• Budget Experts Warn of • Financial-Aid Political Prison-Bed Shortage, P. 5 Football, P. 12 Some cool to HOT plan, P. 16 C A R O L I N A Fee holiday in Apex, P. 17

Statewide Edition A Monthly Journal of News, Analysis, and Opinion from March 2007 • Vol. 16, No.3 the John Locke Foundation www.CarolinaJournal.com JOURNAL www.JohnLocke.org Landowners Face Property-Species Conflict Owners of N.C. pine forests woodpeckers prefer to nest in mature longleaf pine forests. affected by efforts to protect “It is frustrating for landowners, I “They are the only woodpecker in North America that makes its cavity in know. We’re working to alleviate a living tree, which makes it somewhat red-cockaded woodpeckers unique,” Benjamin said. “A family of some of that frustration. We’re not woodpeckers requires at least 75 acres, By DAVID N. BASS there yet. We will get there, one and preferably 120 or more acres, of this Contributing Editor mature pine forest to make their cavities RALEIGH way or another.” and to feed.” reserve the habitat of an endan- Pristine habitat locations have gered woodpecker or protect Pete Benjamin grown scarce over the years, to the det- private property rights. That’s the Field Supervisor riment of the woodpeckers. Longleaf Papparent quandary residents are facing U.S. Fish and Wildlife Service pines were once plentiful across the in Brunswick County’s Boiling Spring Marine News photo United States, Benjamin said, being the Lakes region. dominant forest type in the Southeast Red-cockaded woodpeckers, Spring Lakes, a small community south Service, the woodpeckers are similar in and covering about 100 million acres. which were once plentiful across the of Wilmington containing prime coastal size to ’s state bird, the Because of extensive logging in the 19th Southeast, now are protected under real estate. But after the Fish and Wild- cardinal. The species is named after and early 20th centuries, the number has the 1973 federal Endangered Species life Service became involved in a local the red streak found on each side of the dropped to 3 million acres. Act. The U.S. Fish and Wildlife Service conservation effort more than a year ago, male’s black cap, known as a “cockade.” That trend has particularly affected estimates that only 6,000 groups and many residents faced new restrictions As a species, the woodpeckers have the woodpeckers — they prefer longleaf 15,000 individual birds remain. on what they could lawfully do with stringent habitat needs. According to One of the few locations where their property. Pete Benjamin, field supervisor for the the woodpeckers still thrive is Boiling According to the Fish and Wildlife Fish and Wildlife Service in Raleigh, the Continued as “N.C. Landowners,” Page 2 N.C. Smoking-Related Medicaid Burden Still Heavy By PAUL CHESSER were responsible for more than $265 $4.6 billion. get,’” said N.C. House Minority Leader Associate Editor million of the amount. Expenditures have grown since the Paul Stam, a Wake County Republican. RALEIGH About 10 years ago the attorneys agreement. As measured by the CDC, “The implication of that is it should go espite the windfall of money general in all 50 states filed lawsuits smoking-related Medicaid expenditures to the fund that paid the money, which states harvested in the 1998 against large tobacco companies. The in North Carolina totaled $600 million is the General Fund.” Master Settlement Agreement lawsuits, most of which were con- in 1998 and $708 million in 2002. The At the time of the agreement, South Dwith tobacco companies to treat illnesses solidated under the Master Settlement state and counties paid $220 million Carolina’s attorney general, Republican caused by smoking, Medicaid expendi- Agreement between “big tobacco” and and $271 million, respectively, for the Charlie Condon, recommended to then tures continue to soar. 46 of the states, were intended to recover two years. Democratic Governor-elect Jim Hodges According to the Centers for Dis- the states’ Medicaid costs for the health Ironically, none of the money the that the state’s share of the proceeds go ease Control, Medicaid costs attributed problems of sick smokers. state harvested in the agreement is used to tax relief. to smoking-related illnesses and pre- The agreement called for the to- to treat smoking-related illnesses. “These funds, the $2.2 billion vention totaled $769 million in North bacco companies to pay $246 billion to “The source was a lawsuit that said, Carolina in 2004, the most recent year the states over 25 years. North Carolina’s ‘you bad tobacco companies have caused measured. The state and its counties share of the take was projected to be added expenses to our Medicaid bud- Continued as “Medicaid,” Page 3 Do you support or oppose the death 80penalty for certain types of violent The John Locke Foundation NONPROFIT ORG. crimes? Contents 200 W. Morgan St., #200 U.S. POSTAGE Raleigh, NC 27601 PAID RALEIGH, NC North Carolina 3 PERMIT NO. 1766 Interview 6 Education 9 Higher Education 12

Support 69% Local Government 16 Oppose 23% Books & the Arts 20 Not Sure 8 % Opinion 24 Parting Shot 28 John William% Respondents Pope Civitas in June Institute Civitas Poll, Institute February Poll 2007 CAROLINA C a r o l i n a North Carolina JOURNAL Journal N.C. Landowners Affected By ESA Richard Wagner Continued from Page 1 Editor pines both for nesting purposes and for Don Carrington feeding on the insects that populate the Executive Editor trees. In addition, the woodpeckers do not migrate, choosing instead to gain Paul Chesser, Mitch Kokai, everything needed for survival from Michael Lowrey, Donna Martinez their longleaf pine habitat. Associate Editors “It’s a surprising amount of habitat that they need in order to get the re- Chad Adams, Shannon Blosser, sources, the food, to sustain themselves Andrew Cline, Roy Cordato, and to reproduce,” Benjamin said. “You Paige Holland Hamp, David Hartgen, need quite a lot of acreage to have any Sam A. Hieb, Lindalyn Kakadelis, George Leef, Karen McMahan sizable population of woodpeckers in Karen Palasek, Susan Robinson, any area.” Marc Rotterman, Mike Rouse, Specifically in North Carolina, the Jim Stegall, George Stephens, Boiling Spring Lakes region is perfectly Jeff Taylor, Michael Walden, suited to the exacting habitat standards Karen Welsh, Hal Young of the woodpecker. The town is one of the Contributing Editors few areas in Brunswick County that still supports the necessary natural resources for the bird, Benjamin said. Alyn Berry, Geoff Lawrence, But that fact has presented a Michael Moore, Jonathan Murray, problem. Because the woodpeckers are Kamen Nikolaev, Haley Wynn protected under the Endangered Spe- Editorial Interns cies Act, landowners that have nesting sites on their land face development regulations that can often infringe on Published by property rights. The John Locke Foundation 200 W. Morgan St., # 200 Endangered Species Act Raleigh, N.C. 27601 (919) 828-3876 • Fax: 821-5117 The Endangered Species Act pro- www.JohnLocke.org tects endangered species from “take,” meaning any effort to “harass, harm, Jon Ham pursue, hunt, shoot, wound, kill, trap, Vice President & Publisher capture, or collect.” The act also forbids damage to the habitat of endangered John Hood species that might result in harm to Chairman & President protected animals. In order to bypass the act’s regulations, landowners are Bruce Babcock, Herb Berkowitz, required to obtain a federal permit, James Culbertson, Jim Fulghum, a process that entails added cost and The Town of Boiling Spring Lakes provides property owners with a woodpecker-habitat Bill Graham, Robert Luddy, map and advises them to coordinate with federal officials before cutting pine trees. Assad Meymandi, Baker A. Mitchell Jr., time delays. Carl Mumpower, Maria Ochoa, Residents are concerned about the woodpeckers.” Protection vs. property rights J. Arthur Pope, Tula Robbins, limitations and added expense, said But Kinney has already seen a loss Thomas A. Roberg, David Stover, Joan Kinney, mayor of Boiling Spring of property value and a reduction in One question facing the town is Robert Stowe III, Andy Wells Lakes. “The landowners, of course, are new development in the town. “We’ve how to balance conservation efforts with Board of Directors concerned, because all of a sudden that already seen the growth decrease tre- protecting the constitutional private piece of property that they have is limited mendously,” she said. property rights of landowners. as far as building,” Kinney said. About In terms of the local economy, the Benjamin said that he understands Carolina Journal is a monthly journal 2,750 lots are affected by the regulations, the frustration residents face and that the of news, analysis, and commentary on state environmental regulations have had two all of them within the city limits. direct effects on the real estate market, U.S. Fish and Wildlife Service is work- and local government and public policy issues Benjamin admitted that obtaining ing to alleviate some of the angst. One in North Carolina. said Steve Candler, government affairs authorization is time-consuming. “If director for the Brunswick County As- of the ways to do that is by streamlining the permitting process to make it “more ©2006 by The John Locke Foundation [your land] is occupied red-cockaded sociation of Realtors. Fewer new homes accessible” and “less cumbersome” for Inc. All opinions expressed in bylined articles woodpecker habitat, and the clearing of being built translates into fewer listings are those of the authors and do not necessarily trees to build a house is going to result for agents, causing some real estate single-family lot owners. reflect the views of the editors of CJ or the in harm to the family of woodpeckers agents to struggle financially and two “That’s what we’re working on staff and board of the John Locke Foundation. occupying that territory, then folks need realty officers to close in recent months, now — trying to get some sort of stream- Material published herein may be reprinted as authorization from the Fish and Wild- Candler said. Some people also mistak- lined process in place for the residents long as appropriate credit is given. Submis- life Service before they cut down those enly perceive that the town is “closed of Boiling Spring Lakes so that they sions and letters are welcome and should be trees,” he said. The federal permitting for business” and that development is don’t need to go through a protracted directed to the editor. process could take more than a year, prohibited. permitting process with the federal Benjamin said. “This is far from the truth,” Can- government,” he said. CJ readers wanting more information Despite the time requirements for dler said. “After the [Realtors] stepped But Rick Stroup, visiting professor between monthly issues can call 919-828-3876 a permit, Benjamin said that no regu- up to the plate and partnered with the of economics at North Carolina State and ask for Carolina Journal Weekly Re- lations are going to prevent property Nature Conservancy, U.S. Fish and University, said that environmental port, delivered each weekend by e-mail, or visit regulations that cause a reduction in CarolinaJournal.com for news, links, and ex- owners in Boiling Spring Lakes from Wildlife Service, and the North Carolina developing their land. “At the end of Wildlife Resource Commission to move property value to the owner are “coun- clusive content updated each weekday. Those terproductive” and “inequitable” in interested in education, higher education, or the day, everyone will be able to do the process forward and to educate the many cases. In a 1995 research paper local government should also ask to receive whatever they want with their property,” citizens and landowners on the grant weekly e-letters covering these issues. he said. “No one is going to be denied process, some of the panic and ‘doom use of their property because of these and gloom’ has disappeared.” Continued as “N.C. Landowners,” Page 3 CAROLINA March 2007 JOURNAL North Carolina  N.C. Landowners Affected By Endangered Species Act

Continued from Page 2 tal groups and initiatives such as the “We’ve learned over time that you can meet your train- Wildlands Project are attempting to that discussed potential changes to the reserve “safe passageways” for wildlife Endangered Species Act, Stroup argued ing mission, protect the species, and do positive good throughout North America. These set- that changing “the status of endangered aside areas would be closed to humans species from the landowner’s enemy to by protecting the environment, protecting your land- except for traditional national park the landowner’s friend” would make activities, such as hiking, primitive the act more effective on private prop- scape and your forests for the long term.” camping, and wildlife observation. But erty. Stroup suggested revising the act at least in Boiling Spring Lakes, the con- to recognize that a property right has Mike Lynch sensus seems to be that forced isolation been taken when the federal govern- Director of Plans, Training, is unnecessary — mankind and wildlife ment imposes habitat standards on and Mobilization, Fort Bragg can coexist without difficulty. landowners. “These birds can live and get along “If such recognition occurs, the “[The regulations are] federally man- tree ordinance recently approved by the quite well in a suburban sort of environ- Fish and Wildlife Service will have to dated, and unfortunately there’s not Town Council. ment,” Benjamin said. “Woodpeckers follow the clause of the Fifth Amend- much we can do except try to figure out “No one can cut these larger trees and people can coexist quite peaceably, ment of the Constitution that requires what is the best plan for our city,” she down unless they come to us with an so it’s not really a question of the birds compensation when the government said. “We’re still in the process of looking application for a building permit to build versus the people or development versus takes property,” Stroup wrote. “So far, no at all the possibilities and have not come a house on that property,” she said. preservation or any of those things you actions of the Fish and Wildlife Service up with anything concrete yet.” “I think a lot of [the tree cutting] commonly hear.” under the ESA have been judged to be was generated by some misinformation Kinney said that the woodpeckers ‘takings’ of property rights.” Landowner panic? and resulting fear on the part of the will nest in neighborhoods and are not Stroup said eliminating “specific citizens,” Benjamin said. found strictly in undeveloped or remote disincentives” from the act is one fun- According to a News & Observer Landowners are not compensated areas. “People have them in their front damental change that needs to be made. of Raleigh article published in August, in any way for delays or expenses in- yard or in their back yard,” she said. In his paper, Stroup also emphasized some residents of Boiling Spring Lakes curred by the regulations, Benjamin In fact, the woodpeckers at the the importance of involving the private are taking matters into their own hands said. “It is frustrating for landowners, Fort Bragg Army base, another region sector in environmental protection. “A by cutting down longleaf pines on their I know,” he said. “We’re working to al- containing populations of the endan- number of federal laws could be changed property before the woodpeckers show leviate some of that frustration. We’re gered woodpeckers, might actually to allow environmental groups to bid for up. Once wooded lots are now “scraped not there yet. We will get there, one way prefer being near humans rather than the lease or purchase of federal lands to bare to the white sandy soil,” causing or another.” in remote areas. Since the base imple- protect endangered species habitat (or alarm among city leaders, the article mented conservation tactics around pursue other environmental goals),” said. Is coexistence possible? a decade ago, the woodpeckers have he wrote. Kinney said that Boiling Spring surprised environmentalists and mili- But at least to Kinney, changing Lakes is not having as much trouble In an effort to protect ecology federal regulations is not an option. with clear-cutting today because of a and endangered species, environmen- Continued as “N.C. Landowners,” Page 4 Medicaid Burden of Smoking-Related Costs Still Heavy Continued from Page 1 other than relief of their Medicaid costs. in the town of Old Fort. expected to consider relieving the coun- Earlier this decade the tobacco funds As for the other half of North ties’ burden. North Carolina is the only designated for South Carolina, are re- helped close many state budget gaps. Carolina’s share of tobacco settlement state in the United States that requires imbursements…reimbursements to the Other states directed funds to economic payments, the state also created two its counties to pay a fixed percentage of taxpayers of our state for dollars already development projects. other specialty organizations: the North Medicaid costs. spent,” he wrote in a public statement. In New York, the Niagara County Carolina Tobacco Trust Fund and the “If you put [tobacco settlement “It would be a terrible injustice if those public golf course received $450,000 in Health & Wellness Trust Fund. The money] in the General Fund,” Stam funds were used to pay for more govern- tobacco settlement funds for two capital Tobacco Trust was created to assist farm- said, “that would take care of half the ment programs and more bureaucracy or projects. ers with the transition from cultivating counties’ burden for Medicaid, instead to grow the government in any way.” But North Carolina’s leaders North Carolina has been no excep- tobacco to other crops, but the fund has of having a giant slush fund controlled never indicated that taxpayers would tion. The state, led by Easley, created also financed other economic develop- by political appointees.” be relieved for all the years of caring for the Golden Long-Term Economic Ad- ment projects. State Sen. Ellie Kinnaird, a Car- sick smokers. vancement Foundation (Golden LEAF) The Health & Wellness Trust was rboro Democrat, remembered when the In 1998, then-Gov. Jim Hunt to manage one-half of North Carolina’s created to start a tobacco use preven- tobacco settlement was first reached, pledged, “It will help us address our share of the agreement, which mostly tion program and to advocate for the saying that North Carolina farmers put efforts to crack down on underage flows to so-called economic develop- overall health of North Carolinians. Its forth a much stronger lobbying effort smoking and to protect the health and ment projects as decided by its politically largest initiative has been a senior citizen than did the medical community and well-being of North Carolinians.” appointed board. prescription drug program, on which ill smokers. The attorney general at the time, Golden LEAF has received more it has spent $86 million. The trust has “(The farmers) were the ones who now-Gov. Mike Easley, who was a chief than $555 million in payments from spent $77 million on its teen tobacco prevailed because they persisted,” she negotiator of the agreement, told the tobacco companies. According to its prevention program. said. Associated Press that half the money Web site, the nonprofit has awarded The Tobacco Trust has received She said the outcome with the MSA would help transition tobacco-depen- 445 grants totaling more than $155 nearly $278 million, and Health & Well- and Medicaid is a good reminder of how dent communities “by diversifying million. ness $246 million, in tobacco settlement politics works in North Carolina. economic development,” while the other Many of the grants have gone to payments. But earlier in the decade Ea- “I can’t believe anybody’s going half would go to public health, with an tourism projects and educational initia- sley diverted some of that money into to open this up again, even though the emphasis on education about smoking tives, but one $400,000 grant funded the General Fund in order to make up farmers have been paid very well,” Kin- and nicotine addiction. infrastructure for a tobacco processing a shortfall in the state budget. naird said. “It shows you the influence Today those payments from corpo- plant in Rocky Mount. Some grants this Meanwhile, Medicaid continues to of tobacco in every county.” CJ rations such as Philip Morris USA and year supported a drag racing museum, a weigh heavily on the state, on its coun- R.J. Reynolds Tobacco Company have visitors bureau for Johnston County, and ties, and ultimately on taxpayers. In its Paul Chesser is associate editor of been used by many states for purposes “a showcase for Blue Ridge traditions” current session the General Assembly is Carolina Journal. March 2007 CAROLINA  North Carolina JOURNAL Edwards Home in Orange County is Largest Private Residence

By DON CARRINGTON Knight approved the building Executive Editor plans that showed the Edwards home RALEIGH totaling 28,200 square feet of connected residential candidate John Ed- space. The main house is 10,400 square wards and his family recently feet and has two garages. The recreation moved into what county tax of- building, a red, barn-like building con- Pficials say is the most valuable home taining 15,600 square feet, is connected in Orange County. The house, which to the house by a closed-in and roofed includes a recreational building attached structure of varying widths and eleva- to the main living quarters, also is prob- tions that totals 2,200 square feet. ably the largest in the county. The main house is all on one level “The Edwardses’ residential except for a 600-square-foot bedroom property will likely have the highest tax and bath area above the guest garage. value in the county,” Orange County The recreation building contains Tax Assessor John Smith told Carolina a court, a squash court, two Journal. He estimated that the tax value stages, a bedroom, kitchen, bathrooms, will exceed $6 million when the facility swimming pool, a four-story tower, and is completed. a room designated “John’s Lounge.” The rambling structure sits in Edwards was the Democratic can- the middle of a 102-acre estate on Old didate for vice president in 2004 and a Aerial view of former U.S. Sen. John Edwards’ nearly 29,000-square-foot home in Orange Greensboro Road west of Chapel Hill. County. (CJ photo by Don Carrington) former N.C. senator. The heavily wooded site and winding The Edwards for President press driveway ensure that the home is not ing past the gate. including the recreational building, the office was unable to provide information visible from the road. “No Trespassing” Don Knight, Orange County Edwardses’ home would be one of the on any additional buildings planned signs discourage passersby from ventur- building plans examiner, told CJ that, largest in Orange County. for the estate. CJ Berger Brings Issue of Payments to Controversial Films to CNN

By PAUL CHESSER and others in the national media, is other needs that the state budget should know, suggesting that would need to Associate Editor “Hounddog,” which premiered at fund. be worked out in potential legislation. RALEIGH the Sundance Film Festival in Utah in “The movie itself deals with a Then Beck asked why the government movie recently shot in North January. It stars child actress Dakota controversial subject, and it’s not ex- subsidized movies in the first place. Carolina that depicts a child rape Fanning, who is depicted in one scene actly something that most people here “That’s exactly the way I feel scene has revived the debate as the victim of rape. in North Carolina would want to see about it,” Berger said, “and I voted Aover the state’s film incentives policy, “The potential eligibility of this their tax dollars spent for,” Berger said against the incentive program, but it’s and state Senate Minority Leader Phil film for taxpayer funded incentives il- on the program. here. It’s something that a majority of Berger took to the national media to lustrates the problems with giving gov- The senator noted that other states, the members of the legislature want. draw attention to the issue. ernment cash handouts to companies including South Carolina and Georgia, And so I think what we’ve got to do is Berger, an Eden Republican, ap- that produce films in North Carolina,” have procedures by which their film of- make sure that, if we’re going to have peared on the January 30 “Glenn Beck” Berger said in a statement. ficials review scripts before approving such a program, we do it in a way so program on the CNN Headline News The state film incentives program incentives. “We need to put in place that the taxpayers’ money is not being network. The senator has called for a allows filmmakers to receive up to a 15 some kind of control to make sure that wasted.” change in policy, so that filmmakers who percent rebate on production-related the taxpayers don’t get embarrassed,” As he closed the segment, Beck want tax breaks through the state’s film expenses on films made in the state. They Berger said. said, “You know, every member of gov- incentives program would have to gain claim the refund on their tax returns. Beck asked who would review ernment needs to re-read Atlas Shrugged. pre-approval by submitting their scripts On Beck’s show, Berger questioned scripts, and who would decide “what’s It’s time for our politicians to read, to the N.C. Film Office. why North Carolina taxpayers should bad and what’s not?” ‘Hey, government, stay out of business The movie that disturbed Berger, subsidize “Hounddog,” considering Berger replied that he didn’t and let business do the work.’” CJ N.C. Landowners Affected By Endangered Species Act’s Rules

Continued from Page 3 really looking for a good habitat that’s “We’ve learned over time that you he said. free of obstruction — not a lot of under- can meet your training mission, protect From a realty and marketing per- tary personnel alike by increasing in growth, not a lot of debris that would the species, and do positive good by spective, Candler said he thinks that the number much faster than anticipated. A allow predators to easily infiltrate their protecting the environment, protecting woodpeckers could actually attract resi- Fort Bragg press release in June reported nests, and if you have that, they will do your landscape and your forests for the dents to the town by creating a unique that the woodpeckers’ numbers have quite well.” long term,” Lynch said. “And, of course, coastal environment. “The barrier risen from 238 clusters in 1992 to 368 clusters today. While the base initially had train- since this is the only land we have, we’re islands have their sea turtles — Boiling Mike Lynch, director of plans, ing restrictions in place prohibiting hu- very interested in maintaining it so that Spring Lakes has their red-cockaded training, and mobilization for Fort man activity near woodpecker nesting we can train soldiers here for hundreds woodpeckers,” he said. Bragg, said the woodpeckers will com- sites, Lynch said that restricted areas of years to come.” Benjamin said the woodpeckers monly nest in spots where human activ- have decreased over the years. Today the On the issue of whether the wood- and humans could coexist if the “nec- ity takes place. base is working with the Fish and Wild- peckers can be protected and whether essary processes” are in place. “There’s “They will go where the habitat is, life Service to relax the restrictions. economic growth is still possible in just some planning necessary to make and if that habitat is in a very heavily “[The birds] are everywhere,” he Boiling Spring Lakes, Stroup sees action sure that happens,” he said. “And when used training area with soldiers in and said. “We have a little phrase around in the private sector as helpful. “Private it does happen, and it will happen, one around it, they will go there; if it is off here that they must like soldiers, because preservation would work, as would the way or another, the people of Boiling in the far corner where very few people everywhere soldiers are, you’ll find rental by agencies of private (or other Spring Lakes will be better off, and the go, they will go there,” he said. “They’re woodpeckers.” agency) land for specific habitat work,” woodpeckers will be better off.” CJ CAROLINA March 2007 JOURNAL North Carolina  Legislators Told To Act Now on Prison-Bed Shortage By MITCH KOKAI per bed in prisons million, Mills said. has a long-range plan to add 6,500 beds Associate Editor with the most se- Lawmakers also by 2015, Mills said. That plan consists RALEIGH curity to $20,006 have converted mainly of expanding current prison sites orth Carolina could soon face in minimum-cus- some temporary and building new inmate dormitories. another scramble for prison tody prisons. beds, expanded Some lawmakers hope their col- space if legislators fail to act North Caro- prison dorm ca- leagues will support alternatives that Non the problem this year, according to lina prisons now pacity, and taken could dampen demand for new prison a recent budget briefing for the General house more dan- other steps to boost beds. They point to a series of alterna- Assembly. gerous inmates capacity. tives developed by the state Sentencing “The correction budget has grown than they handled But growth Commission in 2002. about 16.6 percent in the last two years,” in past years, Mills continues to push “We know now that some of the said Jim Mills, lead correction budget said. That’s be- population over sentences are sort of placed wrong for analyst for the legislature’s Fiscal Re- cause the state’s capacity, Mills said. the crime, you know the good ol’ ‘Let the search Division. “The prison population 1994 structured “Bottom line, by sentence fit the crime,’” said Sen. Ellie is continuing to grow. Projections com- sentencing law 2008, North Caro- Kinnaird, D-Orange. “The sentences are pared to the bed capacity the Depart- was designed lina will be about way too long for the type of crime. That ment of Correction currently has and to force inmates 1,100 prison beds uses up prison beds, so if we can lower will have in the future show that North convicted of more short,” he said. “By those, we could save prison beds.” Carolina will be 2,500 beds short by the serious crimes to 2011, over 2,500 Better investment in health and year 2011.” spend more time prison beds short, human service programs could reduce That later date is closer than it ap- behind bars. “The sentences are way and at the end of long-term demand for prison space, pears. “Some decisions are going to need At the end too long for the type the period, 2016, Kinnaird said. “We could put all the re- to be made in 2007,” Mills said. “If some of 1995, the state over 6,800 prison sources we need into families in trouble decisions are made to build additional had an overall of crime. That uses up beds short. at the lowest rate,” she said. “Eighty prison beds to deal with this shortage, prison population “ T h i s a s - percent of the children in juvenile justice it takes typically from design to actually of 29,485 inmates. prison beds, so if we can sumes there’s no [programs] have serious mental health getting inmates into the prison between Thirty-six percent lower those, we could action taken for problems. We know that 40 percent of three and four years.” of them had been construction or the people in prison have serious mental Education and health and hu- convicted of the save prison beds.” other options. It health problems. man services programs take the largest worst felonies. By also assumes there “We need to put our resources chunks of the state budget, but prisons the start of this Sen. Ellie Kinnaird are no additional there. Let’s put the money there, and and other correction programs account year, total popula- D-Orange criminal penalty not in our prisons.” for $1.16 billion in annual state spending, tion had grown bills passed which Not every lawmaker agrees. “It’s or about 6 percent of the budget. to 37,725 inmates, would affect incar- always the case that education is first in “Staffing is a major component of and 56 percent of them had been con- ceration rates, which, of course, won’t line, and health and human and services that budget — 76 percent of the budget,” victed of the worst felonies. happen. There will be additional bills is second in line,” said Rep. Joe Kiser, R- Mills said, “to staff prisons, to staff case- “The [inmate] population growth passed.” Lincoln, a former county sheriff. “That’s loads for probation and parole. That’s between 1996 and 2006 has been about Legislative staffers already have one reason that we find ourselves in the 20,000 employees.” 21 percent,” Mills said. Much of that in- seen as many as 20 bills this year that situation we are in with justice and public Other factors increasing costs in- crease can be tied to former inmates who could increase criminal penalties and safety [funding]. In my opinion, we have clude: repair and maintenance of more had their probation revoked. The actual potentially increase the number of prison not funded it adequately in the past. than 70 prisons; equipment; prisoners’ growth rate was about 28 percent. inmates, Mills said. If the measures win “I don’t think there’s anything food, health care, and clothing; and work Prison growth is no new issue for approval, they would follow other recent any more important than the public and education programs. North Carolina. The legislature funded changes such as increased penalties for safety,” Kiser said. “When you lock “For 2005-06, the average cost six 1,000-bed prisons from 2001 to 2005. methamphetamine-related crimes and people up who’ve committed crimes to operate a prison bed was $24,408,” Construction has cost $514 million, and domestic violence. and keep them there for significant time, Mills said. That ranges from $29,091 annual operating costs exceed $120 The N.C. Department of Correction then the public is safer.” CJ Stay in the know with the JLF blogs Visit the JLF’s two newest blog sites Visit our family of weblogs for immediate analysis and commentary on issues great and small “Right Angles” in the Triangle and “Piedmont Publius” in the Triad join our other fine blogs

The Locker Room is the blog on the main JLF Web site. All JLF employees and many friends of the foundation post on this site every day: http://www.johnlocke.org/lockerroom/ Right Angles is the John Locke Foundation’s blog in the Triangle. Three JLF staffers — Jon Sanders in Raleigh, Jon Ham in Durham and Donna Martinez in Chapel Hill — offer commentary on the news of the day in each of the points of the Triangle. Enjoy it at http://triangle.johnlocke.org/blog/

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Be sure to visit our other fine blog sites The Locker Room: The John Locke Foundation’s main blog, http://www.johnlocke.org/lockerroom/ Squall Lines is the JLF’s blog in Wilmington.Curtis J. Wright keeps folks on the coast updated on issues The Meck Deck: The JLF’s blog in Charlotte, http://charlotte.johnlocke.org/blog/ facing that region of the state: http://wilmington.johnlocke.org/blog/ Squall Lines: The JLF’s blog in Wilmington, http://wilmington.johnlocke.org/blog/ The John Locke Foundation, 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 The John Locke Foundation, 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 March 2007 CAROLINA  Washington JOURNAL

NC Delegation Watch Clinton administration official stole classified documents

Butterfield: Ease Medicaid Foxx, McHenry Want Polygraph for Berger U.S. Rep. G. K. Butterfield, By PAUL CHESSER D-1st, in January introduced “It is extraordinarily important Associate Editor that the Justice Department avail itself legislation that would provide RALEIGH of its rights under the Plea Agreement relief and protection for counties .S. Reps. Virginia Foxx and Pat- and administer a polygraph examination increasingly burdened with sky- rick McHenry, both of North to Mr. Berger to question him about the rocketing Medicaid costs. Carolina, joined 16 other legisla- extent of his thievery. This may be the “Medicaid is a vitally impor- Utors in late January to ask U.S. Attorney only way for anyone to know whether tant and successful cooperative General Alberto Gonzales to administer Mr. Berger denied the 9/11 Commission program between the state and a lie detector test to a Clinton adminis- and the public the complete account of federal government,” Butterfield tration official who stole confidential the Clinton Administration’s actions or said. “Passing along the state’s government papers. inactions during the lead-up to the ter- burden to the counties is hurting a Rep. Viginia Foxx, Rep. Patrick McHen- The congressmen signed and sent a rorist attacks on the United States.” good number of communities, in- R-5th ry, R-10th letter to Gonzales Jan. 22, requesting that Foxx criticized what she believed cluding many that I represent.” the Justice Department give a polygraph was an insufficient punishment for Butterfield said North Caro- examination to former National Security Berger’s crime. lina is now the only state that Advisor Samuel Berger, who pleaded “He admitted to taking “He admitted to taking highly requires counties to fully partici- guilty in April 2005 to unauthorized highly classified docu- classified documents on three occasions pate with Medicaid costs, and that removal and destruction of classified (emphasis Foxx’s) from the National it is an enormous and growing documents from the National Archives, ments on three occa- Archives,” she said in a statement. burden. He pointed out that half a misdemeanor. Foxx said Berger must be ques- of North Carolina’s 100 counties Berger reviewed Archives materi- sions.” tioned “about the extent of his thiev- now pay more for Medicaid than als before he testified before the 9/11 ery.” for their schools. Butterfield said Commission in late 2003. The commis- U.S. Rep. Virginia Foxx “The probability that documents that in two counties he represents, sion asked Berger to explain internal were destroyed and stolen to prevent Bertie and Hertford, Medicaid Clinton administration discussions and their review by the 9/11 Commission costs eat up 14.8 percent and 14.1 actions about terrorist threats in the the visits. is extremely disturbing,” Foxx said. percent of the counties’ budgets, United States. “Officials from the 9/11 Commis- “Justice must be served in this mat- respectively. Berger reached a plea deal with the sion told Committee staff they now have ter. Without the full disclosure of his- Butterfield said that while Attorney General’s Office that cost him deep concerns about the materials Mr. torically relevant documents, the 9/11 a temporary freeze for county a $50,000 fine, two years’ probation, and Berger had access to,” the legislators Commission’s report may very well be Medicaid costs was included in 100 hours of community service. But the wrote to Gonzales. missing critical information.” CJ the state budget, the need for a agreement also called for him to volun- permanent solution still needs to tarily submit to a polygraph test, “upon be found. He also said that the request by the United States.” $27.4 million in state relief was Earlier in January the Republican also welcome but it too is still staff of the House Committee on Over- very small when compared to sight and Government Reform, which the $487.9 million counties pay includes Foxx, R-5th, and McHenry, R- in Medicaid costs. 10th, released a report questioning the Justice Department’s handling of the investigation into Berger’s behavior. headliner series “The Report paints the Depart- Reps’ efforts for agents fail ment of Justice as remarkably incurious Byron york about all of Mr. Berger’s visits to the An attempt by 38 House washington corresPonDent, NatioNal Review members, including North Caro- Archives,” the legislators wrote in their lina Reps. Walter Jones, R-3rd, letter. “While Mr. Berger was prosecuted Discusses “the 2008 PresiDential contenDers Robin Hayes, R-8th, and Sue for taking documents he admitted to tak- anD their ProsPects” Myrick, R-9th, to keep two con- ing, questions remain about what other noon, weDnesDay, March 14 documents he may have removed.” victed Border Patrol agents out holiDay inn Brownstone, raleigh of prison, pending their court Those doubts spurred the repre- appeals, failed in January. sentatives’ request for the lie detector The agents, Ignacio Ramos test. “Based on the Government Reform and Jose Alonso Compean, were Committee’s report, we’re requesting a gordon s. wood convicted of shooting an illegal polygraph test because it is critical that Pulitzer Prize-winning historian lawmakers know the full extent of his alien in the buttocks after he fled Discusses “revolutionary characters:what from them in February 2005. The crimes,” McHenry said. “This is an issue aDe the ounDers iFFerent suspect, Osbaldo Aldrete-Davila, of national security and it is vital that M F D ” had carried 743 pounds of mari- the full story comes to light.” noon, tuesDay, March 27 juana across the U.S. border near An Archives inspector’s report, Belk Dining hall, MereDith college, raleigh El Paso, Texas. Davila was brought released in December 2006, showed that back to the United States and Berger removed more documents from granted immunity in exchange for the Archives, hid them under a trailer his testimony against the agents. in a nearby construction area, and later Fred Barnes According to a report on retrieved them and took them to his executive eDitor, the weekly StaNdaRd anD own office. the Web site of the Lincoln (N.C.) co-star oF Fox news’ “Beltway Boys” Tribune, Myrick and some other The members of Congress, led by gives “a washington uPDate” members of Congress met with Reform Committee Ranking Republican Compean on Jan. 9. Rep. Thomas Davis III of Virginia, noted noon, MonDay, aPril 23 “It is tragic that these men that Berger visited the Archives four Benton convention center, winston-saleM were convicted for doing their times before inquiries into the terror- ist attacks of Sept. 11, 2001, and Berger job,” Myrick told the Tribune. CJ admitted taking documents on three of (Phone 919-828-3876 for ticket information) CAROLINA March 2007 JOURNAL CJ Interview  NPR’s Juan Williams Urges ‘Honest Conversation About Race’

ox News contributor and National the book gener- — starts using it, — because we need all the energy from Public Radio correspondent Juan ated? when he went caring people. When it comes to this Williams recently addressed a John on some hate- whole idea that somehow we’re fuel- FLocke Foundation Headliner luncheon Williams: filled rant, then ing right-wing demagogues, let me say in Charlotte. He also discussed his recent I’ve just been so all of a sudden this: There are bigots and racists out book, Enough: The Phony Leaders, Dead- heartened. I’ve Hollywood and there. Everybody who’s right-wing is End Movements, and Culture of Failure That got to tell you. a lot of the black not a bigot and racist, but if there are Are Undermining Black America, and What To my mind, I sort of enter- bigots and racists out there, we’re not We Can Do About It, with Mitch Kokai for knew that I was tainment elite giving them anything that they didn’t Carolina Journal Radio. (Go to http:// sticking my neck in Hollywood have before. It’s not like they didn’t www.carolinajournal.com/cjradio/ to out there. I know are starting to have knowledge of the problems in our find a station near you or to learn about that Cosby had have second community. the weekly CJ Radio podcast.) had his neck — thoughts. They The focus here is trying to ad- to a certain de- see what’s hap- dress those problems, trying to solve Kokai: Why did you write this gree — chopped pened, but this those problems, and it requires that we book? off. And obvi- was apparent honestly address them up front. So to ously Bill Cos- long ago. This my mind the first step in dealing with Williams: A lot of it was a result by has much is a very nega- any problem is analyzing it, seeing it for of Bill Cosby’s speech. Cosby gave a more standing, tive thing. Why what it is, and then being able to move speech on the 50th anniversary of the fame, stature in would you cel- forward. Brown v. Board of Education decision. It American lives ebrate and ad- was at a gala event in Washington, D.C., than I do. But vance the use Kokai: If your book generated the hosted by the NAACP. And Bill Cosby people all over of the “n” word exact response you wanted, what would — Mr. Funny Man — didn’t make funny the country say about yourself? happen in the discussion about race? comments. He started having a serious to me, “Thank That’s crazy. conversation about problems going on God, someone It’s self- Williams: Absolutely, it would inside black America: the 25 percent has started this defeating, and start with the family. We would start by NPR and Fox News analyst Juan Williams speaks poverty rate, the 50 percent dropout rate, conversation.” at a John Locke Foundation Headliner event at again it’s this saying — for example — just in the way the 70 percent out-of-wedlock birth rate. Now obvi- the Westin Hotel in Charlotte on Dec. 11, 2006. culture of failure we’re talking about limited, censored And you know what? People were inter- ously you don’t (CJ photo by Don Carrington) that becomes ac- conversations — we would start with the rupting him with applause. They weren’t get that from the cepted. It’s the conversation about why is it that seven telling him to, “Shut up, sit down.” No, civil rights leaders. Al Sharpton — who I culture of failure that allows a kid who’s out of 10 black children are born out of they were applauding him, and when he point out in this thing is one of the phony trying to do well in school to be told that wedlock. Why do we have so many kids finished he got a standing ovation. leaders — he has criticized me. He said he’s acting white. How crazy is that? not understanding the value of educa- Afterward, though, the critics that I’m the Ann Coulter in black. The But again, we have to identify a culture tion at the start of the 21st century? came out, and they took him out at the Jesse Jacksons of the world are saying, of failure for what it is and not allow I think we need to start talking to knees in the most vicious way. They “That’s not the real story. Why didn’t you someone else to say you’re authentically young people in a positive way about the said things like, “This guy’s just a co- come talk to me more?” Like I haven’t black if you’re acting like a thug, like value of education — the importance of median. He doesn’t know what he’s talked to Jesse Jackson enough. you’ve just got out of jail wearing your education — about the value of family. talking about. He doesn’t understand Then, of course, the academics say, pants hanging off your butt, wearing a We need to talk to people about simple that he is — in fact — fueling racism in “You know what? You’re not looking at do-rag on your head like a criminal who things like what they can do to help American society.” They said he was a the deep historical analogy to the wave of can’t have a comb in his cell. We’ve got themselves stay out of poverty. Here man who didn’t understand the power immigrants: the Italians, or the Irish, or to say it — call it for what it is. again it’s graduating from school, un- of systemic racism, institutional racism the Germans. They had social problems derstanding the value of education. Here in American society. They accused him when they came to this country.” And Kokai: Some whites might hear again it’s staying in the job market. of airing dirty laundry. I thought, “This I say, “Wait a second. How are black this interview or read the book and say, Moving back to the family, waiting is fascinating,” because in my experience people in America recent immigrants? “That’s right. Let blacks clean up the until you’re married and have some eco- as a reporter at The Washington Post, Are you ignoring the fact that most black mess in their own house.” Do whites nomic stability before you decide to have National Public Radio, and Fox News, people are middle class? That people need to bring something to the table in children. This seems so common sense. there are so many occasions when you have taken advantage of the doors that this debate? I know your listeners might be saying, think, “You know what? We’re not hav- have opened since Brown, since the Vot- “Gee, what’s the revelation here?” You ing an honest conversation about race in ing Rights Act, since the Civil Rights Williams: Without a doubt, there know what? Somehow these messages America.” Here was Bill Cosby putting Act?” Yet we have this corps of people are some white people who might hear aren’t being conveyed effectively in the himself on the line in order to say some who are not responding, who aren’t this and think that they are being ex- community. things that needed to be said, and he moving forward. Why don’t we talk cused. But you’ll notice that the subtitle So if we really want to start solving gets attacked for it. about it honestly, instead of acting as if of the book ends with the phrase “and problems, we’re going to have to deliver In my experience, I think back to everybody else in the country doesn’t what we — all Americans, regardless these messages. Were going to have to things like Marion Barry, who was the see what’s going on? of race, political affiliation, anything get the churches involved in delivering mayor of Washington, D.C., a guy who’s — what we as Americans can do about them, the schools, every kind of com- videotaped smoking crack, getting re- Kokai: You’re not saying in this it.” munity organization. elected. I think, “How crazy is that?” book that there’s no racism in the United What this means is that we should Instead of excusing dysfunctional Chris Rock — the comedian — once States and North Carolina. That is not have a conversation. You’ve got to start behavior, instead of celebrating gang- said he wants to know who was running the message you’re trying to send. — first and foremost — by not being sters in the rap music, instead of put- against the crackhead. How could the intimidated, not being told that, “Hey, ting people on TV who are minstrels crackhead win? It’s that stupid. Williams: Oh, no, racism is a fact you know what? You’re a middle-class and who are demeaning to themselves And yet, you don’t see the con- of American life. Racism persists. In fact, black, and you don’t know what it’s like. as well as to the larger community and versation take place. So I thought, “You I’ve got to tell you it’s amusing. You So you should shut your mouth.” Or, selling the worst stereotypes to the larger know what? Enough. We’ve had enough turn on the TV, sometimes you see the “You’re white. You don’t know what it’s community. Talking about airing dirty of these phony leaders, enough of these most racist caricatures and use of the like. You should shut your mouth.” Or, laundry, I think those minstrels are the dead-end movements, enough of the rap “n” word coming from black people. “You’re a recent immigrant. You don’t ones who should be chastised. We’ve culture of failure. Let’s figure out what How outrageous? And then, of course, know what it’s like.” got to start delivering positive messages we can do about it.” So that was really if you object to this, you’re said to be an Everybody is being told they can- about self-empowerment, about uplift, the seed of the book. old fogy and a censor. not participate, and I just want to break about the grand tradition of achieve- Kokai: What kind of response has When Michael Richards — Kramer that monopoly right now – break it apart ment that exists in black America. CJ March 2007 CAROLINA  Education JOURNAL

State School Briefs Year-Round Schools Foes Voting With Their Feet

Wake’s year-round plan By DAVID N. BASS Inglis, director of mobilization for Stop Contributing Editor Mandatory Year-Round. “Talking to the The Wake County School RALEIGH “We are moving because county is like a tsunami—it just keeps Board stitched together a plan aced with the threat of forced we believe in public coming at you.” Feb. 13 to convert 22 schools to conversion to a year-round public Similarly, Hayduk thinks that year-round calendars this summer school schedule in Wake County, schools, but not Wake school board public hearings address- despite threats from parents to sue FCary resident Linda Hayduk and her ing the issue of reassignment have been the board over the decision. husband are taking matters into their County public schools. genuine. She thinks the school board Board members voted to own hands by leaving the county rather made its decision before conversion spend $2.9 million from three funds than allow the reassignment to split their Not anymore.” plans were announced to the public. on the conversions after county family apart. “It doesn’t seem like they’ve ex- commissioners denied them the “We’re a family who has elected not Linda Hayduk plored every option,” Hayduk said. “It money they had intended to use. to participate in too many extra-curricu- Wake County Parent seems like they’ve been set on this, no The separate funds were tapped lar activities because we want our family matter what.” in response to arguments that the to eat dinner together more than once a Ron Margiotta, a District 8 school school board can’t legally replace month like some families do,” Hayduk The classroom is supposed to support board member from Apex who opposes the money commissioners refused said. “We are moving because we believe that. They have a hard time thinking the year-round conversion, said that to provide, The News & Observer of in public schools, but not Wake County beyond the walls of their classrooms.” families are looking for educational alter- Raleigh reported. public schools. Not anymore.” Family togetherness is one rea- natives. “Many people look outside the “We are confident that we Many Wake residents share Hay- son for opposing the conversion plan, public schools, but private schools are have the legal authority to proceed duk’s concern. Local parents say that according to Dawn Wagner, a mother packed,” he said. “We also have parents with this,” said Patti Head, chair- mandatory conversion from a traditional of three with children in elementary, who are joining together and actually woman of the school board. to year-round calendar would separate middle, and high school. opening a private school.” The vote puts the pressure their families and throw a wrench into “With the age ranges of our chil- Parents are moving toward private back on commissioners, who are the social and academic schedules of dren, there are very few opportunities and public alternatives such as charter being urged by parents to sue the their children. to have something where all three schools, Inglis said. “The waiting list for school board. The parents say they Melissa Inglis, an Apex mother of children are on the same schedule, be any and all private schools is longer than will take legal action if commis- three, said that her middle daughter was it anything,” she said. “School was re- they’ve ever had it,” he said. “[Parents] sioners don’t. devastated at the thought of not being ally the only thing we could count on to are looking for charter school options, Tony Gurley, chairman of the able to attend the same school as her have all the children on the same page, some for magnets. There’s a waiting list Wake County Board of Commis- older sister. “We’re a pretty close-knit and that’s no more. The reason we had for getting a book on homeschooling sioners, said he is disappointed by family,” Inglis said. “It’s not just our a family is so that [our children] could from the library.” the school board’s decision, but he vacation time. It’s the fact that it’s going have brothers and sisters and have the Inglis also said that the issue of ruled out a lawsuit for now. to split up my family. My kids like each opportunity to play with them and be year-round assignments was used as “I’m definitely not in favor other. They like to play together, and a family together.” leverage to gain support for the $970 of using taxpayer money to sue their childhood is so short.” Wagner said that her youngest million bond referendum narrowly another taxpayer entity,” Gurley Mandatory conversion is a grow- child is the most affected by the reas- approved by voters in November. A said. ing schism across the county. On Feb. signment. “He wants to move,” she said. good number of parents supported But Wake CARES, a parent 6, the Wake County Board of Educa- “He’s just very upset. He doesn’t want the bond with the understanding that group that opposes the conversions, tion approved a growth management to be in school.” they would be able to negotiate with has hired two prominent lawyers, plan for the 2007-08 school year that Parents are also frustrated over the school board regarding year-round Robert Hunter of Greensboro and transfers 10,762 students around the what they see as inattentiveness by conversions, Inglis said. Bill Peaslee of Cary, to try to block county, including 2,335 year-round school board members. “Unfortunately, “Some of us supported it, some the conversions if commissioners conversion assignments, according to in this Wake County school system, of us didn’t, but the idea was that we don’t get involved. a Wake County Public School System they have a lot of power, and they would at least be able to talk,” Ing- press release. make changes accordingly,” said Tim lis said. CJ The plan estimates that Wake CH-Carrboro reassignment County’s enrollment will increase by 8,000 students next year. About one in four Chapel Hill- The school board has been at odds Carrboro elementary students faces with the Wake County Board of Com- reassignment to a different school missioners over the reassignment plan. The News & Observer in 2008, of School board Chairwoman Patti Head Raleigh reports. sent a letter to county commissioners School officials released four Feb. 5 reiterating a request for funding preliminary attendance maps Feb. and stating that year-round schools are 14 that shuffle students into the necessary to meet enrollment growth. district’s 10th elementary school. Commissioners voted, 4-3, the same Between 250 and 300 students day to deny allocation of $4.7 million could be moved from Carrboro El- to help convert traditional schools to ementary to help fill the new school. year-round formats. Between 100 and 200 students could Many area residents point to as- be moved from Seawell Elementary, pects such as family stability as a primary as well as McDougle Elementary. concern with the year-round conversion. Students also will be reas- According to Dave Duncan of Stop Man- signed to ease crowding at Frank datory Year-Round, the reassignment Porter Graham and Scroggs El- push boils down to philosophy. ementary schools. The school board “There are some who really buy must choose a reassignment plan into wanting kids in school even more before opening the new elementary days,” he said. “For many kids, [parents] school. It will be built on a wooded choose activities outside of the school to plot by Old N.C. 86 and Eubanks enrich their lives. Wake County seems to Road in Carrboro. CJ forget that the strength of your commu- nity is the family unit, not the classroom. CAROLINA March 2007 JOURNAL Education  N.C. Lottery Revenues to Fall Commentary $73 Million Short of Estimates Yes, the Truth Hurts By DAVID N. BASS due to faulty revenue estimates drawn riter and New Republic edi- Adolescents who leave high school Contributing Editor from neighboring states before passage tor Gregg Easterbrook has and obtain a GED are considered RALEIGH of lottery legislation. this to say about statistics: dropouts in North Carolina. Refus- ith the N.C. lottery marking “If the estimates were drawn using “TortureW numbers, and they’ll con- ing to equate GED completion with its one-year anniversary in revenue data from Virginia and Georgia fess to anything.” When it comes to a high school diploma is prudent: March, the lottery’s execu- without adjusting down for out of state K-12 education data in North Caro- Research confirms that dropouts Wtive director is already predicting that purchases…then the numbers for North lina, many parents would agree. with GEDs fare significantly less revenue devoted to education will be Carolina were overestimated, because This is because education well than high school significantly less than state lawmak- when North Carolina got the lottery, we establishment bureaucrats graduates on a variety of ers appropriated in the fiscal 2006-07 had no comparable non-lottery border have become captains of life outcomes including budget. state from which to draw revenue,” confusion, peppering par- income, unemployment, Lottery proceeds are expected to Rustin said. ents with endless volleys and crime. fall short of General Assembly estimates Prior to approval of the state-spon- of conflicting data. Combined with by $75 million, according to Tom Sha- sored lottery in August 2005, pro-lottery Consider statistics dropout data, graduation heen, executive di- lawmakers and on high school comple- rates make up the second rector for the N.C. government of- tion. Ask how many piece of the high school Education Lottery. ficials touted the students finish high completion puzzle. In the budget ap- “If the estimates were numbers game school in four years with Before 2002, the state a diploma, and you won’t Department of Public proved last ses- as a steady rev- Lindalyn sion, lawmakers drawn using revenue enue source for get an easy answer. In a Instruction never re- Kakadelis appropriated $425 data from Virginia and education. In his 2002 report on gradua- ported graduation rates. million in lottery 2003 State of the tion rates, researcher Jay But the federal No Child revenue to school Georgia without adjust- State address, Greene writes of the “con- Left Behind law requires funding, but Sha- Gov. Mike Easley fusing, inconsistent, and sometimes states to report this data. During heen predicts that ing down for out of state emphasized that misleading way in which the rate the last four years, DPI has used an the lottery will gar- keeping lottery of high school completion is mea- “on-time” method simply giving the ner $1 billion in purchases…then the dollars in North sured,” saying it invariably leads to percentage of high school graduates total revenue by numbers for North Caro- Carolina would “dropout and completion statistics who complete high school in four the close of fiscal reduce class size, that are difficult to grasp and often years. This has dramatically inflated 2007, providing lina were overestimated.” fund pre-kinder- implausibly positive.” This is cer- the graduation rate. According to $350 million for garten initiatives, tainly true in our state. Parents must a 2005 Education Trust report, our education benefi- John Rustin generate $200 mil- sleuth their way through data col- state’s “irrational graduation-rate ciary programs. N.C. Family Policy Council lion annually for lection practices that defy common definition” yielded a stunning 2002- According school construc- sense, for both high school dropout 03 graduation rate of 97 percent. to a NCEL press tion, and create and annual graduation rates. Fortunately, a reality check release in January, the numbers game new jobs. To qualify as a dropout in is on the way. In 2007, DPI will took in about $670 million and paid out Despite past assurances that lottery North Carolina, a student must report the graduation rate using a $298 million in prizes in 2006. In order funds would be used exclusively for edu- have been enrolled in a government “cohort” method that leaves little to reach the estimated $1 billion revenue cation programs, government officials school the previous year, but not room for statistical manipulation, target, the lottery must generate $330 are also expected to use lottery proceeds enrolled in the system on the 20th tracking ninth-graders who earn million in ticket sales between the first to supplant about $200 million from day of the current school year. This a diploma in four years. At press of the year and June 30, the end of the the general fund devoted to schools, formula accounts for students who time, DPI had not yet released the current fiscal year. Shaheen said that, according to a February 2006 article in move, are suspended, or are just ab- 2006 cohort graduation rate, but given a shortfall, the $50 million in the The News and Observer of Raleigh. Dan sent—all well and good. But here’s State Superintendent June Atkinson Education Lottery Reserve Fund could Gerlach, the governor’s senior policy where it gets confusing: While state has indicated she expects a find- be used to supplement the difference, advisor for fiscal affairs, told the N&O compulsory-attendance laws require ing of about 60 percent. This figure leaving a deficit of $25 million. that the supplanted funds would still be students to attend school between matches Greene’s N.C. graduation The numbers game generated used for education funding. ages 7 and 16, the state starts track- rate estimate of 63 percent. $233.1 million in sales during the first On Jan. 23, the NCEL made its ing dropouts in seventh grade, years Yes, the truth hurts, but it quarter of the current fiscal year, earn- third payment for fiscal 2006-07 by before the 17th birthday, the legal forces us to face what’s real: Too ing as much $8 million the first day that transferring more than $75.3 million to dropout milestone. This practice many North Carolina students tickets went on sale, according to NCEL the Education Lottery Fund. The fiscal should raise the proverbial parental fail to graduate with a high school estimates. But since then, sales have been 2006-07 budget appropriated nearly eyebrow. Surely there can’t be that diploma. Our government edu- unable to keep pace with initial projec- $128 million in lottery proceeds for many 17-year-old seventh-graders! cation system is broken, leaving tions, despite the introduction of several reducing class size, $84.6 million for pre- But dig a little deeper and you’ll disadvantaged students at great risk new game formats in October. kindergarten programs, $170 million for learn why this practice appeals to for educational failure and a host of Shaheen said online games — in- school construction, and $42.5 million for education officials hungry for good later life struggles. cluding Powerball, Carolina Pick 3, and scholarships for needy children. press. Reaching back to seventh But this need not be their fate. Carolina Cash 5 — are performing as DPI Director of School Support grade significantly expands the pool School choice—allowing parents, expected. “It is the instant scratch-off Services Ben Matthews, who is directly of potential dropouts, yielding rates rather than education leaders, to de- games that are not meeting expecta- involved with overseeing lottery funds that are significantly lower than cide where children go to school— tions,” he said. “Our players tell us it that are earmarked for school construc- they would be had administrators offers foundering students a way is due to the prize payout.” Shaheen tion, said that NCEL has not informed evaluated just 17- and 18-year-olds. out, a chance to attend a school also suggested that high gasoline prices him how close to the $170 million ap- Even with this shady bit of number better suited to their needs. CJ might be a factor in reduced ticket sales, propriation the actual lottery payments crunching, though, the dropout rate according to the Charlotte Observer. will be. has still increased by more than 6 John Rustin, a lobbyist for the N.C. “It was very clear that we were percent since 2004-05. Family Policy Council, an organization going to have to have some flexibility GED reporting offers a shin- Lindalyn Kakadelis is director of that opposed passage of the lottery in in dealing with this because we weren’t ing moment of clarity and restraint the North Carolina Education Alli- the Assembly, said that one reason lot- going to know exactly what the lottery amid the dropout data imbroglio. cance. tery earnings are less than anticipated is proceeds would be,” he said. CJ March 2007 CAROLINA 10 Education JOURNAL

School Reform Notes Consultant Bryan Hassel

Students, parents protest School Funding ‘Inequitable and Outmoded’ West Charlotte High School students and parents brought their By JIM STEGALL own vision of school reform to the Contributing Editor Charlotte-Mecklenburg School RALEIGH Board on Feb. 13, the Charlotte he inner-city school principal Observer reports. opened his desk drawer and Superintendent Peter Gor- pointed to a high-tech digital man’s staff shake-up, intended to Timage projector. Valued at about $3,000, get better teachers into the strug- and still in its box, the gadget had been gling school, is instead abandon- provided as part of the district’s “equity” ing students to weak substitutes, program, which was designed to equal- some said. ize resources across schools. “The good teachers are leav- “What we really needed were ing in fear of losing their jobs,” said extra resources for art and drama,” he senior Amber May. “This all seems said, “but this is what the central office like someone else walking out of sent us.” our lives.” Why did his school receive equip- Instead of threatening to fire ment that no one knew how to use, rather teachers, Gorman should revamp than an equivalent amount of money that student assignment, stop social could have been spent to address needs promotion, and support West specific to that school? According to Charlotte’s staff, students, and education consultant Bryan Hassel, it’s parents said. because the system most states use for For almost five months, West funding education is badly antiquated Charlotte families have heard Gor- and unresponsive to students’ actual man lay out plans for sweeping needs. change at their school and three Hassel, who is codirector of Pub- other low-scoring “challenge” high lic Impact, an education research and needs of each individual student. A endorsed by a bipartisan group of lead- schools. He plans to fire ineffective consulting firm based in Chapel Hill, school would get more money for each ers in the field of education. Former staff, offer big teacher recruitment shared this story during a presentation child who qualifies for free or reduced- Secretary of Education William Bennett incentives, and restructure the on school funding in January sponsored price lunch, or for each student whose is a signatory, as is former N.C. Gov. Jim schools. by the North Carolina Education Alli- native language is not English. Special- Hunt. Both President Bush’s first Secre- For more than a decade, the ance. Schools in the United States, he needs students would bring in even tary of Education Rod Paige and former school has been plagued by staff said, “are trying to do something no more. Ideally families would be able to President Bill Clinton’s former Chief of turmoil and some of the state’s civilization in human history has ever choose which public schools to send their Staff John Podesta back the plan. lowest test scores. Many white and done — bring all children up to the same children to, and since disadvantaged or The idea of weighted student fund- middle-class students have fled. high standard.” But that effort is stymied harder-to-teach students would bring by a system of allocating funds that is ing has been catching on around the more money, there would be an incentive country, as states and districts struggle to “inequitable and outmoded.” for schools to compete for them. The problem is that the current find ways to close the achievement gap Guilford shares resources Seattle public schools use a version between white students from well-off funding system doesn’t take the specific of this funding scheme that takes grade Nearly one-third of the teach- families and their less-advantaged coun- needs of individual students into ac- level into account, along with native ers this year are new to Northeast terparts. Cincinnati and Houston now count when allocating resources. While language, family economic status, and Guilford Middle School, the News use it, as does the state of Hawaii and the state earmarks blocks of money for five levels of special needs-disabilities. & Record of Greensboro reports. the province of Edmonton, Canada. school districts based on their percent- The formula was derived through con- Some of them are new to teaching South Carolina might get into age of disadvantaged students‚ or the sultation with experts, study of market period. the act. In his Feb. 17 State of the State county’s low-wealth status, the money forces, and negotiation with the teachers The school has failed to meet address, Gov. Mark Sanford endorsed doesn’t always follow the neediest stu- union and other stakeholders. Seattle federal testing measures, called Ad- the idea. dents to the schools. The money that does also uses “open enrollment,” allowing equate Yearly Progress, for the past “I think moving toward a single make it down to school level often comes parents to chose from any school in the two years. And Northeast might not with strings attached, making it difficult district. The experience of Seattle schools weighted funding formula is not only make it this year, either, health and for principals to spend effectively. with the new system has been generally something we can do, it would move physical education teacher Tammy For example, when money ear- positive. us toward greater educational equal- Shaney said. marked for “equity” is available, deci- Another key part of the weighted ity and open avenues by which more “We are having a tough, tough sion-makers in the district’s central student-funding concept is that the educational choices could become avail- year. I don’t know how you justify office might opt to use it to buy digital money allocated to the schools arrives able,” he said. this,” she said, responding to an an- projectors for schools, rather than let in the form of real dollars, not paid staff It’s that bit about “choices” that nouncement that Guilford County school leaders spend the money address- positions or in-kind assistance, such as has some educators worried, however. Schools is redeploying some of its ing problems specific to that school. The digital projectors. This allows school When New York City Mayor Michael high-level central office staff and at value of the projector counts toward the leaders to organize their staffs as they Bloomberg said in January that he want- least 20 school-level employees to district’s effort to assist poor schools, see fit. It also means that they might ed to move toward a weighted student struggling schools. thus it appears on paper that the school be held more directly accountable for funding system, critics quickly came up The “intervention teams” has gotten lots of help. But if a projector the results, since they will be making with the term “back door vouchers” to have three to eight members each. is not what the school needs, it doesn’t more of the decisions affecting student describe the idea. The teams will spend up to two days provide any help outcomes. Hassel acknowledges that there each week at their targeted school Hassel said a better way would The Fordham Institute, an inde- will be “challenges” to implementing until state testing in May. be to implement a system known as pendent education policy think tank that weighted student funding. In his Char- Superintendent Terry Grier “weighted student funding.” Simply advocates high standards, strengthened lotte address he cited schools that would said he, too, is concerned about put, weighted student funding means accountability, and parental choice, has how the move might affect schools lose money, teachers unions, and central that schools get a variable amount of published a manifesto calling for greater losing those resources. CJ office administrators who stand to lose money for each student enrolled, and use of weighted student funding. The positions and authority as potential that the amount is determined by the “Fund the Child” manifesto has been sources of resistance to the change. CJ CAROLINA March 2007 JOURNAL Education 11 Federal Survey Doesn’t Concern Homeschool Parent By HAL YOUNG education, and K- respondents, and agree the population of home schoolers Contributing Editor 12 extracurricular that always intro- has been growing for 20 years, and as RALEIGH programs outside “They asked how many duces potential far as we can tell, is still growing today,” hen Joyce and Ron Smith of the schools. This times a week we eat errors. he said. “We differ on the best estimate Concord received a letter from year’s iteration is “They never of how many home schoolers there are, the U.S. Department of Educa- focused on family dinner as a family and know for sure who but how important is that, really?” Wtion asking them to respond to a survey and parental par- did not respond,” NCHE President Ernie Hodges about their children’s homeschooling, ticipation in edu- whether we exercised he said. agreed, saying the NCES data is “some- they contacted their state organization cation, which will Ray, who what informative” to his organization, before they agreed to participate. naturally include with the kids. But I didn’t edits the peer-re- “but for the most part it confirms things “I’ve never been contacted for homeschooling. hear anything that I viewed academ- that we already know.” He said NCHE something like this before,” Joyce said. Smith found ic journal Home prefers data from other sources such as “I’m not a person to fill out surveys, so some of the ques- didn’t want to answer.” School Researcher, NHERI, which have well-established I’m skeptical.” tions odd but none said that NCES reputations among homeschoolers. North Carolinians for Home truly objectionable. Joyce Smith studies generally The same might be said by the Education assured her the study was “They asked how Homeschooling parent have correspond- private school community, which is legitimate, and benign, so in early many times a week discussing questions ed to other pub- also included in the household survey. February she agreed to be interviewed we eat dinner as a asked in NCES survey lished research. Gordon Bingham, director of the N.C. by the 2007 National Household Educa- family and wheth- That in itself is Association of Independent Schools, tion Survey. er we exercised of home school parents not a given. The said his organization relies more on its “I just wanted to be sure this with the kids” she Barna Group, for national association’s reports than on wasn’t an attempt to increase regulations said. “But I didn’t example, reported Department of Education data. against home schoolers,” she said. hear anything that I didn’t want to in 2001 that about 30 percent of home- Her hesitation is not unusual. answer.” schoolers were black, while advocacy Ultimately a local issue Before the department’s National Cen- groups such as the National Black ter for Education Statistics released Methodology a question? Home Educators Resource Association Published statistics weren’t an its first study of homeschooling in reported that number was only about issue for the Smiths. They had simply 2001, it produced a preliminary report The NHES contacts hundreds of 6 percent. A researcher from Columbia decided their two sons, 12 years old about how difficult it was to study this thousands of randomly selected phone University said the cost of home school- and 9 years old, would benefit more population. The survey asked whether numbers, many of them businesses or ing was $2,500 per year per child, while from their parents’ example than their “political context” had an impact on disconnected lines, in order to locate previous studies had found $400 to $600 schoolmates’ influence, and took them their willingness to respond, noting that 12,000 families with school-age children. was typical. out of traditional schools three years surveys identified with the Department Homeschoolers will form a small subset Ray said these kinds of stories ago. The family has seen other benefits of Education received less participation of that number. The 2003 survey, for “would never have passed in the re- since then, and Joyce said the surveyor than similar questionnaires from the example, reported on just 239 families search methodology courses I’ve taught seemed confused that they had found Census Bureau. who taught their kids at home. at the undergraduate level,” but NCES more reasons to continue home school- Even so, NCES has continued to “A small sample can be representa- had been fairly reliable on demographic ing than it took to begin that path. watch the homeschooling trend since tive, but as a researcher, we always have issues. “They’re not bad researchers,” Overall, though, she said the the 1999 survey, although not in a tar- a little twinge of uncertainty,” said Dr. he said. federal government’s survey was not geted fashion. In fact, the home-school Brian Ray, head of the National Home He questioned, though, whether troubling. data is something of a byproduct of the Education Research Institute in Salem, such information is truly useful to people “When I considered responding, broader survey, which covers a spectrum Ore. “There’s just this big question — did other than marketers and those who I thought it likely wouldn’t make a of educational questions. The most re- you get a representative sample?” He see homeschooling as a threat to public difference either way,” she said. “But cent questionnaires, in 2005, looked at said both his own research and NCES’s school funding. I’m glad it isn’t something directed pre-school activities, work-related adult depend to a large extent on willing “Those of us who check this data all against us.” CJ

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Black Women and Identity College Costs Become Political Football in D.C. This month’s winner hails from . It’s a “house By SHANNON BLOSSER course” (CM assures readers we Contributing Editor are not making that sobriquet up) WASHINGTON of the Arts and Sciences College. ince the 110th Congress began in The course is entitled HOUSECS January, Democrats have made 79.02 — This Is Your Home: Black college affordability a top priority. Women & Identity Construction SIn turn, President Bush addressed the at Duke. issue in his 2008 budget request. The course description follows This confluence of political atten- verbatim: tion makes it likely that the federal 2008 Who is the Black woman at fiscal budget will increase spending on Duke University? What space does federal financial aid programs for stu- she claim as a student at Duke dents. Such increases were among the University? This house course will recommendations made by Secretary of explore Black women and identity Education Margaret Spellings’ Commis- construction, with a special focus sion on the Future of Higher Education on how these two concepts interact last year. at Duke University. The first two The increases might not, however, sections of the course focus on Black have the hoped-for effect. Economists women at Duke. Using The Campus argue that increasing federal aid for Living and Learning Project and the education ultimately boosts tuition. The Pell Grant program is the in salaries are “all consistent with this Women’s Initiative as starting points, Furthermore, the substantial increases major federal need-based financial aid view,” he said. we will look at the role of personal in Pell grants proposed by the president program for higher education. Rep. agency, student groups, and admin- are coupled with elimination of Supple- George Miller, D-Calif., chairman of “Tuition sensitivity” istrative policy in constructing the mental Educational Opportunity Grants, the House Committee on Education Black woman’s identity at Duke. The which are supposed to supplement Pell and Labor, said the increase passed Pell grants could change in another last section of the course looks at how grants for the lowest-income students. by Congress was needed “because of way, too. A proposed bill would alter Black women’s identity is constructed inaction on the part of Congress and who receives Pell Grant funding through the federal government; the president upon leaving Duke and engaging in Higher education politics the president over the last four years.” ‘the real world’. This course has four The grant has not been increased since has endorsed the principle behind it. objectives: Within days of the start of the the 2003-04 academic year. Miller and Rep. Buck McKeon, • Assess the effectiveness of congressional session, House Democrats Bush’s 2008 budget request further R-Calif., the ranking Republican on the campus initiatives aimed at improving pushed through a measure, H.R. 5, that increases the Pell Grant program. He Committee on Education and Labor, student life at Duke in pinpointing would cut the interest rate on student calls for a $1,350 increase in the Pell have introduced a bill that would elimi- the dynamics of the Black women’s loans from 6.8 percent to 3.4 percent grant during a five-year period, taking nate the “tuition sensitivity” rule. This identity at Duke over five years. The provision was the maximum Pell grant from $4,050 to reduces the maximum Pell Grant award • Examine the critical role that supported by nine of North Carolina’s $5,400. The president would also cut for students who attend schools with low messages found in Duke literature 13 representatives. Voting against the government subsidies to lenders and tuition charges. The rule affects 90,000 and policy play in the construction measure were Republicans Howard guaranty agencies for student loans. to 100,000 students each year, according of the Black women’s identity as an Coble, Patrick McHenry, Sue Myrick, The increases to the Pell Grant to a press release. undergraduate at Duke and Virginia Foxx. program are part of nearly $91 billion in Miller and McKeon contend that • Examine the relationship H.R. 5 is still under consideration in financial aid that Bush proposes to spend this rule penalizes students who choose between Black men and cultural the Senate. The Bush administration op- during fiscal 2008. Budget documents to go to low-tuition schools because Pell groups in the construction of the Black poses the plan on the ground that it does state that federal financial aid, which grants do not cover all the costs of going woman’s identity at Duke not directly benefit students, but rather includes loans, work-study programs, to college. According to the National • Determine the disconnect or college graduates. Actual payments of and grants for older students, benefits Association of College and University connections between Black women’s loans usually begin after college, unless 10.4 million students; about half receive Business Officers, on average, Pell grants identity before coming to Duke and the student drops out. Pell grants. (Total college enrollment is cover one-third of the total costs (tuition, after leaving Duke “Reducing student loan interest about 17.3 million.) fees, room and board) of attending col- According to the syllabus, the rates would direct federal subsidies Spellings, who announced the Pell lege; two decades ago they covered 60 course requires two (2) papers of to college graduates, not to students grant increases in North Carolina in early percent. 750 words apiece: “[g]ive a well- and their families who are struggling February, said, “This is real money that McKeon also argues that low-tu- thought out commentary on bell to meet current and future educational will help more low-income kids realize ition schools currently have an incentive hooks’ article “Reconstructing Black expenses,” an administration statement the dream of a college education.” to raise tuition in order to get a larger Masculinity’” and “[d]escribe the says. “College graduates have higher It may be “real money” but econo- Pell grant for each student. That might ideal Black woman at Duke.” lifetime earnings, and can already take mists contend that, over the long run, be correct, but economist Richard Ved- Readings are taken from such advantage of flexible repayment op- such increases in federal aid have a der suggests that colleges’ incentives to works as The Feminist Theory Reader: tions available under current law and perverse effect. Richard Vedder, Ohio raise tuition might be even higher if Pell Local and Global; Sisterhood is Forever: reduce the effective interest rate they State University economist and author grants are not restrained by the tuition The Women’s Anthology for a New pay through the existing tax deduction of Going Broke by Degree, a book about sensitive rule. In addition, he noted, the Millennium; Unequal Sisters: A Multi- for student loan interest.” rising tuition, says in a Web site com- increases are costly to taxpayers. Even Cultural Reader in U.S. Women’s His- Just days after House members mentary, “I am beginning to think the so, Vedder, who served on the Spellings tory; and Patricia Hill Collins’ Black passed H.R. 5, leaders in both the House big winners from the student financial Commission, favors the change. Sexual Politics: African-Americans, and Senate approved a second measure aid explosion are not the students, but All in all, congressional politics Gender, and the New Racism. CJ to make college more affordable. The act rather the institutions and their staffs.” favor adding to financial aid for students; would increase the maximum Pell Grant He believes that a student who receives what the impact will be might not be award by $260. Thus, students would a Pell grant will receive less aid from discernible for years. CJ Jon Sanders, research editor for the be able to receive up to $4,310 per year the school itself and, furthermore, “the John Locke Foundation, tracks down the rather than $4,050. The increase was school may raise its tuition a bit more be- monthly course of dubious value. part of an appropriations bill funding cause a third party is picking up more of Shannon Blosser is Chapel Hill office federal programs for the remainder of the bills.” Increases in university hiring manager of the John William Pope Center fiscal 2007. of staff other than faculty and increases for Higher Education Policy. CAROLINA March 2007 JOURNAL Higher Education 13 UNC Tuition Up Across Board Commentary

By SHANNON BLOSSER charges are necessary as a secondary Contributing Editor source of funding, the General Assembly V-Day: Stripping Away CHAPEL HILL has the principal responsibility for fund- he UNC Board of Governors ing the University,” the board’s tuition approved systemwide tuition policy states. “For years in which the Modesty and Dignity increases for the academic year General Assembly is able to provide T2007-08 in February. These are the sufficient increased revenues, the need sk a stranger what V-Day is. written by feminist Eve Ensler, is first increases under President Erskine for increases should not be as great as in You might get some inter- a compendium of women’s stories Bowles’ highly touted plan to cap tuition years when the General Assembly is not esting answers. Some will of “intimacy, vulnerability, and increases at 6.5 percent. able to provide these revenues.” Aprobably confuse it with VE-Day or sexual self-discovery.” Women, who Tuition approved at each of the The policy also dictates how each VJ-Day, the days marking the end of represent vaginas, speak out from 16 institutions meets the requirements campus can spend the increases. Twenty- World War II in Europe and Japan. the stage about their experiences of the 6.5 percent cap on annual tu- five percent must go toward financial Perhaps some will think it’s simply and preferences. The stories explore ition increases adopted by the board aid, and 25 percent must be used to an abbreviation of Valentine’s Day. sexual fantasies, fears, and experi- in October. Actual increases in tuition, increase faculty salaries. However, no incorrect mentation. however, are larger than 6.5 percent at Additional revenues created guesses could possibly The tagline used three schools — as high as 9.6 percent through increases must be used to im- be as interesting, or as for tryouts at UNC-Cha- at . The reason prove library and counseling services, shocking, as the truth. pel Hill, “Want YOUR is that campuses are allowed to exclude class-size reductions, enhanced student V-Day stands for Vagina Vagina in the spotlight?” from the 6.5 percent ceiling any fees that services, and increases in course sec- Day and takes place the makes the point better cover debt service, such as payments for tions. same day as the more than any of the play’s revenue bonds. Students at ECU, when debt ser- traditional Valentine’s critics. The play strips The tuition cap covers tuition in- vice fees are included, will shoulder Day. away any modesty, creases only for in-state students. It does the largest tuition increase, 9.6 percent. The University of Jenna Ashley mystery, or dignity from not apply to nonresident, graduate, or Tuition for 2007-08 will be $4,181, a $365 North Carolina at Chapel Robinson sexual acts, just as it professional school students. increase. ECU’s tuition increase will gen- Hill is one of 17 universi- severs the connection The tuition plan includes a provi- erate $1.8 million, of which $1.2 million ties in North Carolina that hosted between emotional and physical sion that could slow tuition increases in will go toward financial aid. Chancellor “The Vagina Monologues” on or love. “The Vagina Monologues” the future, beginning with the 2008-09 Steve Ballard said in December before around Valentine’s Day this year. represents sexual objectification, of academic term. It allows for the cap to the school’s Board of Trustees approved Nationally, Vagina Warriors at more women, by women. be tightened, depending on the General the recommended tuition increase that it than 1,000 universities participate in The event was sponsored by Assembly’s spending allocations. had the support of the school’s student the unusual festivities. the Gay, Lesbian, Bisexual, Trans- According to the plan, if the As- leaders. Unfortunately, V-Day’s outra- gender — Straight Alliance. The sembly increases the per-student ap- Western Carolina University has geous tactics make a mockery of goal of the alliance is to “advocate propriation to the University of North the second-highest tuition increase, 9 serious issues facing women around and educate on issues affecting Carolina system for operating funds by percent. The school’s tuition for 2007-08 the world. With the knowledge that LGBTQ-identified people in the more than 6 percent, future tuition rates is $3,950, a $327 increase. “sex sells” in mind, V-Day raises Southeastern United States and to . will be reduced. According to the board, The smallest increase will be at money, but not respect, for women’s . . . create a community of LGBTQ the legislature has increased operating North Carolina A&T. BOG members issues. folks and their allies that supports appropriations per full-time equivalent approved a 2.4 percent increase, with V-Day’s mission is laudable. and affirms all aspects of their student by 6 percent a year, on average, debt service fees included. This will raise It demands, “Violence against identities.” Perhaps they realize that since 1972. tuition from $3,348 to $3,429. women must end.” It proclaims “The Vagina Monologues” is better As an example, if the legislature UNC-Chapel Hill students will Valentine’s Day as V-Day until the suited to the alliance’s goals than to end violence against women. The increases operating appropriations per pay the highest tuition throughout violence stops. When all women play pretends to be about women’s full-time equivalent student by 8 percent, the system, $5,176.30, a 6.2 percent live in safety, no longer fearing vio- rights; in fact it is a celebration of the tuition cap will go down by 2 percent. increase above the current $4,875.82 lence or the threat of violence, then lesbianism. That would mean that the maximum tuition charge. Thirty-five percent of V-Day will be known as Victory Those truly interested in end- increase for 2008-09 for each campus UNC-Chapel Hill tuition goes toward Over Violence Day. But, instead of ing violence against women have would be 4.5 percent. financial aid programs for low-income action, the V-Day campaign con- other, more serious options if they “The Tuition Policy Task Force students, Chancellor James Moeser said centrates on awareness. Instead of recognizes that while tuition and fee at the recent Emerging Issues Forum. CJ want to volunteer for the cause. educating audiences about serious Amnesty International sponsors the threats to safety, V-Day and “The 2007-08 tuition and fees for in-state students March Against Domestic Violence. Vagina Monologues” call attention Its efforts help victims of domestic (with debt service) to female sexuality, shun traditional violence in 16 countries around the SCHOOL 2006-07 2007-08 INCREASE values, and promote alternative globe. The National Organization TUITION TUITION lifestyles and promiscuity. for Women sponsors annual Take “The Vagina Monologues,” Back the Night marches in cities NC State $4,678 $5,002 6.9 % V-Day’s signature event, increases and towns nationwide. UNC-CH $4,876 $5,176 6.2 % publicity, but decreases the serious- V-Day should treat violence ECU $3,816 $4,181 9.6 % ness with which we should all treat against women with the gravity NC A&T $3,348 $3,429 2.4 % the issues of rape, incest, battery, that it deserves. In order to end UNC-C $3,841 $4,091 6.5 % genital mutilation, and sexual violence, rape, and other crimes UNCC-G $3,762 $3,978 5.7 % slavery. “The Vagina Monologues” against women worldwide, groups ASU $3,975 $4,184 5.3 % is not about the cause to which it should educate and act rather than FSU $2,842 $3,020 6.3 % is tied; in fact, it’s exactly what the NCCU $3,395 $3,605 6.2 % entertain. UNC women who are se- title implies: women waxing philo- UNC-P $3,241 $3,396 4.8 % rious about ending violence should UNC-W $4,081 $4,312 5.7 % sophical about their private parts support that cause in some other WCU $3,623 $3,950 9.0 % to a paying audience. Feminists way. CJ UNCA $3,811 $4,044 6.1 % should be horrified over this sexual ECSU $2,764 $2,897 4.8 % objectification of women, instead of Jenna Ashley Robinson is the WSSU $3,108 $3,274 5.3 % embracing the play as “emancipat- campus outreach coordinator for the NCSA $4,679 $4,918 5.1 % ing.” John William Pope Center for Higher “The Vagina Monologues,” Education Policy. Source: UNC Board of Governors CJ Graphic March 2007 CAROLINA 14 Higher Education JOURNAL Bats in the Belltower Emerging Issues Forum Focus: How Campus Leftists The Future of Higher Education

Celebrate Valentine’s Day By SHANNON BLOSSER the group looked primarily at ways to and JANE S. SHAW reach populations that face roadblocks ome people celebrate than 400 who were packed into the Contributing Editors to education. Valentine’s Day by giving auditorium of the University Center. RALEIGH The group wants more funding gifts, sending cards, buying ... ore than 200 people attended a for the community college system to Schocolates, or even serenading their A woman named Dirty Mar- two-day forum sponsored by improve access to education for low- sweethearts. Campus leftists cel- tini did a striptease. Weighing in at the Emerging Issues Institute income working adults. It also noted in ebrate by doing to Valentine’s Day well over 200 pounds, she finished Mat North Carolina State in February, hear- its report that North Carolina has a low what they do to everything else: her routine wearing only a G-string ing speakers such as UNC President Ers- high school graduation rate, 70 percent. subjugate it to their politics. and pasties. kine Bowles, U.S. Secretary of Education It recommended expanding “learn and So they change [Another stripper], Margaret Spellings, and former Harvard earn” programs. These allow students Valentine’s Day to “V- clad initially in military President Lawrence Summers. to combine high school and two years of Day” to make it stand for fatigues, gave a theatri- The institute, headed by former community college, obtaining an associ- “vaginas” and “vio- cal performance [with Gov. James Hunt, selects a different topic ate degree at no charge in five years. lence.” Then they think the] anti-war message [of] each year and always draws a crowd; Concerned about providing of “alternative” celebra- sexual favors would be this year it was higher education. education to Latino students, the group tions to a day about given if “doing so can end Although the speakers did not made the controversial recommenda- romantic love. the war. Just don’t force reveal any surprises (see George Leef’s tion to allow undocumented students, At the University of me.” column on the next page), a distinc- under some circumstances, to attend North Carolina at Chapel Nichol found him- tive component of the state’s public Hill, for example, a Jon self saying, “I don’t like the meeting was colleges and uni- graduate student penned Sanders this kind of show and I an effort to iden- versities at in-state a special Valentine’s don’t like having it here. tify “proposals for “Faculty must feel that tuition. (This rec- Day column in The Daily But it’s not the practice action.” The con- their jobs remain secure ommendation was Tar Heel titled “Know This, Future and province of universities to cen- ference included introduced as a Ex-Boyfriends of Mine.” In it, the sor or cancel performances because reports from three when involved in start- bill in the legisla- student, Linda Quiquivix, wrote: they are controversial.” working groups ture in 2005 but Friends who know me weren’t In staking out that free-speech that had met ear- ups.” did not advance surprised to learn that my Zionist position in the face of controversy, lier. out of committee.) boyfriend and I broke up last sum- Nichol carved out a completely dif- The working From report of The group also ar- mer shortly after Israel began drop- ferent niche from the William and group on Econom- Emerging Issues Forum’s gued for targeted ping bombs on Lebanese children. Mary president who had ordered ic and Community Innovation, Technology, and outreach to enroll But the friends who really knew me the removal of a historic, 275-year- Development was Entrepreneurship group more Latino stu- were surprised to learn that I had old cross from the college’s Wren chaired by archi- dents. Overall, it even dated a Zionist to begin with. Chapel just because secular stu- tect John L. Atkins favored increases In my defense, I thought he dents might see it. That president and included representatives from busi- in financial aid—federal, state, and was just Jewish when it all began was, of course, Gene Nichol. ness, the Employment Security Commis- private. — a progressive one who was white Speaking of free speech, Ruth sion, and the RUPRI Center for Rural Dan Davies, founder and publisher but had tendencies for black su- Malhotra and Orit Sklar won their Entrepreneurship, among others. of Business Leader magazine, chaired the premacy. ... But my new progressive free-speech lawsuit against Geor- This group wants North Carolina working group on Innovation, Technol- boyfriend, who was supposed to gia Institute of Technology over its campuses to be more engaged in their ogy, and Entrepreneurship. The group help me save the world, would stop speech code. Noting that the code communities. In its summary report, the wants students to be creative and entre- short at any criticism of the Israeli was selectively enforced against group identified two ways for this to preneurial. It even advocated “the redefi- government’s racist, oppressive conservative students, Malhotra happen. A school can be a “third-party nition of the liberal arts to include classes policies. And what’s worse, he would and Sklar had challenged Georgia facilitator of community organizations on creativity and entrepreneurship,” sometimes defend them by saying Tech’s speech code in court, and in seeking to address critical community noting that “it is the creativity, technical things like that the land was up for August 2006 Tech acknowledged needs” and/or “a source of knowledge know-how, and enterprising spirit that grabs because the Palestinians never the obvious and decided to scrap and expertise.” But the report also said students carry with themselves after had an official state to begin with. the code. that schools face hurdles fulfilling these they graduate that makes the greatest Despite the use of apparently On Valentine’s Day, Malhotra roles. contribution in this area.” over-the-top, satirical rhetoric, the received a get-raped-soon card from “Engagement — particularly that The group’s second priority is article never reveals itself as parody. still-angry code supporters. They involving knowledge and expertise — to produce more teachers in math No, it just keeps going on like wrote: depends on the goodwill of individual and science, especially at the el- that, in bizarre, self-congratulatory A V-Day wish for our very faculty and staff,” the report said. Faculty ementary school level. It also urged earnestness, not parody but self- own Ruth Malhotra: This Valen- members “may be reluctant to perform leaders in higher education to “seek parody. tine’s Day, you cannot attack gay tasks that are outside their traditional out a wide range of points of contact Speaking of bizarre, self-con- marriage. It is about love and you job description and for which they are with external stakeholders” such as gratulatory self-parody, consider are about hate. unlikely to be rewarded.” university advisory boards, alumni what former UNC-CH Law School This Valentine’s Day, you can- This group also noted the role of networks, and business relationships. dean and president of the College not condemn a woman’s choice. It is higher education in providing a skilled Finally, students and faculty must of William and Mary, Gene Nichol, about love and you are about hate. ... workforce. Surprisingly, however, the re- learn about risk. “Faculty must feel that found himself earnestly defending No, this Valentine’s Day, you port emphasized “broad societal skills,” their jobs remain secure when involved during Valentine’s week: a “Sex will be raped. Sex is about love and not just technical knowledge. in start-ups. Students must learn that Workers Art Show.” The Virginia through it you will experience hate. I Andrea Bazan-Manson, president risk taking is rewarded.” CJ Gazette reports: cannot wait. CJ of the Triangle Community Founda- Sparkling nipple adornments, tion, chaired the Educating All North feather boas, bare bottoms, erotic Carolinians working group, which Shannon Blosser manages the Cha- dances, striptease music and sex Jon Sanders is research editor for included representatives of nonprofits pel Hill office of the John William Pope toys entertained a crowd of more the John Locke Foundation. such as Gear Up North Carolina and the Center for Higher Education Policy; Jane Center for Community Action as well as S. Shaw is executive vice president of the several professors. Bazan-Manson said Pope Center. CAROLINA March 2007 JOURNAL Higher Education 15 Institute for Emerging Issues Big Education Conference Concerned with the Wrong Things

By GEORGE LEEF since the United higher education (or state’s or city’s) prosperity than Contributing Editor States is losing its system.” the percentage of the population RALEIGH “lead” over other Too bad they holding certain educational creden- ince 1986, the Institute for nations, our stan- weren’t invited. tials. The climate for investment and Emerging Issues has held a dard of living is in Not one of entrepreneurship is crucial. So is the highly publicized conference jeopardy. the conference stability of money, the enforceabil- Sdevoted to some current policy issue. Among all speakers acknowl- ity of contracts, and the security of The theme this year was “Transform- the talk about our edged that for lots property rights. Economic success ing Higher Education: A Competi- “underperfor- of young Ameri- is related, inversely, to the degree to tive Advantage for North Carolina.” mance,” there was cans, college is which government officials attempt There was very little said over the scarcely a word four or more years to manage and control production two days of the event about actually about the serious problems we have of fun in an environment where the and exchange through regulations. transforming higher education in the with educational quality. As this col- intellectual content is a thin gruel and How talented and industrious the state — that is, how it might be made umn has pointed out in the past, many the academic expectations are low. It workforce is certainly matters, but it a better and more valuable experience Americans graduate from college would have been good to have heard would be a mistake to think that the for students. Instead, the speakers with poor skills in the fundamentals some discussion about the importance only way for people to become skilled were mostly fixated on the supposed — reading, writing, and mathematics of transforming higher education so is through formal education. History need for North Carolina to put more — and with weak knowledge of our that most graduates would at least is full of examples of people who were students into and through college. history and institutions. An important be proficient in the three domains of fabulously productive despite having In other words, it was about consequence is that large numbers of literacy tested by the National Assess- little or no formal education, and vice quantity rather than quality. What our college graduates have only the ment of Adult Literacy. Presently, only versa. needs to change, according to several cognitive abilities to do what have about 30 percent are. It’s unfortunate that, apparently, speakers, is the number of young traditionally been regarded as “high Returning to the main theme of none of the speakers had read Profes- Americans entering and graduat- school jobs.” the conference, is it the case that our sor Alison Wolf’s book Does Education ing from college, not the educational In their 1999 book Who’s Not standard of living is going to fall un- Matter? After surveying education worth of the courses they take. This Working and Why, economists Fred- less we succeed in reclaiming the top around the globe, she concluded that made for a rather monochromatic con- eric Pryor and David Schaffer noted spot among nations in the percentage formal education matters much less ference, rather like attending a concert that an increasing number of college of our population that earns a college than people generally suppose. She where every piece was just a variation graduates in the United States end degree? Among others, former Gov. points out that some countries have on the same theme. up competing for jobs that call for Jim Hunt offered the view that the “invested” heavily in efforts to raise The main theme was that no academic background other than future will be “scary” unless we do the level of formal education without America’s higher education system is simple trainability. Data compiled something to get more of our young seeing any change in living standards, “underperforming.” Whereas in the by the Bureau of Labor Statistics also people up to the level of the competi- and that there are other countries that past the United States had the highest show that many college graduates are tion. do little to promote formal educa- percentage of its workforce holding working at jobs for which they are The statistics are undoubtedly tion yet are among the world’s most college degrees of any nation, today a seemingly “overqualified”— if you as- right; a number of countries have prosperous. High “educational at- number of countries now surpass the sume that a college degree represents slightly surpassed the United States tainment” is neither a necessary nor a United States, and more are catching a great advance in human capital over in this respect, including Canada, sufficient condition for prosperity, in up. Several speakers asserted that this having only a high school diploma. Finland, Belgium, Japan, and Norway. other words. CJ situation poses a threat to our stan- That’s an assumption Pryor and Schaf- But does it follow that our prosperity dard of living. Businessman Thomas fer refuse to make, writing, “The low will fade unless we manage to “keep Tierney said there is a “direct relation- functional literacy of many university up” with them? George Leef is vice president for ship between completion of higher graduates represents a serious indict- Relax. There are many other, research of the John William Pope Center education and economic growth,” and ment against the standards of the U.S. more important factors in a nation’s for Higher Education Policy. March 2007 CAROLINA 16 Local Government JOURNAL Town and County Triad’s HOT Plan Doesn’t Excite Some Officials Durham inspection fee By SAM A. HIEB Bruce Davis wanted to know when local Contributing Editor leaders could get some hard numbers Durham County is seeking WINSTON-SALEM “This could be a formula on revenues, while Winston-Salem City legislative approval to charge res- ou gotta have heart. That’s the for disorganized sprawl if Councilman Robert Clark expressed taurants for health inspections. It’s message local officials received skepticism over the proposed revenue- unclear whether the General As- from advocates for a carefully we keep up business as sharing plan among the six government sembly will approve the fee. Yplanned region along the border of Guil- entities. The county spends about ford and Forsyth counties. Whether the usual.” “I don’t know if anything like that $700,000 a year to inspect restau- officials actually have the heart to buy exists in the state of North Carolina,” rants. Almost all of the amount into the plan remains to be seen. Paul Norby Clark said. comes out of its general revenues; Promoters of the Heart of the Triad Planning Director Other leaders were concerned that the state provides $13,000. (HOT) project unveiled their plans to Forsyth County HOT would affect existing local land-use “Right now, the taxpayer is local leaders at a luncheon in February plans and economic development initia- subsidizing the inspection of restau- at the Marriott Hotel next to Piedmont tives. Forsyth County Commissioner rants,” Brian Letourneau, Durham’s Other speakers assured leaders Triad International Airport. While Walter Marshall questioned how HOT county health director, said to The that HOT would preserve acres of HOT’s steering committee, along with would affect the Legacy Plan, a joint News & Observer of Raleigh. “It’s only open space and improve air quality by local newspapers, have promoted the land-use plan between the county and fair that those who benefit from the managing traffic patterns inside the project as a nirvana that will employ the city, while Winston-Salem Mayor service pay for the service.” area. Roads would have to be built, and thousands of people, improve air quality, Allen Joines expressed concern over Others, though, don’t see the counties would have to share the burden and tame urban sprawl, local mayors, how HOT would affect Piedmont Triad county picking up the tab for inspec- as never before, the region’s NCDOT county commissioners, and city council Research Park, which is on the edge of tions as a subsidy, but rather as a core board member said. members expressed skepticism at the downtown. function of government. presentation. “Our funding system for transpor- “Why is this not a basic func- tation is broken. There has not been a “How can we make sure we’re not HOT is a planning effort headed competing against each other?” Joines tion of public health?” Rep. Paul by the Piedmont Authority for Regional great job of cash management at DOT,” Luebke, D-Durham, said to the said Division 9 board member Nancy asked. Transportation (PART) , which focuses By far the most pointed comments newspaper. “Why is this not a funda- on about 6,000 acres spread across the Dunn. “We’re going to have to think came from Walt Cockerham, a veteran mental function of government?” Guilford-Forsyth line. Two major eco- much more locally than we ever have Guilford County political figure serving Paul Stone, president of the nomic development projects form its in the past.” alongside Isaacson on the PTIA board. N.C. Restaurant and Lodging As- boundaries. To the west stands the year- Other local officials spoke of HOT’s He warned HOT planners not to do any- sociation, shares Luebke’s view. old Dell plant, which was constructed wide-ranging positive impact. PTIA thing that would compromise existing “We support the health depart- with the help of $270 million in state board chairman Henry Isaacson spoke of plans surrounding the FedEx hub. ments; they do a very important and local economic incentives, while the how Research Triangle Park has created “You want to be careful,” Cock- job for our industry,” he said. “We FedEx hub, scheduled to begin operation a lucrative market for airlines at Raleigh- just don‘t support them making the in 2009, rises in the east. Durham International Airport. Isaacson erham said. “If it isn’t broken, please restaurants pay.” HOT advocates say spin-off com- said HOT could do the same thing for don’t fix it.” panies in the high-tech industry would PTIA, which has been suffering from low Development in the region so eagerly set up shop in the area, produc- passenger flights in past years. far has been slow, but there is hope. RBC Center’s future ing as many as 123,000 new residents and “I believe it’s our best bet for the February was an up-and-down month 135,000 new employees. In the process, future of this region,” Isaacson said. “We for PTIA. Officials were disappointed Though Raleigh’s current the six local governments (Guilford cannot afford to sit back and hope that to hear that ExpressJet was bypassing arena, the RBC Center, opened only and Forsyth and the cities of Greens- our market and our area will grow.” PTIA in favor of a hub at RDU. But they seven years ago, officials of the city boro, Winston-Salem, High Point, and After steering committee members received good news a week later when and of the public authority that Kernersville) will receive an estimated were done with their comments, Perkins HondaJet said it would build a light-jet owns it are starting to think about $300 million in revenues. The details of turned the floor over to local leaders for manufacturing plant at PTIA, with the the building’s long-term future. a proposed revenue-sharing plan have questions and comments. help of more than $8 million in state In doing so, the issue of whether not been worked out yet. Guilford County Commissioner and local incentives. CJ Raleigh is better served by an arena Public funding, funneled through closer to downtown is again coming PART, is a major component of the up, The News & Observer of Raleigh project’s study and implementation. So reports. far, PART has used a $200,000 match- Some have argued that the ing grant from the N.C. Department arena, located outside the 440 Belt- of Transportation to supplement the line, would be a bigger draw if it $200,000 provided by the chambers of were closer to hotels, restaurants, commerce of the four municipalities. and other nightspots. “If we didn’t have a vehicle like The agreement that created PART with a pot of money to get this the Centennial Authority, the public thing started, we wouldn’t be here to- authority that oversees the building, day,” said steering committee chairman provided funds only for construc- Robbie Perkins, who’s also a former a living history event tion of the $155 million arena. The member of the Greensboro City Council. a debate on the future money came from the state, N.C. “We’re asking you to take a look at this in State University, and bonds backed March so we can get on the legislature’s of the united states of america by local hotel and meals tax rev- radar screen.” On behalf Of Presidents thOmas JeffersOn enues. No provision was made for HOT’s projected employment and and JOhn adams, the JOhn lOcke fOundatiOn future upgrades of the building. population numbers call for advanced and duPlin Winery invite yOu tO an evening Of The Centennial Authority has planning to make sure the area doesn’t stimulating cOnversatiOn accOmPanied by great asked Raleigh and Wake County of- develop haphazardly, other members fOOd and Wine. ficials for an additional $1.5 million a of the steering committee told local year in hotel and meals tax revenues leaders. that could be used to issue bonds to saturday, aPril 7, duPlin Winery, rOse hill, nc “This could be a formula for disor- tOurs start at 3:30 P.m., cOnviviality at 5 P.m. and pay for a $60 million moderniza- ganized sprawl if we keep up business as dinner at 6 P.m. the Presidents take the stage at 7 P.m. tion of the RBC Center in 2019. CJ usual,” said Paul Norby, Winston-Salem- Forsyth County planning director. (Phone 919-828-3876 for ticket information) CAROLINA March 2007 JOURNAL Local Government 17 Apex Gives Homeowners Holiday Commentary By KAREN McMAHAN ($50). A construction or renovation plan Simplify, Simplify Contributing Editor adds another $60 to the cost. If the plan RALEIGH gets modified, that’s an additional $40, or several years I’ve written der money through Lee County’s ashioned after the state’s annual along with another fee for re-inspec- about the serious problems budget to get $15 million to Bristol- sales tax holiday, the Apex Town tion. our state faces with eco- Meyers-Squibb. Since Golden LEAF Council unanimously approved Asked whether the fees are a Fnomic incentives. Though there are couldn’t get the money directly to Fa “home improvement holiday” at problem that points to a larger issue, numerous problems, the public is BMS, Golden LEAF officials decided its second meeting in January. Apex’s Gossage admits that Apex is “still a often oblivious to what is actually to try to pay for some infrastructure temporary holiday, unlike the one-day small town and the supply of larger, transpiring. Most deals are worked in the county’s budget and then sales tax holiday, is scheduled to run for affordable homes may not be as great as out behind the closed doors of get the county to take that money 90 days, April 2-June 29. in neighboring towns or in unincorpo- your local Economic Development and give it to BMS. In the end, BMS Bryan Gossage, Apex town coun- rated areas of the county.” Anecdotally, office with additional layers of se- went elsewhere, but none of these cilman and owner of a private public he hears that some residents might be crecy taking place at the Commerce activities should have taken place. relations and communications firm, considering buying a larger home in Department. By the It’s just wrong. And yet proposed the idea after learning about a Cary because there are more of them and time the public finds there are still those who similar program in California. He called they cost less than in Apex. Despite rapid out anything, the deal think that any job is a the resolution an example of “innovative growth, from 5,000 residents in 1990 to is done making the good job regardless of government” and more than 31,000 public hearing purely what ethical breaches said it is “a way to in 2007, he wants perfunctory. take place. Again, this is show appreciation to help keep resi- With Google and not the role that govern- for the homeown- The resolution is target- dents in Apex. Dell, companies are ment was designed to ers who have made ed to homeowners who Bruce Rad- figuring out quickly fill. It should be incum- a commitment to ford, Apex town that North Carolina is bent upon government living in Apex.” have unfinished attics manager, offered quickly becoming the to treat all businesses as Gossage was several outcomes “please tread on me” equals, period. instrumental in or bonus rooms, those the town hopes to state as both compa- Counties routinely getting the reso- achieve through nies were able to easily compete with one an- lution approved with older homes need- the holiday. First, leverage whatever they other with what they can after working with ing renovation, or those he said “People wanted from state and local offi- give away. They shouldn’t. They the town’s attor- often view user cials. Seriously, does anyone believe should compete with their busi- ney and others to looking to add a room or fees as an addi- that Google will be remotely the ness climate, schools, and quality modify the plan so tional burden,” same company 30 years from now? of life. Forcing taxpayers to pay it would not “in- deck. It is designed to so this resolution That’s when it will start paying higher taxes for a “special” business advertently waive spur those who have left addresses that more than 20 percent of any prop- that doesn’t pay them is again, just fees for those they concern. erty taxes. Google will get an 80 per- wrong. In the case of Google, Lenoir did not want in- projects unfinished due Second, it cent waiver on real-estate property County officials didn’t produce a cluded,” such as will “benefit lo- taxes and 100 percent waivers on basic economic assessment study. commercial or resi- to permitting fees. cal building sup- business property taxes for 30 years. They have no idea whether there is dential builders. ply and hard- So who could be proud of that a net gain or not due to this deal, it’s The resolution is ware companies” accomplishment? Certainly Lenoir all faith. And while faith in general targeted to homeowners who have through increased sales. The program needs $48,000-per-year jobs. But do is a good thing, faith with taxpayer unfinished attics or bonus rooms, those also will have a “strong impact on total people think the county’s citizens money betting on the success of with older homes needing renovation, or tax value.” Radford said that even a will get those jobs? We’re talking failure of a given business is not. those looking to add a room or deck. small investment to finish a room over about more than $1 million in tax re- Sen. David Hoyle, a Gastonia When asked what the program’s a garage, the most common project, bates, even though that’s technically Democrat who has supported incen- aim is, Gossage said the “ goal would net a 10 percent improvement illegal, we call them grants, per job. tives while wincing made a good is to allow homeowners to complete in total tax value. Where does one draw the line? point not long ago, “Somewhere renovation or expansion projects they These projects provide “greater Which jobs don’t deserve incen- along the way we have got to stop. may have been putting off because of ad valorem taxes over a long period,” tives? Apparently, the people who It brings in more jobs, but it creates permit fees.” Radford said, which can continue for live and work here don’t. Google’s more pressure on our schools, our To spur homeowners to take ad- decades if not longer. Both Gossage own statements gave us a clear indi- roads, our universities, and who the vantage of the temporary fee waiver, and Radford said that waiving the fees cation about where the problem lies. hell is going to pay for it? It puts a Gossage sought to bring aboard a does not mean waiving the permits “In the case of this project, the vast strain on the system ... and they are number of corporate partners, which themselves. Homeowners will still have majority of the incentives are taxes not putting any revenue in the pot he hopes will include big-box home- to go the arduous process of obtaining we would not pay in other states.” to pay for it.” improvement, building-supply, and all the necessary permits. WOW! There’s a clear and Here’s hoping that we’ll have home-furnishing retailers, along with Given the expected tax and revenue concise summation for leaders in more serious discussion about banks, small-business retailers, and lo- gains, why not make the fee waiver per- the state. Our tax code needs to be where we are and where we’re cal craftsman. manent? Both officials said a permanent fixed. We’ve become lazy, relying on going on this path. And counties The town’s fee structure and com- waiver would not be feasible, because ever-increasing levels of intricacy should be very careful. Hoyle, plex process to launch and complete a the fees fund much of the Construction that the average citizen will never ever the pragmatist aptly pointed residential building project might act as a Management Department’s provision understand. JDIG, Bill Lee, Golden out something else. “With all the disincentive for homeowners to expand of essential services. LEAF, One North Carolina, and a property taxes given (away),” Hoyle or renovate their homes. According Future policymaking, however, host of other funds have reached the said, “if they can afford to do that, to Gossage, permit fees for “a typical might be influenced by how well the level of absurdity. This complexity I don’t want to hear them cry about homeowner can add up to hundreds resolution works, Radford said. If, for does little to build the trust of the Medicaid.” CJ of dollars.” The director of the town’s example, during the 90-day period, public and moves us away from tax reform which is what many compa- Chad Adams is director of the Construction Management Department “more than 30 percent of homeowners nies are saying that North Carolina Center for Local Innovation, vice presi- tells Gossage that user fees can total participated, spent X dollars, and the truly needs. dent for development of the John Locke more than $900. value of their home increased,” such an Recently, lawyers from Golden Foundation, and former vice chairman Among the laundry list of required outcome might indicate that permit fees LEAF spent the better part of a day of the Lee County Board of Commis- permit fees are building ($105), electrical are indeed a significant disincentive to trying to figure out how to laun- sioners. ($50), mechanical ($50), and inspection completing these types of projects. CJ March 2007 CAROLINA 18 Local Government JOURNAL

Local Innovation Bulletin Board From Cherokee to Currituck Beach Market Takes on Chill Paying More Fights Crime By MICHAEL LOWREY General Assembly this session. Associate Editor “What I have said to them is if (in- rime doesn’t pay” might be (and often minority) neighborhoods RALEIGH corporation proponents) get all their I’s a debatable axiom, but new across the country in the 1950s and he once-booming market for real dotted and T’s crossed, I will feel more or evidence strongly suggests ‘60s. The government, under the act, estate near the beach has slowed less obligated to the folks in my district Cthat the more crime-fighters are paid, can condemn an entire neighborhood considerably in recent months. to introduce that legislation,” said Rep. the better they will combat crime. and transfer the property to a private TThat has a lot of people concerned, Susan Fisher, D-Buncombe. Alexandre Mas, a researcher with developer so long as the government including local government officials, “If that’s something they really the National Bureau of Economic finds that at least some property in condominium owners, developers, and want to do, then I really have no choice Research, said that when police of- the neighborhood is “blighted.” Un- banks. than to help them through the process. ficers are awarded salaries below fortunately, this statute is so broadly N.C. Association of Realtors data They’ve gone to a lot of trouble,” she their desires and expectations, both worded that practically every neigh- shows that existing-home sales fell by said. arrest rates and average sentence borhood in Washington meets the 17 percent in the Residents of length will decline, but when police definition of “blight” — things such third quarter of the Swannanoa receive their salary demands, arrest as “obsolete platting” and “diversity 2006 in Wilmington area are also rates will rise. of ownership” constitute “blight.” compared to sales “There is going to be a studying incor- Police performance, Mas found, The problem is not limited in the same period porating. declines sharply when officers lose to Washington. In one appalling of 2005. Brunswick huge number of units A change in arbitration cases. The per-capita num- example, the U.S. Court of Appeals County, a more state law in 1999 ber of crimes cleared (crimes resulting for the Second Circuit let stand a beach-driven mar- on the market next year, made incorpora- in arrests) is 12 percent higher in the condemnation in which a developer ket, experienced and lots of them vacant.” tion less attractive. months following arbitration rulings in Port Chester, N.Y., demanded that a 64 percent drop. New municipali- in favor of police officers. Felony ar- a private property owner give him Sales on the Outer Carl Van Horn ties must provide rests in cities where police unions lost either $800,000 or a 50 percent share Banks were down Market Opportunity at least four of by 30 percent. eight specified in arbitration are also associated with in the property, which was slated to Research lower incarceration rates and shorter be a CVS pharmacy. I n M y r t l e types of services jail sentences. If refused, the developer threat- Beach, data from and levy a prop- This suggests that police might ened to have the village condemn it; Market Opportu- erty tax of at least reduce their efforts and cooperation the next day, the village condemned nity Research shows new and exist- $.05 per $100 of assessed valuation. The with prosecutors after arbitration the property to hand it over to the ing-condominium sales dropped by 37 change in state law came in response losses; that is, the police expend developer to construct a Walgreens percent in the third quarter compared to the incorporation of many towns to the previous year. that got a share of sales and franchise less energy in gathering evidence, drugstore. “There is going to be a huge num- tax revenues but provided no services. or at least in presenting evidence to ber of units on the market next year, and Sixteen towns were created in the three prosecutors. lots of them vacant,” Carl Van Horn of years before passage of the law, but only Police union bargaining unit Tolls beat taxes Market Opportunity Research said to nine since. losses are also associated with a 5.5 The News & Observer of Raleigh. percent increase in reported crime Using toll financing to pay Van Horn also noted that many Wilmington sewer moratorium rates, suggesting less active polic- for improved transportation infra- buyers of beach property in the past ing. structure was the overwhelming two years have done so as a specula- Last May, Wilmington was forced Mas found that the change in top choice of motorists, ranking tive venture, on the hopes that prices to institute a moratorium on new con- performance of New Jersey police dramatically higher than increasing would continue to rise and they could nections into portions of its sewer system officers depends not only on the or indexing fuel taxes, according to resell at a profit. because of numerous large spills from amount of the pay raise but also on a new survey. A continued soft market could the Northeast Interceptor, a sewer main the proposed but rejected counterof- According to the American leave such speculators in a cash bind and leading to a water treatment plant. That’s fers. Comparisons of pay raises to Automobile Association, 64 percent developers with unsold inventory and bad news for developers who didn’t arbitration counteroffers influence of motorists judged traffic conges- burden small banks with lots of loans obtain sewer permits before the mora- police effort only when the police tion to have worsened over the past in the beach market. torium went into effect, the Wilmington lose. though. three years. Seventy percent think “We’ve already seen developers Star-News reports. The moratorium is expected to remain in force for at least more money is needed to maintain in other parts of the country falter,” another year. and improve the system to keep pace said UNC-Charlotte finance professor “I think that project is kind of dead with demands. Tony Plath. Let There Be ‘Blight’ in the water,” said Anthony Caporaletti When asked specifically, the top “We’re definitely going to go through a period of nail biting.” of Atlantic Construction’s plans to Regardless of strong constitu- choice among motorists for financing build 18 townhouses on Wrightsville tional protections for private property, was tolling, with 52 percent support- Buncombe incorporations? Avenue. in the post-Kelo world, governments ing it. Within that broad category, the “We’re a small company,” he said. and courts now view eminent do- most popular option, at 39 percent, North Carolina has 554 munici- “This was what we were trying to tackle main as an area where few if any was to toll only new capacity. By palities. The number could rise soon, as next, and now we’re kind of scrambling restrictions exist, William R. Maurer, contrast, only 21 percent favored two Buncombe County communities are for another project.” director of the Institute for Justice, increasing the gas tax, and only 15 navigating the process of incorporating, He estimated the delay has cost Washington chapter, says in the Wall percent supported increasing other the Asheville Citizen-Times reports. his company $150,000. Street Journal. taxes (such as sales, income, or prop- Leicester is one of those communi- Dean Hunkele, an environmental While Kelo gave the motivation, erty taxes). ties, and the furthest along in the process. specialist with the N.C. Division of Water the tools available for trampling con- The data suggest that most Incorporation backers have obtained Quality, suggested that developers plan stitutional rights have been in place Americans continue to support the enough signatures (15 percent of the projects with the limits of the sewer for some time, Maurer said. Since the user-pays principle of highway fund- proposed town’s registered voters), system in mind. Kelo decision, municipalities have re- ing, which was once represented picked an interim town council, drafted “A real problem I tend to see with discovered Washington’s Community by “highway user taxes” on fuel, a town charter, and decided upon what development is that sewer tends to be Renewal Act, the local incarnation of whose proceeds were dedicated to services the town will offer. the last thing looked at,” he said. “Every- statutes used to destroy working-class the highway system. CJ A bill to officially establish the thing gets done first, and then they try to town will also be introduced in the make the sewer fit the site. ” CJ CAROLINA March 2007 JOURNAL Local Government 19 N.C. Supreme Court Rebukes Town of Hillsborough By MICHAEL LOWREY Adjustment would have rendered an Associate Editor up or down decision on plaintiff’s ap- RALEIGH “In essentially dictating by legislative fiat plication, defendant, acting through its ocal governments often must the outcome of a matter ... [Hillsborough] Board of Commissioners, passed the act on site plans and building- moratorium and eventually amended permit requests from businesses did not follow its own ordinance... .” the ordinance, effectively usurping the Lthat make necessary products but that Board of Adjustment’s responsibility in aren’t regarded as desirable neighbors. Justice Edward Brady the matter,” Justice Edward Brady wrote A recent N.C. Supreme Court ruling in a N.C. Supreme Court for the high court. case involving Hillsborough highlights “In essentially dictating by legisla- the need for localities to address such tive fiat the outcome of a matter which applications fairly and according to prohibited the filing of new ones, Robins’ an ordinance which merely confines a should be resolved through quasi-ju- existing established procedures. application was the only one of its type, use to a particular district,” Judge John dicial proceedings, defendant did not In its decision, the court held that and thus the only application affected Tyson wrote for the appeals court. follow its own ordinance pertaining to the town acted improperly by not acting by the moratorium. The public hearing Judge Barbara Jackson, however, the disposition of site specific develop- on a proposed asphalt plant’s site plan April 30 also was canceled. dissented from the majority’s holdings. ment plans, thus leaving the Town Board but instead banning new operations of The moratorium was to remain She noted that under North Carolina no defense to the charge that its actions that type from the town and its extrater- in affect until Dec. 31, 2003. In Novem- case law, citizens have no general right were arbitrary and capricious. ritorial zoning jurisdiction. ber 2003, Hillsborough amended its to have zoning ordinances remain for- “We hold that when the applicable On Jan. 21, 2003, Douglas Robins zoning ordinances to completely ban ever the same. And she found that the rules and ordinances are not followed applied to build an asphalt plant on five new asphalt plants and other facilities exceptions under which created vested by a town board, the applicant is en- acres of land he was buying specifically involved in manufacturing or process- rights did not apply to Robins, exactly titled to have his application reviewed for the purpose. The property was situ- ing petroleum products from the town. because Hillsborough had not acted under the ordinances and procedural ated in unincorporated Orange County The ordinance took effect on March 31, on his proposed site plan or issued a rules in effect as of the time he filed his but was within Hillsborough’s extrater- 2004; the town council also extended the building permit when it enacted its application. Accordingly, plaintiff was ritorial zoning jurisdiction. The parcel moratorium to that date. moratorium and later ban. entitled to receive a final determination was zoned as “general industrial,” which Robins, who had spent about Hillsborough, in turn, appealed the from defendant regarding his applica- under Hillsborough’s zoning regula- $100,000 on the proposed asphalt plant case to the N.C. Supreme Court. Because tion and to have it assessed under the tions would allow asphalt plants to be before it was rejected by the town of Jackson’s dissent, the high court was ordinance in effect when the application built there subject to site-plan review by board, challenged the town’s actions required to take the case. was filed.” Hillsborough’s Board of Adjustment. in the courts, including appealing after In a unanimous ruling of the six The Supreme Court offered no The Board of Adjustment held Superior Court Judge James Spencer justices that participated in the case opinion as to whether Robins’ site plan hearings on the site plan Feb. 12, March ruled in the town’s favor. A majority of (the case was heard before Justice Robin should be approved by the Board of 12, and April 9,2003 but did not act. A a three-judge panel of the N.C. Court Hudson joined the court in January), the Adjustment. By deciding the case on fourth hearing on the matter was sched- of Appeals ruled in favor of Robins’, Supreme Court held that Hillsborough’s the narrow issue of Hillsborough’s fol- uled for April 30, 2003. holding that the town’s actions were actions were improper, though for some- lowing or not following its own existing That public hearing, and a decision improper. The appeals court majority what different reasons than found by the zoning procedures, the Supreme Court on Robins’ site plan, never happened. also found the ordinance of question- Court of Appeals. need not and did not address the issue On April 22, Hillsborough’s Town Board able constitutionality, in banning asphalt The Supreme Court noted the of whether the subsequent ban on new passed a moratorium suspending “the plants from the town. facts in the case were much like those asphalt bans was constitutional. In fact, Review, Consideration and Issuance of “Courts in other jurisdictions it had addressed in a 1974 case, Humble it overturned that portion of the Court of Permits and Applications for Manufac- require a municipality to demonstrate Oil & Ref. Co. v. Bd. of Aldermen. That Appeals ruling addressing that issue. turing and Processing Operations In- a much greater substantial relationship case involved another Orange County The case is Robins v. Town of Hills- volving Petroleum Products,” including between the ordinance and the public municipality, Chapel Hill. borough, (154A06),available at http:// asphalt plants. Though the moratorium welfare where a total prohibition of a “Instead of following the proper www.aoc.state.nc.us/www/public/sc/ applied to all pending applications and lawful activity is involved rather than procedures by which the Board of opinions/2007/154-06-1.htm. CJ

mmm$@e^dBeYa[$eh]9"1,Ê" Ê" Ê/ Ê7 Ê",ÊÊ Since 1991, Carolina Journal has provided thousands of readers each month with in-depth reporting, informed analysis, and incisive commentary about the most pressing state and local issues in North ",/Ê ," Ê*1  Ê*" 9 Carolina. Now Carolina Journal has taken its trademark blend of news, analysis, and commentary to the airwaves with Carolina Journal Radio. A weekly, one-hour newsmagazine, Carolina Journal Radio #REATINGYOUROWNPERSONALiÞÊVVœÕ˜ÌATWWW*OHN,OCKEORGISA is hosted by John Hood and Donna Martinez and features a diverse mix of guests and topics. The pro- GREATSTARTINGPLACEFORTRACKINGTHECRITICALPUBLICPOLICYISSUESFACING gram is currently broadcast on 18 commercial stations – from the mountains to the coast. The Carolina Journal Radio Network includes these fine affiliates: .ORTH#AROLINA %ACHDAY YOURiÞÊVVœÕ˜ÌSEARCHESACOMPREHENSIVEDATABASEOF Albemarle/Concord WSPC AM 1010 Saturdays 11:00 AM Asheville WWNC AM 570 Sundays 7:00 PM *,&REPORTS BRIElNGPAPERS NEWSARTICLES PRESSRELEASES ANDEVENTS Burlington WBAG AM 1150 Saturdays 9:00 AM NOTICESTODISPLAYTIMELYINFORMATIONABOUTTHEISSUESOF Chapel Hill WCHL AM 1360 Sundays 6:00 PM Elizabeth City WGAI AM 560 Saturdays 6:00 AM YOURCHOICE)TSANEXCELLENTTOOLFOR Fayetteville WFNC AM 640 Saturdays 1:00 PM THOSEDRAFTINGLEGISLATION RESEARCHING Gastonia/Charlotte WZRH AM 960 Saturdays 2:00 PM Goldsboro WGBR AM 1150 Saturdays 6:00 PM POLICYISSUES PREPARINGNEWSSTORIES Greenville/Washington WDLX AM 930 Saturdays 10:00 AM PLANNINGPOLITICALORLOBBYING Hendersonville WHKP AM 1450 Sundays 6:00 PM Jacksonville WJNC AM 1240 Sundays 7:00 PM CAMPAIGNS ORSEEKINGINFORMATION Newport/New Bern WTKF FM 107.3 Sundays 7:00 PM WITHWHICHTOBEANINFORMEDVOTER Salisbury WSTP AM 1490 Saturdays 11:00 AM ANDCITIZEN Siler City WNCA AM 1570 Sundays 6:00 AM Southern Pines WEEB AM 990 Wednesdays 8:00 AM Whiteville WTXY AM 1540 Tuesdays 10:00 AM 6ISITWWW*OHN,OCKEORGANDCREATE Wilmington WAAV AM 980 Saturdays 1:00 PM YOURPERSONALIZEDiÞÊVVœÕ˜ÌTODAY Winston-Salem/Triad WSJS AM 600 Saturdays 12:00 PM For more information, visit www.CarolinaJournal.com/CJRadio March 2007 CAROLINA 20 The Learning Curve JOURNAL

From the Liberty Library Book Review

• From the first cannonballs Wealth of Nations: P.J. O’Rourke Boils It All Down fired by American warships at North African pirates to the conquest of Fal- • P.J. O’Rourke: On The Wealth Of Na- been a joke, but O’Rourke doesn’t let luja by the Marines, the United States tions; Atlantic Monthly Press; 2007; 242 that fact stand in the way of his string has been dramatically involved in pp; $21.95 hardcover. of punchlines. “The desire for power the Middle East. For well over two pushes a man, Smith wrote, to ‘the centuries, American statesmen, mer- By MITCH KOKAI highest degree of arrogance … to erect chants, and missionaries have had Associate Editor his own judgment into the supreme a profound impact on the shaping RALEIGH standard of right and wrong … to fancy of this crucial region. Now author ou can read a book and know it’s himself the only wise and worthy man Michael Oren draws on thousands great. Or you can take the word in the commonwealth.’ Smith managed of government documents and per- of someone else who has read the to describe not only Barbra Streisand but sonal letters, featuring original maps Ybook and tells you it’s great. everyone in the world of politics.” and more than 60 photographs, for Or you can assume a book is great If you’re looking for another ex- Power, Faith, and Fantasy: America in because someone, somewhere once read ample, Smith’s assessment of central the Middle East: 1776 to the Present, it and told other people it was great. banks generates the following observa- which reconstructs the diverse and Most of us would use that last cat- tion from O’Rourke. “If a nation has less remarkable ways in which Ameri- egory in conferring greatness on Adam circulating money than it has labor and cans have interacted with this allur- Smith’s masterpiece, An Inquiry into the goods, you get a credit collapse and a ing yet often hostile land stretching Nature and Causes of the Wealth of Nations. Great Depression. If a nation has more from Morocco to Iran, from the Published during the same year as the money than it has labor and goods, you Persian Gulf to the Bosporus. Learn Declaration of Independence, Smith’s get the 1970s. Which is worse depends more at www.wwnorton.com. work is treated as a founding document upon whether you are more annoyed by in economic thought. double knit, disco, and Henry Kissinger If you’re not an economist, though, or by claptrap about the Greatest Genera- • A battle has raged over chances are pretty good that you’ve tion, enormous Medicare expenditures, money since the first days of the not actually read this two-volume, late and your parents. United States. On one side were 18th century treatise in its entirety. This “The purpose of central banking democrats, who wanted cheap reviewer admits that he probably read is to prevent the return of disco and to money and feared the concentration an excerpt at some point in the late 20th We learn from O’Rourke get your parents to shut up.” of financial interests in the hands of century. Otherwise, his knowledge of We learn from O’Rourke that a few. On the other were the capital- Adam Smith and the Wealth of Nations that Smith was no fan of Smith was no fan of the early United ists who sought the soundness of a is limited to the idea of the “invisible States, despite the Founders’ professed national bank — and the profits that hand.” the early United States, support for the same types of freedom came with it. In telling the story in That’s where P.J. O’Rourke’s new Smith espoused. “Smith was critical of The Money Men: Capitalism, Democ- book comes in handy. In 195 pages, despite the Founders’ the colonists,” O’Rourke writes. “He racy, and the Hundred Years’ War over plus an appendix of pithy statements, professed support for the considered them to be not so much the American Dollar, H. W. Brands O’Rourke sets out Smith’s major themes. sterling patriots as skinflints with their focuses on five “Money Men”: Alex- Read this book and you can skip long- same types of freedom sterling.” ander Hamilton, who championed winded asides and dated references that Given Smith’s assessment, a national bank; Nicholas Biddle, might leave you scratching your head. Smith espoused. “Smith O’Rourke notes the irony of the Ameri- whose run-in with Andrew Jackson O’Rourke simplifies. “Smith began was critical of the colo- can success story. “The United States led to the bank’s demise; Jay Cooke, by asking two very large questions: would prove Adam Smith’s own thesis: who financed the Union in the Civil How is wealth produced, and how is nists,” O’Rourke writes. wealth depends on division of labor; War; Jay Gould, who tried to corner it distributed? Over the course of the division of labor depends on trade; trade the gold market; and J. P. Morgan, 250-some pages in book 1 the answers “He considered them to depends on natural liberty; therefore whose position was so commanding — ‘division of labor’ and ‘mind your Freedom = Wealth.” that he bailed out the U.S. Treasury. own business’ — are explained.” be not so much sterling And what about those two words Also from Norton. The book also exhibits O’Rourke’s patriots as skinflints with for which Smith is best known? What trademark wit. “Smith … maintains that about the “invisible hand” that has work (or something akin to it, such as our their sterling.” served as a justification for free-market • While many agree that Ron- daily bread) provides a sensible index for thought for more than two centuries? ald Reagan’s anticommunism grew determining how much other things are In a footnote, we learn that the out of his experiences with the Holly- worth to us. Deciding whether to mow regardless of any flaws exposed by 230 “invisible hand” appears only once in wood communists of the late 1940s, the lawn ourselves or pay the kid next years of additional economic study. the entire Wealth of Nations. O’Rourke the origins of his conservative ideol- door to do it – factoring in the likelihood “What Adam Smith did was give eco- tells us Smith used the phrase during ogy have remained obscure. Based that he’ll eat us out of house and home at nomics a reason to exist,” he writes. a “discourse on the benefits of employ- on a newly discovered collection of snack time and run the Toro over his foot, “Smith’s inquiry had a sensible aim, to ing capital ‘in the support of domestick private papers as well as interviews sue us, and we’ll have to get a second materially benefit mankind, himself by industry,’ … where Smith — according and corporate documents, The Edu- job to pay the legal bills – is something no means excluded.” to his own free trade principles — was cation of Ronald Reagan: The General everybody does all the time.” College students looking for the wrong.” Electric Years and the Untold Story of When Smith’s analysis seems Cliff’s Notes version of The Wealth of Speaking of wrong, O’Rourke tells his Conversion to Conservatism offers muddled, O’Rourke is not afraid to say Nations will not get much help from us contemporary politicians drew the new insights into Reagan’s ideologi- it. “While writing about the increase of O’Rourke. He hits highlights from wrong conclusions from Smith’s work, cal development. Thomas W. Evans economic value, Smith decided to delve Smith’s book but avoids a point-by-point using his words to support taxes on men- links the eight years (1954-1962) in into the concept of value itself. He tried synopsis. O’Rourke’s musings target servants, inhabited houses, auctioned which Reagan worked for General to analyze price, and he could not. The Smith’s masterpiece, his biographical de- property — even malt. “We know what Electric — acting as host of its televi- price of something is what someone tails, and his other published writing. road it is that good intentions pave, and sion program, GE Theater, and trav- will pay for it, nothing more, nothing An entire chapter in the new book it’s not the road to cheap beer.” eling the country as the company’s less, nothing else…. Smith’s confusions asks, “Why is The Wealth of Nations so Still, O’Rourke sums up the public-relations envoy — to his con- about price were even more confused [darn] long?” “Brevity may be the soul long-term positive results of Smith’s version to conservatism. At www. than modern confusions.” of wit,” O’Rourke reminds us, “but The writing. “The Wealth of Nations had columbia.edu/cu/cup. CJ But O’Rourke recognizes the im- Wealth of Nations was no joke.” some good effects as well, such as portance of Smith’s pioneering work, The original book might not have the entire modern free world.” CJ CAROLINA March 2007 JOURNAL The Learning Curve 21 Office of N.C. Lieutenant Governor Has an Interesting History

ecently, I was asked to dis- that blocked access to the ballot box. differing ideologies, assume power tal Planning Commission, and Board cuss a subject — well, to be Namely, it provided for universal and can wield it against those the in- of Community Colleges. The Gover- honest — that I hadn’t given male suffrage, eliminated property terventionist regime originally intend- nor can delegate responsibilities to the Rmuch thought: the history of the of- and religious qualifications for voting, ed to help. The disfranchisement of lieutenant governor, but tensions have fice of lieutenant governor in North and allowed for the popular election African-Americans at the turn of the tightened when the lieutenant gov- Carolina. As I conducted research for of the executive. 20th century is one such example. ernor and the governor are members the interview, I surprisingly did not It also extended the governor’s The Constitution of 1868 pro- of opposing parties; since 1868 both endure the pain term to four years and created the vided that the lieutenant governor executive positions have been on of boredom office of lieutenant governor. In 1868 can succeed the governor in cases of separate ballots. but enjoyed African American males participated death, impeachment, or resignation. In North Carolina’s past, lieuten- considering in their first statewide election and Since 1868 this has happened five ant governors, it seems, hoped that the context in helped elect the first lieutenant gov- times — the last time, it was Luther their position opened doors of op- which the office ernor, Tod R. Caldwell, who later suc- Hodges, who served as lieutenant portunity. Many former lieutenant was created and ceeded the impeached William Woods governor (1953-1954) and then later governors, however, have learned that has changed. Holden. Although African Americans as governor (1954-1961). Until 1970, the office can be a dead end. The lieu- were effectively disfranchised by 1901, the lieutenant governor’s position was Although most eventually tenant gover- the election of the lieutenant governor part-time, and he (Beverly Perdue, the sought gubernatorial office, only nine nor’s office did Dr. Troy remained “popular.” current lieutenant governor, is the first of the 32 North Carolina lieutenant not exist before Kickler When rights were expanded by female to occupy the office) presided governors became governor, and of 1868. Before definition in 1868, more power was over the North Carolina Senate. them, only a few, such as O. Max then, the General Assembly elected given to the government and the exec- Since 1868, lieutenant governors’ Gardner, Thomas Jordan Jarvis, and the governor to serve a one-year term utive branch. More than a few times duties have increased. In 1970 the Luther Hodges, achieved national (definitely not enough time to accu- in American history, statists along position became full-time and evolved importance or fame. mulate a long track record of abuses). with well-intentioned yet misguided into the only elected post with execu- Those who sought executive If the governor died, the Assembly, libertarians have often argued that a tive and legislative duties. Not only office and lost gubernatorial elections comprised of voters’ representatives, strong government is needed to create does the lieutenant governor preside subsequently faded into political elected another one. conditions in which liberty can exist. over the Senate, he or she is part of the obscurity. If they solely considered A product of Radical Republi- But created liberty only feeds 10-member Council of State that also the office a stepping-stone, obscurity cans and their Congressional Recon- the night watchman state instead of includes the governor, the attorney is what they deserved. CJ struction, the Constitution of 1868, starving it out of existence; for once general, the secretary of state, and as one historian writes, attempted to created, a powerful and intervention- superintendent of public instruction. liberalize state customs and, among ist state is from then on deemed neces- The lieutenant governor is also Dr. Troy Kickler is director of the other reforms, removed many barriers sary, and subsequent leaders, with on the state Board of Education, Capi- North Carolina History Project. Little League Heaven By Carolina Journal Editor Richard C. Wagner mmm$@e^dBeYa[$eh] 9"1,Ê" Ê" Ê/ Ê7 Ê",ÊÊ When Lillie Jo Sweeny threw out ",/Ê ," Ê*1  Ê*" 9 the first pitch of the game at Houston’s #REATINGYOUROWNPERSONALiÞÊVVœÕ˜ÌAT in 1989, she joined the As- WWW*OHN,OCKEORGISAGREATSTARTINGPLACEFORTRACKING tros and thousands of boys and girls THECRITICALPUBLICPOLICYISSUESFACING.ORTH#AROLINA in celebrating the 50th anniversary of %ACHDAY YOURiÞÊVVœÕ˜ÌSEARCHESACOMPREHENSIVE Little League base- ball. The event also DATABASEOF*,&REPORTS BRIElNGPAPERS NEWSARTICLES saluted her de- PRESSRELEASES ANDEVENTSNOTICESTODISPLAYTIMELY ceased husband, Odie Sweeny, a INFORMATIONABOUTTHEISSUESOFYOURCHOICE)TSAN Little League leg- end who managed EXCELLENTTOOLFORTHOSEDRAFTINGLEGISLATION RESEARCHING a never-say-die POLICYISSUES PREPARINGNEWSSTORIES PLANNINGPOLITICAL team for 38 years — a record in ORLOBBYINGCAMPAIGNS ORSEEKINGINFORMATIONWITH Texas and one of the longest streaks WHICHTOBEANINFORMED in the nation. Little League Heav- VOTERANDCITIZEN en: The Legend of Odie Sweeny, 6ISITWWW*OHN,OCKEORG an inspirational biography, serves ANDCREATEYOURPERSONALIZED a generous slice iÞÊVVœÕ˜ÌTODAY of Americana and traditional values.

Available at PublishAmerica.com, Amazon.com and at major bookstores. March 2007 CAROLINA 22 The Learning Curve JOURNAL

Short Takes on Culture Book Review Not Enough Norah Jones Posner’s Study of Plagiarism • “Not Too Late” design of the film, especially of the Says It’s Not Just ‘Borrowing’ Norah Jones alien Krell machines. There really is Blue Note Records a sense of wonder mixed with dread • Richard A. Posner: The Little Book of as the various Krell technologies are Plagiarism; Pantheon; 2007; 116 pages; ’m a big fan of Norah Jones’ unveiled during the flick. $10.95 hardcover. music, a blend of country and However, the special effects jazz accentuated with her soft, never overwhelm the story, an im- By KAREN MCMAHAN Ihoney-whiskey alto. Her writing is portant lesson that is still forgotten Contributing Editor clever, her ensemble is skilled, and even in 21st century filmmaking. At RALEIGH her first two albums have been those its heart “Forbidden Planet” is a sort ecent events, such as novelist rare finds without a clunker of filler of psychological thriller with Walter J. K. Rowling being accused of material. But I have some disappoint- Pidgeon’s brooding Morbius at the plagiarism and former New York ment with her newest, “Not Too Late,” center. Just what is his relationship RTimes reporter Jayson Blair fabricating which is a good album; it’s just not to the mysterious, deadly “planetary stories, have brought new attention to Norah Jones enough. force” which seems to lurk every- this topic. But what is plagiarism? Jones saw fit to write a song where? Drawing on legal expertise in in- (“My Dear Country”) about the same Zap up a batch of popcorn and tellectual property issues, U.S. Seventh post-election angst and paranoia that gather the kids around to both find Circuit Court of Appeals Judge Richard had so many Democrats seeking out and appreciate a true landmark Posner attempts to clarify this murky therapy in December 2004. The song in the sci-fi genre in its best presenta- subject. opens with an allusion to ghosts on tion ever. A Google search on “plagiarism” Halloween, which “go away / But — JEFF TAYLOR reveals copious sources, most offering fear’s the only thing I saw / And three ways to either detect or avoid it. The days later was clear to all / That noth- sheer number of sources leads one to cepts, among them are fraud, copyright ing is as scary as election day.” • “The Last Sin Eater” conclude that plagiarism is a growing violation, and trademark infringement, However, earlier in the album, in FoxFaith Films problem. all of which do offer legal remedy. what may be its best track, is a wicked Directed by Michael Landon Jr. Empirical and anecdotal evidence A particularly interesting argu- satire on the New Orleans hurricane suggests this might be true. A study in ment deals with “academic fraud,” disaster, “Sinkin’ Soon.” The writing This is one of the first theatrical 2001 by Duke University’s Center for which is often punishable through is snappy: “We’re an oyster cracker on offerings from the months-old Fox- Academic Integrity reported that “pla- “sanction” rather than legal remedy. He the stew / And the honey in the tea Faith (yes, Rupert Murdoch’s Fox) giarism on campuses increased from 10 argues that academic fraud, not plagia- ... / The golden crust on an apple pie film division, and despite its awkward percent in 1999 to 41 percent in 2001.” rism, is involved when a student buys a / That shines in the sun at noon ... / title and grim but true-to-life premise, Many academic websites cite the ease of term paper, or a professor publishes an But we’re gonna be sinkin’ soon.” The the story is an uplifting dandy with cut-and-paste technology as one reason article that was written by his research instrumentals are superb, from the superb performances, stunning vis- for the increase. “The Cheating Culture” assistant. tawdry ragtime piano to the muted tas, and compelling drama. Web site discusses the prevalence of “re- Deceit and fraud frequently center trumpet play. Based on the novel by Christian sume padding” and “false credentials” on “harm” and whether the reader’s So she can touch on contempo- author Francine Rivers, the story re- among seasoned job candidates and rary issues if she sticks to what she volves around the need to absolve the recent college graduates alike. behavior would change should he or does best. As a fan, I hope that Jones deceased of their sins before burial. Posner disagrees, however, that she learn the true circumstances. Would can come away from the vapid social Upon death, the Scottish and Welsh technology has contributed to an in- a journal publish the article knowing commentary. tradition called for one member of a crease in plagiarism. Rather, he thinks it had been authored by a research as- — JON SANDERS community to act as the “sin eater,” that detection software does and will act sistant? who through consumption of bread as a deterrent. Whether the incidence of Posner says that many “liberals” and drink laid upon the departed’s plagiarism is increasing, or the violators are “soft” on plagiarism, believing it is • “Forbidden Planet” (1956) body would “eat” his or her transgres- are simply more likely to be uncovered simply an ethical violation, at worst. By MGM Home Video sions away, thus enabling the poor through the use of detection software, euphemistically calling it “borrowing,” Directed by Fred M. Wilcox soul to find eternal rest. remains unclear. The development and they wish to make plagiarism appear In “The Last Sin Eater” a group increased use of detection software lends innocuous. But the harm from plagia- The new DVD re-issue of the of Welsh immigrants have brought credence to the belief that plagiarism is rism, he says, is no different than if a sci-fi classic is given a good digital the ritual to 1850s Appalachia, and widespread. “manufacturer of toothpaste . . . slapped image scrub and a full 5.1 audio treat- an adolescent girl burdened with the Opinions differ widely over what the name of a better-known brand on ment — the better to hear the far-out guilt of her own wrongdoings seeks constitutes plagiarism, as opposed to his toothpaste, even if his toothpaste “electronic tonalities” that wowed similar freedom — while still alive, “copying,” “borrowing,” or “copyright was equal in quality to that of the other audiences in 1956. The updates are however. infringement.” The confusion, Posner brand.” welcome, but the film remains rooted Although small-budgeted ($2.2 says, results largely from the “diction- Posner contends that the “cult of in a certain age, for good and ill. Capt. million) and bound by a short-film- ary definition” of plagiarism as “literary individualism” that permeates modern Leslie Nielsen’s spaceship crew is still ing schedule (22 days), the film is as theft,” which he argues is both “incom- society drives the demand for original- very much standard issue WWII mil- professional a production as you will plete” and “inaccurate.” ity. The offender’s motivation, whether spec and Earl Holloman’s comic relief find. Director Michael Landon Jr. is Because “literary” implies written the act was “intentional,” “negligent,” “Cookie” is but one-step removed every bit the storyteller that his father materials, this definition is “misleading” or “innocent,” influences the type and from vaudeville. was. And each acting performance is because plagiarism of “music, pictures, severity of punishment. Posner says Still, for a 50-year-old flick,there inspired, especially that of lead actress or ideas, as well as of verbal matter” that “concealment is at the heart of pla- is much to admire, starting with Liana Liberato, who plays 10-year-old are also commonplace. Using “theft” to giarism” but contends that the desire to Robby the robot. Robby was the first Cadi Forbes. She is in nearly every define plagiarism is inaccurate because profit economically or to improve one’s true sci-fi superstar and led directly to scene and is perfect in the role. no one “is taking anything away from stature should warrant more severe Hollywood notions of robots as super- It won’t be in every multiplex, someone but simply making a copy.” punishment. strong, super-smart, but ultimately however, so you may have to look The absence of a “legal remedy The book is thought provoking child-like metal men. Closely related for it. Don’t miss it. called ‘plagiarism’” further confounds and enlightening, but his legal writing to Robby is the overall production — PAUL CHESSER CJ the issue. Posner distinguishes between style does not lend itself to a quick read plagiarism and other closely related con- despite the book’s short length. CJ CAROLINA March 2007 JOURNAL The Learning Curve 23 A Bee in the Mouth: A Look at the New Angriculture

• Peter Wood: A Bee in the Mouth: Anger Politics is un- ers have given us Vicious political language is noth- in America Now; Encounter Books; 2006; doubtedly the forum the concept of “grrrl ing new to the United States, but what 304 pages, $25.95. where we see the new power,” evoking, as sets apart the New Anger from older in- “angri-culture” as Wood puts it, “the vective is the idea that anger is deserving By GEORGE LEEF Wood puts it most praiseworthiness of of respect in and of itself. H. L Mencken, Contributing Editor prominently on dis- anger in females for instance, wrote lots of scathing criti- RALEIGH play, but the author who are not quite old cism of FDR, but never with a subtext t one time, and as recently as doesn’t think that our enough to run with saying, “My anger is the justification for a generation ago, anger was increasingly rage- the wolves.” my hostility to Roosevelt.” regarded as one of the seven filled politics — - ex Angri-culture Wood sees the political left as more Adeadly sins. It was an emotion that emplified by scream- had been pecking at smitten with New Anger than the politi- people were expected to keep under ing candidates and the shell in the 1980s cal right, but there are some conserva- control. Displays of anger in public were bilious bloggers—is and 1990s, in the tive writers who exhibit angri-culture unseemly, a cause for others to turn really the catalyst Bork and Thomas tendencies. If the White House should away in disgust. Of course, there were behind this change in confirmation battles, have a Democratic occupant come 2009, many good reasons to become angry, social mores. Instead, for example, but the roles would probably reverse. but individuals were taught to master it has been building Wood contends that A Bee in the Mouth deals with an their anger and respond to whatever the up pressure in society a watershed was important social phenomenon in mod- provocation in a rational and construc- for several decades. passed with the pub- ern America. Neither the author nor this tive manner. Wood points to sev- lication of an article reviewer thinks the rise of angri-culture That was then; this is now. Out- eral milestones along our evolution from by Jonathan Chait in the September 2003 is a healthy development. Wood offers bursts of anger are apt to be applauded a people who believed that anger should New Republic. Chait wrote: the gloomy prognostication that as it these days as a way of showing your be caged to a people who believe that spreads, it will mean more fatherless “authenticity.” Letting loose with a anger is “liberating.” I hate President George W. Bush. children, more frivolous lawsuits, more pyrotechnics display of fury can win One such milestone was Allen There, I said it. I think his policies rank road rage. you fame and fortune. From political Ginsberg’s poem “Howl,” first read him among the worst presidents in U.S. It’s hard to see any social value in commentary to popular music, restraint in San Francisco in 1955. This poem, history. And while I am tempted to leave the New Anger. Does it do any good to is out and wrath is in. What has been which has had success vastly out of it at that, the truth is that I hate him for tell young people that they should let going on? proportion to its artistic merits (here’s a less substantive reasons, too. I hate loose with blasts of anger when things In A Bee in the Mouth, Peter Wood line: “Moloch! Solitude! Filth! Ugliness! the inequitable way he has come to his aren’t the way they would like them to endeavors to answer that question. Ashcans and unobtainable dollars!”) economic and political achievements and be? No. Wood contrasts our modern Wood, provost and professor of an- came to be extolled by critics and pro- his utter lack of humility. celebration of anger with some older thropology at King’s College in New fessors for its supposed “honesty.” “It sayings that Americans used to regard York, writes: is a poem,’ Wood says, “that only at the Wood believes that this article as the wisdom of the ages. Consider most superficial level asks the listener signaled to the mainstream of the these: The anger in America now differs to think or reflect. Democratic Party that it was no longer “Anger and folly walk cheek by from earlier epochs in that many people Helping it along were pop psy- necessary to preserve any sense of de- jowl.” seem proud of their anger. It has become chologists who churned out books corum when it came to attacking Bush “Anger is the wind that blows out the a badge of authenticity and holding back praising the release of anger. The earliest and his administration. Pure anger could light of the mind.” or repressing anger is often depicted as of those books were by feminist writers be substituted for rational argument. “An angry man opens his mouth a weakness or failure of self-assertion with prodigious axes to grind about the Ever since, angry-Left political writing and shuts his eyes.” CJ rather than a worthy form of self-con- alleged unfairness of male-dominated has been wallowing in rage against its trol… However angry Americans were culture. Women were told that they had political adversaries, with the message in 1776, or 1800, or 1860, or 1963, they a lot to be angry about in books such as seeming to be, “You should pay atten- George Leef is vice president for re- were not congratulating themselves for The Anger Advantage and Women Who Run tion to me because I am really, really search at the John William Pope Center for getting angry. with the Wolves. More recently, such writ- angry.” Higher Education Policy. Books authored By JLF staFFers Books authored By JLF staFFers Selling the Dream Free Choice for Workers: A History of the Right to Work Movement Why Advertising is Good Business

By John Hood President of the John Locke Foundation By George C. Leef Vice President for Research at the John William Pope Center for Higher “[Selling the Dream] provides a Education Policy fascinating look into the world of advertising and beyond ... “He writes like a buccaneer... Highly recommended.” recording episodes of bravery, Choice treachery, commitment and April 2006 vacillation.” Robert Huberty www.praeger.com (Call Jameson Books, 1-800-426-1357, to order) Capital Research Center March 2007 CAROLINA 24 Opinion JOURNAL

Commentary Clueless on Jones Street

hey still don’t get it on Jones to powerful committees and state Street. agencies has allowed state leaders They still don’t get it on to funnel money to pet, and per- TMain Street, either, if curiously mild sonal, projects, rather than to public editorials and lax media coverage benefit. of corruption in North Carolina are • Subversion of the N.C. any indication. Constitution has been so frequent Jim Black, certainly, was a that the courts are backlogged with powerful politician who disgraced lawsuits. Gov. Mike Easley, for himself and his state. But, in reality, example, raided the Highway Trust federal investigators re- Fund and other ear- vealed that he was much marked funds as though less than that. He was they were his own per- a common crook, who sonal bank accounts. lined his own pockets • Use of the N.C. with dirty money in Department of Transpor- restrooms. tation as a toy for Senate And, yes, as Pro Tem Marc Basnight, Editorial editorials have said, his Black, and other political downfall should serve elites. Now, DOT, led by as “a warning” to other Secretary Lyndo Tip- Predictable Lottery Results legislators who might pett, has proved itself be tempted to stray Richard incapable of fulfilling its efore the General Assembly More At Four academic prekindergarten from their mission of Wagner primary missions, such narrowly approved a state-run program, which was already supported public service. It’s too as building highways lottery in 2005, supporters trum- by other bureaucracies. late, they’ve more than that won’t crumble as Bpeted the merits of a government-spon- Now the state faces a dilemma. strayed—they’ve been romping all soon as they are opened, repairing sored numbers game. The News & Observer of Raleigh recently over Creation. They just haven’t old bridges before they collapse, Hundreds of millions of dollars called it the state lottery’s “$200 million been caught—yet. constructing toll roads that have flowing across state lines to buy lottery problem.” That’s how short the lottery In the entire horror show already been paid for, and running tickets in neighboring states would stay will fall below its projected first-year that is state government, however, a ferry division without violating in North Carolina. Those hundreds revenue. It seems the average North Black’s crime comprises one frame. federal and state laws. of millions of dollars could provide Carolinian spends about $1.93 per week The big picture is that law-en- • Communities across the much-needed help to in-state school on the lottery. That might seem like a lot, forcement officers are investigating state can’t afford Medicaid, yet the systems. if you never play the game. other targets in, or connected with, state’s Golden LEAF—which was It seemed like a “no brainer.” North But consider the figures in -sur state government. Black’s lawyer created, ostensibly, to take care of Carolina, legislative leaders said, was rounding states: Virginia, $3.55 per said his client will sing for the pros- such matters—throws hundreds of simply negligent in ignoring an un- person per week; South Carolina, $4.80; ecution. Prosecutors should be in millions of dollars around to spe- tapped revenue source that could help Tennessee, $2.99; and Georgia, $6.57. for a lengthy concert. cious projects. “the children.” North Carolinians haven’t jumped as Carolina Journal is among North Carolina is a sick state. The public needed no convincing. quickly at the chance to shovel their cash only a few newspapers that have Many of its leaders are infected Polls consistently showed most North toward a money-losing proposition. been investigating widespread cor- with a sense of entitlement, a lack of Carolinians wanted to trade some of That sounds like a good thing. ruption in state government for a ethics and morals, and contempt for their money for the chance to win more Maybe North Carolinians have more number of years. One chapter of the the public they swore to serve. money. But in this instance, undis- sense than their neighbors. corruption was validated as Black’s Their statements just before puted poll results did not offer enough That good sense points to one of allies, one by one, were marched and after Black’s appearance before compelling evidence to some North the key problems with the North Caro- into court. Yet Black was re-elected a federal judge Feb. 15 were reveal- Carolina legislators. Most Republicans lina lottery; its success rate depends on by voters, and, astonishingly, touted ing. They praised his long service to and a more than marginal number of people’s gullibility. That means the lot- by his colleagues for another term the state, went to the courthouse in Democrats feared the possible negative tery can attract more money only if it can as speaker of the House. his support, and signed a card for consequences of a state lottery. persuade people to give up more cash. New chapters await examina- him. This wasn’t innocent, laudable Should the government officially How might that happen? Look for tion. Multiple scandals involving loyalty to a man who had misled sanction gambling? If so, would the lottery advocates to support advertising other political elite have defied them. They were eager, knowing government-sanctioned gambling lead that talks up the chances of winning and prosecution over the years because cohorts in a government coup d’etat to problems with gambling addiction? downplays the long odds. Others will of their complexity. Of course, they led by Black. How should the state promote its lottery? recommend tinkering with the lottery were designed that way by master- Easley himself said it was un- How should lottery advertising promote proceeds, so that more money can head ful political puppeteers. Perhaps a fortunate that Black’s legacy might a game designed to ensure players lose to winner’s prizes and less to education little more time, with a hand from be his downfall, rather than his long far more often than they win? What programs. Black, will enable prosecutors to cut service to the state. about the money? Would a lottery pro- Speaking of those education pro- through the strings. They played the state’s vide a steady revenue stream? grams, don’t be surprised when you Following is a review of a few citizens for chumps until the end, Eventually, a razor-thin margin of start hearing appeals to support the of my favorite puppet shows: when the feds played the trump state House members gave the lottery lottery because of the way its proceeds • Back-door wheeling and card and ended the game. Then the benefit of the doubt. After some help “the children.” Education programs dealing of important legislation, they said they were shocked. shenanigans involving two missing and the bureaucracies that support such as that of the biennial bud- Give us a break. CJ senators, a “majority” of members in them now count on that lottery money get and the lottery. Behind-the- the Senate followed suit. to survive. scenes lawmaking, in general, has The state created a new bureau- Once state leaders decided to trumped open government. Richard Wagner is the editor of cracy to run the numbers game. Law- take a chance on government-spon- • Appointments of cronies Carolina Journal. makers decided that at least some lottery sored gambling, the results were as proceeds should fund existing education predictable as your chances of win- programs, including Gov. Mike Easley’s ning the jackpot. CJ CAROLINA March 2007 JOURNAL Opinion 25 ‘Two Americas’ Balderdash Commentary Research shows little increases in income disparities over time On Hubris and Cocooning ommentators from the “Two the role that tax reform played in shift- Americas” school of income- ing income receipts from corporate tax ormer House Speaker Jim foul when leaders sought to punish inequality populism look out forms to individual ones. Black is now a felon. He’ll business groups that didn’t pony Cacross the economy and see only gloom These are many complex issues, serve time. He gave up the up? Or did they just shake their and doom. Then they fume. But in pre- which Reynolds discusses in some Fsouthern Mecklenburg House seat head, mumble something about senting an accurate picture of what is detail in his book. As a bottom line, he defended by the skin of his teeth “that’s how the game is played,” going on, both their choice of data and consider these two points. First, when back in November. His political and tell themselves that the greater their common sense are often unequal he adjusted for just two factors — gov- career will be remembered primar- good required their continuance in to the task. ernment transfer payments and what ily for squalid scandal. office? JLF analysts have pointed out that amounts to bookkeeping effects from His aides and allies paid Government power claims about large numbers of families past tax reforms — Reynolds found “no a steep price for par- is inescapably important living perpetually below a “living wage” increase in the top 1 percent’s income ticipating in a corrupt and dangerous. It is the are incoherent and inconsistent with share between 1988 and 2003.” The political machine. His power to tax, to subsi- reality. At the national level, allegations 2004 numbers do show a spike in the downfall coincided with dize, to regulate — it of a widening gap between rich and wealthiest Americans’ income share, the passage of new state is, in short, the power poor — with the middle class “disap- but this could well be a statistical artifact legislation intended to of organized, domesti- pearing” thanks to excessive capitalism resulting from corporations’ increased require more disclosure cated violence. But the and recessive unionism — frequently use of dividends after the federal tax and brighten ethical lines end cannot justify the draw their rhetorical power from the legislation of 2003. in the practice of lobby- means. If the “other side” use of income data sets reported by the Second, inflation-adjusted pretax ing and lawmaking in the appears poised to win Internal Revenue Service. Economist income of U.S. households has gone state capital. unless you play a dirty Alan Reynolds just spent several years up at all level of the income distribu- It’s all been said or trick, bribe an opponent, researching the issue for a new book, tion since 1989. The bottom quintile predicted, many times or sell legislative access Income and Wealth, and has a lot to say received a 21 percent gain. The top before. Is there, in fact, for quick cash, then let about the misuse and misunderstanding quintile received nearly a 21 percent anything fresh or important left to the other side win. It’s not worth it. of the IRS data. gain. In short, Reynolds writes, there say about the Jim Black scandals? Another election will come soon. Perhaps the most damning indict- is “surprisingly little U.S. evidence of Let me try my hand at two addi- The other point worth consid- ment Reynolds offers is that simplistic any significant and sustained increase in tional observations. ering is that successful politicians, analysis of personal tax data spanning inequality of income, wealth, wages, or First, the Jim Black affair activists, and commentators avoid the past two decades fails to account for consumption since the late 1980s.” CJ demonstrates the temptation to cocooning. That is, they avoid conclude that the ends justify the spending an inordinate amount of means. Many, many politicians of time talking only with like-minded all stripes truly believe their policy people and only with those who Useful Traffic Initiatives goals are so important that they have a strong personal or financial must “play the game,” by which interest in flattery and affirmation. Improved signals and better information flow good investments they mean break the law or trans- For many Democratic officeholders gress ethical boundaries in order to and lobbyists at the General As- he North Carolina Board of Traffic signal optimization can reduce serve a greater good. sembly, Black’s impending federal Transportation seems poised to stop-and-go traffic by 40 percent, cut I think Black wasn’t just an incarceration comes as a shock. It approve a promising initiative gas consumption by 10 percent, emis- arrogant power-tripper. I think he shouldn’t. He’s been a dead man Tto address traffic congestion in the fast- sions by 22 percent, and travel times believed that Democratic control walking for months. But because growing urban regions of the state. by 25 percent. of the General Assembly was so they lived in the Black cocoon, they A a new choo-choo project? No, for- • Incident Management. For each important to the interests of the believed his reassuring nonsense. tunately. A major shift in gas-tax dollars minute that traffic is blocked by an ac- state, and his own position was so It’s similar to the problem to highly traveled urban and suburban cident, five minutes of congestion are important to the interests of the some GOP-leaning politicos and corridors where lots of those gas-tax added to a commute. In most urban Charlotte region and other urban pundits exhibited last fall when dollars are collected? No, unfortunately. areas, much more can be done to rapidly communities. Some Democrats they discounted polling and other It’s a proposed $2 million project to and effectively manage accidents. recently converted to the “chase trends and insisted that the Repub- improve the collection and transmis- North Carolina’s highway sys- that man out of my party!” team lican Congress was in no danger. sion of real-time traffic information to tem is a complicated network of major of much-maligned Joe Sinsheimer They needed to get out of their motorists and truckers. Expected to be roads, side streets, intersections, ramps, once marveled at Black’s leadership cocoon, read and talk with knowl- operational next year, the new system driveways, signage, information, polic- skills and fund-raising prowess, edgeable people outside their com- will rely on high-speed Internet links ing, accident response, and weather crediting him with keeping power fortable political circles, and most and microwave sensors powered by response. While few of us have the ex- in Raleigh despite contrary elec- importantly resolve to trust the solar panels. pertise to know precisely how to design toral trends. Now they are running data instead of trying to rationalize Improved traffic signals, motorist and operate the system, we can at least away from him lickety-split. them away. information, and accident management broadly agree on goals and priorities. Many state Republicans These two temptations — to are underappreciated but indispensable Surely chief among them should be to need to lose the gleeful smile and justify means with ends and to co- elements of any rational plan to address move people and freight as smoothly conduct a similar self-examina- coon — share a common element of congestion in North Carolina and across and safely as possible. tion. What were they prepared to hubris. It’s no mistake that the great the country. In their book The Road Less Perhaps this all sounds wonky countenance in an attempt to main- Greek tragedians made so much of Traveled: Why the Congestion Crisis Matters and snooze-inducing, but consider how tain power on Capitol Hill? How hubris as a plot point. It lies under- More Than You Think, and What We Can many major traffic snarls you’ve been in vociferously did they criticize the neath many, perhaps most human Do About It, Ted Balaker and Sam Staley lately that turn out to be caused way up Republican Congress for wasteful failings. And it explains why Black, from the Reason Foundation offer steps the road by accidents, sometimes just federal spending, largesse to benefit once feted, will now be fettered. CJ that governments at all levels can take fender-benders. special-interest constituencies, and to address transportation needs speedily Improving information flow in ethical laxity in dealings with lob- and efficiently. Among them are: such instances, and thus the traffic flow, byists and donors? When Republi- • Traffic Signal Optimization. is such a good idea that it deserves cans briefly held the majority in the Hood is president of the John Surprisingly, many cities have yet to widespread recognition. And a bright North Carolina House, did they cry Locke Foundation. do this, despite huge potential benefits. green light. CJ March 2007 CAROLINA 26 Opinion JOURNAL

Editorial Briefs

The mentally ill, behind bars Over the past 40 years, the United States has dismantled a colossal mental health complex and rebuilt an enormous prison system, Bernard E. Harcourt, professor of law and criminology at the University of Chicago, writes in The New York Times. After more than 50 years of stability, federal and state prison populations skyrocketed from fewer than 200,000 inmates in 1970 to more than 1.3 million in 2002. With the inclusion of 700,000 inmates in jail, the United States incarcerates more than two million people, the highest number and rate in the world. What few people realize, though, is that in the 1940s and ‘50s we institutionalized people at even higher rates—only it was in mental hospitals and asylums. When the data on state and county mental hospitalization rates are combined with the data on prison rates for 1928 through 2000, imprisonment numbers of the late 20th century barely reaches the level we experienced at mid-century. Including residents of all mental facilities, the United States consistently institutionalized at rates well above 700 per 100,000 adults from 1935 to 1963. But it would be naïve, says Harcourt, to address any of these changes without also con- sidering the impact of imprisonment on crime. What Did Milton Friedman Teach Us? One of the most reliable studies estimates that the increased prison population over the 1990s hile Milton Friedman might not be a income. Friedman would have had the IRS also accounted for about a third of the overall drop household name to most people, he was act as the nation’s primary poverty fighter. When a in crime that decade. the equivalent of a rock star to economists. household filing an income tax form was identified However, another recent study showed that WI say “was” because Professor Friedman died late as falling below the poverty level, that household the rate of institutionalization, including mental last year, just a few years shy of the century mark in would receive an income supplement from the gov- hospitals, was a far better predictor of serious age. ernment that could be used to improve its standard violent crime from 1926 to 2000 than just prison One of the characteristics that made Friedman of living. He called it a negative income tax. populations. special was his ability to span both the academic Of course, such a program is different than world and the real world. In the academ- curing poverty, which requires adequate ic world he published scores of research education, training, and economic monographs, journal articles, and uni- opportunity. Yet curing poverty is a versity press books, and, among many long-run proposition, while alleviating Coin melting banned accolades, was awarded a Nobel Prize in poverty assists people now. The beauty People who melt pennies or nickels to profit economics. He was an inspiration to my of Friedman’s idea is that it is simple, from the jump in metals prices could face jail time own career at NCSU. requires a minimum amount of govern- and pay thousands of dollars in fines, according to It would perhaps take an entire ment bureaucracy, and gets cash in poor new rules set up by the U.S. Mint. Under the new book to adequately cover all his insights people’s hands. Today it lives in the rules, it is illegal to melt pennies and nickels, or and analyses, so let me highlight only form of the earned income tax credit. export the coins for melting, USA Today reports. three areas that show the diversity and Michael People Look Back and Ahead for Walden Travelers may legally carry up to $5 in impact of his thinking. Spending: One of Friedman’s earliest one- and five-cent coins out of the United States Behind Inflation is Money: contributions was in the area of personal or ship $100 of the coins abroad “for legitimate Throughout time, inflation has been blamed on economics. Although his insight might seem trivial, coinage and numismatic purposes.” Violators many factors — rising energy prices, natural disas- it was really groundbreaking. Friedman concluded could spend up to five years in prison and pay ters such as hurricanes and droughts, the abandon- that people don’t base their current spending only ment of the gold standard, and even credit card on how much income they have today. Instead, they as much as $10,000 in fines. Plus, the government debt. try to form some estimate of what their long-run will confiscate any coins or metal used in melting Friedman dismissed all these explanations and trend in income will be — something he termed schemes. said the cause of any sustained increase in prices is permanent income. Melting has resulted from skyrocketing simple: too much money in circulation. When the So, a young person with relatively low income metal prices worldwide, particularly in rapidly amount of money in circulation is growing faster today but who has great income prospects in the growing China and India. Soaring prices mean than the quantity of products and services that mon- future will live above his means today because he that the value of the metal in pennies and nickels ey buys, then the excess money will be “soaked up” expects higher income down the road. Or, an older exceeds the face value of the coins. by higher prices — that is, inflation will occur. person with high income might curtail her spending The value of the metal in a nickel is 6.99 Who controls the money supply in any coun- now because she knows her income in retirement cents, while the penny’s metal is worth 1.12 cents, try? It’s the country’s central bank, which in the will be much lower. according to the U.S. Mint. United States is the Federal Reserve. Therefore, Whether you agree with Friedman or not, I Prices for zinc, which accounts for nearly Friedman argued, it is ultimately the responsibility think you’ll have to say he was an economist with all of the metal in the penny, have risen by 134 of the government, via the Federal Reserve, to put a the power of ideas. CJ percent this year, according to the London Metal lid on inflation by keeping the growth in dollars in Exchange. Even accounting for a recent decline, line with the growth in the economy’s production. the price of copper is up 50 percent since the To Combat Poverty — Send Money: Professor Michael L. Walden is a William Neal Reynolds dis- start of 2006. CJ Friedman had a simple solution for alleviating pov- tinguished professor at North Carolina State University erty — simply provide poor households with more and an adjunct scholar of the John Locke Foundation. CAROLINA March 2007 JOURNAL Opinion 27 Bold Leadership Required by Republicans in Congress

s I write this column in Febru- legislative agenda, which included comes across in the media as reason- “You do not serve the presi- ary the GOP in Washington is implementing the Sept. 11 recom- able and well-versed. He is not likely dent, you serve with the president,” struggling to adjust to what its mendations, increasing the minimum to be caught off guard or to make a Gingrich said, according to those who Arole is as the minority in the House. wage, expanded stem-cell research, al- political miscue. attended the dinner, which was closed Reality is slowing sinking in lowed negotiations for lower prescrip- Despite the promise of bipar- to the press. Gingrich warned that that after 12 years tion drug costs, cut interest rates on tisanship by Pelosi and Hoyer, Re- the Republican conference moves too in the driver’s student loans, ended subsidies for big publicans in the House have been slowly and that the RSC should be seat in the House, oil companies, and invested in renew- relegated to the sidelines—left only to outmaneuvering the conference. He Republicans are no able energy. complain that they are being left out also was reported to have said that longer in power. Now, while as a conservative, of the process. Republican resolutions the Republicans should neither blame The role of I am not endorsing that agenda, it and amendments are shut down on nor support President Bush on issues that divide the Republicans from their the loyal opposi- does show action and the perception the floor by Hoyer and the Democrat base. tion is foreign to that Democrats are getting something whip operation. the leadership of done. Many forget that Gingrich was Pelosi and Hoyer are exercising the GOP, as well as Pelosi also comes from a family once a “back-bencher” frustrated with power no differently then the way for- the “rank and file” Marc of astute politicians. a Democrat majority in the House and mer Speaker Dennis Hastert did when of the caucus. Rotterman She grew up in politics. Her Republican leadership that was far the GOP was in the majority. Many father, Thomas D’Alesandro, Jr., was too comfortable with minority status. pundits, politi- mayor of Baltimore for 12 years, after Early in February, the Republi- Only the bold leadership of Gingrich’s cal strategists, and GOP members of representing the city for five terms can Study Committee, a group of 48 Contract with America led us out of Congress think that (San Francisco in Congress. Her brother, Thomas conservatives in the House, met in the wilderness in 1994. liberal) Speaker Nancy Pelosi will self- D’Alesandro III, also was mayor of Baltimore for their annual retreat. Bold and innovative leadership destruct and that her downfall will be Baltimore. According to press reports of by the loyal opposition is required the key to regaining the majority in In addition, her second in com- the meeting, conservatives expressed now. Counting on the Democrats to the House. mand of the Democratic caucus, Ma- their disappointment that their leaders self-destruct is not a strategy for suc- That, in my opinion, is a weak jority Leader Steny Hoyer, is longtime have no strategy to win back in 2008 cess. CJ case to rely on. veteran of Democratic politics, having the majority they lost last November. First and foremost, Pelosi in been elected to the Maryland Senate at It was reported that former Speaker her first month as speaker has been the age of 27 and who is now begin- Newt Gingrich, who was one of the disciplined. One only need look at ning his 14th term in Congress. invited guests, counseled the group Marc Rotterman is a conservative her website to see that Pelosi pushed Hoyer understands how to count of conservatives that they have to act activist and a senior fellow of the John through the Democrats 100-hour votes and to exercise power. He also independently of the White House. Locke Foundation. Despite Changes, It’s Still Too Easy To Get a N.C. Driver’s License

uring the 2005-2006 session of agency. Proof of a valid Social Security valid or expired N.C. driver’s license. card, or vehicle registration should not the General Assembly, re- number can be provided by a Social If they don’t have one, they must be acceptable. quirements for a N.C. driver’s Security card or: provide two documents with the same A parent or guardian should pro- Dlicense were changed. The option of • computer-generated W-2, IRS, name on both and one must list the vide satisfactory documentation that providing an individual taxpayer- state or county tax form; date of birth. Acceptable documents they are a resident before completing identification number was eliminated. • payroll stub; include: an affidavit for a minor applicant. Much was made over the change. Vot- • financial statement with a • driver’s license from another Any license issued pursuant to a visa ers were reassured Social Security number; state; should automatically expire on the that this would • government-issued document • certified birth certificate; day the visa expires. make it impossible with a Social Security number ( U.S. • official N.C. school registra- In cases where a valid Social for noncitizens to military ID) or tion records (Note: One does not have Security number is not provided, a get N.C. drivers’ • letter or computer print out to be a legal resident to attend N.C. 10-day temporary license should be licenses and that from the Social Security Administra- schools); or issued while the DMV checks the au- illegal immigrants tion. • valid, unexpired passport from thenticity of the provided documents. from across the In addition to providing a Social any nation. If any of the provided documents country could Security number (or one of the sub- Under current law, an applicant cannot be verified, the license should no longer rely on stitutes listed above) applicants must could present a payroll stub (Social automatically expire. North Carolina to Becki provide proof of residency and proof Security number proof), a library card A procedure should be estab- issue identifica- Gray of age and identity. (residency proof), a N.C. high school lished to confirm or verify a renewing tion cards with lax Acceptable documents to prove diploma, and a Mexican passport applicant’s information. Security mea- documentation requirements. residency include: (age and identity proof) and walk out sures for locations where licenses are Feel better? Hold on. • military orders; of any DMV office with a valid N.C. produced should be established and Despite all the reassurances, • Immigration and Naturaliza- driver’s license, good for eight years. security clearance for DMV personnel eliminating the taxpayer identifica- tion Service documents; To ensure authentic identifica- should be required. tion number was the only change • matricula consular from the tion, changes to N.C. driver’s licens- Despite assurances that N.C. made to the requirements to obtain a government of Mexico; ing requirements should be made. driver’s licensing requirements have N.C. drivers’ license. Now an ap- • property tax statement; An applicant should be able to been tightened to prevent noncitizens plicant must provide proof of their • library card; prove that they are a citizen or in this from obtaining them, there are still Social Security number in addition • N.C. voter registration card; country lawfully. The only foreign flaws in the procedures for issuing the to providing proof of residency and • bank statement; document that should be accepted as licenses. proof of age and identity. Only proof- • preprinted business letterhead; identification is an official passport. It’s still too easy. Until additional of-residency documents are subject to • utility bill; The DMV should retain copies changes are made, the integrity of our verification by the Department of Mo- • computer-generated check of any presented documents for seven state and security of our country are at tor Vehicles that they are authentic. stub; or years and verify their authenticity risk. CJ If an applicant doesn’t have • letter from a homeless shelter. before issuing a license. Documents a valid Social Security number, he In order to prove their age and requiring little or no documentation, Becki Gray is director of the State can provide a visa issued by a U.S. identity, applicants can provide a such as a business letterhead, library Policy Resource Center. March 2007 C a r o l i n a 28 Parting Shot Journal Lottery Commission Sees Unemployed as Fertile Market (a CJ parody)

By VANNA WHITELY holds, are estimated to play the lottery. Special from Fortunate Magazine In order to reach the revenue goals set RALEIGH by Gov. Mike Easley and the General As- ecipients of state unemployment sembly, the lottery commission needs the benefits soon will be able to buy annual average lottery expenditure to be lottery tickets at N.C. Employ- $685 per participating household. Rment Security Commission offices and ESC estimates that there are about have the fees automatically deducted 200,000 unemployed heads of house- from their checks. hold in North Carolina. He said that People who receive unemploy- among the households headed by an ment checks will be able to buy lottery unemployed person, only 10 percent tickets at any of the 95 ESC offices in are participating. North Carolina. Automatic withdrawals If officials could raise unemployed for purchase of the tickets will be limited citizens’ lottery participation rate to to 50 percent of individuals’ benefit the rest of North Carolina’s average, checks. The program is scheduled to the state could shrink the revenue gap, begin April 1. Shaheen said. “These people are not playing the He said raising the participation lottery as often as the employed, and This hopeful person is counting on his unemployment benefits making him rich via the new rate to 50 percent would bring in about we need to reach out to them,” Tom partnership between the state lottery and the ESC. (CJ photo by Don Carrington) $55 million in additional net revenue. Shaheen, executive director of the N.C. Elaine Mejia of the N.C. Justice Lottery Commission, told reporters at a The additional revenue will allow ESC to education programs. The lower sales Center is both a lottery critic and an news conference conducted at the ESC to hire additional personnel to handle will yield net proceeds of $350 million advocate for the poor. She was critical central office. retail ticket sales, Payne said. He will also instead of $425 million. of the new program. “My organization ESC Chairman Harry Payne, who add additional information technology “We have to make up the shortfall, has always warned that a state lottery joined Shaheen at the news conference, workers in the central office to handle and the lottery commission members would prey upon the poor. This idea is said he welcomes the new program. “We the automatic-deduction program. decided this new program would help,” just plain nuts, “she said. are always seeking new ways to aid our State lottery officials recently ac- Shaheen said. Easley budget advisor Dan Ger- clientele. Most of the people who come to knowledged that sales projections for the Shaheen said lottery money comes lach said the governor strongly sup- us are a little down on their luck. This is lottery will fall $200 million short of the from household discretionary income. ported the new program. “Governor a way to give them hope,” Payne said. $1.2 million estimate for fiscal 2006-07. North Carolina has about nine million Easley believes that unemployed ESC will retain the same adminis- The lottery legislation requires that 100 people living in 3.5 million households. people have the right to waste their trative fees as any other lottery vendor. percent of the net lottery proceeds go Only about half, or 1.75 million house- money, too,” he said. CJ

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