Rep. Pendleton: Eliminating retiree health benefits “should have been done a long time ago.”

pendleton

Rep. Gary Pendleton (R-Wake)
(photo from ncleg.net)

In a meeting Wednesday where House lawmakers discussed key differences between the two chambers’ 2015-17 budget proposals, Rep. Gary Pendleton (R-Raleigh) said he was all for eliminating retiree medical benefits for future teachers and state employees.

“That’s something that should have been done a long time ago,” said Pendleton after legislative staff outlined the differences between salaries and benefits in the House and Senate budgets.

Senate lawmakers have included in their budget proposal eliminating retiree health care for teachers and state employees who are hired after January 1, 2016.

Proponents of the idea cite an unfunded liability of $25.5 billion associated with the retiree health fund and the need to find ways to reduce that cost. But opponents say cutting retiree health benefits will make it much harder to attract and retain good teachers and state employees.

[Click here and here for more background on the Senate’s proposal to eliminate retiree health care for future state employees and teachers]

Some of the other key differences between the House and Senate budget proposals discussed Wednesday largely revolved around education.

Driver’s education. House lawmakers appeared to be unlikely to waver on their position of keeping driver’s ed fully funded. The Senate is proposing to abandon funding it altogether and eliminate the requirement for driver training in order to get a license.

Chief budget writer Rep. Nelson Dollar (R-Cary)  cited the Senate’s move as a “major concern” and Rep. John Torbett (R-Gaston)  noted that during the last session, House lawmakers came up with a new funding mechanism for driver’s ed that didn’t include using highway fund dollars, which seemed to please everyone. Now, said Torbett, the Senate is abandoning driver’s ed altogether.

Dr. Bob Shackleford, president of Randolph Community College, said they don’t have the infrastructure or funds to take on providing driver’s education, as the Senate is suggesting.

Teacher assistants. Superintendents, a principal, teacher and TA all spoke out against the Senate’s plan to cut TA jobs by more than 8,500 over the next two years, explaining their critical role in making sure that young students, especially those with special needs, get one-on-one learning time in order to succeed.

The Senate proposes taking some of the money associated with the eliminated TA jobs and putting that toward reducing class size—a move that they say would produce better academic outcomes for students.

But Rep. Pendleton pointed out that there’s an additional cost associated with building out the classrooms and schools that would be needed to accommodate the additional small classes.

Wake County Schools Superintendent Jim Merrill said that cost would be significant—about $100 million to accommodate 145 new teachers, in accordance with the Senate’s budget.

For more key differences, check out comparison documents discussed yesterday that are located on the General Assembly’s website here.

Rep. Mickey Michaux (D-Durham) interrupted budget discussions yesterday to ask the question that is on everyone’s mind: when is this thing [budget negotiations] gonna end?

“I don’t want to play Santa Claus here,” said Michaux. “You’ll be home for Christmas,” Dollar responded.

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