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State Budget Agreement NOT Reached
Legislative Democrats thought they had reached an agreement last week to raise taxes by $982 million, a deal that could have cleared the way for approval of a $19 billion budget as early as this week. "Both sides have basically blessed it," said House Speaker Joe Hackney, following a closed-door House Democratic caucus meeting. But, apparently, there was nothing “blessed” about the plan at all. With the Governor miffed at the proposed 2% surcharge on income taxes and threatening a veto, where this leaves legislative leaders is anyone’s guess.
The initial agreement called for a 1-cent increase in the sales tax, a 2 percent surcharge on personal and corporate income tax liability, a tax on items downloaded over the Internet, a 10-cent per pack increase on cigarettes, an increase in the beer excise tax of about 5 cents per six-pack, a 4-cents per bottle increase in the excise tax on wine and a 5 percent hike in the tax on liquor. The sales tax hike would account for a big chunk of the additional revenue, raising an estimated $803.5 million. The income tax surcharge would have expired in two years, and House Democrats indicated that they would still like language having the sales tax do likewise.
Having passed two separate continuing resolutions to keep state government operating in the absence of a state budget, the NC General Assembly has until July 31 st to finalize a spending plan.
Late Friday, the Governor issued an executive order that limits state spending to only mandatory expenses. Under the order all purchases must be approved by agency heads, all travel is restricted and agencies are prohibited from filling any vacant jobs.
Click here to Read More on “Budgetary Bumbling and Stumbling”
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Coal Ash Dams to Be Inspected Under Proposed Law
The House has unanimously approved legislation that would require state inspections of coal ash ponds produced by power plants. The 117-0 vote comes just a few weeks after the bill appeared to be going nowhere in the House. That was before the Environmental Protection Agency issued a report which found 12 high-risk coal ash dams in the state and before Gov. Beverly Perdue called on legislators to approve the bill. Rep. Pricey Harrison, D-Guilford, the bill's sponsor, called the legislation an incremental but needed step. The bill would place coal ash dams under the state's Dam Safety Act, which allows for inspections of structural soundness by the Department of Environment and Natural Resources. Currently, utility companies submit their own engineering reports to the state Utilities Commission. The bill now goes to the Senate for consideration. (THE INSIDER, 7/23/09).
Regional Group to Ramp Up Plans for Charlotte Energy Hub
Charlotte’s energy-hub initiative goes public Wednesday as organizers host an event dubbed an Energy Investors Forum. The goal is to make the Charlotte region a bigger player in the energy industry through a range of initiatives — from beefing up manufacturing and research to stepping up training for professional engineers. Click here for the full article...
Click here to read press release issued by the Charlotte Regional Partnership, host of the event.
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Infrastructure News
 GARVEE Bonds
The state Department of Transportation sold $242.5 million in bonds Monday to help fund road projects around the state. The grant anticipation revenue vehicles, known as GARVEE bonds, allow NCDOT to borrow against future federal funding to help finance projects sooner. The interest rate on the 12-year bonds is 3.36 percent. NCDOT sold a previous batch of GARVEEs worth $282 million in 2007 that had a 3.9 percent interest rate. Click here to read full article...
Base Infrastructure
To handle troop expansions currently under way, seven North Carolina counties surrounding three Marine bases will need better roads, new schools and more emergency responders, according to a report by the Military Growth Task Force of North Carolina's Eastern Region. The task force's July draft report found that adding more than 40,000 Marines, sailors, civilian contractors and their families will bring economic benefits to the region, but recommends money be spent to expand infrastructure, housing and schools. The report is being reviewed by local leaders and a final draft will be published in September. Click here to read full article...
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NCBELS Update
The NC Board of Examiners for Engineers and Surveyors met on July 16th. The Engineering Committee chaired by David Pond, PE, reported on the following items:
- Truss Placement Plans – Truss manufacturers are seeking revisions in interpretations, particularly with respect to shop drawings. NCBELS is participating in the discussion with Barry Gupton, PE of the NC Department of Insurance to assure that a “Registered Design Professional” continues to seal the truss placement plans.
- Crane Safety – NCBELS is supporting the national concern over crane accidents and has reviewed and offered comments prior to the NC Department of Labor’s recently adopted rules for crane installations and operation. A resolution prepared by NCBELS will be presented at the NCEES National meeting in August. Click here for a copy of the resolution.
- BIM (Building Information Modeling) – NCBELS is monitoring to see if any issues arise to jeopardize the responsible charge of the licensed professional engineer.
- Exemptions from Design Professional Seal – The next round of revisions to the Building Code Administrative provisions will include a review of exemptions. NCBELS will be working with Barry Gupton, PE in the NC Department of Insurance on this review. Even if exemptions are removed, most local jurisdictions will likely still require them.
- Meeting with DENR – Representatives from the Board will be meeting with leadership in the NC Department of Environment and Natural Resources to discuss various issues of mutual interest. The Board has asked the ACEC/PENC Environmental Committee to develop a list of our issues to include in these discussions.
- Technology Degree – The Board is considering a change to state statute that would allow an individual with a technology degree to sit for the FE without waiting the required 4 years.
Members of the NC Board of Examiners for Engineers and Surveyors will be attending the annual NCEES meeting in August where the western zone (all states west of the Rockies) is introducing a resolution to kill the B + 30 education concept. If the resolution passes the B + 30 education initiative currently supported by NCEES will die. NC will be voting against the resolution and in favor of moving forward with establishing the B+30 degree as a requirement for licensure.
If there are questions or you need additional information, please feel free to contact me at bbailey@penc.org or phone 919-424-4412.
Sincerely,
Betsy Bailey
Professional Engineers of North Carolina
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Honorary MATHCOUNTS Chair – June Atkinson - Wins Battle to Run Our Schools
Last week, a Wake County judge ruled the state constitution gives day-to-day administrative control to the elected state superintendent of public instruction. June Atkinson won her second term in the position last fall, but the state school board has never allowed her to run the public schools. Bill Harrison, the man selected by Governor Beverly Perdue to be the chief executive officer decided that he will retire from his $265,000 a year administrative post but continue in his second role as State Board of Education chairman. Governor Perdue has not yet decided whether to appeal the ruling.
Superintendent Atkinson serves as the Honorary Chair of the PENC MATHCOUNTS program and attended the statewide competition this past March.
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Contact Us
Professional
Engineers
of North Carolina
1015 Wade Avenue, Suite A
Raleigh, NC 27605
Phone: (919) 834-1144
Fax:
(919) 834-1148
Web Site: www.penc.org
E-Mail: exec@penc.org
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