December 2001 End-of-Session Newsletter
Rep. Debbie Clary

Dear Friends:

This legislative session has been a historical one. It is the longest and most expensive in our state's history. It is historic in how much has not been done and how long it has taken to adopt a budget with a massive tax increase during an economic downturn with our country at war.

Working since January on various legislation, we have made some progress in enacting a few significant laws. We passed legislation increasing the authority of the Agriculture Commissioner and the State Veterinarian to act quickly to protect our livestock industry in case of an outbreak of hoof and mouth disease. We passed the Patient Bill of Rights, which offers the consumer more options in health care while providing some legal protections. We passed a law eliminating the death penalty for mentally retarded persons with an IQ under 70. We passed legislation requiring a social security number and proof of residency of obtain a North Carolina driver's license.

The most significant legislation passed however is the State's $14.5 Billion budget for the 2001-2002 fiscal year. It took us 8 ½ months to come up with a proposal that would pass the Senate, the House and gain approval from the Governor. There was considerable debate, discussion and back room, closed-door negotiations. Democrats looked at tax increases to come up with the additional revenue. Republicans suggested a three percent reduction in spending to balance the books. In polls conducted across the State, about 70% of North Carolinians indicated that they were strongly against tax increases. The budget with the largest tax increase in a decade passed the House narrowly by a 63-55 vote along party lines, with only one Republican voting for the budget. Two members were absent when the vote was taken. You can be assured that I did not vote for this incredible tax increase. With unemployment at an all time high in our district, I agree with President Bush, the call is for economic stimulus in tax relief not an increase.

We realized the depth of our fiscal dilemma starting in January. We learned that revenue projections were way off despite warnings as far back as last year that the projections we'd been working on were way short. Lawsuits costing over One Billion Dollars and unexpected expenses from Hurricanes Fran and Floyd dug the hole even deeper.

Our state constitution requires that we have a balanced budget. To get there, the budget writers made some small reductions, closed tax loopholes, but most of the revenue will come from increased taxes. They continued to look for sources for more money rather that making reductions in current programs. When all was said and done, North Carolina taxpayers are stuck with a $1 Billion tax increase and increased government spending compliments of the Democrats.

Many economists and business professors have said in a soft economy, the last thing you do is raise taxes. In order to stimulate an economy, people need to spend money. It makes sense that the more money people are paying to the government, the less disposable income they have to spend. Our unemployment rate in North Carolina is at an all time high. With our country on the verge of war after the terrorists attacks on September 11, the outlook of our national economy is uncertain. People are afraid, people are cautious; people are drawing their families closer. It doesn't make sense to expect the hard working families of North Carolina to shoulder even more of a tax burden at this time.

We have missed a great opportunity to re-examine how our state government operates. At the root of this fiscal crisis is a management problem. Instead of taking advantage of this opportunity to re-examine how every tax dollar is spent and how every program operates, we've just thrown more money at problem areas. There is talk of there not being enough money in this budget to cover expenses for the 2002-2003 fiscal year. Until we take the time to look at how government is managed and the necessary changes to make it run at maximum efficiency, it will take increasing amounts of money to fund an over-growing government. As long as the spending continues, someone is going to have to pay for it. I still maintain that we know better how to spend our money than government does.

Of course, the session continues as we address redistricting with much controversy. The Democrat leadership can't seem to come up with a plan that satisfies the black and white democrats in their caucus. Blacks would potentially lose several seats in order to compose and win more white democrat seats. Republicans have the most to lose under the proposed plan with about fifteen incumbent Republican seats in jeopardy. This is my first redistricting and I've discovered that even the least partisan among us, becomes the worst. After all, it's all about politics! Then they say…"these are the people's districts"….bull!

With this year's tax increase and the current dilemma that is redistricting, I can honestly say that I've experienced partisan politics at it's finest! Many constituents have questioned the length of the session and inquire as to why it has come to be the longest in the history of the state. I assure you that many of us would rather be home working in our districts.

On a personal note, I would like to introduce you to the newest Clary. My brother David and his wife Wendy have a new baby girl, Josie Ann Clary. Josie is four months old now and learning to watch out for big brother Cole, who will turn three in a few months. A big Congratulation goes out to my sister, Christy Hurdt, who will graduate from Limestone College in December and begin her new position teaching at Jefferson School.

As always, I appreciate your support in serving as your Representative in Raleigh. If our office can be of service, please do not hesitate to call. God Bless!

Sincerely,

Rep. Debbie Clary