archived: 20 - 26 Feb, 2005 Back Next
Updated: February 24, 2005
In his State of the State to the General Assembly, Gov. Easley eloquently framed the need to improve public education in North Carolina. Reaction to his address has been most favorable as represented by the editorial writers of the News & Observer:
To his credit, Easley in his address signaled his intent to advocate for public education on several fronts -- from more money for poor school districts (the state is under a court order) to a program enabling high school kids to get a jump on college credits. As the governor makes his case, it's important to note that most of the goals for which he intends to fight will help working families, the disadvantaged, and young people, groups that don't have a lot of high-paid lobbyists in the Legislative Building.
One hopes now that lawmakers will answer Easley's call both to help those people and to move the state forward, aims that happen to be in concert. There's no question he is on target in linking educational investment with brighter job opportunities and a more prosperous future for the state as a whole. – News & Observer
Gov. Easley released his proposed budget yesterday. TPJ will be covering various aspects of the proposed budget. Immediately apparent are the following three provisions:
The Governor keeps the half-cent sales tax that was scheduled to sunset this year.
The Governor’s budget permits the .5 percent income tax increase on incomes $200,000 or greater to expire as scheduled.
His budget also included a 45-cent tobacco tax increase. This tax is phased into effect with 35 cents in year one and 10 additional cents in year two.
Retaining the increase in the sales tax imposed during the last session of the General Assembly; while permitting the one-half percent income tax increase on the richest North Carolinians enacted last session to expire, reflects a policy decision to favor consumption taxation over income taxation. Consumption taxation represents conservative fiscal policy as the sales tax is more regressive in its impact on middle class consumers compared to a progressive income tax.
Democrats can expect that Republicans will focus on the fact that Gov. Easley is increasing any tax, in this case the sales tax that was set to expire. Gov. Easley is positioning Democrats to respond with the argument that retaining the sales tax distributes the tax burden among a much larger pool.
A 45 cent tax increase on tobacco products represents the death of a sacred cow. Tobacco, traditionally one of the mainstays of the North Carolina, was not significantly taxed. The recent abolition of the tobacco allotment program opened the door for Gov. Easley to impose significant tax on tobacco products without much political risk.
The ball is now in the hands of Democrats in the General Assembly. Will progressive Democrats advance a more progressive plan?
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CHAIRMAN MEEK
Jerry Meek was elected as State Party Chairman Saturday by a vote of 271 – 242. Congratulations are in order his successful campaign for Chairman.
The initial media response is to frame Meek’s election as a slap at Gov. Easley:
North Carolina Democrats delivered a blow to Gov. Mike Easley on Saturday, choosing a favorite of local party activists over Easley's choice as state party chairman. –
Independent TribuneJerry Meek rode an insurgency to the state Democratic Party chairmanship Saturday, handing a startling rebuff to Gov. Mike Easley and the party establishment. – News & Observer
The Independent Tribune’s lead comes from an Associated Press article that is receiving the most coverage. More individualized press coverage will emerge today and over the next several days, but Democrats can anticipate that the press will stress the aspect of the story.
Meek’s election represents his credentials of service within the Party and years of mounting frustration by rank and file Democrats that the Party has been neglected and relegated to a position of obscurity.
Democrats should now unify the NCDP. The question is whether that will effectively occur. The closeness of the Meek’s election is a clear indication that the Democratic Party in North Carolina is split.
When the dust settles from the contest, the question will be whether the divisions can be bridged. If so, the Democratic Party may thrive. If not, the Party may suffer severely.
Progressives are now clearly in control of the NCDP. Two of the top three positions in the Party are held by progressives; Delmas Parker being elected 2nd Vice Chairman. They will be responsible for the conduct of Party over the next two years. The ability of the progressives to advance the rebuilding of the Democratic Party will be the gauge of their success or failure. These are the five critical areas:
Money: The Party, while not in debt, is largely under funded. A successful effort is needed to raise the funds necessary to undertake critical programs.
Rebuild Local Organizations: Party organizational structure in some counties and many precincts is deficient. Rebuilding local Party organizations will be critical and it must be sustainable.
Define the Democratic Party: Achieving a realistic Party Platform is a must.
Voter Registration: Democratic Party efforts to register new voters were, at best, spotty across North Carolina, in 2004. Can the Democratic Party out register the Republicans.
Develop a Strategy for Victory: The Democrat Party has to set a course to elect local and statewide Democrats.
It is time for all Democrats to build a stronger Party.
SOCIAL SECURITY
Democrats have much work to do in North Carolina on the issue of Social Security. A poll released by Elon College:
46 percent of respondents said they disapprove or strongly disapprove of the way Bush is handling the hot issue.
By comparison, 31 percent said they approve or strongly approve of the president's performance on Social Security, the federal retirement benefit Bush proposes to privatize partially.
About 23 percent said they were neutral or had no opinion.
Younger people and men are more likely to support Bush's Social Security efforts than are older people and women, the poll found.
"I was surprised by the differences between men and women on these issues," said poll director Tim Vercellotti, an Elon assistant professor of political science.
"Women simply feel more vulnerable about this issue. It might be because Social Security makes up a larger proportion of their retirement income." . . .
Among women, 50 percent disapprove of Bush's handling of Social Security, while 26 percent approve and 23 percent aren't sure, the poll found. But the analysis of women's views has a larger error margin: plus or minus 5.5 percentage points.
Among men, the poll found, 40 percent approve of the president's handling of Social Security, 38 percent disapprove and 22 percent aren't sure. The error margin for the results for men is 6.7 percentage points. – News & Observer (carefully note the large MOE in this poll)
The poll numbers in North Carolina suggest that Democrats can make substantial progress against Republicans on the issue, but a rather large group, 22%, remain undecided. The question is whether the NCDP can organize itself to become an effective advocate on the issue.
TPJ suggested that the national Democratic Party should:
Hold meetings in every organized precinct across America to provide a uniform base of information on the issue to all Democrats;
Send a cadre of prominent Democrats across the country to mount a coordinated speaking tour on the efficacy and viability of Social Security;
Have Democratic Party precinct organizations to go door to door with leaflet drops, not to solicit votes for the Party, but to educate the public and demonstrate the commitment and leadership of the Democratic Party;
Organize and educate the millions of younger voters, some 2 million, that the Democrats brought to the polls in 2004 to educate high school and college students across America and;
Raise the money to mount a truly national media campaign to educate and persuade the public. – Redirecting Fire
The NCDP could undertake a statewide version of this plan. At the least, with Democratic Party precinct meetings and county conventions coming up in the near future, every precinct and every county convention should adopt resolutions opposing Bush’s privatization plan. Copies of the resolution should be sent not only to our Senator and Congressmen, but to every local and statewide elected official from both Parties.
The stakes here are high. Many Democrats assume that Bush is losing the political debate on Social Security. The Republicans are just starting the fight and are engaged in a long term effort as evidenced by this news:
Republican leaders in Congress, faced with the political reality that there is little grass-roots momentum behind President Bush's plan to overhaul Social Security, are planning to spread out across the country next week to try to build a constituency for change — and to take a watchful measure of voters' response.
GOP leaders are encouraging rank-and-file members to hold town hall meetings in their home states and districts during next week's congressional recess, arming them with briefing books, PowerPoint presentations and a video of Bush making the case for major changes in Social Security. – LA Times
Democrats mounted a viable campaign in the NC 11th Congressional District in the General Election. Now, Republican Congressman Charles Taylor is experiencing problems with his Republican colleagues in Washington.
Members of the House Republican Steering Committee have warned Rep. Charles Taylor (R-N.C.) that he is in danger of losing his chairmanship of the Interior Appropriations Subcommittee if he does not raise or donate more money to Republicans.
With one exception, every other Appropriations Committee cardinal — the informal title given to the panel’s subcommittee chairmen — gave at least $150,000 from personal campaign accounts to Republican candidates in the last election cycle. . . .
Taylor, who gave $23,000 in campaign funds to the North Carolina Republican Executive Committee and none to his House colleagues, was told he could be next, according to a lawmaker on the Steering Committee. Aides in Taylor’s office declined to comment.
With the warning, Taylor has narrowly avoided becoming the third high-profile casualty of the Steering Committee’s review of committee and subcommittee chairmen. – The Hill
In analyzing the 11th District results from November, TPJ wrote:
Patsy Keever (a local Democrat office holder) mounted a wonderful campaign in this “safe” Republican District. Keever lost 159,707 to 131,188. Yet, it was a wonderful challenge to a long standing Republican incumbent. Keever carried Buncombe County 52,000 to 48,000.
Keever’s challenge represents what Democrats can do. If Keever had accepted that the 11th was a "Republican" district, there would have been no reason to challenge. Her effort assuredly moves the 11th from "safe" Republican to the possibility of a Democratic Party pick up in 2006. Democrats simply have to go to work in the rest of the 11th to find the some 5% needed to move the District to Democrat.
Keever’s campaign sets the example of what Democrats across North Carolina need to be about in the next two years. – WE WON
Taylor’s difficulty with the Republican leadership is another “chink” in his 2006 reelection effort. Taylor will certainly receive less assistance from the national Republicans because of the perception that Taylor is not a “team player.”
2006 could be a rare opportunity for Democrats to make the 11th District more competitive, if not actually winning the seat. Democrats in the 11th need to start now to register new voters and lay the ground work for the next election.
TAR HEELS WILL PAY
The macro effects of Bush’s budget are receiving a great deal of publicity. What are the direct effects of Bush’s budget on North Carolina? TPJ found this source that gives some of the numbers:
Discretionary spending on federal grants to state and local governments would be cut under this budget proposal by 9%, after adjusting for inflation.
In North Carolina, the budget proposal includes cuts of $198.8 million for discretionary grants to state and local governments, including:
$62.8 million for community and economic development;
$4.3 million for low-income home energy assistance; and
$7.0 million for the Clean Water State Revolving Fund.
In North Carolina, programs constituting the No Child Left Behind Act (NCLB) would remain under funded by $282.1 million. The NCLB legislation authorizes funding each year for its programs. However, the budget would under fund them nationwide in fiscal year 2006 by $13.1 billion.
While taxpayers in North Carolina would lose local services, they will pay increasingly more for the Pentagon, including:
$461.6 million for the proposed increase in military spending; and
$3.6 billion for what Congress has so far allocated for the Iraq War. – National PrioritiesNorth Carolina Democrats must take thee points to our citizens to start making the case that the Republican management of our government is irresponsible.
The real impact of Bush’s budget will be for health care funded through Medicare. TPJ is still searching for all the numbers and the effects of the cuts that Bush will be making.
Last Update: 03/23/2006