the advocacy agenda and core principles recommended by the Board will be sent to all member municipalities at least 60 days before the annual meeting.

Proposals that have not been approved by the Board can be considered by the legislative action committees later, but will not be considered at the annual meeting, except upon the favorable vote of 3/4 of the member municipalities present and voting, pursuant to the League Bylaws. Following the annual meeting, we will inform the membership, legislators and other interested individuals and organizations about the approved advocacy agenda and core principles.

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