House Prepares to Roll Out Its New Budget Plan
Posted July 9, 1996 7:00 a.m. EDT
RALEIGH — July 10, 1996 - 12:10 p.m. EDT
Related Internet Site:N.C. General Assembly
The state House is preparing to roll out a revised budget proposal which would give pay raises to teachers and state employees, and resolve some other financial issues that were left in the lurch when the General Assembly adjourned June 21.
Governor Jim Hunt called lawmakers back Monday for a special session to resolve their budget differences.
The House proposals filed this morning would give state employees and teachers a 4 percent pay raise and spend 54 million dollars to hire new teachers for 12,000 additional students expected at public schools next month. It also would reduce class sizes in the second grade and spend 20 million dollars on school technology.
The House budget committee is meeting this afternoon to consider two separate budget bills and is likely to take it to the full House later today.
Also during the special session, the House and Senate have tentatively approved competing tax reduction packages. Both plans would reduce the sales tax on food and corporate income taxes, as well as the tax on soft drinks. But they contain significant differences that will have to be negotiated.
The House plan also includes incentives intended to lure new and expanding industries, which the Senate handles in a separate bill approved today. A final vote on both tax packages is expected Thursday.Copyright ©1996 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or distributed.