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The folks at Carolina Public Press in Asheville have more responses from the trenches today in a story about the North Carolina Senate’s proposal to privatize Medicaid and do away with the state’s award-winning Community Care NC program:

“Medicaid management nonprofit faces closure

Community Care of North Carolina, a nonprofit with 14 networks across the state — including Western North Carolina — would lose its contract with the state under the Senate’s plan.

The proposed elimination of the nonprofit network is part of the Senate’s plan to remove Medicaid management from the state Department of Health and Human Services and create a new agency to handle the program, as noted in its budget document.

Community Care of Western North Carolina, which has an office in Asheville, serves eight WNC counties: Buncombe, Henderson, Madison, McDowell, Mitchell, Polk, Transylvania and Yancey, according to its website. It serves 64,342 Medicaid enrollees, according to July 2013 figures, with an additional 12,000 enrolled in other programs. Read More

NC Budget and Tax Center

North Carolina’s economic development efforts took a turn for the worse last night, when the Senate passed a bill that privatizes the state’s business recruitment, retention, and development activities. A similar proposal will likely pass the House today, and while the lower chamber’s privatization plan is marginally better than the Senate’s scheme, both leave a lot to be desired in terms of ensuring more effective job creation and protecting taxpayer dollars.

Privatizing job creation efforts is hardly a new idea, although it’s proven to generate more scandals than results in the sixteen states that have experimented with this approach. According to the General Assembly’s own Fiscal Research Division, the kinds of economic development public private partnerships envisioned in the House and Senate bills haven’t proven themselves any more effective at boosting job creation in the states that adopted them than in those states that simply kept their job recruiting efforts inside agencies of state government.   At the same time, FRD and other researchers have found that these privatization schemes have been marked by financial mismanagement (Wisconsin), conflicts of interest and pay-to-play incentive-granting (Texas and Florida), and the inability to raise private funds, leaving taxpayers on the hook (Missouri).

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School-vouchersAs an excellent essay in this morning’s edition of Raleigh’s News & Observer by veteran education policy expert Greg Malhoit makes clear, North Carolina is on the verge of commencing a long, slow-motion disaster with its wrongheaded plunge into the world of school vouchers.

As Malhoit explains in some detail, two of the Wake County schools likely to receive significant public funds if the program goes ahead — Victory Christian Center and  the Al Iman School — make no pretense of offering a secular education. These are explicitly religious schools with specific missions of teaching and indoctrinating students into very specific religious belief systems. Moreover, as he notes: Read More

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041211_1720_Publiceduca1.jpgIn a rare happy development in the North Carolina General Assembly, a study committee decided yesterday to table a proposal (for now) that would have brought radical and disastrous upheaval to North Carolina’s public education system by letting students enroll at any school in the state. The proposal was so extreme that even Rep. Edgar Starnes — once one of the most conservative lawmakers in Raleigh — derided the idea as one that would have caused “utter chaos.”

Good for Starnes and other members of the Joint Legislative Program Evaluation Oversight Committee who apparently recognized the proposal for the nightmare that it was and would have brought about. Let’s hope the idea remains dead and buried. Here’s, however, why that may be wishful thinking: Read More

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This morning’s lead editorial in Raleigh’s News & Observer gets it right in its characterization of the push by state legislative leaders to plow ahead with their school voucher scheme despite the certainty of lengthy litigation over the issue and the existence of a court injunction against it:

“It really is time to stop calling those who run the N.C. General Assembly conservatives. They are not conservative. They are reckless.

There’s a long list of actions that demonstrates their disregard for what defines the truly conservative. They hand out extravagant amounts to the wealthy in tax cuts and leave the state strapped for basic services. They turn down billions of dollars in federal support for the jobless and the health needs of the working poor. They ignore the principles of sound investment by cutting spending on public schools and higher education. They trample constitutional ideals regarding voting rights and civil rights. They shirk their obligations to be careful stewards of the environment.

The list could go on, but the case is concisely illustrated in the latest turmoil over school vouchers.” Read More