This week the General Assembly put the finishing touches on SB13 Balanced Budget Act of 2011. The House gave final approval to the bill today which directs Governor Perdue to find $400 million in savings in this year’s budget and takes about $75 million from three economic development funds. The Governor objected to the economic development funds being included in the bill. The two questions on everyone’s lips now are whether the Governor will veto the bill and whether there are enough votes to override the veto.
Yesterday the Governor announced via YouTube that the State’s budget hole for next year is a billion dollars less thanks to better than expected revenues and lower than expected Medicaid and State Health Plan costs among other things. The hole is now anticipated to be $2.7 billion.
The Governor will deliver her State of the State address Monday night to the General Assembly and is expected to release her budget in the days following the address.
Today at the Joint Transportation Appropriations Subcommittee NCDOT Chief Operating Officer Jim Trogdon talked to the Committee members about the NCDOT efforts in strategic prioritization, the 5 and 10 year work plans, urban loop programming, and the Mobility Fund. Rep. Killian chaired the meeting and gave his strong support to the NCDOT for their efforts to apoliticize the project selection process. He encouraged the Department to share their ideas to downsize, privatize, and make their operations more efficient. On the Mobility Fund he asked that the Department consider projects that we are currently aware of rather than looking for new ones.
Rep. Rapp expressed his concern that the Committee is focused on highways and not other modal options as well and asked both the Department and Rep. Killian on how rail fits into the dialogue. Trogdon said that we don’t know all the answers yet and noted the work being done in the State with the Federal high speed rail effort. He expressed his belief that the process in place will allow for a balance among the different modes of transportation. Rep. Killian acknowledged the different perspectives of the committee members and encouraged debate on the issue as things progress.
Rep. McGrady noted the Department’s increased project delivery rate and inquired as to how that was done. Trogdon pointed to better and more realistic scheduling that is fiscally constrained. Trogdon acknowledged past pressure to schedule what they knew the Department did not have the resources to build.
Sen. Forrester asked about the State’s opportunities to receive more federal rail dollars. Trogdon noted the conflicts on the issue between the President and Congress and said the future looked uncertain.
Sen. Gunn encouraged the Department to bring forward any burdensome rules and regulations that impede the speed with which NCDOT can deliver projects. Trogdon said they were working to identify those issues now.
Rep. Steen complimented the Department’s prioritization process, but said that it was confusing to locally elected officials serving on MPOs. Rep. Steen also asked Trogdon how new offers of private dollars can be figured into the two and five year work plans. Trogdon will be getting back to the Committee on that and how local governments can partner to speed up the delivery process.
Members are expecting to hear back from the NCDOT and legislative staff on key road projects eligible for the Mobility Fund, and a spreadsheet of urban loop completed miles among other items.
The Senate unanimously passed SB9 Make Synthetic Cannabinoids Illegal today. It now goes to the House for consideration.
It was a tough week on the annexation front this week. I would encourage you to look for the Weekly League Legislative Bulletin which will have more on that issue including a call to “Bring 5” next week to Raleigh to speak with your representatives on annexation.
Thank you to Charlotte, Concord, Greensboro, Wilmington, andWinston Salem for sending us your legislative agendas. If your city has passed a legislative agenda please send it to us.
Member Mayors and City Managers, if you have not already done so, be sure to register for our upcoming 2011 Winter Meeting in Greensboro. Confirmed guest speakers include Governor Perdue, President Pro Temp Berger and U.S. Senator Hagan.
