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7:15 p.m. • 2-12-12

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Perdue again taps trust funds for spending


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Gov. Beverly Perdue
Gov. Beverly Perdue

Gov. Beverly Perdue on Thursday ordered a state hiring freeze and identified $145 million in various trust funds that could be used to pay the state government's day-to-day bills.

“North Carolina continues to face budgeting challenges. My decision to limit agency spending is crucial to North Carolina’s ability to meet our financial obligations and to provide the essential services required by our citizens,” Perdue said in a statement.

In addition to freezing hiring, she ordered freezes on agencies buying goods and services and all travel not approved for public safety, public health and economic development reasons. Exceptions to the freezes might be allowed for classroom instruction expenses and emergency situations related to law enforcement, health care and public safety.

The 18 trust funds Perdue is tapping include the Health and Wellness Trust Fund, the Tobacco Trust Fund and several in the Department of Environment and Natural Resources.

A Department of Environment and Natural Resources spokesperson said Perdue’s order could mean state park construction, acquisitions and grants will have to delayed.

Budget officials project a  shortfall up to $2.2 billion when the fiscal year ends in June.

Perdue spokeswoman Chrissy Pearson said the governor already has secured more than $1 billion in reserves and dedicated funds since taking office to narrow the gap, including the $787 million in the state's rainy-day reserve fund and $50 million in a reserve with state lottery profits inside.

“Clearly, we are in crisis,” state Rep. Nelson Dollar, R-Wake County, said. “We need a much fuller understanding.”

In February, Perdue tapped the lottery reserve fund and three other funds to create a $300 million emergency account for operations.

RELATED TOPICS: Beverly Perdue

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Bev ordered a hiring freeze on Thursday? Well what did Mike order back in October? Thought we had been on a hiring freeze.

gammasandi: Thanks for the invite---I'll be there...

Perdue is going to finish Putting United states in the hole it wont be much longer with her waste an pork.She is going to be 1 of the worst Governors ever.Constantly taking money that is reserved for other programs.Less Pork more truth

YOU ARE SO RIGHT ABOUT "FEET IN THE STREET" SO PLEASE JOIN US AT THE STATE CAPITOL ON WEDNESDAY, APRIL 15 AT 6:30PM FOR THE TAXPAYERS' TEA PARTY!

Just wait until they start jacking up everyone's taxes...well, let me clarify...jacking up the taxes for those of us who actually pay for everyone else.

Change you all wanted...before you know it, what's left of the middle class will be living on cat food and ketchup soup.

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