NC public investments still not back to pre-recession levels
A preliminary analysis of the Governor’s proposed budget by the experts at the N.C. Budget and Tax Center reports that:
“The proposal was thin on the details for how and who would fund the spending priorities that were laid out. The one revenue change supported by the Governor was the repeal of the state estate tax, a move that would result in the loss of $52 million. Last year, just 23 multi-million dollar estates paid the state estate tax. Because there was no significant change in availability, the budget is able to expand investments in certain areas by relying on spending cuts in other areas, tuition and fee increases, and the modest improvement in revenue collections to date. Below is a helpful graph to put the Governor’s proposal in perspective relative to what is needed to maintain current service levels or reach pre-recession levels.”
The bottom line at this point: North Carolina spending on basic public services and structures remains inadequate and well-below pre-recession levels. The Governor’s budget does little to addres this enormous problem.