Carolina Journal After a Jan

INSIDE THIS ISSUE: DEPARTMENTS Uwharrie North Carolina 2 C A R O L I N A Education 6 commission Local Government 10 From Page 1 14 stacked with Higher Education 17 Alcoa adver- Books & the Arts 20 Opinion 24 saries/4 A MONTHLY JOURNAL OF NEWS, ANALYSIS AND OPINION Parting Shot 28 JOURNALFROM THE JOHN LOCKE FOUNDATION February 2011 Vol. 20 No. 2 STATEWIDE EDITION Check us out online at carolinajournal.com and johnlocke.org Heirs Fight DENR For Coastal Land By Don Carrington Executive Editor RALEIGH ohn H. Hurst and his sister Harriet Hurst Turner are battling to keep the state of North Carolina Jfrom taking from their family without compensation a 289-acre Onslow County waterfront property that once served as a beach for African-Americans in the days before racial segregation was outlawed. The Hursts contend that a 1950 deed involving their grandparents’ inheritance provides for the property to go to them as the legal heirs since the state twice has spurned the land. The family has spent the past four years in the state court system trying to obtain Superior Court clear title to the property. Judge Carl Fox “The state is trying to John H. Hurst and his family have spent the past four years in the state court system trying to obtain clear title to land owned by their grandfather, and which originally was intended to serve as a vacation resort for African- steal my clients’ land,” their attorney, Charles Fran- American teachers. (CJ photo by Don Carrington) cis, told Carolina Journal after a Jan. 3 hearing on the matter in Wake County Superior Court. twice formally refused to accept it from a trust that approve the acquisition, as it must all property trans- Should the N.C. Department of Environment was established in 1950 to manage the parcel. The ac- actions involving state agencies. Perdue will ask for and Natural Resources acquire the property, the Per- quisition process also raises questions over potential a vote that either will end the dispute in favor of the due administration would be in the unusual position conflicts of interest involving four members of the Hurst family, or likely prolong it for years, since the of seizing land that originally was intended to serve Council of State, and the unusual role of the office of Hursts’ attorney says the heirs do not want to give as a vacation resort for African-American teachers. Attorney General Roy Cooper. up the land. Moreover, DENR only recently became inter- Gov. Bev Perdue and the nine other statewide ested in acquiring the property after the state had elected officials, known as the Council of State, must Continued as “Family,“ Page 14 Historic Legislative Session Under Way PAID year June 30. At the same time, they’ve RALEIGH, NC U.S. POSTAGE

PERMIT NO. 1766 alluded to potential battles with Dem- NONPROFIT ORG. GOP legislature ocrats on several fiscal and social issues, among them a push to generate faces Dem governor, additional revenue by legalizing video poker and having the state run it — an $3.7 billion shortfall idea that GOP leaders are wary of. N.C. State University political By David N. Bass science professor Andrew Taylor said Associate Editor the divided-government scenario — RALEIGH with Republicans controlling the leg- paradox could dominate the islature and Democrats commanding new session of the General As- New House Speaker Thom Tillis, right, the governor’s office — is new, so any- sembly — more cooperation be- presides at the opening day of the 2011 thing could happen. General Assembly. (CJ photo by Don Atween the legislature’s two chambers, Carrington) “At the moment it’s hunky dory, yet starker division between the politi- and everybody’s talking to each other, cal parties over key issues. Republican leaders have pledged and everybody says they’re willing to The result: one of the briefest, but a unified front on budgeting and redis- listen to the other side,” Taylor said. most contentious, legislative sessions tricting. Their goal is to wrap up the The John Locke Foundation 200 W. Morgan St., #200 Raleigh, NC 27601 in recent years. session by the close of the state’s fiscal Continued as “Historic,“ Page 15 PAGE 2 FEBRUARY 2011 | CAROLINA JOURNAL North Carolina C a r o l i n a Perdue Stands By Incentives-Based Jobs Program

By Kristy Bailey property, and $15.4 million in personal property — accord- Journal Contributor ing to the state Department of Commerce’s Job Develop- Rick Henderson RALEIGH ment Investment Grant 2010 third-quarter report. The two Managing Editor s North Carolina’s unemployment rate hovers at facilities are projected to generate $28.9 million in state rev- near double-digit levels, Gov. Bev Perdue is stand- enue. Don Carrington ing firm with a job-creation strategy focused on di- Pearson says the proximity to local community col- Executive Editor rectA tax incentives or cash payments to individual compa- leges was a major draw for Caterpillar, which boasts hun- nies. dreds of facilities worldwide, including 51 in the U.S. and David N. Bass, Sara Burrows Other parts of the strategy include using the commu- 59 overseas. “They needed assurances they could get the Anthony Greco, Mitch Kokai nity college system to retool the work force and deploying worker training, if necessary.” Caterpillar got the assuranc- Michael Lowrey information technology (including a state-run Web portal) es it needed, and a combined $454.3 million in grants and Associate Editors to help job seekers find work. incentives in exchange for 717 jobs. In December, the state reported an unemployment rate JDIG also is funding an expansion of the software Jana Benscoter, Kristy Bailey of 9.8 percent — 0.4 percentage points above the national manufacturer Red Hat in Wake County. The project, at an Kristen Blair, Roy Cordato average of 9.4 percent, according to the federal Bureau of estimated cost to the state of $109 million, is expected to Becki Gray, Sam A. Hieb Labor Statistics. Unemploy- create 540 new jobs. “With- Lindalyn Kakadelis, George Leef ment rose in 99 of the state’s out those incentives, we Karen McMahan, Donna Martinez 100 counties at the close of would not have been able Karen Palasek, Lee Raynor 2010. to stay here,” Red Hat CEO Marc Rotterman, Michael Sanera Unemployment state- Jim Whitehurst told the George Stephens, Jeff Taylor wide was at 11.1 percent in Greensboro News & Record. Michael Walden, Karen Welsh January 2009, when Perdue Yonai suggests that Hal Young. John Calvin Young Contributors was sworn into office. The a rival state would need to rate reached a historic high offer a lot more than North Andrew Barrett, Nicole Fisher in February 2010, at 11.2 Carolina did to convince Daniel Siimpson, Kellie Slappey percent. Red Hat to pull up stakes Lauren Uberseder, Amanda Vuke “One thing to be very and relocate its corporate Alissa Whately aware of, regarding North headquarters. “[G]iven Editorial Interns Carolina’s unemployment their location and the ac- figures, is they have consis- cess to other software firms tently dropped,” said the in the RTP area,” he said, “I governor’s spokeswoman, would think that the incen- Published by The John Locke Foundation Chrissy Pearson. “We find tives package would need 200 W. Morgan St., # 200 a lot of hope in that North to be considerable to moti- Raleigh, N.C. 27601 Carolina is doing things right. We know the unemployment vate them to leave North Carolina.” (919) 828-3876 • Fax: 821-5117 rate is still too high.” “It appears the governor’s strategy is to use incentives www.JohnLocke.org A linchpin of Perdue’s jobs program is economic in- dollars to try to buy the jobs,” said veteran Republican state centives, in which private companies agree to relocate or ex- Sen. Bob Rucho, who will co-chair the Senate Finance Com- Jon Ham pand in North Carolina by receiving direct cash payments, mittee in the 2011 General Assembly. Vice President & Publisher tax breaks, or a combination. During the last two years, the Sometimes the deals just go bust. When Dell an- governor’s website says the state has spent roughly $2 bil- nounced it would build a new facility in North Carolina in John Hood lion to lure businesses to North Carolina. 2005, the computer manufacturer promised to create at least Chairman & President Critics contend Perdue’s agenda is unlikely to result 1,500 jobs by 2020. State lawmakers approved a $242 mil- Bruce Babcock, Herb Berkowitz in sustainable, robust job growth. “Whether a [tax break] lion package of tax breaks and other incentives, and Forsyth Charlie Carter, Jim Fulghum is enough to overcome other issues that impact a relocation County and Winston-Salem kicked in another $37 million in Chuck Fuller, Bill Graham decision can only be made by the company,” said Derek incentives. In 2009, the Texas-based company announced it Robert Luddy, Assad Meymandi Yonai, Lundy Chair of Philosophy of Business at Campbell was closing the plant, and laying off 905 workers. Baker A. Mitchell Jr., Carl Mumpower, University. “For example, if a company feels that our edu- A pending state appeals court ruling could set a prec- J. Arthur Pope, Thomas A. Roberg, cational system is substandard, or that our regulations are edent for how the state handles future economic develop- David Stover, J.M Bryan Taylor, onerous, or that our income taxes are too high for their em- ment. In January, the N.C. Court of Appeals heard oral argu- Andy Wells ployees, and these things deter their employees from mov- ments in a lawsuit aimed, in part, at recouping $7.5 million Board of Directors ing, perhaps a tax break is not a large enough factor. in taxpayer money state legislators gave Johnson & Wales “The taxation system — beyond the tax breaks — the University in Charlotte. Carolina Journal is a monthly journal of news, analysis, and commentary on state regulatory environment, and the condition of the local labor A Wake County Superior Court judge dismissed the and local government and public policy issues forces are just as important,” Yonai added. Yet while those lawsuit last year, ruling the tax breaks for the culinary in- in North Carolina. factors may have a bigger impact on business formation and stitute served a legitimate public purpose of education and ©2010 by The John Locke Foundation expansion, he said, “it is more costly to change the tax code, economic development. Inc. All opinions expressed in bylined articles reduce regulation, and improve the quality of the labor The N.C. Institute for Constitutional Law, represent- are those of the authors and do not necessarily force. It is easier to offer a break.” ing the plaintiffs in the lawsuit against the state, argued that reflect the views of the editors of CJ or the Pearson said the state has received commitments for the incentives violated the state constitution, which bars the staff and board of the John Locke Foundation. as many as 50,000 jobs in the two years since Perdue took General Assembly from using state funds to benefit certain Material published herein may be reprinted as office. For instance, Becton, Dickinson, and Co., amedi- individuals or institutions to the exclusion of others that are long as appropriate credit is given. Submis- cal technology firm, agreed to build a facility in Johnston equally worthy. sions and letters are welcome and should be directed to the editor. County in exchange for an investment of $38.4 million. That “No matter how much money you give these large CJ readers wanting more information project is expected to create 187 jobs. Cereal manufacturer international and national corporations who are headquar- between monthly issues can call 919-828- Malt-O-Meal agreed to create 80 jobs in Randolph County tered out of state, if it’s financially more feasible for them to 3876 and ask for Carolina Journal Weekly after receiving $135 million in cash incentives. shut down the operation in North Carolina, they’ll do it and Report, delivered each weekend by e-mail, Likewise, Caterpillar agreed to create 392 jobs after never look back,” said former state Supreme Court Justice or visit CarolinaJournal.com for news, links, receiving $426 million in state money to build a facility in Bob Orr, executive director of NCICL. and exclusive content updated each weekday. Forsyth County. The state agreed to shell out another $28.3 “Incentives strategies in the long run have not Those interested in education, higher educa- million for a manufacturing facility in Lee County. The com- been successful in maintaining jobs,” Rucho said. “We tion, or local government should also ask to pany is expected to create 325 jobs by 2014. Caterpillar also will have a different approach, which will allow our receive weekly e-letters covering these issues. has agreed to invest $28.3 million — $12.9 million in real new and existing businesses to benefit.” CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 3 North Carolina GOP Praises Perdue Proposal, But Says More Reform Needed

By David N. Bass cut back,” he said. Associate Editor Despite the general praise for RALEIGH Perdue’s approach, some Republican s Republicans prepared to take lawmakers are wary of the proposal. charge at the North Carolina State Sen. Andrew Brock, a Republican General Assembly, Democratic from Davie County, compared the situ- Gov.A Bev Perdue rolled out a broad- ation to the 1946 film “It’s a Wonderful ranging plan to overhaul state govern- Life.” ment in an effort to reduce waste and “Everybody panicked, and old fraud. man Potter got rich off everybody,” The big question mark, though, Brock said. “I see it the same way now is whether it’s just window dressing or with the budget being in such bad the forerunner of substantive change. shape. I hope the General Assembly For the most part, Republicans have doesn’t panic and give the governor given the governor high marks for her too much power. If you look at her his- approach. tory of writing the budget for the state, “It’s a good plan,” said Rep. I don’t trust her financial judgment.” Norm Sanderson, a freshman Repub- lican from Pamlico County. “It’s prob- Perdue’s politics ably the first time that she’s been able Gov. Perdue’s state reorganization plan as depicted on the Governor’s Office website. Perdue’s reorganization plan to do that, with the change in leader- could be an issue in the 2012 guber- ship in Raleigh. I don’t think her plan tax increases, stopgap measures that IT services into a centralized location, natorial election campaign. A troubled would’ve flown very well with a Dem- legislative Democrats used to stem the saving money and providing better economy has soured polling numbers ocratic majority.” fiscal pain during the past few years. service,” a press release from Perdue’s for Perdue; her approval rating dipped House Majority Leader Paul office said. to 25 percent before reaching the mid- “Skip” Stam, R-Wake, also praised the Overhaul plan Perdue’s reforms also would cut 30s by the end of last year. revamp. “Overall, it’s a great idea,” he “back office functions,” such as human As part of a strategy to reduce the If Perdue had faced a re-election said. “It’ll save a couple hundred mil- resources, purchasing, training, and budget, Perdue unveiled a state-gov- campaign in 2010, polls show she lion [dollars] a year, and that’s a good administration. In addition, Perdue ernment revamp in December. Among would have had a hard time fending thing. It doesn’t solve our budget prob- called for a hiring freeze of noncritical other changes, the proposal would off a Republican challenger. A Civitas lems, but it helps.” positions in state government agencies, merge the departments of Juvenile Institute poll from late December gave Perdue and the incoming GOP and she asked the legislature to review, Justice, Corrections and Crime Control 2008 GOP gubernatorial candidate Pat majority — the first since Reconstruc- and potentially re- and Public Safety into one department, McCrory a 51-36 tion — face a projected $3.7 billion vamp, 150 of the and the Department of Commerce percent lead over budget shortfall for the coming year. state’s 400 boards would absorb the Employment Secu- Perdue in a head- Over the last two decades, inflation- and commissions. rity Commission. The plan will not to-head match for adjusted spending has grown 1.5 times More details In addition, the Department of governor. faster than population in North Caro- won’t be available eliminate the Administration would subsume Infor- On Nov. 2, lina. Between the 2001 and 2011 fiscal mation Technology Services, the Office until Perdue re- deficit, but will the GOP gained 16 years, the state budget has grown 46 of State Personnel, and the Controller’s leases her budget, seats in the House percent. Office. which could hap- save several and 11 in the Sen- Experts predict that hefty cuts In moving ITS under the umbrella pen as early as this ate. That gives Re- and employee layoffs are imminent. of the Department of Administration, month. million dollars, publicans a near A large chunk of the shortfall is due to “up to 100 computer service units will “State gov- veto-proof ma- disappearing federal stimulus funds be closed and a private company will ernment must legislators agree. jority in the Sen- and more than $1 billion in expiring contract with the state to consolidate seize this oppor- ate, but not in the tunity to become a House. more streamlined, focused enterprise,” So far, Perdue’s proposed gov- Perdue said in a statement. “We must ernment revamp is polling well with be leaner, more nimble, more respon- citizens. A survey from the Democratic sive to citizens, and less bureaucratic firm Public Policy Polling found that 50 as we focus our limited resources on percent of North Carolinians approve our core missions.” of the plan, compared to 23 percent Independent of her reorganiza- who oppose it. The poll found slightly tion plan, Perdue has requested budget stronger support among Republicans cuts of up to 15 percent for state agen- than Democrats — 52 percent to 50 cies. She’s also asked the new General percent. Assembly to take redistricting out of N.C. State University political partisan hands by creating an inde- science professor Steven Greene said pendent commission and to impose that Perdue’s chances in 2012 primar- session limits on the legislature, two ily hinge on how well the economy re- ideas long championed by Republi- covers and how nimbly she negotiates cans when they were in the minority. with Republican lawmakers. GOP rejoinder “The rubber will hit the road when Perdue has to actually work out Sanderson said he would like to compromise on legislation with the see other areas of state government, GOP-controlled legislature,” Greene beyond what Perdue outlined in her said. “Certainly, her willingness to plan, consolidated. make some cuts and reorganization “State government is going to makes it more likely that she will have have to be run like any other Fortune successful compromises. If she does 500 company. When things get difficult and the economy picks up, she’ll be in in tough times, you’re going to have to good shape in ’12.” CJ PAGE 4 FEBRUARY 2011 | CAROLINA JOURNAL North Carolina State Briefs Panel Stacked With Alcoa Adversaries Culinary school refund? By Sara Burrows A three-judge panel of the Associate Editor North Carolina Court of Ap- RALEIGH peals heard oral arguments Jan. he General Assembly cre- 10 in a case that could impact ated the Uwharrie Region- how state legislators allocate eco- al Resources Commission nomic incentives in the future. inT the final days of the 2010 ses- A lawsuit, filed by the N.C. sion with the charge of encour- Institute for Constitutional Law aging economic development on behalf of two Charlotte-area and protecting natural resources residents, seeks to force Johnson in the Uwharrie Lakes region of & Wales University to refund $7.5 central North Carolina. million in taxpayer funds the culi- But one member of the nary school has received since 2003. commission suggests that the The university decided to body may have a different pur- consolidate two of its campuses in pose: greasing the skids for the Virginia and South Carolina into Perdue administration’s cam- one $82 million facility in down- paign to operate four hydroelec- town Charlotte after then-House tric dams along the Yadkin River Speaker Jim Black and Senate Presi- owned by Alcoa Power Generat- dent Pro Tem Marc Basnight, both ing Inc. Democrats, pledged $10 million in Jason Walser, director of the state money to the project in 2002. LandTrust for Central North Car- The crux of the suit, said olina, notes that a majority of the The dams Gov. Beverly Perdue is seeking to take from Alcoa were built to fuel this aluminum smelting plant in Badin, which operated from 1917 to 2002. (CJ file photo) NCICL staff attorney Jeanette commission members have gone Doran, is that legislators never ex- on the record backing Gov. Bev how the position would be funded, since the commission plained adequately their reasons for Perdue’s request for the Federal Energy Regulatory Com- has no budget from the General Assembly and no indepen- giving funds to Johnson & Wales. mission to deny Alcoa’s license for the dams, enabling the dent source of revenues. “We have no idea why the state to take over the project and gain control of thousands Walser told Carolina Journal he thought it was prema- government gave out $7 million, of acres of adjacent property. ture for the commission to select someone for a job before other than we know that Jim Indeed, almost every major player in the state’s ef- the members had defined the executive director’s duties Black made what he described as fort to acquire the dams — excepting Perdue and state Sen. and responsibilities. a personal commitment,” she said. Fletcher Hartsell, R-Cabarrus — made it on the commission, Crisco spokesman Tim Crowley said even if Hicks A superior court dismissed including state Secretary of Commerce Keith Crisco, state does not become executive director, he will be involved the case last year, ruling that the Secretary of Environment and Natural Resources Dee Free- funds for the school were ap- man, Stanly County Commissioner Tony Dennis, Chairman with the commission one way or another, “at least in an ad- propriate. The case could be ap- of Uwharrie Capital Roger Dick, N.C. Department of Trans- visory function.” pealed to the N.C. Supreme Court portation board member Jim Nance, Yadkin Riverkeeper “Faison has been fairly close to the Alcoa issue, so after the appellate court rules. board president Zoe Hanes, and Max Walser, former chair- he knows it pretty well,” Crowley said. “They thought he man of the Davidson County Board of Commissioners. would be a good person to help lead the charge.” Alcoa operated an aluminum smelting plant in Badin But Walser is concerned about what the commission’s from 1917 until 2002. After the plant charge is. Freshmen get top roles closed, the company continued selling “Everybody knows it was created At least six members of the electricity generated from the dams to because of the Alcoa situation, including Republican freshman class will the power grid. The company received Nearly every major myself, and I don’t pretend otherwise, get leadership posts in the N.C. a 50-year license from FERC in 1958 to but the goals are so much broader than Senate this year, an unusual de- manage the dams and protect the wa- player in the state’s Alcoa,” Walser said. velopment in a legislative body ter flowing through them; renewal was effort to take He said those goals include eco- long dominated by seniority. expected to be a formality, but Gov. nomic development, redevelopment of Incoming freshmen Sens. Mike Easley intervened to stop the pro- over the Alcoa Alcoa’s closed smelter site, bringing in E.S. “Buck” Newton, R-Wilson, cess in 2008. festivals and ecotourism, and improving and Warren Daniel, R-Burke, will In 2009, Hartsell introduced leg- dams has a seat camping facilities in the Uwharrie Na- co-chair the Senate Judiciary II islation establishing the Yadkin River on the tional Forest. Committee. Freshman Republican Trust, a public agency that would have Walser’s organization, the Sen. Thom Goolsby of New Ha- operated the dams if the license were Uwharrie Regional LandTrust, supports the renewal of Al- nover County will be vice chair of not renewed. The bill passed the Sen- coa’s license. He said Alcoa may not the Senate Judiciary I Committee. ate 44-4 but died in the House. Hartsell Resources have a perfect environmental record, Sen. Dan Soucek of Boone will revived the legislation last year, which but the company built the dams and also failed. In the waning hours of the co-chair the Senate Committee on Commission probably is the most capable of operat- session, however, it was recast, the trust Education/Higher Education, while ing them. He added he doesn’t see why was renamed the Uwharrie commis- Sen. Brent Jackson, R-Sampson, Alcoa couldn’t be made to “clean up” will serve as vice chairman of the sion, and the law passed just before the session adjourned. Salisbury Post the area as a condition of any relicensing agreement. Senate Committee on Agricul- The reported that one controversial move during the commission’s first meeting Jan. 6 was the nomi- Walser wants the commission to focus more on creat- ture, Environment, and Natural nation of Special Deputy Attorney General Faison Hicks as ing jobs and protecting the environment and less on who Resources. Both are freshmen. the commission’s executive director, presumably a full-time controls the dams. Republican Sen. Louis Pate of paid position. Hicks, who currently earns a $118,000 salary, “We need to do what we were authorized and empow- Wayne County has experience in the has provided legal advice to Stanly County commissioners ered and charged to do,” he said. General Assembly — he served four in their efforts to oust Alcoa. Alcoa spokesman Mike Belwood said the Uwharrie terms in the House — but this year The nomination was put on hold when commissioners commission is very important to Alcoa and that the com- is his freshman outing as a senator. Jason Walser and Martha Sue Hall, an Albemarle city coun- pany would be “following its activities very closely.” Pate will serve as co-chair of the Sen- cilwoman, questioned whether an executive director was The commission plans to hold its second meeting in ate Health Care Committee. CJ needed or authorized. They also expressed concerns about late February, possibly in Davidson County. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 5 North Carolina Buncombe County Increases Restrictions on Mountain Landowners

By Karen Welsh periencing flooding and landslides for Contributor the first time, and they have no insur- ASHEVILLE ance to pay for it,” Lite said. uncombe County recently en- She said the new steep slope or- acted a stricter steep slope ordinance will put common sense back dinance that has some people into the process and put safe limits on Bcheering and others jeering over con- building. struction limitations. “Some people don’t want any In an effort to curtail the escalat- growth on the mountains,” she said. ing trend of landowners building on “We don’t say ‘you can’t do it.’ We just steep slopes and ridges, county com- say ‘do it within reason.’ There has to missioners toughened their stance af- be a balance in the community. It deter voting 5-0 in October to provide serves protection.” stricter guidelines for those wanting to Michael Sanera, director of re- build on slopes with a grade of 25 per- search and local government studies cent or higher. at the John Locke Foundation, said the Under the new ordinance, land- newest slope regulations are nothing owners whose property has a 25-per- more than a theft of property through cent to 35-percent incline can disturb regulation. no more than 30 percent of the lot. Any “Buncombe County is taking incline greater than 35 percent reduces away the value of the property without the proportion to 15 percent. compensation,” he said. “Unfortunate- Nathan Ramsey, who chaired the ly, it’s cheaper to steal it than to buy it.” Buncombe County Board of Commis- Sanera is concerned that poten- sioners from 2000-08, said the latest ac- Buncombe County’s new steep slope ordinance restricts land use on land with a grade of 25 percent or higher. (CJ photo by Karen Welsh) tial property owners and builders will tion is too drastic, as most of the land be kept in the dark about the ordinance within the county falls within the ordi- lenges is that … owning a home is very chitects, to determine what guidelines when purchasing land. nance guidelines. unaffordable,” he said. “Forty percent potential homebuilders would use. “They need to give a full disclo- “When I was on the board, I sup- of the citizens in Buncombe County “The purpose of the ordinance is sure that they were made aware of the ported many versions of the steep cannot afford housing. It’s a huge chal- really to have people use the best prac- ordinance,” he said. “They need to see slope ordinance until it became too lenge that just got bigger. There’s no tices when using the land,” she said. the maps that show if they are in the stringent,” he said. “It made sense until doubt it will increase home prices. It’s “To date, we haven’t had any one not slope area or not before they buy.” the latest rules, but now it affects most really going to hurt housing affordabil- build on their property. They’ve all Sanera said the county should of the slopes in the county. It doesn’t ity.” been able to meet regulations.” have enforced regulations that existed work from a responsible growth stand- Gillian Phillips, a planner with Mountain Voices Alliance before October 2010, rather than create point. Basically everything in Bun- the Buncombe County Planning and spokeswoman and Buncombe County new ones. “The combe County is now affected by the Development Department, disagreed. resident Elaine steep slope ordi- steep slope rules.” She said that many lots in the county Lite said her group nance has very Ramsey said he lost re-election do not fall under the ordinance and supports the strict- little to do with in 2008 after he opposed the coming that most of the affected land would er steep slope or- Critics say the dangerous slopes changes, and he again spoke out after have been built with larger, more ex- dinance. Keeping new steep slope and is more in re- realizing the new rules would harm pensive homes anyway. the ancient moun- sponse to a narrow lower-income families in the commu- Phillips said her department taintops intact is a ordinance is too public interest, a nity. spent a lot of time consulting profes- priority. tiny elite trying “One of the biggest public chal- sionals, including engineers and ar- “In the expansive and to push their aes- past, we’ve really screwed up on the too restrictive, thetic values on infrastructure of now affecting others,” he said. our old moun- “It’s a direct contains,” Lite said. most of flict with property “Nobody’s been rights.” Share your CJ R a m s e y held accountable the county until now.” agreed. “At the Lite said end of the day, you Finished reading all unscrupulous developers, most from can enact rules nonmountainous regions like Florida, that claim to protect public safety,” he the great articles in this are responsible for clear-cutting large said. “The biggest thing was people tracts of land on the mountaintops, didn’t want someone coming in and month’s Carolina Jour- causing huge problems for residents developing farmlands and mountains. living on land below. This has nothing to do with environ- nal? Don’t just throw it “We want to stop people who mental protection. They simply didn’t come from the flatlands and want to want anyone ruining their view.” in the recycling bin, pass cut down the trees for the views, but Lite said it’s time to face the they are destroying people’s land low- changes in the world. it along to a friend or er than them. The clear-cut removal of “At this point, global changes are trees and boulders has resulted in nu- happening,” she said. “We’re really go- neighbor, and ask them merous landslides and loss of life. It’s ing to have to come to the realization painful to see the beautiful habitat for that things are not as they were. The wildlife gone and watch stormwater world is a different place. We need to to do the same. runoff causing erosion and other safety rethink our priorities. We need to val- issues,” she added. ue what we have here. Once it’s gone, Thanks. “People who have lived for gen- it’s gone. The mountains deserve our erations in pre-existing homes are ex- protection.” CJ PAGE 6 FEBRUARY 2011 | CAROLINA JOURNAL Education COMMENTARY Char-Meck Schools Open Books Unhealthy For Community to Peruse Online Health Standards By Hal Young 95 percent, and the second-lowest Contributor ast year, the N.C. Department cerns that progressive reformers student-to-teacher ratio, slightly more of Public Instruction released sough to address in the early and RALEIGH than 10 students per teacher. draft social studies standards middle decades of the 20th century. uch of public education pol- The range is tighter in the 33 mid- Lthat would have relegated the first Under the Accountability and Cur- icy and funding are driven dle schools, where the average $5,332 250 years of American history to riculum Reform Effort, DPI officials by aggregated data, collected per student represented both Com- elementary and middle-school recently proposed a comprehensive, Mand analyzed for entire districts, coun- munity House Middle School at $4,014 grades. In addition, state officials five-part high school health educa- ties, or states. The final application of and Sedgefield Middle at $8,377. The planned to devote most of the tion curriculum. those high-level decisions, though, in- 31 high school programs ranged from eighth-, ninth-, and 11th-grade Topics covered include emo- volves much smaller parts of the edu- $4,538 at Hopewell to $10,086 at Mid- social studies courses to contempo- tional health, consumer health, cational system — the schools and pro- wood High School. Interestingly, Mid- rary history and current events. interpersonal communication, grams closest to students — and many wood not only has the system’s highest After the proposal received nutrition and exercise, and drugs times the statistics used to inform percentage of economically disadvan- national media attention, both liber- and alcohol. Although our health school boards, superintendents, and taged students, 86 percent, and the als and conservatives panned the education courses no longer devote principals are unavailable to families lowest student-to-teacher ratio, 9.1, but draft standards. Fortunately for our several weeks to grooming habits, and taxpayers. also the least experienced faculty, av- public school students, DPI officials there is an unmistakable nod to per- This year, the state’s second larg- eraging seven years in the classroom, eventually acknowledged their sonal grooming in the “health and est school system has taken a step compared with the LEA’s average of blunder and made meaningful im- social consequences of tattooing to open its books to the community. 11.5. provements to the state’s and piercing” section of Where other Local Education Agen- This level of detail is not as easy social studies standards. North Carolina’s proposed cies and the N.C. Department of Public to find for other large LEAs. It is simple While the social curriculum. Instruction publish only the aggregat- to discover that Wake County’s aver- studies curriculum was Grooming and tat- ed numbers, Charlotte-Mecklenburg age per pupil expenditures are down defective, the proposed tooing aside, the notion Schools has posted data on its website 5.1 percent from fiscal year 2009 to high school health cur- that schools must train detailing per pu- 2010, from $8,220 riculum is appalling. students how to be- pil expenditures at to $7,801. It is not Like many regret- have properly in social every school in the so simple to de- table ideas, health educa- situations is still alive. system. It’s easier to find termine funding tion began during the For example, two of the Even better, data on specific for Enloe High Progressive Era. In The TERRY activities recommended the additional cost School, for ex- Struggle for the American STOOPS by state officials include to provide these schools in ample. The DPI Curriculum, 1893-1958, creating a dating contract detailed statistics website shows the education historian “to provide guidelines was basically zero. Char-Meck magnet school’s Herbert Kliebard noted for a safe and enjoyable “The ratio- enrollment as that, throughout the 1930s, progres- time together based on principles of nale is that all that than it is elsewhere 2,605 in grades sive reformers urged public schools healthy dating.” information is in nine-12, but does to adopt a curriculum centered Another activity requires the CMS Equity not disclose any on social efficiency, which sought students to assume roles of sexual Report,” explained Lauren Bell, the financial information. to prepare students “directly and pressurer, refuser, and observer. The district’s public information officer. Those wishing to gather that in- specifically for the duties of life.” teacher asks the observer to assess “Now you can just go to one place formation can request the numbers Progressives believed that social the success or failure of the refuser where the data is easy to understand, directly, but response varies. Wake efficiency, rather than the traditional of sexual intercourse. Regardless of explained in common language, and County Public School System spokes- core curriculum, best met the needs the merits of abstinence education find anything you need to know about man Michael Evans referred Carolina of a modern, industrial nation. or role play, these social hygiene that school.” Journal to the school board’s 224-page In response, public school offi- activities would put unassuming CMS’ Committee on Equity budget report, where the intended (not cials devised curricula that included teenagers in potentially embarrass- was created to monitor effects of end- actual) per pupil expenditure might be lessons in personal development, ing situations in front of their peers. social-personal relationships, and A number of the recommend- ing Charlotte’s decades-long court- calculated. other “practical” areas. Under this ed activities accompanying the pro- ordered busing. Its 114-page annual A caller to the financial services new plan, teachers taught students posed health curriculum also ask report includes demographic and eco- office at the Winston-Salem/Forsyth how to develop proper grooming students to read potentially graphic nomic data along with results of annu- County Schools was told, “We’re not practices and maintain a healthy stories and case studies of troubled al testing, all of which is available from the department to ask. We just spend lifestyle, as well as the proper way individuals. several sources. The school-specific money here.” to act in various social situations, For example, teachers are to financial information, though, rarely Mary Hazel Small, the chief fi- care for children, preparation for require students to “to read a story is provided to the public. Bell said the nancial officer of the New Hanover marriage, and confrontation of so- describing one drug user’s path to financial tables on the website were County Schools, summed up the diffi- cial problems such as divorce. addiction,” while another would extracted from the report “to make it culty for most districts. “Our system’s Films like “Are You Popular?” ask groups of students to discuss more easily accessible and easy to nav- really not set up to track that number and “Dating: Do’s and Don’ts” fur- “case studies of high school stu- igate.” by school,” she said. “We have a lot of ther reinforced the social, physical, dents experiencing depression or Interested citizens can discover overhead which may not be associated and behavioral standards espoused mental disorders.” a host of information about the school with any one school.” by progressive education reformers. Activities like these would system with a simple visit to the web- However, she freely shared a By the end of World War II, schools make it difficult to distinguish our site. In 2009-10, for example, the av- spreadsheet of PPE calculations that taught, and often attempted to sup- classrooms from episodes of the erage per-pupil spending among the was prepared for internal use during plant, many of the social skills and Oprah Winfrey show. And I do not 103 elementary schools was $5,878 per the budgetary process. “It contains a mores learned at home, church, or mean that as a compliment. CJ pupil. At individual schools, though, lot of assumptions,” she cautioned. work. that number varied from $4,429 at New Hanover’s per pupil expendi- Fast forward to 2011. North Dr. Terry Stoops is director of Polo Ridge to $10,403 at Thomasboro ture ranges from $7,447 at Laney High Carolina’s public schools endeavor education studies at the John Locke Elementary. The latter school has the School to $10,616 at Snipes Elementary, to address many of the same con- Foundation. district’s second-highest percentage of with higher figures for pre-K and al- economically disadvantaged students, ternative schools. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 7 Education N.C.’s Technical High Schools Graduate, But Do They Educate?

By Kristy Bailey wide gradu- ceive special- schools — prohibited ABSS officials Contributor ation rate of ized training from using the bond money for a new, BURLINGTON 69.9 percent in a particular traditional campus. orth Carolina public school that year. career path- Alamance County Commissioner students attending career and T h e r e way. Tim Sutton said the only reason he ini- technical high schools appear are fewer C r i t - tially supported the center is because toN be lagging in traditional areas of than a dozen ics, however, ABSS Superintendent Randy Bridges instruction such as math and science, free-standing argue that had promised the commission the although graduation rates for these career and career and center would free up space in existing specialized schools outpace their tradi- t e c h n i c a l technical high high schools. Removing courses such tional counterparts. high schools schools essen- as carpentry, drafting, and automo- Career and technical high schools in the N.C. tially dupli- tive technology would open between are few in number and tend to produce public school cate courses 30 and 35 classrooms, Bridges told the mixed results on end-of-year tests, system, al- offered at commissioners. “If you relocate these based on a review of academic perfor- though there the state’s classes somewhere else, it does create mance scores maintained by the N.C. are numer- 58 commu- a little more elbow room in the class- Department of Public Instruction. ous “career nity colleges. room,” Bridges said. Career and technical high schools academies,” For instance, But the new school will not open are similar to vocational schools, where or schools- A l a m a n c e any classroom space in the existing students learn specific job- or trade- w i t h i n - a - Community high schools, and Bridges has since left related skills. However, vocational in- school, DPI College in Alamance-Burlington to head a school struction has evolved in recent years to says. They Graham of- system in Virginia. incorporate broader academic instruc- include the The Department of Public Instruction’s course fers tracks tai- “I would have never supported tion, rather than simply providing a Berry Acad- of study guide for Career-Technical education. lored for high the career/technical center if [Bridges] primer for automotive, construction, emy of Tech- school stu- had told me it was not going to free up and other service trades. nology in Charlotte; Weaver Academy dents, at no additional cost to the stu- any space,” Sutton said. Advocates for career and techni- in Greensboro; the Highland School dent, since the Alamance-Burlington cal schools suggest that placing stu- of Technology in Gaston County; the Middle College is considered part of Student performance mixed dents who show little interest in pur- Collaborative College for Technology the county’s public school system. End-of-course test scores for the suing a traditional, four-year college and Leadership in Statesville; and the Critics also say the specialized 2009-10 school year provided by DPI degree on a career/tech path make Southern School of Engineering, Dur- schools squander taxpayer dollars show mixed results from students at- them less likely to drop out and more ham Performance Learning Center, while failing to address problems such tending specialized career and techni- likely to find job opportunities. Mean- and City of Medicine Academy, all part as overcrowding in traditional schools. cal schools. time, those who do attend four-year of Durham Public Schools. Students typically are assigned to a tra- At the Highland School of Tech- universities tend to be more successful. Career and tech schools have ditional school and then bused to the nology in Gaston County, students Roughly 10,000 North Carolina public sprouted up, in part, as a result of the career/tech school, where specialized scored around 95 percent on English school students earn post-secondary state’s New Schools project. That proj- instruction is offered. and Algebra I and comparably in other credits through career and technical ect was designed to prepare students In June 2009, Senate Bill 754 al- areas, including civics and U.S. history. education each year, reports Rebecca not only for college but also for service- lowed state agencies to administer Students at Durham’s City of Payne, director of career and technical oriented careers, such as automotive $275.8 million in bonding authority Medicine Academy improved from education for DPI. and information technology. for new, qualified 2008-09 to 2009- DPI reports that 86 percent of stu- The schools are small by design school construc- 10. In the most dents taking at least four hours of CTE- — typically no more than 400 students, tion bonds. Fund- recent year, 87.3 track courses graduated in 2008, the DPI says. Each school is structured ing came from the Critics say special percent of stu- most recent year comparative data is around a specific model or theme. Stu- American Recov- schools waste dents scored at or available. That compares with a state- dents take a sequence of courses to re- ery and Reinvest- above grade level ment Act, aka the money while not in English I; 55.6 stimulus bill. percent in Alge- Books authored By JLF staFFers One project addressing bra I; 87 percent funded by that in Algebra II; and program is North other problems Efficiency and Externalities 73.8 percent in ge- Carolina’s newest ometry. The pre- career and techni- vious year, only in an Open-Ended Universe cal high school in 81.5 percent of students performed at Burlington, scheduled to open Janu- or above grade level in English I; 36.2 ary 2012. The 40,000-square-foot center percent in Algebra I; 32.4 percent in Al- will serve an average of 250 students gebra II; and 55.8 percent in geometry. daily, providing career pathway cours- In 2009-10 at Durham’s South- es in video production, information ern School of Engineering, roughly 83 technology, drafting, health and hu- percent of students tested at or above man services, culinary instruction, and grade level in English I; 50 percent in By Roy Cordato the traditional automotive and con- Algebra I; 58.8 percent Algebra II; and Vice President for Research struction vocations. While construc- 52.8 percent in geometry. John Locke Foundation tion costs will be paid with $8.2 million The previous year, only 50.1 in qualified school construction bonds, percent of students tested at or above “Cordato’s book is a solid little has been said about how the cash- grade level in English I; 20.3 percent in performance, demonstrating strapped district will cover the school’s Algebra I; and 13.4 percent in Algebra impressive mastery of both annual operating costs. II. the Austrian and neoclassical George Griffin, director of school By contrast, at Greensboro’s literature.” programs for the Alamance-Burlington Weaver Academy, at least 95 percent of Israel Kirzner School System, said the projected costs students performed at or above grade Cato Journal of building a new high school — need- level in English I, Algebra I, Algebra ed to alleviate longtime overcrowding www.mises.org II, biology, civics, and U.S. history in within the district’s six existing high 2009-10. CJ PAGE 8 FEBRUARY 2011 | CAROLINA JOURNAL Education At Meeting, Charter Struggle Compared to Civil Rights By Sara Burrows ing any public school in the state to Associate Editor terminate its union contract and gain RALEIGH much greater autonomy from school he vast majority of the 700 par- district regulations. ents, grandparents, and educa- Groff noted there are 420,000 stu- tors crowded into the North Ra- dents across the country on waiting leighT Hilton Jan. 24 were black. lists to get into charter schools. He en- Many were dressed in their Sun- couraged North Carolina lawmakers day finest, and some chanted “Praise in attendance not only to lift the cap on God” and “Amen” as they listened to charter schools, but also to give them the “good news.” The event had the in- more funding. He said charter schools tensity and fervor of a tent revival or a generally receive about $2,200 less than civil-rights demonstration. traditional public schools per year. In the eyes of the participants, “Charters have done more with perhaps it was. The cause for celebra- less, but imagine what we could do tion? The promise by the General As- with the same,” Groff said. sembly’s new leader to remove the N.C. House Majority Leader Paul “Skip” Stam (center) speaks at a town hall meeting Rep. Paul “Skip” Stam, R-Wake, state’s 100-school cap on charters. of the Parents for Educational Freedom in North Carolina. From left, former Milwaukee the House majority leader, said he The “town hall” gathering was school superintendent Howard Fuller, State Sen. Malcolm Graham, Stam, Durham thinks this will be a promising year for sponsored by Parents for Education- Association of Educators President Kristy Moore, and Peter Groff, president of the school choice legislation. al Freedom in North Carolina as the National Alliance for Public Charter Schools. (CJ photo by Sara Burrows) He said the state Senate is sched- grand finale to its “Waiting for Super- uled to take up charter school reform man” tour. PEFNC offered free view- country two decades ago. Kristy Moore, president of the in February, and the House will be con- ings of the documentary — which “We’ve got to be clear that our Durham Association of Educators, sidering two bills providing tax credits highlights the failures of traditional children can learn,” he said. “If they’re echoed Fuller’s concern. or vouchers for parents who want to public schools and the successes of not learning, it’s not because they’re “We would love to teach like the send their children to private schools. charter schools — to nearly 2,000 peo- genetically incapable of learning. “It’s charter schools teach,” she said. “We Sen. Malcolm Graham, D-Meck- ple across the state. because we’ve got them in systems would love to have that freedom.” lenburg, also spoke about the need to “I’m haunted by this mental pic- that are not meeting their needs.” Moore said public school teach- transfer money from state programs ture of four black students sitting down Fuller called it immoral and il- ers often complain to her that they like More at Four, ABCs of Public Edu- at a lunch counter in Greensboro [in logical to continue sending more mon- can’t use teaching methods they know cation school accountability program, 1965] demanding to be served,” said ey to government-run schools, when would work better for certain children, and Smart Start to charter schools, speaker Howard Fuller. “And now in privately run schools produce better because they have to prepare them for which he said have a better track re- 2011, four students sit down at a lunch results. standardized tests. cord. “We cannot do the same thing counter where they are welcome, and He warned members of the black Another featured speaker was over and over and over again and ex- they can’t read the menu.” community that if they continued Peter Groff, president of the National pect different results,” Graham said. Fuller, the co-founder of the Black sending their children to ineffective Alliance for Public Charter Schools. Stam and Graham sat on a five- Alliance for Educational Options, is public schools, there would be another Before working full-time as an advo- member panel, along with Fuller, regarded as the nation’s most influen- “public institution waiting for them” cate for charter schools, Groff was the Groff, and Moore, discussing the film tial African-American spokesman for down the road — prison. director of faith-based initiatives for and answering questions from the au- school choice. Fuller acknowledged that there the Obama administration, and the dience. As superintendent of the Mil- are public school teachers “who love first African-American president of the Also in attendance were Rep. Mari- waukee Public School District, he our children deeply,” but said their Colorado state Senate, where he co- lyn Avila, R-Wake; Sen. Dan Blue, D- helped implement the first publicly hands are tied because they are trapped sponsored legislation boosting capital Wake; Rep. Jimmy Dixon, R-Duplin; and funded school voucher program in the in a dysfunctional system. funding for charter schools and allow- Rep. Bill Brawley, R-Mecklenburg. CJ Visit our Triad regional page http://triad.johnlocke.org

The John Locke Foundation Join the Carolina Journal Publishers Council has five regional Web sites span- Carolina Journal is North Carolina’s real alternative media ning the state from the mountains source, giving you in-depth reports of statewide news, ag- to the sea. gressively uncovering corruption and holding elected officials accountable and honest. The Triad regional page includes news, policy reports and re- We have the stories exposing millions of dollars in government waste, numerous cases of political cronyism, sweetheart search of interest to people in real estate deals for politicians, and secret political slush funds. the Greensboro, Winston-Slem, High Point area. If you believe government without scrutiny is a dangerous thing, count on Carolina Journal to be your watchdog. Get the It also features the blog Pied- inside lowdown on statewide news. mont Publius, featuring commentary on issues confronting Producing the best journalism in North Carolina is expensive. Triad residents. Keep the presses rolling. Join the Carolina Journal Publish- ers Council today at http://www.carolinajournal.com/sup- The John Locke Foundation | 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 port/. FEBRUARY 2011 | CAROLINA JOURNAL PAGE 9 Education Personal Responsibility Taught, Not Caught, at Charter School By Karen Welsh school system who are struggling with Contributor their educational experience. MATTHEWS “They say it’s harder going to tudents receive the royal treat- bigger classes,” he said. “They some- ment in education at Queen’s times feel lost in the crowd.” Grant Community School. This Morrin said there is a huge need Scharter school, located in the suburbs for choice in schools, especially when of Charlotte, teaches four key values students enter their high school years. of academics, student responsibility, “I think parents should have a moral focus, and partnership with par- choice where they send their kids,” ents. she said. “The bigger school systems It is rated a “School of Distinc- are a little more difficult to navigate tion,” with an end-of-grade compos- through, whereas charter schools are ite score of 86.8 in math and 82.9 in smaller, more personal.” reading. The campus, which opened Morrin feels there will be more with a small K-5 student population hope for students and their families if in 2002, primarily is made up of white the charter school cap is lifted in North students with only 8 to 10 percent of Carolina. them qualifying for free and reduced- “If that happens, we can du- price lunches. With its continued suc- plicate this school across the state,” cess, the student body has reached she said. “That would benefit a lot of more than 1,250, with a full grade con- children. As it stands now, if we could tingent through 12th grade. The school open another school, we could fill it.” graduated its first class of high school Jim Stegall, a lobbyist for the scholars last year. A bulletin board at the Queen’s Grant Community School displays children’s exer- North Carolina Alliance for Pub- cises on the subject of NASA astronaut Mae Jemison, the first black woman to go “It’s really grown a lot,” said into space. (CJ photo by Karen Welsh) lic Charter Schools, recently visited Principal Christy Morrin. “We used to Queen’s Grant Community School have a lot of our students come from “We stretch the standard course eryday life. along with former state Sen. Eddie the Matthews and Mint Hill area. Now of study,” Morrin said. “We go beyond “We emphasis a different virtue Goodall, who heads the alliance, and we are having a higher draw from dif- that, setting our students on a track every month,” she said. “Not only do was impressed with the school’s daily ferent demographics. They are coming that will take them to high school and we discuss it, but we incorporate that operation. from farther away, even from Union straight to college.” virtue in the student’s activities and “I was just struck by their profes- and Cabarrus counties.” Kindergarten teacher Regan curriculum. We have high expecta- sionalism and the dedication they have Queen’s Grant Community Adam has taught at the institution tions, and we expect them to live up to the students,” Stegall said. “It just School now has a waiting list of 1,300 since its inaugural year. She said the to it. If you set the standard high, the kind of leapt out at me.” students in Mecklenburg County. The school always has maintained a very students will rise to it.” Stegall said the only way to repli- children are chosen through a lottery positive and supportive atmosphere She said one of the key compo- cate such a successful school would be system. for both students and staff. nents to the school’s success is par- to lift the cap allowing only 100 charter Once accepted into the charter, Adam completed her student ent and guardian support. Although schools to operate in the state children quickly learn to take PRIDE “We are all teaching internship in a traditional there is no formal in their work, an acronym for Personal public school. She said her experience anxious to see contract asking Responsibility In Daily Effort. Their was much different from the one she’s this happen,” he for volunteers, school mornings begin with an assem- had at Queen’s Grant Community said. “Then we families are ready, Queen’s Grant bly focusing on character and morals School, primarily because the students want more exten- willing, and able training before college preparedness learn from day one about displaying Community School sive changes and classes begin. excellent morals and character in ev- to help make the renovations in most of their stu- stresses morals, the charter school dent’s education. character, law.” Locke, Jefferson and the Justices: “I feel hon- After that, Foundations and Failures of the U.S. Government ored and thankful and virtues Stegall added, that I am able to state officials need work in this very to decide who will By George M. Stephens positive place,” be in charge of Adam said. “It has both met and ex- charter school supervision as the pro- Preface by Newt Gingrich ceeded my expectations.” gram is allowed to grow. He said most Seventh-grader Ben Dodson, 12, charter school operators are unhappy and frustrated with the state’s current “This book is about American has attended the school since kindergarten. He is not only pleased with his charter school board. politics and law; it is also about Stegall also said an independent the roots of the Contract with education, but he’s also relieved he doesn’t have to be in an overcrowded commission needs to be appointed to America. A logical place to find look at the issues surrounding equity school or classroom. the intent of the Founders is in in funding for charters. “I like the small class sizes and Locke, [and] Stephens makes “Charter schools have not been the teachers,” he said. “We have dif- a contribution to highlighting receiving their fair share,” Stegall said. ferent levels here. If you learn faster, this.” “Local Education Agencies have got- you can go to a separate class. I’m not ten away [with] not giving the non- Newt Gingrich bored, and I’m not held behind. I re- Former Speaker traditional schools their funds. They ally like how all the teachers are nice, have been illegally hanging on to the U.S. House and they go out of their way to do stuff charter schools’ money. There’s been of Representatives with me. They make sure I am learn- lots of wasted time and money spent ing.” on both sides fighting over this. It’s Dodson said he has many friends public money that should have been Algora Publishing, New York (www.algora.com) who attend the traditional public spent educating children.” CJ PAGE 10 FEBRUARY 2011 | CAROLINA JOURNAL Local Government Town and County Lexington Annexation Goal: Save the City Charlotte e-mail list

Like many North Carolina By Sara Burrows localities, the city of Charlotte of- Associate Editor fers information e-mails to resi- LEXINGTON dents who request them. Now imes are tough in Lexington. it wants to make it harder for The outsourcing of textile and spammers to target those who furniture manufacturing has leftT thousands out of work, dozens of sign up for the service, reports plants sitting idle, and the city’s once The Charlotte Observer. vibrant “uptown” struggling to stay in Under state law, Charlotte’s business. database of 20,000 e-mail ad- Just beyond the city’s vacant dresses is considered a public re- shopping centers and troubled hous- cord. The city is obligated to turn ing market lies a more prosperous over a copy of those addresses community called Sapona. Sapona is upon request in a format that can a golf and country club community in be used easily by marketers, po- an unincorporated part of Davidson litical candidates, and commu- County, just a mile-and-a-half outside Lexington’s city limits. Down-at-the-heels Lexington has its share of vacant storefronts and wants to annex nity activists. wealthy Sapona to facilitate economic development. (CJ photo by Sara Burrows) “Today we have to pro- The grass literally is greener in vide [lists] in an electronic-file Sapona. The home values are higher, tanks. The only thing standing between ognizes cities need to grow to prosper. format,” said Dana Fenton, the the schools are better, and there is vir- the development and Lexington’s sew- “If the City of Lexington should dry up city’s lobbyist. “People can then tually no crime. Residents say they er system was Sapona. Building the and blow away, Sapona is going to be couldn’t be happier with the water, convert that to [Microsoft] Out- trunk line around Sapona would be ex- hurt,” Wasler said. trash, sheriff, and fire services they get pensive, so the city decided to build it Bost noted that state law forbids look.” from the county. The city is seeking an ex- right down the middle of Sapona, said a municipality from citing financial But Lexington officials say Sap- Bost, which would require the city to need as justification for annexation. emption from this requirement ona residents need help, and they are “tear up” Sapona’s golf course. Rep. Rayne Brown, R-Davidson, from the General Assembly. Last bound and determined to give it to While the other two neighbor- was elected in part to fight forced an- year, the legislature allowed them. Sapona is the “most high-profile hoods being annexed — Cow Palace nexation. Her predecessor, Hugh Hol- Yadkin County and several mu- area” — as the city manager calls it — and Rolling Park — are less affluent liman, publicly condemned involun- nicipalities in Wake County to of three now being annexed by the City than Sapona, they also are surrounded tary annexation, but abstained from provide less information to po- of Lexington. by planned high-density housing ar- voting on the issue. tential spammers who file pub- Cities often paint dismal pictures eas. Brown also lives in an unincorpo- lic records requests. Under a of neighborhoods they seek to annex, Annexation would give develop- rated part of Davidson County, about compromise with the N.C. Press claiming the residents have overflow- ers a more direct route for the sewer five minutes outside Lexington’s city Association, the e-mail lists re- ing septic tanks and are unable to flush line and provide thousands of new tax- limits. She said she chose to live there their toilets. In Sapona, this is not the main public records, and can be payers to help cover the cost, Bost said. because of the “freedom.” case. inspected by hard copy or elec- Mayor John Wasler admits that “They have ordinances in the city In North Carolina — one of only Sapona doesn’t have much to gain in we didn’t want,” Brown said. “There tronically. They cannot, however, four states that allow “forced” or in- be copied electronically. the process, but says the community are more rules and regulations in the voluntary annexations — state law needs to pitch in for the benefits they city. We like the openness. We like that requires that an area must be in need already enjoy. we have acres around us, and no one Robeson violence study of “meaningful” and “significant” ser- Sapona is close enough to Lex- bothers us,” she added. “If I’d wanted vices and that the city must be in a po- ington to take advantage of its ame- to live in the city, I would’ve lived in Robeson County is one of sition to provide them before it can be nities but not close enough to pay for the city.” the most violent places in the annexed. them, and it’s not fair, he said. Those Brown said city officials often state. Now a federally funded The residents of Sapona say there amenities include the hospital, shop- hold the flawed view that annexation is no service they want or need from the study will help determine the ping, the sewer that services Sapona’s helps them financially. “Cities stop city. “If there were a need for annexa- Tyro Elementary School, and Lexing- prospering because they overtax and causes of the violence and what tion, we would ask to be annexed,” to do about it, reports the Fayette- ton’s natural gas pipeline that attracted they overregulate,” she said, and ex- said Keith Bost, a Sapona resident and panding their borders won’t fix that. ville Observer. Pittsburgh Plate Glass, which employs a leading anti-annexation activist. While Brown realizes she’s only From 2004 to 2008, Robeson several Sapona homeowners, Wasler Bost said there are only two rea- said. “one vote and one voice,” she believes County’s youth death rate was sons for annexing Sapona, and neither Wasler acknowledged that the the movement against forced annexa- nearly twice the state average. Its benefits Sapona. The most obvious, county paid for the extension of the tion is growing as it affects “more and murder rate was over three times he said, is to broaden Lexington’s tax sewer line and that Sapona parents more” people across the state. base. The other he calls downright sin- the state average. pay double for out-of-city sewer ser- Rep. Larry Brown, R-Forsyth, ister: using the city’s annexation pow- “What I found was, Robe- vice. But if Lexington residents hadn’t has invited Rayne Brown to work with ers to boost developers. son County is having a lot of big- paid for the sewer treatment facili- him to reform the state’s annexation city problems in a rural setting,” Bost says a December 2006 e- laws. Rayne Brown said she also was mail from Tammy Kepley, Lexington’s ties 50 years ago, he said, the service said Paul Smokowski, a profes- encouraged to learn that forced an- community development director, to wouldn’t have been available, the sor in the School of Social Work nexation is a big issue for many of the Alan Carson, Lexington’s director of school wouldn’t exist, and Sapona’s at UNC-Chapel Hill. “Nationally, 24 freshmen lawmakers. “We’re a big finance, and John Gray, the city man- homes wouldn’t be as valuable. He there aren’t a lot of places like ager, confirms his suspicions. says Sapona dwellers have “a certain class. I’m hoping we’re going to have this.” “John York approached me con- obligation to their neighbors in the some strength.” UNC-Chapel Hill recent- cerning a tract of land he owns off Tyro city.” She’d like to change the law so ly was awarded a $6.5 million Road. Eastwood Development is pos- Wasler noted he’s the first Re- that an area cannot be annexed un- grant by the Centers for Disease sibly interested in purchasing and de- publican mayor Lexington ever had. less the majority of residents in that Control and Prevention to open veloping the property and asked Mr. “I’m pretty right-wing, but doggone it, area vote to be annexed. She’s also a youth violence prevention re- York to see if annexation would be a there’s such a thing as community,” he seeking a moratorium on all annexa- search center in county. It’s the possibility,” Kepley wrote. said. “They’re part of our community tions while the law is being reworked, first such center in the country Eastwood Development wanted and I think they ought to help defray but doesn’t know if it can be imple- mented fast enough to save Sapona situated in a rural area. CJ to build high-density housing, which some of the costs of maintaining this would require sewer service, as the community.” and Cow Palace, which are currently yards would be too small for septic He said as a Republican he rec- in litigation. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 11 Local Government

Land-Transfer Tax Could Be COMMENTARY Repealed in Upcoming Session Aerotropolis Concept By David N. Bass taught county commissioners how to Not Really That Special Associate Editor sell the new taxes to voters. RALEIGH One association-sponsored event ith economic develop- with the aerotropolis in practice. s the legislative session opened, titled “Strategies for a Successful Refer- ment, it’s always a mat- Instead, the aerotropolis is all about a top Republican lawmaker an- endum” featured representatives from ter of chasing the next logistics and just-in-time manufac- nounced plans to introduce a four counties where voters approved bigW thing. In the Triad, they think turing. Companies that ship goods Abill that would scrap a real-estate tax the local-option sales tax in November they’ve found it. It involves being by air need to be near a major air- that’s proved unpopular with county 2007. During the session, county offi- an “aerotropolis.” Unfortunately, port. PTI fits the bill, as FedEx has a voters. cials shared tips on how to campaign though, all the buzz over the big hub there. Since the General Assembly first successfully for the tax increases. buzz word is overstated. Airport and local economic made the local-option 0.4 percent land- Among other tactics, county “You cannot underestimate development boosters are all too transfer tax available in 2007, it has commissioners and other elected of- the importance of the aerotropolis willing to run with the idea, offer- appeared on the ballot 23 times in 21 ficials helped create citizen-action initiative to the future long-term ing up lots for industrial uses at and counties. In each instance, voters have groups to advocate for the taxes and health of the Triad economy,” said near the airport. shot the tax hikes down, often by wide conducted surveys to determine what UNC-Greensboro geography pro- If this sounds familiar, that’s margins. message would best reach voters. One fessor Keith Debbage to because it is. The PTI A n o t h e r county “devel- the Greensboro News & aerotropolis signals North local-option tax oped a one-page Record. Carolina’s second go- made available brochure about So what exactly is an round with an air freight- by the legisla- North Carolina the need for the aerotropolis? based economic develop- ture — a quarter- additional sales Wikipedia defines it ment scheme. The first as “a new type of urban was the Global TransPark, cent sales tax — General Assembly tax revenue and form comprising aviation- a tarted-up name for has proved more distributed it to intensive businesses and Kinston’s airport after its popular, but not citizens in the by much. Of related enterprises ex- runway had been length- months leading tending up to 25 kilome- ened to the state’s longest the 76 attempts up to the elec- MICHAEL to pass the tax, ters (15.5 miles) outward not at a military base. GTP tion,” accord- from major airports. It LOWREY was supposed to attract only 17 have ing to an article is similar in form and just-in-time manufactur- been successful. published on the function to a traditional ers that insisted on being House Ma- NCACC web- metropolis, which contains a central located right beside the tarmac of jority Leader site. city core and its commuter-linked an airport. As such, the GTP was Paul “Skip” O t h e r suburbs. An aerotropolis has an intended to be a destination, not Stam, R-Wake, counties have fi- airport-city at its a connecting point said he would offer legislation elimi- nanced public opinion polls to gauge core and is sur- for air freight ship- nating the land-transfer tax altogether. the willingness of voters to accept the rounded by clusters ments. There are “several rationales” for re- new taxes. Prior to the 2007 election, of aviation-related No one really pealing it, he said. Chatham County spent $6,000 on a enterprises.” came to that party. “One is that the way they put it poll, which found 47 percent of respon- UNC-Chapel On the other hand, in to start with was sneaky,” he said. dents opposed to the land transfer tax, Hill sociologist Jack the notion that some “Secondly, it’s failed [around] 24 times. according to the Chatham Journal. The Kasarda formulated portion of the Triad Third, it’s a very poor structure of a referendum ended up failing, with 69 the concept of the might become an tax. Fourth, the people who oppose it percent opposed and 31 percent in fa- aerotropolis. Not aerotropolis, with should not have to defeat it every time. vor. surprisingly, the at least some busi- It’s an undue burden on the citizens to In 2008, former state Sen. Da- “airport city” in the nesses that depend have to stop it every time.” vid Hoyle, D-Gaston, introduced a Triad is Piedmont Triad Internation- on air freight situated near the Todd McGee, communications al Airport in Greensboro. airport, is a more realistic economic bill eliminating the real-estate tax. It director for the N.C. Association of It would be natural to think development plan. As a location, passed the Senate with bipartisan sup- County Commissioners, said his or- that an aerotropolis should feature Greensboro certainly makes more port but never came up in the House. ganization would continue to support every aspect of civil aviation: pas- sense than Kinston. Republicans introduced similar bills making the tax available for local refer- senger air service; air freight; and Still, the concept suffers from in the House and Senate in 2009. Both endums, despite its track record. general aviation, which involves a critical contradiction. The Triad “Our members like having, basi- died in committee. smallish private planes. You can is hyping itself as an aerotropolis cally, some choices they can try to put Stam said the repeal legislation throw in aircraft manufacturing, because FedEx has a hub at PTI. Yet in place if they decide to in the future,” would be introduced early in the up- aircraft repair, and overhaul work, FedEx’s hub exists to provide logis- McGee said. “The fact that it hasn’t coming session. “We’ll probably have both of which are found at PTI. tics solutions far beyond the Triad, been successful has probably swayed someone on our finance team actually The reality is rather different. to businesses up and down the East some counties from trying it, but that introduce it,” he said. Aviation is not a unified whole. Coast of the United States. doesn’t mean that at some point in the Asked why the sales tax is more Rather, air freight, the airlines, and It’s hard to be special when future it might not become something palatable to voters than the land-trans- general aviation are all quite dis- what you offer is neither unique nor that more people start viewing as a vi- fer tax, McGee said, “I don’t want to tinct markets, each with specific and even rare. The aerotropolis is much able option.” say [the sales tax] has been an easier unique dynamics. ado about nothing, a big word for Local governments have faced sell, but people understand what the The airlines are consolidating a simple concept that does not alter criticism for allegedly spending tax- sales tax is and how it impacts them as they try to recover from a brutal the core strengths and weaknesses payer dollars advocating the tax in- a lot better than they do the land- decade. General aviation is stagnant of the area’s economy. CJ creases — a violation of state law. In transfer tax, because they’re used to at best, with the number of pilots declining by 25 percent over the 2008, some homeowner and proper- paying a sales tax. They’re not used to past 30 years. Michael Lowrey is an associate ty-rights organizations said McGee’s paying a land-transfer tax. So they’re Those sectors have little to do editor of Carolina Journal. group stepped over the line by con- not really sure how that’s going to im- ducting at least two seminars that pact them.” CJ PAGE 12 FEBRUARY 2011 | CAROLINA JOURNAL Local Government From the Newsstands Cary to Spend $17.9 Million Risk is Good To End Water-Meter Leakage column by Fortune’s Nina the business community, and Con- By Michael Lowrey part on how much wastewater Dur- Easton explains the impor- gress.” Associate Editor ham discharges into Falls Lake. Under tance of entrepreneurial risk After just two years, it’s inter- CARY the worst-case scenario, the city might Ataking for the future of the American esting that such an awe-inspiring ary is spending $17.9 million have to spend nearly $1 billion, with economy: figure seems to have lost his luster. to replace all the water meters most of the cost associated with updat- We shouldn’t forget that in town with more advanced ing a sewage treatment plant. daredevils start companies, and models.C The replacement is being justi- The city’s sewage treatment plant startups produce jobs. A July In a Newsweek column, George fied in part as a means to detect leaks currently processes about 9 million gal- 2010 study by the Ewing Marion Will labels our current president a better, reports the Raleigh News & Ob- lons a day of waste and has a maximum Kauffman Foundation asserts that “tonic for conservatism.” server. capacity of 20 mil- “startups aren’t everything when Will also labels the first 24 While the lion gallons a day. it comes to job growth. They’re months under an Obama adminis- use of “smart If usage exceeds the only thing.” Existing firms, tration as the Great Unraveling: meters” for Cherokee about 16 million Kauffman asserts, are “net job de- That has been the fate of monitoring elec- gallons per day, stroyers.” American liberals’ agenda in the tricity consump- to upgrading the fa- A parenthetical note from 24 months since Barack Obama’s tion has drawn cility would be re- Easton reminds us inauguration. That c o n s i d e r a b l e quired under the that “risk” must mean event was supposed attention, the new state rules. “risk.” Currituck to launch a long lib- same technol- C o u n - (Risk must be eral epoch, something ogy also can be cil member Di- paired with conse- unknown since the applied to water meters. The new me- ane Catotti noted that restrictions on quences, something one that ended in that Americans fun- ters that Cary is installing will measure growth may be appropriate. 1938, when the na- water use once an hour automatically “When you’re adding residen- damentally under- tion recoiled against stand: You take a risk, and make that information available to tial units, you’re adding people who Franklin Roosevelt’s both the water customer and the local discharge waste,” she said. “Those you fail, you don’t get overreaching, which bailed out. The root of water system. contributions need to be costed as included his attempt The frequent monitoring will well. That’s important information to Tea Party anger was to “pack” the Supreme not about risk taking per se, but make it easier to spot small water leaks. start calculating because growth may Court by enlarging it. Because the An estimated 10 percent to 15 percent or may not pay for itself, particularly about the fact that taxpayers were episode that ended in 1938 had called on to underwrite the fail- of water of the typical utility system’s when we’re looking at some tough lasted only six years, counting it water is lost to leaks. rules coming down the pike.” ures of reckless bankers and over- as an “epoch” amounts to defining leveraged homebuyers.) “Many of those leaks are for at “epoch” down. Today, the long list Easton’s basic point about risk least three months,” said Cary finan- New port remains an issue of liberal disappointments is still is one that should be familiar to CJ cial project analyst Scot Berry. “You growing: The state may not be proceeding readers, who have read about the can have a toilet that leaks on and off, Organized labor’s top prior- with plans to build a new internation- need for government policies that and those kinds of leaks aren’t really ity — “card check” legislation to al port near Southport, but the issue help convince entrepreneurs that it noticeable.” make unionization of workplaces hasn’t been put to rest. The state has makes sense to take economic risks. The smart meters also will allow easier by abolishing workers’ no plans to sell the land it acquired for the Cary to do away with meter read- rights to secret ballots — is dead. the planned port, and that worries the ers, thus eliminating 10 positions and So is the environmentalists’ dream project’s opponents, reports the Wilm- If he’s such a comeback kid, associated vehicles. of a cap-and-trade regime — or, ington Star-News. would those working for President Some citizens have expressed failing that, a carbon tax. The En- About five years ago, the N.C. Obama describe his White House in concern about the new meters, fearing vironmental Protection Agency, State Ports Authority bought 600 acres the following way in TIME? they will reduce privacy, as the govern- which seems determined to do by near Southport on which it hoped to Senior aides began trading ment will know exactly when people regulation what Congress will build the N.C. International Terminal, memos months ago about the mis- are using water. Town officials admit not do by legislation concerning a shipping terminal on the Cape Fear steps of the first two years. The that the smart meters will make it eas- limits on emissions, is provoking River. list was long: Short-term tactics ier to catch people who violate water a contest with Congress over su- The authority paid $30 million often obscured strategic goals. Too conservation rules by watering their premacy — a contest the EPA can- for the land. It does not have the bil- many people had overlapping re- lawns during droughts. sponsibilities. Obama, surround- not win because Congress cannot lions of dollars necessary to complete ed by a surplus of true believers, afford to lose. Falls Lake rules the project, so now it is focusing on lacked fresh perspectives. The eco- The near invisibility and upgrading its existing port facilities in nomic team was riven by person- complete futility of [December’s] Durham city officials continue to Wilmington and Morehead City. ality conflicts and hampered by a Cancún conference on climate believe that new water quality rules for “It’s a valuable piece of land, but national economic adviser, Larry change marked the exhaustion of a Falls Lake impose a substantial burden it’s probably not worth that today be- Summers, who behaved more like U.N. delusion: It was that almost on the city. Still, they don’t think that cause of the real estate market,” said his own advocate than an honest 200 nations were going to negoti- this is the best time to ask the General Commerce Secretary Keith Crisco. broker. Other advice, whether it ate a treaty unanimously requir- Assembly to re-examine the issue, re- “Since everything’s on the table, we was from Cabinet Secretaries or ing a few of them to bribe the rest ports the Durham Herald-Sun. don’t feel a burning need to eliminate the business community, was sti- to reduce greenhouse-gas emis- Durham officials have spent the one option.” fled before it could be heard. sions — and that 67 U.S. senators past few years fighting the regulations, Opponents of the project wonder In fairness to the president, would vote to ratify it. without much success. All they have why the Ports Authority continues to staff turnover after an election cycle Things that liberals thought been able to achieve is a promise from hold the land. “With that cautionary is nothing new. But it says some- would be gone by now include: the state to reconsider in 2025 whether note from the state, we recognize our thing about the president’s skills Guantánamo, the Patriot Act, and the strictest standards should apply work on NCIT is not yet done, and that he needs a Bill Daley, “‘an adult’ the Bush tax rates. to the entire lake or just the southern won’t be until the land is either sold capable of getting the respect of portion, from which Raleigh draws its or transferred to another state agen- the Washington trifecta: the press, — MITCH KOKAI CJ water. cy,” said Toby Bronstein of the group Compliance costs will depend in Save the Cape. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 13 Local Government Terminology an Issue in G’boro Downtown Area Consolidated Plan

that would have implications for tax- acquisition have proved problematic. earlier at the council’s Jan. 4 meeting, payers. Concerns also have been raised when it was asked to approve a Sus- Questions center on Topping the plan’s objectives is about the respective fates of Greens- tainability Action Plan. completion of the proposed down- boro’s other performing arts centers, The sustainability plan’s stated legal definition of town greenway. Funding is a major is- the historic Carolina Theater and the goals were to “reduce greenhouse gas sue — Greensboro recently missed out Greensboro Coliseum Complex, which emissions, improve energy efficiency, on $14.6 million in federal transporta- includes 52-year-old War Memorial provide for economic development op- ‘adopt’ and ‘accept’ tion grants that would have rounded Auditorium. portunities, promote improved quality By Sam A. Hieb out the greenway’s $26 million price Council member Zack Matheny of life, and save taxpayer money.” Contributor tag. emphasized that while he was a The plan’s anticipated benefits GREENSBORO The plan also calls for the city downtown booster, he also expressed included “more green jobs, improved o adopt or accept? That’s the to “incentivize quality mixed-use de- concern about the fate of the audito- air quality, improved public health, question the Greensboro City velopment.” It rium, which he and greater educational opportuni- Council is pondering these days. cited Greens- strongly sup- ties.” TDuring its last two meetings, boro’s South- ports. More specific goals include “pro- the council has been presented with side devel- The ag- viding greater infrastructure for mass plans that could alter the city’s future opment as a ing auditori- transit, cycling and other non-vehicu- radically in either a good way or a bad “prime exam- um has serious lar travel options” and “encouraging way, depending on your perspective. ple where local infrastructure increased density, a mix of land uses, In both cases, the council voted to “ac- g o v e r n m e n t and sound and more integrated links between cept” those plans rather than “adopt” support im- problems, but transportation and land use.” them. proved a com- no funds are The estimated cost of implement- What’s the difference? Council munity.” Based available for ing the plan is $9.3 million, not includ- members provided various explana- on property a major reno- ing grants already secured from the tions as they debated the proposed revenues, the vation after U.S. Department of Energy’s Energy Downtown Area Consolidated Plan at city should “re- G r e e n s b o r o Efficiency and Block Grant program. the Jan. 18 meeting. cover its $6.3 voters rejected There was very little debate or Council member Nancy Vaughan million invest- a $50 million discussion following the presentation explained that when the council “ac- ment in less bond referen- by plan supporters, which included cepted” a proposal — she used rezon- than 25 years.” dum in 2008. former Mayor Yvonne Johnson, who ing as an example — that “means it But in- “ A s lost her re-election bid in 2009, and lo- will be used as a guideline but doesn’t centives are much as I sup- cal businessman Joel Landau, who lost give it any more sway. Adoption means necessary, the plan acknowledges, be- port downtown Greensboro, I support his bid for a City Council seat in ’09. people would expect it to become law.” cause “sales prices and rents are not the coliseum, because we still have But as the plan came up for a Council member Robbie Perkins high enough to make most projects some issues about what we’re going to vote, council member Trudy Wade offered another viewpoint. financially feasible.” Furthermore, “re- do with War Memorial Auditorium,” moved that the council accept the plan, “The difference between accept- cent developments have showed that Matheny said. going so far as to instruct the city attor- ing and adopting this plan is huge,” sales of upscale residential space, with With that in mind, Matheny ney specifically that the word “accept” Perkins said. “We have to decide if prices to match, haven’t performed as made a substitute motion to “accept” replace the word “adopt.” we’re going to make downtown as expected.” rather than “adopt” the downtown Wade’s motion passed by an 8-0 good as it can be or if we’re just luke- Another feature of the plan is to consolidated plan. vote. Council members did not clarify warming the deal.” “create a signature performing arts Matheny’s motion passed by a the meanings of the terms “adopt” The difference between adopting center” for downtown. 7-2 vote, with Perkins and Dianne Bel- or “accept,” but as the next meeting and accepting the plan is huge because Plans for a new downtown per- lamy-Small voting “no.” would show, they will pay close atten- adopting it would bring significant forming arts center have been bandied The issue of “accepting” ver- tion to the wording of various propos- changes to Greensboro’s downtown about for years, but funding and land sus “adopting” was raised two weeks als coming before them. CJ Help us keep our presses rolling Publishing a newspaper is an expensive proposition. Just ask the many daily newspapers that are having trouble making ends meet these days. 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John Locke Foundation | 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 PAGE 14 FEBRUARY 2011 | CAROLINA JOURNAL From Page 1 Family Fights DENR For Land State Twice Turned Down Continued from Page 1 In addition to the governor, the Council of State comprises Cooper, Lt. Gov. Walter Dalton, Secretary of State Elaine Marshall, State Auditor Beth Wood, State Treasurer Janet Cowell, In- surance Commissioner Wayne Good- win, Labor Commissioner Cherie Ber- rie, Agriculture Commissioner Steve Troxler, and Superintendent of Public Instruction June Atkinson. The Council of State could deal with the matter as early as its next meeting, which is scheduled tenta- tively for Feb. 1, after this issue went to press. The property was part of a much larger tract that was set up in 1950 in a trust for the purposes of developing and operating a beach resort for the exclusive use of African-American teachers and their families. It included Bear Island, which eventually became the major component of Hammocks Beach State Park. After the 1964 Civil Rights Act outlawed discrimination based on race, the resort became less attractive to African-Americans, who had other vacation options. The trust was unable The 289-acre Hammocks Beach Corporation site, planned as a vacation retreat for African-American teachers before segregation to raise enough money to maintain the was outlawed, is located adjacent to the Intracoastal Waterway (top of the photo). (CJ photo by Don Carrington) facility, and it fell into disrepair. According to the terms of the in- mie Kritzer who could field questions ployee association for black teachers. Legal action about the Hammocks Beach project. The teachers association established heritance, if the trust became unable to In 1986, HBC filed a lawsuit Kritzer referred questions to the Attor- the Hammocks Beach Corp. to manage maintain the property, the State Board against the Sharpe and Hurst heirs, ney General’s office. AG spokeswom- the property for the use and benefit of of Education would have the opportu- the State Board of Education, and the an Noelle Talley responded: “Per our its members, effectively establishing nity to acquire it. If the board refused attorney general. The corporation de- to take the land, it would revert to the usual policy with pending litigation, a segregated resort complex. Sharpe we will not be commenting outside of clared that the terms of the trust made Hurst heirs. deeded the property to the corporation it difficult to develop the property. The Court records document that in what is written in court filings or said in 1950. by state attorneys in the courtroom.” trust prohibited the mortgaging or sale 1987 and 2007, the Attorney General’s The deed and an agreement be- of any property and also allowed the office expressly stated that the state Talley also refused to address any po- tween the Sharpes, the Hursts, and the tential conflict of interest for Cooper. Sharpe and Hurst heirs almost unlim- had no interest in owning or control- corporation provided that if it became ited access to the property. ling the property. A colorblind friendship impossible or impractical for HBC In 1987, the parties signed a con- In an October hearing on the mat- to manage the property as originally sent agreement allowing HBC more ter, Superior Court Judge Carl Fox or- The history of the property re- planned, the corporation could trans- leeway to develop the land. The Sharpe dered the removal of the current trust- volved around a special relationship, fer the property to the North Carolina family surrendered any future interest ee, the Hammocks Beach Corp., from quite unusual at the time, between State Board of Education for the con- in the property, and the Board of Edu- control of the property, giving the state a white family and a black family. tinued management of the property as cation declared it had no interest in another chance to acquire the land. John L. Hurst, the son of a slave and specified in the agreement. The deed becoming a successor trustee because This time, Cooper’s lawyers changed a hunting guide, first met Dr. William further provided that if the Board of it could not spend tax revenues to ad- course and initiated action to claim the Sharpe, a wealthy New York surgeon, Education turned down the property, minister or improve a racially segre- property for the State Board of Educa- when Sharpe ventured to North Caro- it would go to the heirs of the Sharpe gated facility. Then-Attorney General tion. The Board of Education plans to lina in 1914 for a week of duck hunt- and Hurst families. Lacy Thornburg and his chief deputy, turn over the management of the prop- ing. Sharpe returned many times and Andrew A. Vanore Jr., also signed the erty to DENR. always used Hurst as his guide. Sharpe Equality started decline agreement. The Hurst heirs did not re- Four council members have con- was so fond of the area he decided to In 1961, HBC donated Bear Is- linquish their right to acquire the land flict-of-interest issues because they al- purchase his own hunting land. land to the state of North Carolina, and in the future if they chose. ready have taken action supporting the In 1917, Sharpe purchased 4,600 In 2006, Hurst heirs John Henry state’s takeover. Dalton, Cowell, and acres of land near Swansboro, known it became the major portion of Ham- mocks Beach State Park. At the time, Hurst and his sister Harriett Hurst Atkinson, in their roles as members as “The Hammocks,” and hired Hurst Turner filed a lawsuit against HBC, the park was open only to blacks. It of the Board of Education, approved a to manage the property. He also hired claiming it had failed to administer was desegregated after the federal civil resolution supporting the acquisition. Hurst’s wife Gertrude, a local school- properly the trust established to meet rights law ended racial segregation. Several attorneys under Cooper’s su- teacher, as a housekeeper and cook. the wishes of Sharpe and their grand- Racial integration also made it pervision are representing the state in Sharpe and his wife Josephine became parents, John and Gertrude Hurst. The impossible for HBC to operate the re- its legal actions against the Hurst heirs. close friends with the Hurst family. Hurst heirs sought a judgment return- Cowell spokeswoman Heather Sharpe’s Onslow County estate, in- maining land as prescribed in the 1950 ing the remaining 289 acres to them. Strickland told CJ that legal counsel cluding marshland, eventually grew to deed. HBC struggled to generate rev- Their attorney, Francis, also included had concluded no conflict of interest approximately 10,000 acres. enue, leasing portions of the property the SBOE and the attorney general as exists. Atkinson said she is considering Sharpe intended to give the prop- to the Future Farmers of America, the defendants to clarify that the board whether there is a potential conflict, erty to the Hursts when he died, but in- 4-H, and other groups. Bunkhouses, had no interest in the property. as is Dalton, according to chief of staff stead they persuaded Sharpe to donate auditoriums, mess halls, and swim- The next year, the SBOE and the Caroline Valand. it to the North Carolina Teachers Asso- ming pools were built, but most have CJ asked DENR spokesman Ja- ciation, which at the time was the em- been abandoned for years. Continued as “Family,” Page 15 FEBRUARY 2011 | CAROLINA JOURNAL PAGE 15 From Page 1 Family Fights DENR For Land State Twice Turned Down Continued from Page 14 after executing the 1987 consent judg- Corp. as trustee, contingent on the for- successor trustee of the trust, subject to ment? mal appointment of the SBOE as suc- approval by the Council of State. Attorney General’s office filed a mo- • Since 1987, has it become “im- cessor trustee to administer the trust During another hearing Jan. 3, tion asking to be dismissed from the possible or impracticable” to use the according to the 1950 deed and agree- Fox formally offered the SBOE the op- lawsuit, stating, “The Consent Judg- trust property for the purposes speci- ment. If the SBOE refused to accept the portunity to accept the property. If the ment expunged any interest that the fied by Sharpe and his wife in the deed appointment, then the property would Council of State rejects the transfer, the State Board of Education may have in and agreement executed in 1950? be distributed pursuant to the terms of Hurst heirs will receive the land. If it the Trust.” Superior Court Judge Allen • Has the board of directors of the the 1950 deed. approves the transfer, litigation will Baddour granted the motion. Hammocks Beach Corporation acted Since the Board of Education had continue. After the state Supreme Court arbitrarily, unreasonably, or contrary turned down the property in 1987 and After the Jan. 3 hearing, John settled a procedural dispute in 2009, to its duties as trustee by not declaring, 2007, the Hurst heirs believed they fi- Hurst expressed his disappointment. the case was scheduled for trial. In by a majority vote of the directors, that nally had gained control of the prop- “I felt everything was one-sided, even October 2010, a jury trial was held in it has become impossible or impracti- erty. though our attorney Charles Francis Wake County in front of Fox, who in- cable to carry out the purposes of the They had not. On Nov. 4, after a did an outstanding job,” he told CJ. structed the jury to rule yes or no on trust consistent with the 1950 deed? closed-door presentation to the SBOE “The judge just didn’t agree with our three issues: The jury answered yes to all three by Special Deputy Attorney General point of view.” CJ • Did the Hurst heirs retain any questions. Fox then issued a judgment Thomas Ziko, the board approved a future interest in the trust property Oct. 26 removing the Hammocks Beach resolution accepting appointment as Historic GOP-Led Legislative Session Begins in Raleigh Continued from Page 1 charter schools, requiring citizens to present a valid ID card before voting, “But it will be interesting to see what and exempting North Carolina from happens, particularly going through individual mandates in new federal the budget process.” health care reforms. The new GOP majority is the first “I think in the first week or so, to control both chambers since 1870. you’ll see movement, discussion, prob- The party has a 68-52 majority in the ably votes, on all of those issues,” said House and a 31-19 majority in the Sen- Senate President Pro Tem Phil Berger, a ate. Republican from Eden, at a press con- Aggressive lineup ference Jan. 24. Although overcoming an esti- Budget cooperation mated $3.7 billion budget hole and Berger said that House and Sen- drawing new district lines for the 2012 ate leaders would be more united on election will overshadow the session, the budget compared to past Demo- the GOP has planned an aggressive cratic majorities, which often bickered lineup of bills, beginning with the ses- for months over spending priorities. Members of a military color guard assemble in the House Chamber prior to the open- sion’s first week. This year, the House must pass its bud- ing of the session Jan. 26. (CJ photos by Don Carrington) The top issues: lifting the cap on get first, then the Senate. Republicans will propose rule changes but neither party appears in the mood “The difference that we’ll see is the cooperation that will occur at to cap the number of bills an individu- to stomach the political consequences the subcommittee level between the al legislator can introduce to 10. of tax hikes. House and the Senate, in terms of “What we’re going to eliminate “Continuation of the so-called where we will see the budget going as is the so-called ‘run-on bills,’ bills that ‘temporary taxes’ is not something that far as levels of spending and particular people know they’re never going to get will be part of our proposal,” Berger issues that are dealt with,” Berger said. passed but put it out there so they can said. “I’ve said it this way: We intend “And I think that’s primarily because, say they filed or sponsored it,” Tillis to keep the promise the Democrats hopefully, the House members and the said. made two years ago when they said Senate members are more philosophi- One flashpoint of controversy that they were temporary taxes.” cally aligned than maybe has been in could be video poker. Democratic Gov. the past.” Bev Perdue has telegraphed that she’s Local, social issues In a wide-ranging interview open to the idea of legalizing video Several constitutional amend- with Carolina Journal at his legislative poker as a way to generate revenue for ments will be introduced, and possibly offices, House Speaker Thom Tillis of the budget, but Republicans are con- voted on, related to eminent domain Cornelius pledged similar cooperation cerned. during the budget-writing process. “The idea of throwing up video abuse, forced annexation, and tradi- “We are inviting the Senate to be poker or some other proposal to so- tional marriage. A number of pro-life actively engaged in all of our delibera- call ‘bridge the gap’ is one that I don’t bills, long bottled up in committee, tions,” Tillis said. “We think that by do- know that I agree with the underlying could also get a hearing and a vote. ing that we can minimize the amount premise of,” Berger said. “There will be bills introduced of time that will be required once the Both Perdue and Republican by members that deal with protection Senate ultimately gets it, and virtually leaders have said that tax increases of traditional marriage, that deal with eliminate the need for conference.” are off the table, although Perdue has some abortion issues,” Berger said. “We do not intend to focus on those Rules revamp eyed been less adamant than Republicans in opposing renewal of an expiring issues until we have addressed the is- N. C. Supreme Court Justice Paul Newby sue that we believe that voters elected prepares to take a photo of newly elected Leaders in both chambers also 1-cent temporary sales tax passed by House Speaker Pro Tempore Dale Folwell are weighing the benefits of revamp- the General Assembly in 2009. Allow- Republicans to deal with, and that is after he administered the oath of office ing rules governing how legislators ing the tax to sunset, as intended, adds the very serious fiscal issues that are to Folwell. conduct business. For instance, House more than $1 billion to the budget hole, facing the state.” CJ PAGE 16 FEBRUARY 2011 | CAROLINA JOURNAL Interview Murdock: ObamaCare Advocates Ignore Unintended Consequences

By CJ Staff RALEIGH “I think the trouble with ObamaCare is overnment health care is bad medicine. That’s the case lib- that it tries to do too much to address ertarian syndicated columnist GDeroy Murdock makes as he discusses too discrete a problem. We have, ac- the impact of the federal health care reform legislation signed into law in cording to the advocates of Obam- March 2010. Murdock, a senior fellow with the Atlas Economic Research aCare, about 46 million Americans Foundation, recently shared his con- who lack health insurance. ... [W]hy cerns about ObamaCare with Mitch Kokai for Carolina Journal Radio. are we taking the entire medical sys- (Head to http://www.carolinajournal. com/cjradio/ to find a station near you tem for 300 million people, turning it or to learn about the weekly CJ Radio podcast.) upside down, in order to address the needs of 46 million people?” Kokai: You have a full half-hour presentation making a point-by-point Deroy Murdock case against ObamaCare, but what’s the most compelling reason to reject Senior Fellow this government intervention into Atlas Economic Research Foundation health care?

Murdock: I think the most com- that the advocates of ObamaCare pre- people lower-quality medicine. are a lot of people who really see this as pelling reason why government health sented is that ObamaCare will reduce a big government power grab, which care is bad medicine is, ultimately, it costs and bring down the cost curve, as Kokai: Some people might sup- really is what it’s all about, which is — seems to kill people. You look at Can- the saying goes. What we’ve seen so far port the idea of government health we can’t have all these people making ada, you look at Great Britain, and is that the cost curve actually is going care because of the possible positive their own independent, individual de- you look at the life expectancy — or I up, not going down, and health insur- impact on complexity. Now you might cisions. We, the anointed, have got to should say the fatality rates, the surance premiums are going up. A lot of have to haggle with an insurance com- make these decisions on their behalf, vival rates from cancer, and they’re people are opening up their statements pany. You don’t know what’s covered, so let’s get our big arms around them. often worse in Canada, much worse from their insurance companies, and what’s not covered. What forms do I in Great Britain. So you can talk about for next year their rates are going up fill out? Would Obamacare reduce any Kokai: The recent elections saving money. You can talk about the anywhere from 5 to 6 percent to 8 per- of this complexity? seemed to show a lot of concern about lack of complexity in our system ver- cent. I think up in New York state [it’s] ObamaCare, but that doesn’t mean sus the British system, for example, but as high as 30 percent in some cases. So Murdock: I think, from the stand- everyone loved the system we had be- ultimately the issue is: Do you live lon- after all this debate and all this hue and point of the patient, if we move to a full fore. So what do we do about it? ger if you get a disease? You live longer cry, the costs are supposed to be going British-style system — as the Brits like here than you do in those places. down, and all we see is costs going to say, “Free at the point of service” — Murdock: Well, I don’t think to up. We’ve seen major companies, like you might have the convenience that be opposed to ObamaCare as I am — Kokai: Even if ObamaCare AT&T and Verizon and others, declar- you can show up somewhere and go doesn’t work, many people agree there I want to see ObamaCare repealed at ing huge charges against future earn- in and get treated and walk out the the earliest human possibility — but are problems with American health ings. They’re taking charges against fu- door, and not expect to see paperwork care. Does the federal health care re- that doesn’t mean we need to go back ture earnings because of the additional afterward. Maybe that’s a good thing. to the system we had. The system that form law do anything to address legiti- costs that Obamacare is imposing on I think … the flipside is we’ll probably mate problems people have identified? exists in this country with ObamaCare these companies. So I see costs going wait in line a long time. You’ll do like now creeping in has all sorts of prob- up, not going down, as a result of this what the British do, which is they wait, lems. It really is a hybrid of something Murdock: I think the trouble with so-called cost-saving measure. and they wait, and they wait to see ObamaCare is that it tries to do too that’s partially private, but with a lot of doctors. In the Canadian system, they public involvement and intervention. much to address too discrete a prob- Kokai: Even if we were able to wait, on average, according to the Fra- For example, I live in New York state. I lem. We have, according to the advo- see some cost savings, would we see ser Institute, almost nine months to see cannot get what I like to call “bus crash cates of ObamaCare, about 46 million some sort of negative impact in terms orthopedic surgeons. insurance,” which says if I get hit by Americans who lack health insurance. of access to care or quality of care? a bus my insurance will put me back Now, if you take a look at that number, Kokai: Have the most vocal ad- together and get me back home in one [you’ve] got a lot of people who either Murdock: I like to use the ex- vocates of federal health care reform piece, period. I have all sorts of extra have Medicaid but tell surveyors they ample if you normally have 20 people thought at all about the trade-offs or don’t have coverage or people who are at your Thanksgiving gathering every about the fact that if you increase ac- stuff as part of my health package. I eligible for programs but don’t sign year, and all of a sudden you’ve got 28 cess to health care, people are going to believe I’m covered for acupuncture. up. So that 46 million figure is over- people showing up. Well, you’ve got want more health care? I believe I’m covered for hair replace- blown. But even if you do accept that eight more people sitting around the ment. I know I’m covered for in vitro 46 million figure, why are we taking table, and somehow this is going to re- Murdock: I don’t think the ad- fertilization, which is utterly useless to the entire medical system for 300 mil- duce costs? The only way this reduces vocates of ObamaCare have thought me, and I’m paying for all this. lion people, turning it upside down, in costs is if you decide instead of serv- through this proposal at all. I don’t Now, if you go to a restaurant and order to address the needs of 46 mil- ing turkey and mashed potatoes and think they’ve thought about the unin- all you want is a Coke and a burger, lion people? pumpkin pie that everybody gets Pop tended consequences. I think they’re and all of a sudden you’ve got a burger Tarts and a glass of cold water. Well, really living in a fantasyland where and a Coke, and a lobster thermidor, Kokai: In addition to concerns that will bring costs down, for sure. It they think they can bring in 30 million and champagne and caviar and duck about access, there have been concerns won’t be a very memorable Thanks- people into the system who are not in, a l’orange, and the tab comes and your about the rising costs of health care. Is giving dinner, not in a good way, any- offer them coverage, and have costs go simple maybe $10 lunch turns out to be there any evidence that ObamaCare way. And this is what we have with down rather than up. I mean, this is a $85, well, that’s nice you have all these would help reduce cost? ObamaCare. Either the cost will go up basic abrogation of the entire concept extra things, [but] you didn’t want because we maintain the same quality of supply and demand. This is a lot of them, and you’re paying for them. And Murdock: One of the arguments level, or we lower the cost by offering wishful thinking, at best. I think there this is part of the system we have. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 17 Higher Education Remediation Programs COMMENTARY A Credential In N.C. Difficult to Assess Without Much Learning By Jenna Ashley Robinson reports that bridge programs at Fay- Contributor etteville State University cost a total of lthough online education Such work had a twofold is growing rapidly, many benefit. First, it allowed me to gain RALEIGH $90,138 in 2008-09. But this figure does ecause many students enter uni- not include UNC grants for students’ students still add distance valuable journalistic experience versities unprepared for college- tuition, food, and lodging — an esti- learningA to a base of traditional and to develop contacts that even- level work, universities offer mated $4,300 per student for the 111 instruction. I earned my bachelor’s tually led to a full-time job. Second, remedialB courses to bring them up to students who started the program in degree exclusively through the it provided enough income to help speed. The Pope Center has reviewed 2008, or $477,300 overall. Internet, without setting foot in a me pay for a large portion of my information available about the Uni- Based on the system’s reporting college classroom. education, ensuring that I gradu- versity of North Carolina’s remedia- of enrollment and program expendi- My school of choice was ated without the burden of student tion programs and found that surpris- tures, per-student costs vary substan- Thomas Edison State College in loans. ingly little is known. tially by school — from $75.29 at UNC- Trenton, N.J. The college offers Similar to a regular college, While official numbers — includ- Charlotte to $1,200 at UNC-Chapel an impressive array of degrees — part of the game of online educa- ing estimated costs per student — do Hill. Costs can differ because of the in- obtainable both online and in a tion was learning what the profes- exist, differing definitions of remedia- struction methods used and the num- traditional classroom — and is flex- sor valued and then providing it. tion across campuses impede compari- ber of students who need remediation. ible in accepting credit hours from Many times, instructors would sons, and official data The small number of other institutions. supply that information in the syl- apparently exclude students taking reme- I decided early on that college labus. Other times, I had to figure some costs. dial education at Cha- was about getting a piece which part of the course Another gap is the pel Hill explains the of paper, not an educa- was weighted most heav- failure to track gradu- high per-student cost. tion. My goal wasn’t to ily. I still put in plenty of ation or retention rates The primary become a better-rounded effort, but it was strategic for students in remedial method is to offer individual, or even to effort because I could education. One UNC lower-level courses gain a greater under- afford to devote only so system researcher in the (usually designated standing of my major much time to my studies Department of Policy as 100-level, rather area of study. Rather, because of my job respon- Analysis and Account- than the normal intro- it was to gain the edu- sibilities. ability explained: “The ductory course of 101 cational credential that As an added bonus more we looked at the or 102). Students re- employers now use as DAVID N. to my online learning data, the more we real- ceive no credit toward a screening device for BASS approach, I was hired ized that it was a rath- graduation for these most jobs. My experience full-time a year before er complicated issue. courses, since the work confirmed what I had graduation as an associ- Campuses have had essentially repeats high expected — that post-sec- ate editor at the John different definitions for school work. ondary education today has only Locke Foundation, so I didn’t remedial courses, and East Carolina a lackluster ability to provide real flounder in a poor job market for one campus could have University has cho- value aside from that credential. months or years before landing an different definitions sen an innovative ap- I don’t mean to say that I entry-level position. It helped that from one year to another. It’s extremely proach to remediation: Students take had no interest in studying or I had interned so much during my hard to use or explain the data.” classes at Pitt Community College in- working hard in school. To the college years. Across the country, about a third stead of at ECU’s campus. This meth- contrary, I found college easy and Distance education isn’t for of freshmen take at least one remedial od is fairly economical, costing only dull. I preferred to everyone — nor is it course, according to the U.S. Depart- $132.46 per student. At Fayetteville pursue my chief an effortless option. ment of Education. Evidence that these State, all students enroll in the same educational goal In fact, for students courses succeed is slim. Those taking courses, but those who score poorly on — learning the who aren’t accus- remedial reading had only a 17-percent placement tests must enroll for either craft of journalism tomed to self-mo- chance of completing a bachelor’s de- Reading Labs or Academic Support. — through non- tivation and lots of gree within eight years, according to The per-student cost of this technique standard methods. reading and writing, Education Department data. is $772. (That is separate from the sum- I learned far more distance education Perhaps recognizing this, over mer bridge program.) from reading might be more dif- the past decade most UNC schools Spending on remediation varies books independent of coursework, ficult. It all depends on a student’s have limited their use of remedial edu- widely in North Carolina. N.C. A&T practicing writing, and sitting skill set and which educational cation; fewer than 3 percent of students State University’s remediation pro- under the tutelage of professional approach he or she prefers. in the system, 4,884 in the 2007-08 gram cost more than $600,000 in 2008- journalists than I ever did through My experience with online academic year, took a remedial math 09. At the other end of the spectrum, college classes. learning taught me that a college or English course. Even so, the trend N.C. State University’s program cost Online learning fit nicely with degree can aid a career, but it’s no is up, especially due to the spread of only $26,900. my background. I was home-edu- golden ticket to a dream job. Hard “summer bridge” programs, which are Performance may vary as well, cated through the 12th grade and work, determination, and a will- academic “boot camps” for incoming but there is little evaluation, leaving accustomed to learning outside the ingness to think outside the box are freshmen. students, parents, and taxpayers with normal school atmosphere. By the what count in the long run. That’s According to a draft version of little way of knowing whether those time I was ready for college, self- particularly true in a poor job The University of North Carolina Re- costs are making a difference for stu- motivated education was second market flooded with B.A.s. Increas- medial/Developmental Activities Re- dents who are unprepared for the aca- nature. ingly, the undergraduate degree port, in 2007-08, total expenditures demic rigors of a four-year college. CJ I found that I learned far is becoming what a high school for remediation were $2,543,370. State more through self-directed study diploma used to be — a rite of pas- funds provided about 81 percent of and on-the-job experience than I sage, but little else. CJ that amount. Jenna Ashley Robinson is campus did through college work. That’s These figures evidently under- outreach coordinator for the John W. Pope why I made a point to intern and David N. Bass is an associate estimate the costs of the bridge pro- Center for Higher Education Policy (pope- freelance as much as possible. editor of Carolina Journal. grams, however. The UNC system center.org). PAGE 18 FEBRUARY 2011 | CAROLINA JOURNAL Higher Education Campus Briefs RTP Founders’ Game Plan Hard to Reproduce an. 17 marked the 25th anni- versary of the recognition of By Jay Schalin (in Raleigh) — to attract industry was lands Corporation. the birthday of Martin Luther Contributor bandied about for a long time. Albert Eventually, Robbins soured on KingJ Jr. as a federal holiday. Stu- RALEIGH Link, a University of North Carolina being the sole investor. In 1958, Archie dent rallies, city marches, church erhaps North Carolina’s his- at Greensboro economics professor Davis, the chairman of Wachovia Bank, services, campus speeches, poetry tory should be dated “B.T.” and whose definitive historyA Generosity of realized that he could raise money for slams, jazz performances, and “A.T.” — Before the Triangle and Spirit: The Early History of the Research the project more quickly by asking for candlelight vigils were held across AfterP the Triangle. Triangle Park was published in 1995, charitable contributions than by selling North Carolina — including near- In the early 1950s, when Research cited a 1945 speech by former Gov. R. Pinelands stock. Davis became presi- ly every college campus. Triangle Park was conceived, the state Gregg Cherry as the source of the origi- dent of the Research Triangle Founda- Some campuses brought was a poor, largely rural backwater, nal suggestion. tion, which was created to oversee the famed African-Americans to talk near the bottom nationally in many so- But a private construction com- park’s operations. about the civil rights activist and cio-economic categories, such as family pany owner from Greensboro named The first company to build are- his achievements. They ranged income. The future did not look bright: Romeo Guest led the initial charge. In search facility was Chemstrand Corpo- from members of the Little Rock Its traditional the early 1950s, ration, a joint subsidiary of Monsanto Nine (the black students who at- economy was Guest traveled and American Viscose, in 1959. It was tempted to attend segregated Cen- based on agricul- the East Coast not until 1965, however, that the Re- tral High School in Little Rock, ture (particularly with Brandon search Triangle Park reached “the turn- Ark., in 1957) to the first African- tobacco), textiles, Hodges, the state ing point,” according to Davis. In that American to serve on the board and furniture treasurer, and year, IBM, which had been courted for of governors of the American Bar seven years, bought land for a huge Association, Elaine R. Jones. manufacturing. Walter Harper, These three in- who headed the research facility. This not only brought The campus events provid- the venture out of debt, Davis said, ed an opportunity to invoke the dustries would Commerce and soon face severe Industry Divi- but IBM’s “presence also validated the memory of King, his legacy, and mission of the park.” in some cases, to apply his legacy global competi- sion in the state’s tion. Department of Although Research Triangle Park to the present. Thus, there was a started slowly, it is now the nation’s By the Conservation and political thread through many of largest research park. It consists of ap- 1970s, when the D e v e l o p m e n t , the events. proximately 7,000 acres, with roughly Triangle was in full swing, North Caro- looking for companies to relocate in Randall Robinson, a Penn- 40,000 employees working at over 130 lina had become a national hot spot, at- North Carolina. Later, William New- sylvania State University law pro- facilities. tracting educated people from not just ell, the director of the Textile Research fessor, spoke at Duke. His talk, Yet, even with the park’s clear “Connect to the Dream,” used the entire country, but from the whole Center at N.C. State, came up with the advantages — including three world- King’s past triumphs to address globe. idea of the actual research park. class research schools, a nearby airport, problems in other countries. Rob- The success of Research Triangle In November 1955, the decision and lots of cheap land — more than a inson was an outspoken opponent Park led to a widely accepted belief was made that the park should be de- decade of effort, investment, and perse- of South Africa’s apartheid policy that cooperation among government, veloped as a private, profit-seeking verance was required before it became in the 1980s and worked to pro- academia, and business can spur eco- endeavor. In 1957, Guest, William a certainty that the park would con- mote democracy in Haiti. He also nomic growth. Many states have ad- Saunders, who ran the Department of tribute to the state’s economic growth. has been a vocal critic of U.S. for- opted policies that reflect this belief Conservation and Development, and Many attempts have been made across eign policy in Africa and the Ca- through heavy investment in their Gov. Luther Hodges convinced a for- the country to duplicate it; few have ribbean. higher education systems. Such poli- mer North Carolina textile mill owner, achieved the same degree of success. CJ The Unity Dinner hosted cies are increasingly coming under Karl Robbins, to pledge $1 million to by the University of North Caro- scrutiny, however. It is starting to ap- purchase land for the park. lina at Chapel Hill may have been pear that, rather than showing a cer- By the end of 1957, nearly 4,000 Jay Schalin is a senior writer with even more political. Organizers tain path to prosperity, the Triangle’s acres had been bought or optioned for the John W. Pope Center for Higher Edu- promoted affirmative action poli- success was the result of a particularly purchase by the newly formed Pine- cation Policy (popecenter.org). cies by showing a documentary propitious place and time. on campus diversity. RTP’s history differs from the his- In a talk co-sponsored by tory of the nation’s other two celebrat- Winston-Salem State Univer- ed research hubs, Boston’s Route 128 sity and Wake Forest University, corridor and California’s Silicon Valley. broadcast journalist Roland S. Those were, for the most part, sponta- Martin spoke on “Moving Toward neous and indigenous. That is, accord- the Promised Land of Justice.” Ac- ing to MIT economist Nancy Dorfman, cording to TV station WFMY, he expansion depended on “the growth of said that King’s “I Have a Dream” existing firms and the startup of new speech offered a “radical econom- ones by entrepreneurs with roots in the ic message” as well as a message of hope. state” and on natural growth within At North Carolina State the business community, “unabetted University, a talk by Fox News by efforts on the part of local interest contributor Juan Williams was groups or government.” postponed until March. Williams The Research Triangle, however, is expected to discuss the duty of developed as the result of a fairly ex- African-Americans to recognize plicit partnership among government, and address the “culture of fail- academia, and private industry. It also ure” in their community. CJ relied on attracting firms from elsewhere. The idea of using the region’s Compiled by Ashley Russell, three major universities — Duke Uni- intern for the John W. Pope Center for versity (in Durham), the University Higher Education Policy (popecenter. of North Carolina (in Chapel Hill), org). and North Carolina State University FEBRUARY 2011 | CAROLINA JOURNAL PAGE 19 Higher Education Opinion Better/Cheaper College a Powerful Message Published Haphazardly ance Fried is a down-to-earth, colleges and preneurial Leader- should read this book probably will plain-speaking business school universities. He ship and Society. never hear of it. One reason is that professor from Oklahoma State understands what Issues This residential Fried’s good sense and enthusiasm University.V He contends that colleges some economists school of about are not matched by the quality of the and universities today are run by a (Howard R. Bowen in 3,200 students published product. self-interested “ivory tower collec- in the 1980s and Higher Education would combine Better/Cheaper College is not is- tive.” Robert E. Martin in vocational, techni- sued by a trade-book publisher but by “Colleges today are focused on 2009) discovered cal, and general a higher education reform institute, serving the Ivory Tower, not their stu- about the reasons education, and he the Center for College Affordability dents,” he writes in his new book, Bet- behind schools’ ris- lays out precisely and Productivity. That would be all ter/Cheaper College: An Entrepreneur’s ing costs. He sum- the majors that right, since the center has some influ- Guide to Rescuing marizes these points as “colleges raise would be offered and the roles that ence, but only if the center had insist- the Undergraduate all the money they can, and spend all various faculty (professors, teaching ed on the professional standards that Education Industry. the money they can raise.” fellows, and senior tutors) would play. are increasingly expected of important Fried wants Fried suggests that some exist- It would cost just $7,736 per year, and books, even self-published ones. to inspire entrepre- ing colleges will be forced by finan- Fried estimates the personnel costs The layout, design, and editing neurs to start new cial conditions to make down to the salaries and of Better/Cheaper College are far too colleges. dramatic changes. Many number of secretaries. casual. The book has uneven page His book look profitable now but Fried is careful to margins, inconsistent typefaces, and builds on a paper, are “strategically bank- say that there are many blank pages inappropriately scattered “The $7,376 Ivies,” rupt” and not sustainable “value propositions” throughout. It has grammatical and that he wrote for over the long run at the possible in creating a new typographical errors. While the book the Center for Col- JANE prices they are charg- college. But there is one certainly is readable, the editing of lege Affordability SHAW ing. Some, he says, could “don’t”: Don’t go after the text shows lapses such as too-long and Productivity. partner with for-profit the highly selective mar- excerpts, weak organization, and It showed how companies when they ket. Parents seeking those in one chapter a confusing effort to to provide better get into financial trouble. schools aren’t interested integrate management strategies with education than most students get now Another possibility is the in value, just prestige. A higher-education applications. Those at a price of less than $8,000 per year creation of a private or “better/cheaper” college flaws are likely to prevent the book (compared with about $27,000 for charter college operating will have no appeal to from getting the attention it deserves, tuition and fees at today’s private col- on the “better/cheaper” them. which is unfortunate. leges). The paper is reproduced as an model within a larger He advises en- Perhaps, however, entrepreneurs appendix to Better/Cheaper College. university. trepreneurs: 1) Be sure of the kind Fried is looking for will In this new book, he discusses Whoever takes up the gauntlet, you can deliver what you promise; not be turned off by those failings. If university barriers to innovation and whether it is trustees who want to 2) Don’t spend money on values that they can ignore the somewhat slip- shows how entrepreneurs can over- move their school in a “better/cheap- your market doesn’t want (research is shod publication style, there’s a pow- come those barriers or go around er” direction or entrepreneurs starting one); and 3) Expect students to work erful message inside waiting for them. them. entirely new schools, they will have — don’t make college too easy. It is summarized by Fried’s con- His book is refreshing. Whether to eliminate, consolidate, or avoid I hope that entrepreneurs will cluding statement: “Now Is the Time Fried is describing his school or academic programs that are a drain on heed his advice and start some inex- to Start.” CJ explaining what’s wrong with exist- revenue. “The issue today isn’t figur- pensive schools. Fried’s concept is ing schools, he doesn’t mince words. ing out how to cut costs, rather it is inspiring, and he has applied solid He has no use for endowments, for actually doing it,” Fried writes. business knowledge to university Jane S. Shaw is president of the John example, which he thinks perpetuate Fried offers as a model his pro- operations. W. Pope Center for Higher Education the worst characteristics of today’s posed college, the College of Entre- Unfortunately, many people who Policy (popecenter.org). PAGE 20 FEBRUARY 2011 | CAROLINA JOURNAL Books & the Arts

From the Liberty Library Movie review

• When President Ford called Ronald Reagan to the podium during Coens Fashion a Dark Remake of the Classic ‘True Grit’ the 1976 Republican National Con- vention, the Gipper had no prepared • “True Grit,” Directed by Joel and light. The marshal is rarely sober, and derstand, wise parents would do well remarks. But the unrehearsed speech Ethan Coen, Paramount Pictures, 110 his shooting is unreliable in a crisis. to consider the impact these all-too- he gave that night is still regarded as minutes, Released Dec. 22, 2010. LaBoeuf’s pride is dangerous when memorable images will have on their one of the most moving speeches of crossed — he lays hands on Mattie at children and maybe even their teens. By John Calvin Young one point, forcing the marshal to pull A surprising counterpoint to the his political career. The reason he was Contributor able to give such a powerful speech a gun on him. language and violence is the religious RALEIGH The two men waste time and content of the film. While retaining a on a moment’s notice was that he was hey tell me you’re a man with supplies trying to prove their macho cynical, self-reliant tone through the proclaiming the core principles of his true grit,” Mattie Ross (Hailee superiority over each other. And Cog- film as a whole, “True Grit” has several heart and soul, which he had been Steinfeld) says to U.S. Marshal burn keeps getting distracted by old devout characters and much religious teaching and preaching for years. T“Rooster” Cogburn (Jeff Bridges). scores and personal vendettas as they imagery. The New Reagan Revolution, by She is on the hunt for a man, a ride deeper into the wilderness. The This remake of the 1969 “True Michael Reagan and Jim Denney, real man, a man willing to pursue the journey will expose Grit” starring John reveals fresh insights into the life, outlaw Tom Chaney (Josh Brolin) and each one’s faults — Wayne has a lot of thoughts, and actions of the man who bring him back to hang for her father’s as they are tested in flaws, but taken as changed the world during the 1980s. murder. And she’s offering a hand- the days ahead, they a whole is a quite The challenges and threats some reward in cash. must show a truer watchable modern we face today are eerily similar to The only problem? The brigand form of courage than Western. The cinema- the conditions in the world before fled into trackless Indian territory, and heretofore if they are tography, although the beginning of the Reagan era. she wants to go along to supervise his to survive to make drab, is stunning, The good news is that we already capture. And she won’t take no for an the settlements once and the intricate folk- answer. again. hymn soundtrack is know what works. Ronald Reagan “True Grit” (directed by Joel and Violence in on my wish list as has given us the blueprint. More at Ethan Coen) explores the true meaning “True Grit” is ever- soon as it is released. us.macmillan.com. of courage as two men and a young present and extreme- The gun violence girl ride into the wilderness in search ly visual, and while is believable, albeit of a killer, on a grueling adventure that some of it is integral extremely gory and will change their lives forever. to the plot, there are sometimes over the • At a time of unprecedented We’re introduced to plucky Mat- several extraordinari- top — this may be a government spending, historic defi- tie shortly after her father’s death, ly gratuitous scenes, dealbreaker for many cits, and gathering foreign threats, gunned down by Chaney outside of a with gory images that families. America stands at a crossroads. We boardinghouse in Fort Smith. Many in won’t soon fade. Lan- The Coens’ can reassert fiscal discipline and the town assume that a 14-year-old set- guage and occasional trademark black hu- reduce the government to the size tler girl without a protector is an easy racism may also be mor and the story’s envisioned by our Founders, or we mark, free to be cheated or sidetracked. a problem for many focus on bitterness, can continue on the current path of A cunning horse trader soon finds out parents — the Coens pull no punches revenge, and the settling of old scores, differently when the coolly confident in establishing the setting of their tale. however, color an otherwise successful spending ourselves into oblivion. Mattie threatens him with legal action Westerns are usually gritty. But tale of courage, perseverance, and jus- In Restoring the Republic, Re- if he won’t give her a fair price for the this one seems to bathe in the darker tice on the old frontier. Several changes publican Rep. Devin Nunes of Cali- newly purchased horse team her father corners of the genre: fingers chopped to the ending of the film — making it fornia lays out a detailed agenda for no longer needs. off, men knifed and hanged, brains and diverge from both the 1969 version and solving the menacing problems that The local law enforcement also blood spattered by bullets, impromptu the original novel by Charles Portis — threaten our nation’s future. Learn clashes with the strong-willed girl. surgery performed, and injured horses contribute to that cynical tone. I don’t more at www.wndbooks.com. They have given up on catching coolly shot. While there is little in the expect to be watching this new take on Chaney — he has escaped into wild In- plot that a 12-year-old might not un- the old classic again anytime soon. CJ dian territory and is deemed uncatch- able. Mattie is intent on having her • Never has America’s un- father’s killer brought to justice, how- derstanding of herself been more ever, and cuts a deal with the reprobate at risk than it is now. But if we Cogburn to track down the murderer are to restore our great nation, and bring him home to face trial. The matter soon is complicated we must first arm ourselves with by the arrival in town of Texas Ranger the wisdom of true conservatism. LaBoeuf (Matt Damon), who brings Enter 10 Books Every Conservative word of a large reward for Chaney’s Must Read: Plus Four Not to Miss and return to Texas, where he shot a state One Impostor, by Benjamin Wiker. senator some time before. Cogburn Readers of Wiker’s rollicking and the ranger join forces to return the 10 Books That Screwed Up the World criminal to where they stand to gain demanded this sequel, and now you the most reward, but Mattie will have have it — 10 books that make the none of it. She hired Cogburn, and she world a better place. Wiker also in- will not sit by quietly as he rides out of cludes four bonus books not to over- town with her money and no guaran- look and a warning about one book tees — she intends to see justice done that has led conservatives astray. herself. She soon catches up with the From Aristotle to Hayek, departing duo and forces them to take her along or else leave her in the wil- plus a couple of surprises — like derness alone. Austen and Tolkien — Wiker rolls Both men are proud of their some of the most influential politi- reputation as tough lawmen and their cal and literary works of our time record of dangerous men killed or into one easy-to-read book. More returned to the settlements to hang. at www.regenery.com. CJ But after a very few days on the trail, their true characters begin to come to FEBRUARY 2011 | CAROLINA JOURNAL PAGE 21 Books & the Arts 2011 General Assembly More Momentous Than You May Think n January, the Republican Party state political race, the Democratic (thousands were stationed in 10 states sional forms of Reconstruction and of North Carolina took control of candidate should face opposition from of the former Confederacy that had preferred President Andrew Johnson’s both houses in the General As- either a Republican or a Populist. But been divided into five military dis- reconstruction agenda — gained a Isembly. Many have stated that Repub- in no race should both a Populist and tricts) — the Republican Party started significant number of seats in both licans haven’t been in this position a Republican run against a Democrat. gaining influence in the Tar Heel State. houses. They started working to since the 1890s. Truth be told, the last The strategy worked, even at the In 1868, it elected as governor William impeach Holden, who became the time was the late federal level; fusionists in the General Woods Holden, and both houses of second governor in the United States 1860s. Assembly elected Populist Butler and the General Assembly went Republi- to face impeachment. During the Republican Jeter Pritchard to the U.S. can. The GOP controlled the legisla- Holden was accused of sus- Fusion Era (the Senate. ture essentially from 1868 to 1870. pending habeas corpus and unlaw- 1890s), North So it’s more accurate to say the Amid accusations that Republi- fully sending militia into counties to Carolina Populists Democrats were out of power for cans were corrupt drunkards, a new suppress Klan activity. The Republi- and Republicans a while in the 1890s than to say the state constitution was written and can became the first governor in the agreed on key Republicans were in power; any GOP adopted in 1868. (Fifteen African- nation to be convicted and removed issues, including power depended on Populist coopera- American GOP delegates were at the from office. county home rule, tion. constitutional convention). The new From 1870-76, North Carolina voting rights, and The Republican Party started constitution added more offices to the elected 30 African-Americans to the education. They TROY in 1854, and Abraham Lincoln was executive branch, including a superin- General Assembly and one to Con- formed a tempo- KICKLER its second presidential nominee. tendent of public instruction, and ex- gress. During the Fusion Era, election rary alliance that Although the rail-splitter and later tended the governor’s term from two laws increased voter rolls by 80,000, helped each other win political office railroad attorney became the 16th years to four. Senatorial elections went and approximately 1,000 African- and unseat a common enemy: the president, his name did not appear from being based on a region’s wealth Americans held state or local political Democratic Party. on North Carolina ballots in 1860. to a region’s population. The big- offices or government positions. The parties did not merge into That may be because the Whig Party gest change possibly occurred in the Long story short: The 2011 legis- one. Both had separate executive com- — the predecessor of the GOP — still judicial branch. The power of county lature is more momentous than previ- mittees and candidates and separate fielded candidates in the Old North courts was diminished; lawmaking ously thought. It’s been more than identities. Yet both depended on the State even though it had died in other abilities were transferred to county 140 years since Republicans have held existence and cooperation of the other. states. commissioners, and more cases were such power. CJ Marion Butler, a leading, nation- When the gunfire ceased and the to be tried in Superior Courts. ally known Populist, approached smoke had cleared and Johnny Reb In 1870, the Conservative Party Dr. Troy Kickler is director of the North Carolina Republican leaders and Billy Yank — or rather when most — former Democrats and Whigs who North Carolina History Project (northcar- and convinced them that in every of the Billy Yanks had returned home opposed the more radical, congres- olinahistory.org). E.A. MORRIS FELLOWSHIP FOR EMERGING LEADERS The E.A. Morris Fellowship is seeking principled, energetic applicants for the 2011 Fellowship class. Applications available online or at the John Locke Foundation. Application deadline is December 31, 2010. Please visit the E.A. Morris Fellowship Web site (www.EAMorrisFellows.org) for more information, including eligibility, program overview and application materials. Eligibility • Must be between the ages of 25 and 40. • Must be a resident of North Carolina and a U.S. citizen. • Must be willing to complete a special project requiring leadership and innovative thinking on a local level. • Must be willing to attend all program events associated with the fellowship. • Must not be the spouse of a current or past Fellow. Fellowship Dates Application Timeline March 18-20, 2011: Retreat 1- Pinehurst, NC January 10, 2011: Notify finalists June 10-12, 2011: Retreat 2- Blowing Rock, NC February 5-6, 2011: Selection weekend October 14-16, 2011: Retreat 3- Coastal NC December 24, 2011: Final project due

www.EAMorrisFellows.org Contact Ashley E. Sherrill | [email protected]

200 W. Morgan St., Ste 200 Raleigh, NC 27601 | 919-828-3876 | 1-866-553-4636 PAGE 22 FEBRUARY 2011 | CAROLINA JOURNAL Books & the Arts

Short Takes on Culture Book review ‘Awakening’ a Play to Miss Payne: Don’t Buy Political Illusions • James L. Payne, Six Political Illusions, Unfortunately, he is oblivious to the •Spring Awakening specifically, securitizing the future in Sandpoint, Idaho: Lytton Publishing, reality that his boat will soon go over a Written by Frank Wedekind order to spend in the present. 2010, 126 pages, $10.95. waterfall unless he gives up on the ap- Raleigh Memorial Auditorium After all, the American dream parition and grasps the truth confront- largely is rooted in the notion that By George Leef ing him. That’s an excellent depiction saw Spring Awakening in Washing- tomorrow’s income will grow in order Contributor of modern America. ton, D.C., in the summer of 2009. to comfortably service today’s debt. RALEIGH Payne does a superb job of ex- I went with a friend and knew But Whalen’s Fed Bank of New ou don’t believe in magic, do plaining and illustrating each illusion. Inothing about it before the curtains York background allows him to pin- you? Magicians employ a va- I will focus on the last two. opened, though seeing the provoca- point the massive government-led riety of tricks to deceive audi- In the wake of the financial melt- tive posters around the Kennedy drive in the 1990s to ramp up home Center made me apprehensive about encesY into thinking that something has down following the housing collapse, ownership as a fundamental shift happened that can’t. They are masters politicians have been trying to capi- what I was about to see. away from prudent lending and of illusion. Adults know that they’re talize on Payne’s “watchful eye” illu- Spring Awakening is a rock- toward a decade-long, casino-style being fooled when the rabbit seems to sion by telling voters that the debacle and-roll musical about teenage self- binge in which debt and risk became discovery and first love. The musical materialize out of an empty hat. resulted from inadequate powers of unhinged from reality. And Whalen Magic is harmless fun, but the government supervision. What we is well-executed, but its message concludes with the belief that global is far from stellar. Fooling around government is not. It needed, they cry, was economic realities will soon force the squanders vast amounts more federal oversight is normalized, the church demon- U.S. to face a world where the dollar ized. Adults are characterized as old of money while simulta- to prevent shortsighted is not the de facto monopoly currency neously whittling away and greedy decisions. fogeys. and the dreams of American families Foul language is not uncommon at people’s freedom. Give us more regulato- might not be so easily fueled by debt. Instead of solving prob- ry authority, and noth- and serves as the centerpiece for two — JEFF A. TAYLOR songs. One song ends with all of the lems, it makes them ing like that will ever worse, often creating happen again! actors flipping the audience off with both hands and freezing. brand new problems. Payne shows that • Extraordinary, Ordinary People: A Why do we allow this to existing regulators were The warning that the show con- Memoir of Family tains “brief nudity” is not accurate; at continue? supposed to blow the By Condoleezza Rice least, their version of “brief” is much In his latest book, whistle on excessive Crown Archetyp longer than my own. I was appalled political scientist James risktaking by housing

when sexual intercourse was staged Payne explains: Most giants Fannie Mae and As a native from Birmingham, not only once, but twice. Americans have fallen Freddie Mac, but poli- Ala., as was Condoleezza Rice, I In the midst of this strange, sad, for Six Political Illusions. ticians paid no heed to was eager to read her new book, and mortifying play was an interest- Although polls show their warnings. Payne Extraordinary, Ordinary People: A ing surprise — there was a pro-life that much of the population is fed then argues that people should never message that was illustrated through Memoir of Family. up with government overreach, most put faith in government to foresee dan- tiny graves. It was a subtle message, Knowing that Rice had served think the government must provide a ger and protect them because govern- but it was definitely present. as the provost at Stanford Univer- wide array of “services.” People just ment officials don’t suffer the losses Spring Awakening will show sity, had been a national security want “better” politicians in charge. when they’re wrong. Instead of expect- three times at Raleigh Memorial Au- advisor to George H.W. Bush on So- Those people aren’t stupid; they’re un- ing a watchful eye from the govern- ditorium, once March 11 and twice on viet and Eastern European Affairs, der the spell of illusions about politics. ment, it’s much wiser to rely on indi- the 12. I definitely recommend sitting and secretary of state under George Here are Payne’s six: viduals and institutions to detect and this one out. W. Bush, I had high expectations of • The Philanthropic Illusion: the avoid undue risks, because they will — AMANDA VUKE her memoir. idea that government has money of its suffer adverse consequences if they are As an eloquent writer and own. wrong. natural storyteller, Rice shattered • The Voluntary Illusion: the im- Payne’s sixth illusion is the erro- • Inflated: How Money and Debt Built my preconceived ideas of what her pulse to want to believe that govern- neous view that we must look first (and the American Dream book might contain as she weaved ment action is not based on the use of perhaps exclusively) to government to By R. Christopher Whalen a story that focused on her adoles- force. solve problems. Politicians encourage John Wiley & Sons cent years. • The Illusion of the Frictionless that illusion, since they want citizens Throughout the memoir she State: the idea that the state can trans- to regard the state as possessing al- Chris Whalen, co-founder of is presented as a strong woman — fer resources with negligible overhead most limitless capabilities. When a so- bank rating consultants Institutional even as a child — who was able to cost. cial problem arises, politicians almost Risk Analytics, is among the few overcome racism, sexism, and her • The Materialistic Illusion: that never say, “The government should do financial commentators and analysts own personal insecurities, as she money alone can buy public policy re- nothing about that; it’s a problem that who saw that U.S. banks were lend- grew up in one of the most racially sults. should be dealt with by the voluntary ing at historic levels in advance of the segregated and violent cities in • The Watchful Eye Illusion: the sector.” 2008 crash, and saw that something America. While Rice does hone idea that the government has greater Such an admission would dispel had to give. This book explains why. in on her achievements and her knowledge and wisdom than the pub- the illusion of government pre-emi- Whalen shows that since its journey to becoming the influential lic. nence. founding America has been rocked by woman that we know her as, she • The Illusion of Government Instead, politicians seldom miss a regular series of monetary bubbles tells many humorous anecdotes Pre-eminence: the belief that the gov- an opportunity to show their great and busts, usually with political fac- along the way. ernment is the only problem-solving “concern” by introducing legislation tions in Washington driving one or While I knew she was an ac- institution in society. they claim will take care of everything both of the trends. complished concert pianist, I had Payne admonishes people to ex- from the harm supposedly done by in- In some ways, then, Whalen’s no idea that she was a competitive amine government as it really is, not candescent light bulbs to stopping the analysis is contrarian — the Great ice skater, avid football fan, and did the way children see magic. The book’s drug trade. Recession is not the product of some not learn to swim until she was 25 cover, a reproduction of an 1842 paint- Wise individuals, Payne con- altogether new and frightening mar- years old. Rice leaves nothing un- ing by Thomas Cole, offers a visual tends, will look at the merits of the ket overreach, but is in line with the told as she recounts her life in this analogy. In the painting, a lad in a boat voluntary sector rather than leaping great American tradition of trying to candid story. on a river is entranced by an appari- on the bandwagon for government get something for nothing. Or more — KELLIE SLAPPEY CJ tion in the sky — a gleaming temple. activism. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 23 Books & the Arts Book review McGowan Chronicles the Demise of ‘Gray Lady,’ The New York Times • William McGowan, Gray Lady Down: et. Past editor Abe Rosenthal thought never lived in Biloxi, did not have cus- But at least for this reviewer, more edi- What the Decline and Fall of The New the term “gay” was political and that tody of her children, was on probation torializing would have made the nar- York Times Means for America, New homosexuals should stay in the closet. for a check-forging charge, and was rative more interesting. York: Encounter Books, 2010, 276 pag- The obsession with political cor- under investigation by the Brooklyn As it stands, Gray Lady Down is a es, $25.95. rectness extended to race, too. The district attorney’s office.” powerful examination of the newspa- Jayson Blair plagiarism scandal is the True to form, the hoaxes typically per’s bias and error making on a case- By David N. Bass most oft-remembered legacy of that centered around a political or ideologi- by-case basis, but there is no meta- Associate Editor policy, as editors admitted to promot- cal cause the Times wanted to advance. narrative. In fact, the book’s tag line, RALEIGH ing Blair too quickly. Their reason: He “The nature of the hoaxes is varied,” promising an exploration of what the or committed political junkies, was African-Ameri- McGowan writes, Times’ downfall means for America, and even ordinary Americans, can. The result: 36 out “but most have in- isn’t fulfilled until the final chapter. the fact that The New York Times is of his 73 news articles volved some desig- Even then, the impact on journalism as aF left-wing newspaper comes as no sur- were rife with inaccu- nated ‘victim’ group a whole is never explored thoroughly prise. From the editorial page to news racies and downright — blacks, illegal im- beyond a trifle here and there. copy to cultural reviews, the Gray fabrications. migrants, Muslims, Undoubtedly, the Times is losing Lady operates from a liberal world- Another embar- the transgendered, its role as the trendsetter for newspa- view — and a blatant one at that. rassing episode in- military women — pering across the nation. A random William McGowan has done volved Times’ ace re- as the object of jour- blogger, liberal or conservative, is just newspaper aficionados a service by porter Judith Miller’s nalistic sensitivity as likely to break a major story these giving us a bird’s-eye view of the erroneous articles that often becomes days as the Gray Lady — perhaps even Times’ journalistic malpractice, mainly on weapons of mass solicitude.” more so. The implication is clear: News over the last two decades. The many destruction in Iraq. Aside from has been removed from the hands of tales of woe come neatly packaged in a “When no WMDs the many anecdotes the elite journalists in large metros and 276-page tome titled Gray Lady Down: were found in Iraq, from Times news handed to citizens. Whether that’s a What the Decline and Fall of The New the Times conducted stories, the most in- good or bad development is a debat- York Times Means for America. a postmortem, comb- teresting part of the able point; the Times’ waning influence McGowan spends much of the ing through Miller’s book is the begin- is not. book focusing on the Times’ malfea- reporting; this re- ning, where Mc- Four decades ago, the Gray Lady sance on cultural and wartime issues. sulted in mortifying Gowan explores the was the go-to newspaper for Ameri- The indictment, indeed, is damning, mea culpas in both a newspaper’s recent cans. Today, it’s become little more and McGowan offers plenty of evi- special ‘editor’s note’ history and its swift than a left-wing rag. Joseph Epstein, dence to bolster his assertion that, to- and an editorial board admitting that jump over the cliff of political correct- writing in The Weekly Standard last day, the Times is on a steep decline and the paper had been ‘taken in,’” Mc- ness. I found these chapters the most year, smartly summarized the Times’ has strengthened its position as a lead Gowan writes. captivating. current status: mouthpiece for the ideological left. McGowan also provides numer- That raises my chief criticism: “[T]he Gray Lady is far from the The worst of the decline, Mc- ous examples of hoaxes that the Times The book is thoroughly researched — grande dame she once was. For years Gowan writes, began in 1992 when bought hook, line, and sinker. One McGowan, obviously, has been an avid now she has been going heavy on the Arthur Sulzberger Jr. took over as news feature followed the plight of a connoisseur of the Times for decades — rouge, lipstick, and eyeliner, using a publisher. A child of the 1960s cultural Hurricane Katrina victim from Missis- but it often lacks enough commentary pushup bra, and gadding about in sti- revolution, Sulzberger tilted the news- sippi who had allegedly suffered from and context to freshen otherwise stale letto heels. She’s become a bit — per- paper even further to the left. For one, bureaucratic ineptitude at a New York facts and anecdotes. On occasion, the haps more than a bit — of a slut, whor- he overhauled the newspaper’s modus City welfare hotel with her four chil- book reads like a journalism textbook. ing after youth through pretending operandi on homosexuals, allowing use dren. That’s not necessarily a bad thing, and to be with-it. I’ve had it with the old of the word “gay” in stories and en- “But in reality,” McGowan writes, perhaps that’s the effect McGowan broad; after nearly 50 years together, couraging staff to come out of the clos- “the woman was a con artist. She had sought — scant opinion, ample facts. I’ve determined to cut her loose.” CJ Books authored By JLF staFFers Selling the Dream Why Advertising is Good Business

By John Hood President of the John Locke Foundation

“[Selling the Dream] provides a fascinating look into the world of advertising and beyond ... Highly recommended.” Choice April 2006

www.praeger.com PAGE 24 FEBRUARY 2011 | CAROLINA JOURNAL Opinion

COMMENTARY The Fundamental Role of Government his is not a new question. out gimmicks. Running a gam- John Locke asked it in the bling business, no matter what the 1600s, our Founding Fathers excuse, is not a fundamental role of askedT it in the 1700s, and from 1869- government. 1968, North Carolinians considered Even though public educa- 97 changes to the state constitution tion is a core function of govern- to try to figure it out. They finally ment, preserving a failing system started over with a whole new is not. Eighty-one percent of our constitution in 1971. With a new po- fourth-graders are not proficient in litical climate in North Carolina and reading, we’re fourth in the nation a new General Assembly beginning in suspension and expulsion rates, its work, you can bet the question we have a 30 percent high school will be asked again — a lot. dropout rate, and over 60 percent of After years of a state govern- those who do graduate have to take ment that has tried to do more remedial courses before they can EDITORIAL at greater cost, disregarding the succeed at community colleges or public’s rights and free- universities. doms, and assuming we North Carolina N.C.’s Fourth are all inept at managing consistently has dedicated our own lives, the new more than 50 percent of Republican leadership the state budget to K-12 Branch of Government promises a different schools. Allowing charter perspective. The new schools to expand, clean- n December, Gov. Bev Perdue said nopolies; the trustees of the UNC and leaders promise less med- ing out unnecessary bu- she would suggest at least 150 state community college campuses govern dling and more personal reaucracy, and eliminating boards and commissions for con- those schools; the Board of Transpor- responsibility — limiting other unneeded distrac- Isolidation or termination by the 2011 tation uses representatives from every government to the funda- BECKI tions will get us back on General Assembly. Jan. 25, the day region of the state to set transportation mental role defined in the GRAY track to providing quality before the legislative session opened, priorities. constitution. education and fulfilling Perdue upped that total to 345 of the All of these were on Perdue’s 406 executive branch boards. potential chopping block. But what does that that fundamental role of As advocates of limited, con- On the other hand, she refused mean? government. stitutional government, you might to consider some of the state’s pri- Is it government’s responsi- Government’s job is to keep think we’d be cheering. Instead, we’re mary dens of cronyism and waste. bility to provide essential services the economy moving and provide laughing — at Perdue, who’s made Golden LEAF, the Rural Economic efficiently, effectively, and frugally? an environment that allows busi- a mockery of the entire endeavor. Development Center, and the Clean Or is it a core function to employ nesses to grow, entrepreneurs These boards have become a shadowy, Water Management Trust Fund should as many people as possible, as state to succeed, and the free market convoluted fourth branch of govern- be relegated to the dustbin, their staffs employee advocates and many to work. Too much government ment. Their 4,000-plus members hand fired, and their revenues returned to critics of budget reduction have regulation hampers that growth and out hundreds of millions of dollars a the state’s General Fund. suggested? discourages innovation. Incentives, year, fast-track (or shut down) devel- So should every other board or opment projects, manage large public commission with “economic develop- Should government be pimp- where government picks corporate institutions, and advise the governor ment” in its title. For decades, North ing gambling and alcohol? Gov. Bev winners and losers, interfere with on a host of policy issues. And while Carolina has made the faulty assump- Perdue recently declined to consid- the free market and are a misguided the boards are part of the executive tion that government’s role is to pick er privatizing the state’s ABC stores, use of public funds. We need an branch, as many as half the members winners and losers in the commercial not because it shouldn’t be in the infrastructure that gets people to of nearly 200 boards have been ap- marketplace. State officials have used liquor business, but because “the work and goods to the market in pointed by (and presumably are ac- economic development as a way to re- juice just is not worth the squeeze the most efficient manner, focusing countable to) the speaker of the House ward the politically connected, and to for the people of this state.” The those expenditures where the need and the Senate president pro tem. pad the expense accounts of attorneys question should be: Is this a funda- and congestion are, not social engi- This perverse situation poses and consultants. mental role of government? neering schemes on public transit huge separation of powers concerns The General Assembly should Perdue cast the deciding vote funding buses and trains that no — boards both set and administer get rid of those boards. Economic policy, while maintaining a direct development initiatives should be that got North Carolina into the one rides. pipeline to their funding sources in- slashed, with the remaining projects gambling business. The N.C. Educa- Government’s job is to pro- side the legislature. managed by the Department of Com- tion Lottery adds more layers of vide core functions and then leave Who’s in charge of these boards, merce or the Department of Environ- bureaucracy to an already bloated us alone. There is a new political and how are the members account- ment and Natural Resources — cabi- state government. With a renewed climate in North Carolina and a able to anyone other than the three net-level agencies that can be watched focus on boosting sales — which new General Assembly under way. politicians who appointed them? The by the General Assembly, the media, prey mostly on the poor — only 35 Let’s hope the new leaders stick to people of North Carolina have no say and the public. percent of lottery proceeds actually what government is supposed to in the way they operate. They oper- Finally, the members of any go to education. Is this a role for do, fulfilling its fundamental role — ate with scant oversight and minimal boards left standing should be ap- transparency. pointed by the governor and con- government? and doing nothing else. CJ Problem is, Perdue treated the firmed by the General Assembly. No Education is a core govern- entire process haphazardly. The list legislative appointees. The legislature ment function, and it should be Becki Gray is vice president for she provided in January includes a under Democratic rule created this funded directly, openly, and with- outreach at the John Locke Foundation. number of essential entities — the mess. The new Republican leaders in Utilities Commission regulates mo- Raleigh should fix it. CJ FEBRUARY 2011 | CAROLINA JOURNAL PAGE 25 Opinion EDITORIALS COMMENTARY Restore Debt Limits No More State No Longer Requires Voter Approval Marc Basnights ince 2000, the state of North ing them to issue debt without seek- Carolina has issued hundreds of ing the required public consensus. ow that outgoing President never re-elect Senate presidents or millions of dollars in state debt Why would politicians ever sub- Pro Tem Marc Basnight House speakers who already have Swithout a vote of the people, as the ject public debt to a referendum again has retired from the North served two terms in those jobs. If state constitution requires in all but as long as these evasion techniques NCarolina Senate, lawmakers ought necessary, a constitutional amend- limited circumstances. Many localities remain in effect? The General Assem- to make a firm commitment never ment may not be too extreme a have begun evading the referendum bly should draft a new constitutional to allow another politician like Bas- safeguard against a recurrence of requirement, as well. The main eva- amendment to crack down on these night to rise to power. the Basnight longevity problem. Just to be clear: I like the man Another problem, however, sion technique is called a certificate of abuses of the public fisc. personally and wish him well in is his manipulation of the elec- participation, or COP. The amendment ought to restore his retirement. What I mean is that toral system. When announcing his COPs are issued under the pre- the original intent of the state consti- never again should a single state resignation Jan. 4, two months after tense that they don’t extend the full tution’s debt limitations by specifying lawmaker be allowed to being reelected, Basnight faith and credit of the state to repay- that any new government debts that exercise the kind of power cited as reasons his de- ing the debt. Instead, bondholders are will be repaid by government rev- Basnight enjoyed in Ra- clining health and upcom- said to be receiving the right to share enues, regardless of legal form, must leigh for nearly 20 years. ing marriage. But both in the revenue from a financed project be considered general obligations and And never again should factors predate Election — even if the “revenue” involved is require approval in a referendum. a lawmaker be allowed to Day. I was among many nothing more than generally applied North Carolina hasn’t got- game the electoral system, political observers who taxes. In practice, there is little distinc- ten itself into as much trouble with as Basnight has done, to predicted, months ear- tion between a COP and a general ob- government indebtedness as other prevent voters from se- lier, that Basnight would ligation bond. Both use tax money to jurisdictions have. But now is the time lecting their own political never serve out his 2011- pay off bondholders. And few expect to head the problem off. representation. 12 term — particularly if any state or locality to let a COP go North Carolina already has a Before the Dare JOHN the Democrats lost power into default. large unfunded liability in the state County Democrat was HOOD in the chamber. But under the legal fiction that employee health plan, plus concerns elected leader of the Sen- The tragedy of his COPs are not general taxpayer obliga- about the adequacy of funding in the ate in 1993, there had been deteriorating speech tions, North Carolina governments state’s pension plan. Current liabilities no modern tradition of a single and motor skills does not absolve have issued hundreds of millions of will cost taxpayers dearly in the com- senator running the chamber for Basnight from responsibility for dollars worth of COPs without a vote ing years. They have the right to be long stretches of time. Admittedly, seeking re-election without a com- of the people. And thanks to a con- consulted directly, in the form of refer- Democrat Jimmy Green ran the mitment to serve his term. If he had stitutional amendment that did pass, endums, before their elected represen- Senate for eight years, from 1977 announced his retirement in 2010, localities now have another device, tatives obligate them any additional to 1984 (after previously serving a his GOP-trending district likely called tax increment financing, allow- debt service. CJ couple of years as speaker of the would have featured a competi- House). But at least Green did so tive race for the open seat — with as a lieutenant governor the potential of adding twice elected by a state- another Republican to the The Roaring ’30s? wide vote. party’s new 31-19 majori- When Republican ty. By staying on the ballot Jim Gardner won the and then resigning after Relative growth during Depression lieutenant governor’s Election Day, Basnight job in 1988, Democrats allows the Democratic f you had to guess which decades periods of strong growth. During the stripped it of its legisla- Party to choose who will North Carolina led the nation in 1990s, the state’s per-capita income tive authority and made represent the 1st District economic progress, what would rose only modestly. During the past the president pro tem Marc Basnight for the next two legisla- Iyou say? decade, it actually declined. the de facto leader of the tive sessions. The voters Looking at personal income Using the personal-income sta- senate. Over nine straight terms, will have no say in the matter. trends in the states going back to 1929, tistic, which counts both population Basnight accumulated unprecedent- Basnight isn’t the first legisla- over the entire period, North Carolina and income, the rates look a bit better, ed and unwelcome power over state tor to use this gimmick. I well re- did outpace the nation — both in per- but the relative performance doesn’t government. member one western legislator who sonal income growth and in per-capita change. Republics always have func- once resigned his post just weeks income growth, which factors out North Carolina grew at about tioned best with rotation in office. after his re-election to become a lob- population changes. double the national rate from 1929 to Today, large majorities of citizens byist at the General Assembly! Still, But despite bragging from many 1950 and weakened during the 1950s. favor the imposition of term limits Basnight’s tactic is the most recent of our civic and business leaders, Our income-growth rate was 20 per- on federal and state lawmakers, example of the problem. Let’s fix it. North Carolina has not been a con- cent above the national average dur- viewing the accumulation of power The General Assembly should sistent top performer. Since 1990, for ing the 1960s, 8 percent higher in the as too great a temptation for politi- change the law to fill legislative example, North Carolina has lagged 1970s, 24 percent higher in the 1980s, cians and too great an injury to the vacancies at the next general elec- rather than led the nation in per-capita 26 percent higher in the 1990s (mostly principle of limited, representative tion, even if it is an odd-numbered income growth. And our strongest a phenomenon of population inflows), government. year. In Basnight’s case, then, at relative performance was in the 1930s and only 5 percent higher during the As Republicans take power in least the appointed senator would and 1940s, when state government 2000s (this time thanks entirely to the legislature, their leaders have serve in only one session — rather was run by conservative Democrats population inflows, much of it from pledged not to serve in the top jobs than two — before the voters have and our growth rate was about twice overseas). for unlimited terms. I’d like to see a say. CJ the national average. A little less bragging is in order, that sentiment codified in pledges The 1950s and 1970s were both not that politicians steeped in our from all senators and representa- John Hood is president of the John periods of lackluster growth in North state’s Blarney Tradition are likely to tives that, if re-elected, they will Locke Foundation. Carolina. The 1960s and 1980s were change their ways anytime soon. CJ PAGE 26 FEBRUARY 2011 | CAROLINA JOURNAL Opinion EDITORIAL BRIEFS Oil Spill Hysteria

hen an explosion occurred on the Deepwater Horizon oil rig in the Gulf of Mexico April 20, there were wide- spreadW predictions that major environmental damage would result. That hasn’t been the case, writes Robert H. Nelson of the Indepen- dent Institute in The Weekly Standard. Before the oil spill finally was contained July 15, some 4.9 million barrels of oil escaped into the Gulf, 20 times the amount of the Exxon Valdez spill. Despite that, the damage was much lighter from the Deepwater Horizon spill, in part because the oil was not released at the surface, but rather 5,000 feet below it. The Gulf, into which oil seeps naturally, contains bacteria that eat oil. The Lawrence Berkeley National Laboratory estimated that the half- life of much of the oil released was about three days. Much of the lightest oil evaporated at the surface or dissolved quickly. Indeed, by mid- August, the National Oceanic and Atmospheric Administration found little spilled oil. The impact on wildlife also was limited, Does N.C. Follow Hauser’s Law? with only 18 sea turtles and four marine mam- mals found dead and covered with oil. ou might wonder why an economist is talk- Not all economists agree that Hauser’s “The search for damage to the Gulf, it ing about a law. Shouldn’t I leave this to “law” exists. One analysis showed that in years fol- seems, is a bit like the search for weapons of the lawyers, or my niece who is now in law lowing a tax rate increase, tax revenues as a percent- mass destruction in Iraq,” says Nelson. “It is — Yschool? age of the economy averaged a full percentage point or should be — embarrassing that the predicted Well, not to worry, because I’m not talk- higher than in years following a tax rate cut. disaster failed to materialize.” ing about the “law” as passed by legislatures and Now let’s come home and see if North Car- enforced by courts. Instead, I’m talking about an olina does, or doesn’t, have a version of Hauser’s economic type of “law.” Economists call a concept a “law.” North Carolina certainly has enacted numer- Public-private partnerships “law” if they think the economic relationship holds ous changes to her tax laws in recent decades. The at all times and in all circum- question is whether these changes have resulted In recent years, “public-private partner- stances. The “law of demand” is in significant differences in the tax “take” from the ships” have become increasingly popular. In a good example. state’s economy. a new paper for the Competitive Enterprise Hauser’s “law” de- I answered this question in two ways. First, Institute, Marc Scribner examines the lessons scribes a relationship the econo- I looked at state tax revenues as a percentage of the learned from the use of PPPs in the surface mist Kurt Hauser observed state economy (gross state product) annually from transportation and real estate sectors. for federal tax revenues. He 1982 to 2009. The average was 5.7 percent, with the Scribner finds the experience of the two noticed that in recent decades, lowest being 5.1 percent, and the highest being 6.4 areas to be completely different. Surface trans- federal tax revenues as a share percent. In the last 10 years, however, the variation portation long has been dominated by govern- of the economy (gross domestic has been narrower, between a low of 5.5 percent and ment monopolies. product) rarely strayed very far a high of 6.1 percent. “When the status quo is a government from 19 percent. In other words, MICHAEL I also looked at state and local tax revenues monopoly, PPPs should be viewed as prefer- federal tax revenues consistently WALDEN combined. The results were very similar. Since 1982 able in nearly every case,” says Scribner. take about 19 percent of the total the average is 6.1 percent, with a low of 5.3 percent, In such circumstances, PPPs have the po- economic pie year after year. This is despite the and a high of 6.9 percent. But again, since 2000, the tential to minimize taxpayer risk, better capture fact that tax rates, tax deductions, and tax credits range has tightened to between 5.9 percent and 6.6 user revenue streams, and in general create a frequently are changed by Congress. percent. more efficient transportation network. How can this be? Wouldn’t we expect the There are two reasons the range of the tax The same cannot be said for most PPPs in government’s tax take to rise when tax rates are “take” in North Carolina has narrowed in the last real estate. increased and to fall when those rates are lowered? decade: technology and globalization. Modern com- “Unfortunately, PPPs can also drive rent- Hauser has several explanations for his “law.” munication and transportation technologies have seeking behavior, and create significant risk of First, tax rates, deductions, and credits may given both people and businesses greater freedom improper collusion between political actors and be changed to balance each other. That is, when to locate where they want. politically preferred firms and industries. This tax rates are increased, Congress also may expand Globalization has expanded this freedom to harms not only taxpayers, but the economy at deductions and credits. The increase in tax rates the world. This means workers and entrepreneurs would raise revenues, but new deductions and have more ability to “vote with their feet” if they large, as critical investment decisions are dis- credits would decrease revenues. The opposite may disagree with state and local tax and spending poli- torted by political considerations.” occur when rates are lowered — tax deductions and cies. The paper highlights five real estate PPPs, credits may be curtailed. So Hauser’s “law” may not be ironclad. all of which suffered from fiscal mismanage- There also may be behavioral changes that The findings for both the nation and North Carolina ment, offered handouts to business and/or la- tend to cap federal tax revenues at 19 percent of the indicate elected officials have some “wiggle room” bor union interests, and were shaped by central economy. When tax rates are raised, some taxpayers to move the tax “take” up and down. But their flex- planning. may be less motivated to work the same amount of ibility to alter taxes is constrained by the ability of Scribner argues that outside of unusual time, since they’re now keeping less of what they those taxed to relocate. Court adjourned! CJ cases, such as in the Department of Defense’s earn. Investors may feel the same way and invest Base Realignment and Closure program, PPPs less. Either action would reduce the size of income in the real estate sector offer “very little in terms and earnings to which the higher tax rate is applied, Michael Walden is a William Neal Reynolds distin- of social benefits” and should be avoided. CJ keeping tax revenues from rising as a percentage of guished professor and extension economist at N.C. State the economy. University. FEBRUARY 2011 | CAROLINA JOURNAL PAGE 27 Opinion Making Conservatism Serious and Substantive

o many on the left, the princi- conservative movement primarily is vs. them” world. and a real influence on public debate. pal cause of last month’s tragic thought of as a media machine that This isn’t to say the work done Some of these thinkers are in universi- shooting in Tucson that took the finds its voice on cable and the Inter- by conservative commentators like ties, others in idea factories like the livesT of six people and injured Rep. net, not on Capitol Hill or in the pages Beck and Palin is not valuable. Every Cato Institute and the Heritage Foun- Gabrielle Giffords, of policy journals and serious opinion political cause needs grass-roots dation in Washington. Some great D-Ariz., was a bit- magazines. It is led by entertainers mobilization to have a meaningful work is going on in state think tanks ter climate of parti- who appeal to emotions rather than impact on public policy. But where are like the John Locke Foundation. But I sanship and politi- intellect. Palin’s college degree is in the ideas? As these individuals define worry about the pipeline. Today many cal vitriol. Perhaps communications and journalism, and conservatism, the ideology will stag- young conservatives are attracted because a gun was she is a sportscaster by trade. Beck nate and ultimately wither. It will lose largely to the combat of politics. They involved, perhaps always has been a radio host. Both its appeal to the best and brightest pledge allegiance to the clan and jump because Giffords repeatedly appear in polls as the most among our young people. It will lose into the shrill debate. is a Democrat, admired conservatives of the moment. its capacity to solve problems. It will Discovering the next genera- or perhaps just Limbaugh, who considers his show lose its intellectual dynamism. tion of new conservative ideas does because they are his “schtick,” and Hannity also have I, for one, think that is a shame. not mean rejecting critical principles a favorite target ANDY TAYLOR spent their entire careers in the elec- Like many of my friends during the like limited government, individual of the Washington tronic media. None of the three men mid-1980s, I was drawn to conser- liberty, and personal responsibility. It class, a new class has a college degree. vatism because of its ideas. Reagan- means embracing them. It does not of popular conservative commentator, These appearances follow a simi- ism wasn’t appealing because of the mean ignoring the grass roots with in particular, has had an accusatory lar format. In a sort of pseudo-intellec- charisma of its founder. The president snobbish disdain. finger pointed at it. tual opening, the celebrity grabs onto and those who worked high up in his It does mean, however, making The claim is, of course, widely a story, however innocuous, from the inaccurate — a fact recognized by administration and on the Hill — like conservatism serious and substantive day’s news. He or she then skillfully many Democrats, including President Jack Kemp, for instance — generated again. Such an effort must emphasize frames it in emotive rather than cere- Obama. Every day, Glenn Beck, Sean interesting, provocative, and intel- thought over emotion, the general bral terms. The matter is closed with Hannity, and Rush Limbaugh attract ligent ways of rejuvenating a country over the specific, the systematic over a combined audience of 40 million. the hope the audience is now frothing pulled down by the stale policies the anecdotal, the evaluation of a Sarah Palin has a legion of admirers. at the mouth with rage. What Disney of the 1960s. I listened intently to policy, not its advocacy. We need to be The streets are not full of gunmen. It did with tears — as in “Old Yeller” Margaret Thatcher and learned to judicious, not reflexive. Politics must was one very disturbed person who and “Bambi” — Beck and the others admire an eclectic bunch of thinkers be seen as a difficult search for right, pulled the trigger that day, and there do with anger. from William F. Buckley to Alexander not a therapeutic wallow in self-righ- is no reason to believe he really ever To be sure, these conservative Hamilton. teousness. CJ listened to talk radio or watched Fox commentators do refer to fundamen- There are still a great many News. tal principles. But their instincts are people forming and refining conserva- Andy Taylor is a professor of politi- Still the argument does illustrate largely tribal. The merits of a policy tive ideas. On issues like education cal science in the School of International an interesting fact about contempo- are defined exclusively by who advo- and the environment, we recently and Public Affairs at N.C. State Univer- rary American politics. Today the cates for it. We live in a simplistic, “us have seen tremendous innovation sity. Rhetoric and Congressional Security ack in the mid-1960s, when my Capitol Visitor Center had been they return to their home districts. ing, the “left” and its allies in the father worked on Capitol Hill, planned, and funds were being raised. Typically they report to people on media began an unfounded attack on from time to time I dropped him After the tragedy, the funding was what is transpiring in Washington and the right, blaming the rhetoric of talk offB under the portico on the congres- accelerated, and the visitor center was often are questioned on their positions radio and leaders of the conserva- sional side of the Capitol. completed. on issues and votes they have cast. tive movement for inciting a shoot- At the entrance to the Capitol, Members of the general public In many ways, this is the pur- ing spree that left six dead and 14 we routinely were waved in by the visiting the Capitol enter through est form of democracy. The people’s wounded. Capitol Hill police with — I Capitol Visitor Center. Visi- views in these forums are unfiltered Since then, more reasonable now recall — little or no tors going to see lawmakers by lobbyists, special-interest groups, voices have prevailed. A national inspection of the car. in the House or Senate office or pundits. conversation has begun about civil- Back in those days, buildings are screened by a Many members of Congress and ity in our political discourse. For that you could walk up the steps magnetometer, and bags are senators hold town hall meetings at to occur, there must be an open line of the Capitol and into the examined at the entrance. formal public venues, such as civic of communication between elected rotunda or over to a congres- My wife and I owned centers, where they can interact with officials and the public. Creating more sional office building to call a home two blocks from constituents. walls of security will not enhance on members of Congress. the Capitol on Sept. 11. We In meeting with her constituents civility or the cause of the republic. And, in front of the watched as cement barri- at a shopping center, Rep. Giffords Perhaps more of our elected White House, Pennsylvania MARC ers went up on numerous was going the extra mile to communi- officials should do “Congress on the Avenue was not blocked off ROTTERMAN streets around the Hill. cate and interact with them. corner” meetings. In doing so, they from traffic, as it has been Some streets were closed to After the massacre that trans- would honor Gabby Giffords, who by since the Clinton Adminis- traffic, and Washington in pired, much has been said about the all accounts understood that interact- tration. many ways began to look security of elected officials. ing with her constituents was the key Much has changed since my like a city under siege. Some lawmakers have talked to doing her job. CJ youth. Which brings me to the tragedy about carrying a gun when they meet Over the decades, the public’s in Tucson — where a deranged gun- with the public. Others, such as Rep. Marc Rotterman worked on the na- access to the “people’s house” and its man killed six people and wounded Jesse Jackson Jr., have asked the GOP tional campaign of Reagan for President representatives, along with other in- 14 others when Rep. Gabrielle Gif- House majority to increase members’ in 1980, served on the presidential transi- stitutions such as the Supreme Court, fords was holding a “Congress on operating budgets to pay for more tion team in 1980, worked in the Reagan has become severely limited. your corner” meeting at shopping security in their districts. All of this administration from 1981-84, is a senior Security now is ever-present. We center in her congressional district. would put more distance between the fellow at the John Locke Foundation, and understand why. Similar meetings are held rou- public and their elected officials. is a former member of the board of the Long before Sept. 11, the new tinely by members of Congress when Within an hour after the shoot- American Conservative Union. PAGE 28 FEBRUARY 2011 | CAROLINA JOURNAL Parting Shot N.C. Budget Dollars Now Called ‘Teacher Jobs Saved’ (a CJ parody)

By Edna Crabapple “The judicial branch was part of Education Correspondent our plan, but Judge Stephens’ com- RALEIGH ments gave us an unexpected boost,” he North Carolina Association of Strickland said. “He was clearly influ- Educators — the state’s largest enced by our media and lobbying cam- professional group for classroom paigns.” Tteachers — is on cloud nine, thanks to North Carolina is facing a budget a remark from Wake County Superior shortfall of approximately $4 billion. Court Judge Donald Stephens. Perdue and the new Republican-led When Stephens said a $3 million legislature have stated that they would fine he imposed in a tax fraud case not support any tax increases to close could save the jobs of 50 to 60 Wake the budget gap. County teachers, NCAE president The NCAE has prepared a list of Sheri Strickland was ecstatic. programs for cuts to balance the budget while saving teacher jobs. Strick- “After years of getting support land gave CJ an early draft of the plan: from the governor and the General Assembly, we have finally won over • Eliminate the Rural Economic De- the judicial branch,” she told Carolina As Gov. Perdue and legislators begin cutting the state budget, the NCAE hopes that velopment Center: 100 teacher jobs saved. Journal. “At last, all budget discussions many signs like the one above will be appearing all over the state. (CJ spoof photo) • Eliminate Golden LEAF: 1,200 will be expressed in teacher jobs saved teacher jobs saved. Strickland said that the NCAE tary of Education Arne Duncan, Gov. instead of dollars.” • Eliminate the Clean Water Manage- Board of Directors launched a multifac- Bev Perdue, and former 2nd District Stephens imposed the fine — ment Trust Fund: 500 teacher jobs saved. which he said might be the largest ever eted strategy two years ago to change U.S. Rep. Bob Etheridge. At it, Perdue the nature of state and local budget dis- nodded in agreement as Duncan an- • Sell the Global TransPark: 2,000 issued in Wake County — when sen- teacher jobs saved. tencing two South Carolina cigarette cussions. She cited great progress with nounced that North Carolina could the executive and legislative branches, lose as many as 8,000 teacher jobs due • End corporate welfare programs: distributors in a fraud case involving while making little headway with the to budget cuts. 2,400 teacher jobs saved. tax evasion that originated in 2005. judiciary. At the time, Etheridge had spon- • Eliminate 300 boards and commis- Stevens didn’t clarify whether “Last year, we got House Speaker sored a bill calling for the federal gov- sions: 750 teacher jobs saved. he meant the fine would save teacher Joe Hackney on the record saying that ernment to use stimulus money to • Privatize state ABC stores: 400 jobs for one year or for perpetuity, but his top budget goal was to save the fund teacher jobs. The bill didn’t pass, teacher jobs saved. Strickland told CJ that distinction did jobs of the 95,000 North Carolina pub- and Etheridge lost his seat in Congress, • Consolidate state agencies: 650 not matter. “So long as the emotional lic school teachers,” Strickland said. but “teacher jobs” gained significant teacher jobs saved. component is strong, the details will Strickland also referred to a June ground as the new currency of budget TOTAL TEACHER JOBS follow,” she said. press conference featuring U.S. Secre- debates. SAVED: 8,000. CJ Featuring Syndicated columnist George Will

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