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NC Budget and Tax Center, Poverty and Policy Matters

Unless lawmakers reverse course, nearly one million North Carolina families will claim the state Earned Income Tax Credit (EITC) for the last time this tax season—one year after Gov. McCrory signed a bill ending the tax credit, according to a new report from the NC Budget and Tax Center.

In 2013, North Carolina lawmakers put an end to the state EITC, which helps low-wage workers keep more of their income so they can afford basic necessities, like child care, while pursuing deep tax cuts that primarily benefit wealthy individuals and profitable corporations. Combined with the income tax cuts that benefit the wealthy, the loss of the state EITC tilts the tax system even more out of balance. The state’s tax system already asked more from low- and middle-income families than it did from those earning the most, and this makes the disparity even worse. The resulting tax shift is neither true tax reform nor good for North Carolina’s economy. Read More

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The state health agency plans to close three Eastern North Carolina offices that provide services for developmentally disabled infants and toddlers, a move that will eliminate an estimated 170 state jobs by July.

Documents obtained by N.C. Policy Watch show that budget cuts prompted the N.C. Department of Health and Human Services’ Early Intervention Program to call for the closure of three children’s developmental services agencies in New Bern, Rocky Mount and Wilmington.

The state agency will expand an existing contract with East Carolina University’s School of Medicine to continue providing services to families in the 21 affected counties, according to a Feb. 10 strategic plan written by Dr. Robin Cummings, the state’s acting health director, and obtained by N.C. Policy Watch.

ECU already has a contract with DHHS to provide early intervention services for several counties in the Greenville area.

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From the good folks at the NC Alliance for Health:

Raleigh – Fifteen years after the 1998 state tobacco settlement, North Carolina ranks 45th in the nation in funding programs to prevent kids from smoking and help smokers quit, according to a national report released by a coalition of public health organizations.

North Carolina currently spends $1.2 million a year on tobacco prevention and cessation programs, which is 1.1 percent of the $106.8 million recommended by the Centers for Disease Control and Prevention (CDC). Read More

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If you get a chance, check out this Charlotte Observer editorial on the state Supreme Court’s recent ruling on the North Carolina’s still badly inadequate pre-Kindergarten effort. As the editorial notes:

Berger pre-K“We’re a little puzzled by the fist-pumping from Republicans in Raleigh last week after the N.C. Supreme Court tossed out a case involving the legislature and the state’s pre-K program.

The court, in a six-page decision, dismissed an appeal of a 2011 lower-court ruling that said the Republican-led legislature had violated a constitutional mandate by making it harder for at-risk children to participate in pre-K. The court also vacated that lower-court ruling because Republicans undid the two things that landed them in court in the first place – capping pre-K enrollment and initiating a co-pay for some eligible families. Read More

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Speaking of anniversaries, the fine advocacy group Action for Children North Carolina celebrated its 30th last week. Executive Director Deborah Bryan sent us the following essay in contemplation of the event.  

Supporting Our Children’s Past, Present and Future

Since 1983, North Carolinians have raised millions of children–and we have millions more to go. Each in a small but real way holds the state’s future in his or her hands. Action for Children North Carolina exists to give them every opportunity to succeed. The last 30 years points the way for the decades to come.

Action for Children’s network of support has ensured that the voices of our children are heard in local and state government, school districts and even our state’s juvenile and adult correctional facilities.

Our advocates have worked tirelessly to:

*expand Health Choice to cover more than 140,000 children;

*ensure the passage of critical child safety laws like the booster seat law and the child bicycle safety act;

*orchestrate the ban of corporal punishment in nearly all of North Carolina’s school districts; and

*help lift nearly 300,000 North Carolinians, half of whom were children, above the federal poverty line through passage of the Earned Income Tax Credit–all successes we achieved together.

Even with all of these accomplishments, our work is far from complete. Read More