Mccrory Not Budging on I-77 Toll Project

INSIDE THIS ISSUE: DEPARTMENTS Medicaid re- North Carolina 2 Education 8 form includ- CAROLINA Local Government 11 From Page 1 13 ed in Senate Higher Education 17 version of Books & the Arts 20 Opinion 24 budget/2 JOURNAL Parting Shot 28 A MONTHLY JOURNAL OF NEWS, ANALYSIS, AND OPINION FROM THE JOHN LOCKE FOUNDATION July 2015 Vol. 24 No. 7 STATEWIDE EDITION Check us out online at carolinajournal.com and johnlocke.org McCrory Not Budging on I-77 Toll Project the issue, citing the high cost of termi- nating the contract and the faster time- Opponents calling table for completion promised by the public-private partnership. $144.5 million McCrory spokesman Josh Ellis told Carolina Journal via email on June incentive a ‘bribe’ 19: “Governor McCrory continues to By Don Carrington support the I-77 Express Lanes proj- Executive Editor ect, a project that was unanimously RALEIGH approved by the Charlotte Regional espite widespread vocal oppo- Transportation Planning Organization. sition from area business lead- Canceling the project would cost North ers and residents, Gov. Pat Mc- Carolina taxpayers approximately DCrory and North Carolina Department $100 million, money that should be in- of Transportation officials maintain it vested in other infrastructure projects. is too late for the The current project can be delivered state to scrap the within a matter of years instead of up controversial 26- to 20 years to secure funding through mile Interstate 77 Toll road opponents Kurt Naas, left, Mac McAlpine, right, and others gather outside the normal state channels.” tolling project be- the Davidson Town Hall on June 9 after the town council approved a resolution asking Opposition to the project has tween Charlotte the state to cancel the toll road agreement. (CJ photos by Don Carrington) reached the General Assembly. State Sen. Jeff Tarte, R-Mecklenburg, told CJ and Mooresville in named the I-77 Hot Lanes Project. The terize a $144.5 million incentive pay- he will introduce a bill to stop the proj- favor of nontolled project is expected to cost $648 million. ment from NCDOT to the Charlotte ect, since several local governmental alternatives. Mobility Partners will set toll rates, Regional Transportation Planning Or- bodies and the Lake Norman Chamber On May collect the tolls, and — for the most ganization as a bribe. Others predict of Commerce have passed resolutions 20, state officials part — keep all the proceeds. nightmarish commutes, as the eight- I-77 at exit 28 in asking for alternatives to the current Cornelius will not signed a 900-page, Opponents of the project want mile stretch at the northernmost por- toll plan. have an access 50-year agreement the state to build additional lanes with- tion of the project will include only one “Ninety-eight percent of the point to toll lanes. with I-77 Mobil- out charging tolls, and pay for them toll lane traveling each direction, with people in this area are against this toll ity Partners, a using existing funding mechanisms or little room to accommodate disabled subsidiary of a Spanish company, to with the highway bonds McCrory is motorists or emergency vehicles. build and operate the project, officially promoting. Some opponents charac- But McCrory is not budging on Continued as “McCrory,” Page 14 Solar Enriches Big Business, Costs Consumers PAID claimed an additional $3,112,503 in tax RALEIGH, NC U.S. POSTAGE credits, and BCBS has been issued an- PERMIT NO. 1766

NONPROFIT ORG. Most tax credits other $12,696,204. The state grants tax credits for and incentives go 35 percent of investments in renewable energy projects, most of them solar to large corporations farms. Developers also can claim a 30 By Dan Way Associate Editor percent federal tax credit for solar proj- RALEIGH ects. In addition, the N.C. Clean En- hile Duke Energy is passing ergy Technology Center at N.C. State higher costs to ratepayers University lists 113 programs under because state law forces it to which renewable projects in North Carolina can qualify for various state, purchaseW renewable energy, the utility renewable tax credit payments in federal, and other incentives. also claimed $62.8 million in tax write- 2014, with Blue Cross and Blue Shield State Revenue Department re- offs in 2014 for its own investments in of North Carolina a distant second at cords show that big solar is big busi- green power projects. $16.8 million, according to state De- The electric giant accounted for partment of Revenue records. The John Locke Foundation 200 W. Morgan St., #200 Raleigh, NC 27601 roughly half of the state’s $126,661,982 Dating back to 2010, Duke has Continued as “Solar,” Page 13 PAGE 2 JULY 2015 | CAROLINA JOURNAL North Carolina C a r o l i n a Senate Includes Medicaid Reform in Budget By Dan Way “The lower-cost providers, primary care doctors and Journal Associate Editor OB-GYNs, are the ones that are more difficult to recruit into RALEIGH those networks, and we think getting those rates up consis- Rick Henderson enate leaders’ General Fund budget proposal includes tent with Medicare rates puts us in a much better position to Managing Editor major policy initiatives related to Medicaid, removing recruit them into the network,” Hise said. responsibility for Medicaid from the state Department Having greater choice and doctor access is vital in get- Don Carrington Executive Editor Sof Health and Human Services while creating a Cabinet- ting a federal plan waiver that is essential before moving to level Health Benefits Authority to administer the $14 billion a new system, he said. government insurance program for the poor and disabled. The plan would encourage greater use of preventive Mitch Kokai, Michael Lowrey The budget also would eliminate the state’s certificate- care, reduce unnecessary emergency room costs, and build Barry Smith, Kari Travis of-need laws controlling the expansion and location of med- a stronger health care information exchange to increase ac- Dan Way ical facilities, and allow more health provider networks to cess to critical information that helps doctors and hospitals Associate Editors compete for coverage of Medicaid patients. create better tools for improving health outcomes, Brown Chad Adams, Kristy Bailey At the June 15 press conference rolling out the Senate said. David N. Bass, Lloyd Billingsley budget, Senate Majority Leader Harry Brown, R-Onslow, Julie Henry, spokeswoman for the North Carolina Kristen Blair, Roy Cordato said the Medicaid pro- Hospital Association, Becki Gray, Sam A. Hieb posals are intended to said her organization Lindalyn Kakadelis, Troy Kickler shift a “troubled and “join[s] other Medicaid George Leef, Karen McMahan overbudgeted Medic- care providers in sup- Donna Martinez Karen Palasek aid program towards a porting provider-led Marc Rotterman, Jesse Saffron Terry Stoops, Andy Taylor patient-focused, cost- Medicaid reform rather Michael Walden, Hal Young minded vision for the than HMOs,” which is John Calvin Young program.” Among the another acronym for Contributors goals, Brown said, was managed care organi- creating “a new system zations. that will achieve budget The North Caro- Joseph Chesser, Zak Hasanin predictability and sus- lina Medical Society, Catherine Koniecsny, Charles Logan Austin Pruitt, Matt Shaeffer tainability to promote which represents physi- Interns competition, and ensure cians, did not respond Medicaid recipients re- to a request for com- Published by ceive the best care at the ment on the Senate The John Locke Foundation lowest cost to taxpay- budget provisions. 200 W. Morgan St., # 200 ers.” Hise said the Sen- Raleigh, N.C. 27601 The House budget ate has “a more stable (919) 828-3876 • Fax: 821-5117 plan” than the House www.JohnLocke.org proposal, enacted earlier this month, left Med- because it offers con- icaid under the control sumers more choices, a Jon Ham of DHHS, but senators’ condition federal regu- Vice President & Publisher confidence in the bu- lators look for when ap- reaucracy to fix its flaws is waning. proving any Medicaid reform provisions. Kory Swanson “We’re not picking one type of provider and saying President The Senate and House budget plans were in a conference committee at press time, and Gov. Pat McCrory op- you will be the only provider-led entities that we have in the state,” he said. John Hood poses much of the Senate Medicaid plan. But even if those Chairman reforms are removed from the budget McCrory signs, sena- The Senate plan would eliminate in two years the fee- tors have made their priorities clear. for-service system now in operation, under which health Charles S. Carter, Charles F. Fuller In the past, McCrory has opposed using budgets to care providers get paid for every patient visit. Bill Graham, John M. Hood implement policies instead of debating and approving them In its place would be a model, starting Aug. 1, 2017, Assad Meymandi, Baker A. Mitchell Jr., in which providers would be paid a set fee each month for in a more deliberative process. David Stover, J.M Bryan Taylor each patient. The organizations operating Medicaid plans The Senate Medicaid reform plan would select three Board of Directors would be responsible for meeting budgets set by the Gen- operators through a competitive bidding process to estab- eral Assembly and paying cost overruns now assumed by Carolina Journal is lish statewide Medicaid networks. The state also would be a monthly journal of news, state taxpayers. divided into six regions, and two provider-led networks Hise said lawmakers were unable to get updated bud- analysis, and commentary on would be allowed to set up shop in each region. state and local government get numbers from DHHS as the fiscal year approached its and public policy issues in Sen. Ralph Hise, R-Mitchell, expects the majority of June 30 conclusion. He does not know whether Medicaid North Carolina. regional networks to be driven by hospitals, with some pro- will exceed its budget again this year. ©2015 by The John Locke Foundation vider-led entities created by physician networks. “I’m always waiting. It would actually be the excep- Inc. All opinions expressed in bylined articles “I think the majority of the statewide entities will be tion” for spending to meet budgeted levels, he said. are those of the authors and do not necessarily done by managed care organizations, although I have heard The Senate budget sets aside $371 million to shift the reflect the views of the editors of CJ or the some interesting things from UNC [Health Care] and others staff and board of the John Locke Foundation. Medicaid program to the new authority. Material published herein may be reprinted as that they are considering doing it statewide,” Hise said. “You will see a lot of simplification of what is needed long as appropriate credit is given. Submis- The House plan, by contrast, allows for only provider- for NCTracks as we move to the new system,” Hise said of sions and letters are welcome and should be led entities, sometimes called Accountable Care Organiza- the troubled DHHS computer billing system. Switching to directed to the editor. tions, and preserves Medicaid as a division of DHHS rather a per-member-per-month payment would reduce much of To subscribe, call 919-828-3876. Readers than creating a separate agency to run it. the coding needed to process claims and payments. also can request Carolina Journal Weekly The House plan would be implemented over a five- Report, delivered each weekend by e-mail, “It will be the responsibility of the Health Information or visit CarolinaJournal.com for news, links, year time frame. The Senate version would complete the Exchange at that point, which we also fund in this budget, and exclusive content updated each weekday. transition in two years. that will provide the Benefits Authority with the clinical in- Those interested in education, economics, The Senate budget increases Medicaid payment rates formation so we can look at what’s actually occurring with higher education, health care or local govern- to primary care physicians by 22 percent and to obstetri- the patients, and not rely on the billing system,” Hise said. ment also can ask to receive weekly e-letters cians by 26.5 percent to encourage more physicians to ac- All Medicaid providers eventually would be linked covering these issues. cept Medicaid patients, Brown said. into the exchange to make patient data more accessible. CJ JULY 2015 | CAROLINA JOURNAL PAGE 3 North Carolina JLF: ‘Reverse Logrolling’ Would Save N.C. Taxpayers Millions “Lawmakers can achieve these all, a majority in at least one chamber using the reverse logrolling technique. additional savings by using a tech- already has decided that the lower That’s $9 million less than the Senate Group says choosing nique called ‘reverse logrolling,’” said spending figure will satisfy citizens’ plan and $232 million below the House report author Sarah Curry, JLF director needs under current budgetary con- budget. lower House, Senate of fiscal policy studies. “It flips tradi- straints.” The reverse logrolling technique tional budget logrolling on its head. Reverse logrolling makes sense as would lead to spending of $2.4 billion numbers would free up Logrolling is a budget practice in which budget negotiators search for the best for Justice and Public Safety programs. negotiators for both legislative cham- ways to address high-priority items, That matches the Senate budget and bers agree to accept higher spending Curry said. “Legislative leaders con- comes in at $52 million less than the nearly $400 million levels for each tinue to place House plan. Spending for Natural and By CJ Staff c h a m b e r ’ s a high prior- Economic Resources programs would RALEIGH budget priori- ity on funding total $311 million using the reverse log- orth Carolina state budget ties. Negotia- for items such rolling technique. That’s slightly less writers would have more tors basically as education, than the Senate budget and $130 mil- money available for tax reduc- say, ‘I’ll accept t r a n s p o r t a - lion less than the House plan. tion,N higher per-child tax credits, or a spending tion, and pub- Spending for General Govern- additions to state savings reserves, if increase for lic safety,” she ment programs — including the gov- they adopt a budget technique used in your project, said. “They ernor’s office, General Assembly, a John Locke Foundation Spotlight re- if you’ll do also continue several Council of State departments, port (visit http://bit.ly/1FyJZSO). the same for to discuss and agencies such as the State Board The report identifies savings that mine.’” the best way of Elections — would total $431 mil- would lead to a General Fund budget “ T h i s to deal with lion under the reverse logrolling plan. of $21.46 billion in the new budget practice often issues such That’s $26 million less than the House year that starts July 1. That would free results in a as Medicaid budget and nearly $60 million less than up nearly $383 million to address top poor outcome reform. Em- the Senate plan. priorities such as pursuing tax reform for average ploying a ‘re- Potential savings this year from goals and shoring up state savings re- citizens, as verse logroll- reverse logrolling are lower than in serves. lower-priority ing’ approach recent budget cycles, based on JLF In contrast, Senate spending pri- or so-called would ensure findings at the time the budgets were orities would lead to an undesignated ‘pork-barrel’ that lawmak- enacted. Using the process in the 2014- items are ers have the surplus of $43 million, while the House 15 fiscal year would have resulted in funded and r e s o u r c e s plan would generate an undesignated savings of $667 million; applying it in mediocre leg- available to surplus of $158 million. 2013-14 would have saved $590 mil- islation en- address their Looking ahead to 2016-17, the JLF acted,” Curry most impor- lion; and in 2012-13, the process would report spells out savings that would added. tant items.” have saved $417 million. lead to a General Fund budget of Budget negotiators should take Curry compiles a spreadsheet Reverse logrolling offers bud- $21.42 billion. That means $638 million the opposite approach, Curry said. detailing a department-by-department get negotiators a useful tool for exer- in additional savings, or more than $1 “Rather than one set of budget nego- list of potential savings tied to the re- cising fiscal discipline as they craft a billion in additional budget flexibility tiators accepting particular programs verse logrolling approach. final state budget deal, Curry said. for the next two years. or higher levels of spending from their For example, the total education “If budget conferees use the reverse JLF released its report as budget counterparts, with the expectation that budget would be $12.048 billion in logroll method and leave their cham- negotiators from the N.C. Senate and those counterparts will do the same, 2015-16, equal to the Senate plan and bers’ pride at the door, then everyone House of Representatives began work legislators should agree to accept the $450 million less than the House’s pro- will benefit from the state budget sur- on a compromise 2015-17 state budget lower spending numbers for each de- posal. State Health and Human Servic- plus — taxpayers and state govern- plan. partmental budget,” she said. “After es spending would total $5.058 billion ment alike.” CJ PAGE 4 JULY 2015 | CAROLINA JOURNAL North Carolina State Briefs Senate Bill Addresses Uber, Lyft Insurance Regs n mid-June, Gov Pat McCrory signed into law a bill radically By Barry Smith for Lyft, who did not attend the meet- changing the way North Caro- Associate Editor ing, noted that the details of the bill are Ilinians select justices for the state RALEIGH still being finalized. Supreme Court. tate senators expressed strikingly “We believe the process is mov- Instead of two candidates for differing opinions on whether ing in the right direction, and we are Supreme Court seats appearing on state government should start optimistic that we will find a way the general election ballots, vot- Sregulating transportation network forward that preserves Lyft safe, af- ers would be companies such as Uber and Lyft. Some fordable rides and flexible economic asked whether called for the companies and their opportunity for North Carolina resi- they wanted drivers to maintain insurance coverage dents,” Wilson said. to retain a jus- that’s more onerous than that required The bill would require a trans- tice for an ad- of taxi drivers while others argued that portation network company — not in- ditional term the state’s current regulations are suf- dividual drivers — to pay a $5,000 an- on the state’s ficient to protect public safety. nual fee to the state Division of Motor highest court. Sen. Floyd McKissick, D-Dur- Vehicles. It also would require drivers H o u s e ham, who along with Sen. Bill Rabon, to carry a $50,000 liability insurance Bill 222 originally would have ap- R-Brunswick, sponsored Senate Bill policy when they are waiting for pas- plied the “retention election” re- 541, said legislation is needed to work sengers to contact them and $1.5 mil- quirement to Supreme Court jus- through issues that have surfaced with lion in coverage from the time a driver tices and judges on the state Court the emergence of the app-based ride- has accepted a ride request until the of Appeals. But the Senate re- sharing companies in recent years. moved the Court of Appeals from passenger has reached his destination. McKissick told the Senate Trans- the bill and passed the measure on McKissick said the insurance liability portation Committee June 10 that the June 1 by a 35-12 vote. coverage is based on model legislation proposed legislation follows a national The House agreed to the Sen- proposed in other states and is higher ate version later that week by a 65- model for regulating such services, than taxis must carry. 49 vote. The change will take ef- adding that Uber and others interested in profound ways,” Hottot said. “Leg- That is more insurance coverage fect beginning with the November in the industry have worked through islators should be careful to ensure than the law requires of taxis. They’re 2016 general election ballot. most of the issues between them in de- they’re requiring what is needed and required to have $30,000 for bodily in- Candidates for the Supreme veloping the legislation. not just what competitors would like jury or death of one person in any one Court run either for the chief jus- “I’d say right now we’ve got to see.” accident, $60,000 for injuries involving tice seat or one of the six associate about 95 percent consensus,” McKis- Hottot said that regulators should two or more people, and $25,000 for justice positions. They serve eight- sick said. “We’ve got about 5 percent be reasonable and not unintentionally property damage. year terms. that we’re still trying to work on.” make it harder for new entrepreneurs The N.C. Utilities Commission All North Carolina judges McKissick said the state needs a to get into business. has separate insurance rules. are elected with no partisan affili- regulatory framework clearly defining “For too long we’ve had 19th- S.B. 541 also sets out require- ation stated on the ballot. If more the levels of insurance coverage neces- century regulations for a 21st-century ments for drivers’ background checks than two candidates file for a seat, sary for companies and drivers to pro- world,” Hottot said. “We need to make while exempting drivers for ride-shar- a primary is held in May before the tect public health and safety. sure we’re being reasonable about ing services from a requirement that general election to whittle down But Sens. Ralph Hise, R-Mitch- what we’re asking of small business- they obtain “For Hire” license tags for the list to two candidates. The two ell, and Tommy Tucker, R-Union, dis- es.” their cars. highest vote-getters then face off agreed. Jeff Barnhart, a lobbyist for Uber, The June 10 committee meeting in the November general election. “Uber is operating in this state thanked the sponsors for the work was to discuss the bill, and no votes That selection process will and doing quite well and providing a they’ve done on the bill. on the measure were scheduled at remain the same for a Supreme good service,” Hise said. “Why do we Chelsea Wilson, a spokeswoman press time. CJ Court justice’s initial election. all of a sudden need to regulate this But a justice seeking a second like something’s on fire and we’ve got or subsequent term would not face to put it out? Why not just let it be?” an opponent and would have to Tucker said that Uber has proved prevail in a retention election. successful. Jokingly, he said, “Govern- The incumbent justice would ment must find a way to regulate. We file notice seeking an additional cannot have people doing well in this term in July of the year before the state without getting a piece of their general election at the end of the action.” justice’s eight-year term. More seriously, he added, “I’ll At the general election near submit that Uber is at the table because the term’s completion, voters they’re scared you’ll run them out of would choose to retain the jus- town.” He said the proposed regula- tice or not. If a majority approves tions would make providing the ser- retention, then the justice will vices more costly. serve another eight-year term. If “I can’t tell you how many times it doesn’t, that seat would become probably Uber [transporting a pa- vacant when the term expires at tron] has saved us from a DUI wreck the end of that calendar year. The governor would appoint or someone killing somebody because a replacement to fill the vacant seat. taxis are not available or they can’t get To win a full term, at the next gen- there as quickly as Uber does,” Tucker eral election the appointed justice continued. “I think it’s a mistake.” would have to defeat an opponent Wesley Hottot, an attorney with in a traditional election. CJ the Institute for Justice, cautioned against overregulation. — BARRY SMITH “Cities’ and states’ regulation of transportation affects small businesses JULY 2015 | CAROLINA JOURNAL PAGE 5 North Carolina N.C. Distillers of Spirits Pleased With Law Allowing On-Premises Sales

By Barry Smith League of North Carolina, echoed Associate Editor those sentiments. RALEIGH “It’s sort of like a chip in the n late June, Gov. Pat McCrory windshield of your car, but then you signed into law House Bill 909, a see the crack spread across the wind- bill allowing North Carolina-based shield,” Creech said. “Every time a Idistilleries to sell one bottle of spirits compromise is made, it always results annually to any adult taking a tour of in an additional compromise. It never the facility, among other changes in fails.” alcohol-related laws. Creech said if the bill became Backers of the measure say it law, it would be the first time that li- could lead to the sort of rapid growth quor would be sold legally outside the among local distilleries that North Car- state’s ABC store system, setting a dan- olina-based microbreweries and winer- gerous precedent. ies have experienced. And though the “The Christian Action League is bill passed by overwhelming margins a strong supporter of control,” Creech in the House and the Senate, it faced said. “That’s what the ‘C’ in ABC resolute opposition from local Alcohol- stands for.” ic Beverage Control boards and some Creech said that such a change religious groups. also would circumvent the state’s The original bill passed the Scott Maitland, proprietor at Top of the Hill Distillery in Chapel Hill, which produces three-tier system of alcohol control, House in April by a 105-8 vote, and it TOPO beverages, said he expects to add employees now that he can sell spirits to under which alcoholic beverages are visitors of his facility. (CJ photo by Don Carrington) did not include the distillery sales pro- shipped from the manufacturer to a vision. A separate measure allowing their operations and work force expo- world,” said Maitland. He said it’s an distributor, which then sells to retail- on-premises distillery sales and tast- nentially.” important marketing tool to be able to ers. And he noted it would run awry of ings at festivals had been introduced Added House Speaker Tim sell directly to customers at the distill- local liquor referendums, since no bal- by Sen. Rick Gunn, R-Alamance, but Moore, R-Cleveland, “We heard from ery. lot has provided for the sale of liquor when H.B. 909 reached the Senate, the business owner after business owner Maitland said the change also at distilleries. bill was amended to add on-premise across the state about ABC provisions would create another revenue stream The new law lets distilleries distillery sales. That version passed the that were impeding company prog- for the state because distilleries would sell a bottle of liquor, marked with a Senate 40-8 and returned to the House. ress. H.B. 909 includes common-sense pay excise and sales taxes on the com- commemorative sticker, to customers Similar bills had been introduced fixes that will quickly translate to eco- memorative bottles. touring the facility. Customers would in previous legislative sessions. In 2013 nomic growth and job creation.” Jon Carr, speaking for the N.C. be limited to one bottle of liquor per a bill introduced by Rep. John Bell, R- Indeed, Scott Maitland, propri- Association of ABC Boards, opposed 12-month period, and the distillery Wayne, was changed in committee. It etor of Top of the Hill Distillery in Cha- the bill. would have to maintain records of called for a study of liquor sales at mi- pel Hill, said he expected to add more “We support the distilleries; we customers buying the liquor for 12 crodistilleries. It passed the House but workers if the bill became law. carry their products,” Carr said. “The months. was not taken up in the Senate. He and other distillery owners sale that they [would] gain is the sale The law also bans the sale of pow- When McCrory signed the bill, had pushed hard for sales outside the that we [would] lose.” dered alcohol, modifies some ABC rules Bell said in a statement: “Wineries and local ABC regime. Carr expressed concern at the for the Eastern Band of Cherokee Indi- breweries are able to sell their product “I cannot tell you how much it precedent the move might set for the ans, and allows producers of hard cider on their premises. Allowing distilleries means to North Carolina distilleries state’s alcoholic beverage control sys- to sell the beverage in “growlers” for to do the same is a reasonable and con- to be able to sell one item per person tem. home consumption, just as breweries sistent solution. Distillery owners will per year to visitors that come because When the bill first reached the can sell beer, ale, and other malt bev- now have a better opportunity to grow we’re competing against some of the Senate, the Rev. Mark Creech, execu- eages in refillable containers that hold a customer base, and thus, expand most well-funded companies in the tive director of the Christian Action two liters or less of the beverage. CJ PAGE 6 JULY 2015 | CAROLINA JOURNAL North Carolina JLF: Renewable Industry Energy Claims Dubious, Analysis Shoddy By CJ Staff cost caps for consumers as the man- RALEIGH date becomes more stringent, Sand- report from a renewable en- ers said. “The worst-case scenario in- ergy industry group fails in volves more than 15,000 lost jobs and its goal of deflecting attention a $600 million hit to the state’s GDP.” Aaway from costs generated by North Sanders describes as “sleight-of- Carolina’s renewable energy mandate. stat” the industry report’s attempt to That’s the assessment of a John Locke claim that electricity rates would be Foundation Spotlight report. (Report even higher in North Carolina without available at http://bit.ly/1GZvRJB.) renewables and energy-efficiency mea- The JLF report dissects ques- sures. “This is based on an update of tionable assumptions and omissions, a 2013 report that has been thoroughly “discredited methodology,” and mis- discredited by economists, thanks to used statistics within material the absurd and mismeasured benefits, ar- N.C. Sustainable Energy Association bitrary calculations, and other fatal is circulating among state lawmak- flaws.” ers. Those lawmakers will decide this The JLF analysis challenges the summer whether to cap North Caro- industry report’s implications that re- lina’s current renewable energy man- newable energy sources are cost-com- date, including an existing cost cap for petitive with traditional sources. “Un- consumers. That cost cap nearly triples til the sun and wind can be summoned this year without legislative action. to produce on an immediate, as-need- “State leaders should cut through ed basis, these energy sources require the noise of slanted, rent-seeking, tai- traditional resources on standby to lored industry reports aimed at influ- back them up,” Sanders said. “Thus it encing them to produce public policies is practically impossible for the renew- favorable to the renewable energy in- able resources to be cheaper than tradi- dustry, at the expense of taxpayers and tional sources.” electric ratepayers,” said report author A key problem with the state’s Jon Sanders, JLF director of regulatory renewable energy mandate stems from studies. “Instead of this flawed indus- the fact that North Carolina electricity try report, lawmakers need a thorough, consumers have no choice in their elec- comprehensive study of North Caro- tricity provider, Sanders said. lina energy policy. This study should “In return for a guaranteed con- bear in mind that the state’s top stake- March 2015 report from the N.C. De- “NCSEA also takes no account of sumer base, a utility company is ex- holders are ratepayers whose chief in- partment of Environment and Natural the mandate’s growing impact in fu- pected to provide reliable power,” terest is low-cost, reliable power at the Resources indicates North Carolina’s ture years,” he said. “The Beacon Hill he said. “Until the renewable energy flip of a switch.” rates have increased by more than 2.5 Institute projected in 2009 that full im- mandate took effect, the utility also Sanders details major flaws in times the national average increase plementation of the renewable energy was expected to provide the least-cost the NCSEA report, titled “Understand- since 2008.” mandate would cost the state almost reliable power. State leaders should re- ing the Impact of Electric Choices on Starting the energy cost timeline 3,600 jobs, $57 million in real dispos- turn North Carolina to this standard — North Carolina Residential Electricity in 2001 presents another problem for able income, $43 million in investment, least-cost reliable power. They should Rates and Bills.” NCSEA, Sanders said. “The industry and $140 million in real state gross do- not use the absence of a free market in Among the flaws: NCSEA down- study takes no account of the state’s mestic product.” electricity as an excuse to enrich spe- plays the role of renewable mandates 2002 Clean Smokestacks Bill, an earlier Those numbers will look even cial interests at the expense of captive in three of the four “drivers” of higher government mandate that has helped worse if the General Assembly scraps ratepayers.” CJ N.C. electricity costs; dilutes the man- drive up utility costs linked to conven- date’s negative impact by measuring tional energy sources,” he said. “Costs electricity prices during years before of that state legislation have been pro- the mandate took effect; ignores an- jected to top $3.2 billion, over seven other critical, government-induced times the initial estimates. The NCSEA Visit driver of electricity costs since 2002; report makes no attempt to determine Carolina Journal Online fails to note that the renewable man- how much this government mandate date is slated to become more stringent has raised state electricity costs.” and costly in the coming years; relies Also lost in the NCSEA study is on faulty analysis that was discredited the fact that North Carolina’s renew- publicly two years ago; misleads read- able energy mandate becomes more ers about relative costs of renewable stringent over time, Sanders said. and traditional energy sources; and When the mandate first took effect, the avoids the impact of shale gas in low- state required utility companies to pro- ering energy costs in recent years. vide at least 3 percent of energy from First, NCSEA emphasizes that renewable sources or energy-efficiency renewable energy mandates have not measures. That number climbs to 6 been the “primary” driver of state elec- percent in 2015. Without action from tricity rate increases since 2001. Instead the General Assembly, the number will the industry report labels utility invest- jump to 12.5 percent within the next six ments in conventional energy sources years. as the primary cost driver. “This creates multiple problems The renewable energy mandate for the industry report,” Sanders said. took effect in 2008, so one might ques- “First, the report captures rates when tion why the industry starts its timeline the mandate was at its smallest: 3 per- in 2001, Sanders said. “Adding in data cent. Even with that smaller mandate, from previous years waters down the costs through 2014 totaled $276 mil- http://carolinajournal.com mandate’s actual effects,” he said. “A lion.” JULY 2015 | CAROLINA JOURNAL PAGE 7 North Carolina JLF: Repealing Certificate of Need Would Boost Health Care

By CJ Staff certificate-of-need requirement nearly process is all about restricting the sup- tals, and operating rooms. RALEIGH 30 years ago. “Originally mandated in ply of health care based on state bu- The JLF report focuses especially orth Carolina lawmakers 1974, it was clear to the federal govern- reaucrats’ determination of the state’s on potential benefits of relaxing CON can boost patient choice, put ment by 1987 that CON did not meet ‘needs.’” restrictions on ambulatory surgery downward pressure on health its original goal,” Restrepo said. “CON The current CON structure is centers, or ASCs. “Relaxing CON deals Ncare costs, and reduce red tape by re- did not effectively restrain health care “outdated and flawed,” Restrepo said. a huge break to patients, as indepen- pealing the state’s certificate-of-need costs.” Her report details the lengthy process dent ASCs are typically reimbursed by law. A John Locke Foundation Spot- Unlike the states that have taken for securing a certificate of need, in- Medicare at 45 percent to 60 percent light report offers that recommen- advantage of the cluding the months less for the same procedure than the dation. (Read the report by visiting end of the federal of delays tied to rates linked to procedures performed http://bit.ly/1MPDIYg.) mandate, North challenges from in a hospital outpatient setting.” The report arrives as the Gen- Carolina continues competing CON Restrepo debunks an argument eral Assembly considers competing to base its central- applications. The from CON supporters that the current proposals for addressing certificate of ized health care overall process can process helps preserve existing health need, or CON, in the future. The bud- planning decisions stretch over several care infrastructure, especially in rural get passed by the Senate in June in- on an annual State years. areas. “To the extent that market forces cluded a provision phasing out CON Medical Facilities Restrepo also can operate under CON, patients already are migrating to access ambula- requirements over roughly three years. Plan, a 450-page exposes a “gaping tory surgical care outside their county The state requires health care pro- inventory of pro- loophole” that ar- viders to acquire a CON before moving viders and services of residence,” she said. “Examples tificially lowers the from Anson and Onslow counties forward with many types of new and offered across the demonstrated need improved services, said report author state. show that many patients forgo care for new hospital op- at the local hospital now and instead Katherine Restrepo, JLF health and hu- A 2005 re- erating rooms. “So- man services policy analyst. form should prove drive to other counties for same-day called procedure surgeries.” “If medical providers have plans instructive to the rooms are not regu- “If the market itself determines a to build or expand an existing health current debate, Re- lated under CON, demand for more ASCs, not only will care facility, offer new services, or up- strepo said. “Gas- so health systems this enhance patient access, but it can date major medical equipment, they troenterologists now have a strong also enable patients to enjoy lower must first ask for the state’s permis- were allowed to perform colonosco- incentive to add more full-blown pro- health care costs,” Restrepo added. sion,” Restrepo said. “Then the CON pies in their own endoscopy units,” “Reforming or repealing the CON law process requires the medical provid- she said. “Utilization of that service in- cedure rooms while completely by- passing the obstacle of gaining state will most likely not compromise pa- er’s plan to survive challenges from creased by 28 percent over four years, tient access to care.” competitors as well.” in part because of the state’s baby approval for more operating rooms,” she explained. “Surgeries performed Those who oversee the CON pro- Thirty-five of the 50 states use boomer population. But overall Medi- cess ultimately pick who gets to com- in procedure rooms are not accounted some sort of CON process. North Car- care savings still amounted to more pete within North Carolina’s health for within the State Medical Facilities olina’s CON law is among the most re- than $224 million within six years since care sector, Restrepo said. “What the strictive, Restrepo said. “North Caro- procedures performed at these free- Plan. Thus it appears on paper that health care industry needs instead is lina burdens health care entrepreneurs standing facilities were reimbursed at there is a low demand for more oper- a strong dose of disruptive innova- with one of the most micromanaged a lower rate than those performed in ating rooms, when the reality could be tion,” she said. “Reforming the CON CON programs in the nation, regulat- full-service hospitals.” quite the contrary.” law will by no means untangle the ing over 25 services that range from or- Those numbers should not sur- While the Senate budget would complexities of health care, but state gan transplants to acute-care hospital prise anyone, Restrepo said. “Basic dismantle the CON law, House Bill 200 lawmakers should capitalize on an beds to ambulatory surgery centers.” economics illustrates that restricting would scale back CON restrictions by opportunity to make one of the most In contrast, 15 states have the supply of health care services, as exempting diagnostic centers, ambula- highly regulated industries a little less scrapped CON laws completely since with anything else, keeps costs ar- tory surgery facilities, gastrointestinal heavy on the red tape and a little more the federal government repealed its tificially high,” she said. “The CON endoscopy rooms, psychiatric hospi- patient-friendly.” CJ Visit our Triangle regional page http://triangle.johnlocke.org

The John Locke Foundation has five regional Web sites span- ning the state from the mountains to the sea.

The Triangle regional page includes news, policy reports and research of interest to people in the Research Triangle area.

It also features the blog Right Angles, featuring commentary on issues confronting Triangle residents.

The John Locke Foundation | 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 Hed here

PAGE 8 JULY 2015 | CAROLINA JOURNAL Education

COMMENTARY Parents, Schools Waiting Pay Teachers A Market Wage For Court Voucher Ruling By Barry Smith issued in May 2014 blocking the appli- n an interview published on are included. Associate Editor cation process and also rescinded the the Capital and Main website, Should all beginning teachers RALEIGH August order ending the program. By- former U.S. Labor Secretary and in North Carolina make as much as arents of students who are rely- passing the Court of Appeals allowed UniversityI of California at Berke- a recent engineering graduate or a ing on Opportunity Scholarship the application process to begin for ley public policy professor Robert junior analyst on Wall Street? High vouchers to offset the cost of pri- students seeking scholarships for the Reich opined that, despite the im- starting wages in these professions vateP school tuition are facing their sec- 2015-16 school year, he said. portance of their jobs, teachers are reflect the fact that demand for ond summer in a row of uncertainty. “I think that the effort they made underpaid compared to suppos- competent engineers and account In August 2014, a few days before was to not have chaos,” Allison said. edly less important professionals. analysts often far outweighs sup- most schools were ready to open, Su- But he said the state’s top court He pointed out that invest- ply. The same cannot be said for perior Court Judge Robert Hobgood shouldn’t wait too long. ment bankers and Wall Street trad- certain educators. ruled the Opportunity Scholarships “To wait until August [for a de- ers make thousands, millions, and The National Council on Program, which provides $4,200 a year cision] would be utter chaos,” Allison even billions more than teachers. Teacher Quality examined the most for children from lower-income fami- said. Even if the Supreme Court doesn’t “The law of supply and demand in recent state and federal data to lies to attend private schools, was un- uphold the program, parents will need terms of wages is not repealed at compare the supply and demand constitutional. some time to seek alternatives, such as the doors of our school for elementary school This summer, a charter school or houses,” Reich declared. teachers. The council that same issue traditional public Some have tried found that in 2013 the is before the N.C. school, he said. mightily to ignore the United States produced Supreme Court. Parents and law of supply and de- 30,000 more elemen- Justices heard oral children aren’t the mand in terms of edu- tary school teachers arguments on the only ones feeling cator wages. But those than were needed to fill issue in February. the stress of being “deniers” are not fat-cat all vacancies. Despite But the state’s high- in limbo. So are the privatizers warring increasing demand in est court has yet to private schools. against public educa- North Carolina, colleges tion, as Reich suggests. issue an opinion on Tammi Peters, and universities in the the validity of the head of school at Instead, teacher unions TERRY state oversupplied the advance policies, includ- program. Fayetteville Christian School, expects STOOPS teacher labor market with “Not only am I praying for it her school to have between 40 and 50 ing experience- and elementary school teach- credential-based salary to come through, I have my fingers children using vouchers. ers. Additionally, college crossed and I’m sitting on the edge of “It does put us in a predicament scales, designed to pro- graduates from dozens of mote fairness, rather than market- my seat,” said LaChrisha Wilson of because we have to go ahead and buy other states seek teaching positions Salisbury, whose 8-year-old son Caleb our books, assuming that these kids based wages. After all, supply and in North Carolina because demand demand matter little when union- attended North Hills Christian School are coming,” Peters said. for jobs in their states is weak. in Salisbury on an Opportunity Schol- Peters said that the school de- friendly policies ensure uniform On the other hand, it makes pay regardless of teachers’ aptitude arship last year and plans to use the cided in late June that it could wait no sense to pay teachers trained in or training. voucher program again this year in the longer. other disciplines a wage that is One need not be a public third grade. “We are going to have to go comparable to their private-sector policy professor to demonstrate Wilson has a younger son, 6-year- ahead and order the books, which will counterparts. The U.S. Depart- ignorance about the teacher labor old Joshua, who plans to attend the be thousands of dollars we’re investing ment of Education report, “Teacher market. For example, a recent Salis- same school. He’ll be in the first grade. Shortage Areas Nationwide Listing in,” Peters said. “We’re talking not just bury Post editorial contended that The Supreme Court announced 1990-1991 through 2015-2016,” a few thousand, but $30,000, $40,000, state legislators should boost teach- last fall that it would hear the appeal indicates that the meager supply and $50,000.” er pay because starting salaries of Hobgood’s ruling. The appeal was and strong demand for math, sci- Peters noted that the wait is tough for educators are low compared to fast-tracked to the Supreme Court, by- ence, and special education teach- on the children’s parents. computer programmers, engineers, passing the usual hearing by the N.C. ers has been a persistent weakness “We feel very badly about the re- accountants, and registered nurses. Court of Appeals. in North Carolina for the last 25 cipients, because it puts them in angst,” Ironically, newspaper reporters did Supporters and opponents of the years. This formula — identical Peters said. not make their list. voucher program hailed the move, pay despite strong demand and Wilson said she is preparing Computer programmers, saying it would give the justices time engineers, accountants, registered meager supply — is one of many for her children to attend North Hills impediments to improving the to resolve the dispute before parents Christian. nurses, as well as other professions and schools had to make plans for the requiring college graduates to quality of our public schools. “I have purchased the uniforms This problem is not limited 2015-16 school year. for one of the children already,” Wilson complete rigorous and specialized Oral arguments, originally sched- to public elementary and second- said. She said she’s hoping both chil- training programs, enjoy higher uled for mid-February, were postponed ary schools. The law of supply dren can go through the private school starting salaries than teachers. a week because of inclement weather. and demand in terms of wages learning environment. According to Michigan State They were held on Feb. 24. University’s 2014-15 Collegiate also is repealed at the doors of our Wilson noted that her son Caleb Darrell Allison, president of Par- Employment Research Institute colleges and universities. Reich’s ents for Educational Freedom in North “actually learned cursive writing,” survey, the average annual starting annual salary at UC-Berkeley is ap- Carolina, which supports the voucher which she said put him ahead of third- salaries for computer program- proximately a quarter of a million program, took an optimistic tone and graders in many traditional public mers and engineers exceed $50,000. dollars, or $180,000 higher than the schools. Accountants and nurses can expect average public school teacher in urged parents not to become too anx- ious. Without the Opportunity Schol- average starting salaries of over California. It is a startling amount, arships, Wilson said she wasn’t sure $43,000 a year. In comparison, considering that the supply of “What we’re encouraging them to do is really lean on that important that her children would be able to at- the annual base salary for a new bloviating liberal college professors tend private school. classroom teacher will increase to far exceeds demand. CJ virtue, that being patience,” Allison “It would be a lot more stressful $35,000 next year. Some urban and said. suburban districts will offer even Dr. Terry Stoops is director of Allison took some measure of sol- for me,” Wilson said. The scholarships higher starting salaries when local research and education studies at the ace in the actions the Supreme Court allow her to work only one job and supplements and extra duty pay John Locke Foundation. has taken so far. Allison noted that the attend some of her children’s school justices had lifted an order Hobgood activities. CJ JULY 2015 | CAROLINA JOURNAL PAGE 9 Education Official: Split Teacher Tenure Should Be No Problem to Implement ing periods have changed,” Winner vested contractual rights for the pur- school districts to offer four-year con- said. ported rationale of making it easier to tracts to 25 percent of their teachers Board spokeswoman “We’re going to do whatever the dismiss ineffective teachers serves no who had at least three years of expe- courts are going to say to do,” Winner public purpose whatsoever.” Judge rience, including a $500 raise in each likens teacher system added. “We have not been involved Martha Geer concurred. year of the contract if they voluntarily in that case at all, so I don’t think it’s Before the case went to trial, relinquished career status before the to principal system probably appropriate for us to com- some national legal experts said that repeal took effect. ment” on the merits or the outcome of the plaintiffs had employed unusual Superior Court Judge Robert By Dan Way the case. legal arguments Hobgood in 2014 ruled against the Associate Editor Two years and seemed un- state at trial, saying the repeal de- RALEIGH ago, the General likely to prevail. prived teachers of property and con- orth Carolina school districts Assembly re- On the oth- tract rights. But he said the state could should face few challenges pealed the state’s er hand, former eliminate career status for those teach- administering a split tenure career status law, state Supreme ers who had not yet attained it. Nsystem for teachers following a state which is akin to Court Justice Bob In summarizing Hobgood’s de- Court of Appeals opinion which kept tenure. The move Orr told Caro- cision, the Appeals Court said when job protection for long-term teachers was intended to lina Journal at the teachers “made their decisions both while eliminating it for those entering make it easier time that a 1998 to accept teaching positions in North the profession, one official says. to dismiss inef- precedent known Carolina school districts and to remain Moreover, said Leanne Winner, fective teachers as the Bailey case in those positions, they reasonably re- spokeswoman for the North Carolina in keeping with gave the teachers lied on the state’s statutory promise School Boards Association, the divided various court a solid chance of that career status protections would be tenure system resembles a similar pro- rulings on the winning. available if they fulfilled those require- cess implemented two decades ago for state Constitu- At the time ments. The protections of the career public school principals. tion’s require- the Appeals status law are a valuable part of the “Assuming that the decision ment to provide Court ruling was overall package of compensation and stands as is, there will be under the students with the issued, Senate benefits.” law one group that will have one set opportunity for a leader Phil Berg- Hobgood also found that of rights, and another group that has sound, basic edu- er, R-Rocking- “[e]ven if there was an actual need for another set of rights,” Winner said. cation. ham, and House Speaker Tim Moore, school administrators to have greater “It’s not a new concept for school Lawmakers made the repeal ret- R-Cleveland, released a joint state- latitude to dismiss ineffective career districts to have that, and there are roactive for teachers who already had ment saying they were disappointed, status teachers, that objective could other situations where you have em- attained career status, and eliminated reviewing the ruling, and considering have been accomplished through less ployees under different scenarios,” it going forward for those who had not options. Because the Appeals Court drastic means, such as by amending Winner said. “When principal tenure completed the mandatory four years decision was not unanimous, the state the grounds for dismissing teachers for was eliminated [in 1995], those who of probationary teaching required for Supreme Court would have to accept performance-related reasons.” already had it were grandfathered in.” eligibility. the case on appeal if the state chooses Based on the record and review School systems have to conduct The North Carolina Association that option. of the case law, Stephens wrote, “we bookkeeping for both those princi- of Educators and seven teachers filed Neither Berger, Moore, Attor- conclude that the trial court did not err pal tracks, just as they must maintain suit to overturn the law. In a 2-1 opin- ney General Roy Cooper, nor NCAE in its determination that career status separate benefits schemes for state em- ion written by Judge Linda Stephens President Rodney Ellis responded to rights constitute a valuable employ- ployees who work in a district versus and released earlier in June, the Ap- requests for comment. ment benefit,” and that repeal “sub- school district employees, she said. peals Court panel concluded that “the The plaintiffs argued that the stantially impairs plaintiffs’ vested “Some of them have different substantial impairments the Career General Assembly unconstitution- contractual rights.” health benefit rights because the vest- Status Repeal imposes on Plaintiffs’ ally deprived teachers of contract and In dissent, Judge Chris Dillon property rights by repealing career said tenure repeal should be interpret- status, which gives veteran teachers ed as a legislative policy rather than continuing contracts as opposed to the the ending of a contractual right. annual contracts they receive during “Policies, unlike contracts, are their four-year probationary period. inherently subject to revision and re- Under the previous law, teachers peal, and to construe laws as contracts with career status could be dismissed, when the obligation is not clearly and demoted, or shifted to part-time status unequivocally expressed would be to for only 15 reasons, including inad- limit drastically the essential powers equate performance, insubordination, of the legislative body,” Dillon wrote. and neglect of duty. But a series of “I am also persuaded by the de- hearings were required to be held be- cisions from the highest courts of the fore any of those actions could be taken other states which have seemingly uni- against a career status teacher. Under the repeal law, teachers versally concluded that statutes estab- would receive one-, two-, or four-year lishing tenure for public employees do contracts, and school boards had the not create constitutionally protected option of renewing a teacher’s con- contract rights,” Dillon wrote. tract. Nonrenewal was possible so long “The language of the career sta- as it was not “arbitrary, capricious, dis- tus law compels a conclusion that a criminatory, for personal or political status was created for career teachers reasons, or on any basis prohibited by rather than a contract right,” he wrote. state or federal law.” “As such, I believe the General Assem- But the repeal provided no right bly is not restricted by the Contract to a hearing, even though school dis- Clause from modifying the law as it tricts could conduct a hearing if re- has done so on several occasions since quested. The repeal further directed its passage in 1971.” CJ PAGE 10 JULY 2015 | CAROLINA JOURNAL Education Bill Would Require Asking Teachers Why They Are Leaving Jobs By Dan Way to be identified, which could violate of Public Instruction has collected and aired during budget debates and elec- Associate Editor the confidentiality of that information categorized teacher turnover data for tion campaigns. RALEIGH and lead to a lawsuit. each school district in the state,” said The political overtones were evi- bill that would allow the state Both House and Senate versions Terry Stoops, director of research and dent during House Committee on Ed- to gather more detailed infor- would require the annual state report education studies at the John Locke ucation K-12 debate on the bill. Dem- mation on why teachers leave to include six new items: Foundation. ocrats repeatedly pushed to include theA state and the profession — a topic • The number of teachers who ac- Stoops said including the evalua- teacher pay as a specific question on that has become a political football for cepted jobs that were unrelated to edu- tion data is important for policymakers the new survey. both parties — was in conference com- cation, and the reasons the teachers are and school leaders. “If low-performing “We’re always talking about mittee at press time as lawmakers re- not remaining in teachers are teacher pay, and that that was one of solved differences in the House and the profession. leaving the pro- the reasons why teachers were leav- Senate versions. • The num- fession, then ing North Carolina, so I just wanted Senate Bill 333 directs the State ber of teachers there is little to make sure that was included in the Board of Education to “adopt stan- who resigned to cause for con- question of teacher pay, and not being dard procedures for each local board teach in other cern,” Stoops of education to use in requesting the states. said. “If public able to provide for a family,” Rep. Tri- information from teachers who are not • The num- schools cannot cia Cotham, D-Mecklenburg, said dur- continuing to work as teachers in the ber of teachers retain high-per- ing debate. local school administrative unit.” who accepted forming teach- “There’s going to be a lot of rea- It also requires the local school jobs at other ers, then legisla- sons a teacher is going to list” for leav- board to report the information to the schools in North tors can respond ing a job, said Rep. Rick Glazier, D- State Board of Education in a standard Carolina, includ- by enacting laws Cumberland. But there will be some format. ing nonpub- and policies categories that rank higher than others. “We want to know what’s going lic and charter that strengthen “It seems to me you almost have on so we can better look at how do we schools. teacher reten- to, to make it usable, have a function- attract and retain our best and highly • The num- tion, such as al subset of the categories to say 752 effective teachers in a school system,” ber of teachers expanding per- teachers left because of pay, 600 left said bill sponsor Sen. Dan Soucek, R- who left a class- formance and because their principal didn’t support Watauga. The current teacher attrition room position for another education incentive pay opportunities.” them,” Glazier said. survey is voluntary, and all informa- job. As it is currently designed, DPI’s “I think that when we start ask- tion is self-reported. • The number of hard-to-staff teacher turnover report “is more useful ing specific questions like that there’s While the Senate and House schools identified as low-performing for scoring political points than formu- no limit to which questions should be passed the bill with no opposition, the schools. Low-performing schools are lating judicious public policy,” Stoops asked,” Soucek said. “That’s trying to House version added an amendment defined as those that fail to meet mini- said. “This bill is a long-needed step in put a political aspect into what’s being mum growth standards as defined by the other direction.” requiring the report to include effec- collected. We’re trying to collect data tiveness ratings of those teachers as re- the state board and have a majority Teacher pay has come into fo- that doesn’t have as much of a political ported in the North Carolina Educator of students performing below grade cus when the annual turnover reports overtone to it.” Evaluation System. level. are released. Democrats commonly The bill as worded is “a cleaner The Senate refused to agree with • The number of positions in claim that inadequate compensation those changes, so a committee of House hard-to-staff subjects as defined by the is a principal reason teachers leave for collection of data that’s going to be and Senate members will hash out dif- U.S. Department of Education, along other professions or other states. Re- more useful” than the present survey, ferences. Soucek urged fellow senators with a count of the open teaching posi- publicans point to other factors on the he said. to reject the amended House version, tions in any subject area that have been annual survey as evidence that pay is “This simply asks teachers why saying a report using effectiveness unfilled for at least 16 months at a local not as great a concern as other circum- they are leaving. We don’t need to sug- data in small counties with low turn- district school. stances. gest the answers to them,” said Rep. over might allow specific individuals “For years, the state Department In the end, those arguments are Jimmy Dixon, R-Duplin. CJ Keep Up With the General Assembly Be sure to visit CarolinaJournal.com often for the latest on what’s going on during the North Carolina General Assembly. CJ writers are posting several news stories daily. And for real-time coverage of breaking events, be sure to follow us on Twitter:

CAROLINA JOURNAL: http://www.twitter.com/CarolinaJournal JOHN LOCKE FOUNDATION: http://www.twitter.com/JohnLockeNC JULY 2015 | CAROLINA JOURNAL PAGE 11 Local Government Bar Owners Urging Raleigh COMMENTARY Sales Tax Shift Not to Limit Patio Dining And Politics of Envy Kari Travis 5:30 in the afternoon, so we don’t have he budget the N.C. Senate sales tax collections are much lower Associate Editor nighttime enforcement as far as zoning passed is a vast document, in, say, Anson County than Meck- RALEIGH is concerned at this point. We take re- with many controversial mea- lenburg County — two counties he Raleigh City Council has halt- sponsibility, and we’re going to fix it. Tsures. But no proposal has gener- over — is that per-capita income ed discussion about its outdoor But that goes two ways.” ated more criticism than the one is much higher in Mecklenburg seating ordinance until August, Mutual enforcement should be changing how the state distributes County than Anson County. Tbut overcrowding and public safety is- straightforward, said David, suggest- sales tax receipts to counties across What the proposed tax dis- sues must be addressed, Assistant City ing that restaurant and bar owners the state. tribution shuffle is all about is that Manager Marchell Adams David told take pictures of their outdoor seating Currently, 75 percent of sales politicians from less-affluent rural a June 18 meeting of the city’s hospital- areas and email them to city staffers for tax money goes to the county in areas want city slickers to help pay ity committee. compliance purposes. which it was collected with the for their local governments. “Let’s be real honest, folks,” Da- Additionally, the city is looking remaining 25 percent distributed It’s easy to understand the vid said at the to expand its zon- based upon population. The Sen- frustration in rural counties. Sales committee’s initial ing enforcement ate budget would essentially flip tax collections aren’t what they once meeting. “Fayette- team — though that on its head, to 80 percent based were. In fiscal year 2007, sales tax ville Street today the current budget upon population and 20 percent receipts came in at about $2.8 billion doesn’t look like doesn’t provide based upon sales. and made up 21.7 percent the Fayetteville enough fund- The change would of local government rev- Street of 10 years ing, David said. create some definite enue. Then came the Great ago. Regardless Raleigh’s Police winners and losers — Recession, and by 2010, of how you look Department will Franklin, Granville, and sales tax collections had at it, or how you boost PUPS rule Harnett would see sales fallen by one-fourth and see it, it is truly a enforcement until tax revenues increase by made up only 15.6 per- privilege to be on the city is able to more than 40 percent, cent of local government a public sidewalk. hire more staffers, while New Hanover revenue. It is not a right. So Bar owners say the city never consulted she added. County would see its Things have gotten a ... we are trying them before proposing changes to rules “There’s no sales tax collections drop little better since 2010, but to look at public governing outdoor dining. (CJ photo by need to put or by nearly 17 percent. MICHAEL sales tax collections still spaces and figure Kari Travis) place blame any- Backers of the Sen- LOWREY made up only 16.5 percent out how there can where,” David ate measure claim the of local revenues in fiscal be ease of access and ability [for pedes- said. “We have happened upon the change is necessary to year 2013. Even Wake and trians] to pass on the sidewalk.” issues. Now we need to fix the issues. help rural counties with Mecklenburg counties Pedestrian safety and traffic is- Owning our part and stepping up en- residents who buy a lot of stuff in took less in sales tax revenues in sues brought to the city’s attention in forcement is the first step in which we big cities. 2014 than they did in 2007 — and mid-May spurred a June 1 proposal to as interim staff can address those is- Is there such a thing as desti- that’s in nominal terms, ignoring revise the Private Use of Public Spaces sues. I’m just going to … ask that [res- nation shopping? Certainly, and if seven years of inflation and rapid handbook. The proposed change ini- taurant owners] do the same.” you’ve ever been to IKEA in Char- population growth in both counties. tially would have banned outdoor din- Restaurants and bars can help lotte on a Saturday, you’ve seen it The flip side of this is that ing for establishments that make less manage sidewalk traffic by placing in person. Does that mean that the local governments have become than 30 percent of their revenue from stanchions around all sidewalk-dining current differences in sales tax col- much more dependent on property food. Protests ensued from owners of areas prior to Raleigh’s crowded July 4 lections between counties are just a tax revenues. Politicians, of course, several downtown pubs — many of celebration, David said. result of regional shopping pat- much prefer sales taxes to property whom felt the changes were sprung on In the meantime, actual revisions terns? Absolutely not. taxes. them with little notice. to PUPS rules remain under discus- Most If Repub- “The biggest problem we have is sion, but are no longer limited to the obviously, per- lican state sena- that they didn’t consult the business original option that would ban patio capita personal tors think local owners with the initial draft of this or- privileges for drinking establishments. income varies governments in dinance, which didn’t make sense be- Two additional options being widely across Rural counties poorer com- cause we’re the ones that understand discussed would allow bars and pri- the state, from want city dwellers munities need what’s going on out there every night,” vate clubs to keep outdoor seating a high in 2013 help paying for said Zack Medford, owner of Fayette- permits so long as they enforced lim- of $53,336 to pay for services, and ville Street’s Paddy O’Beers. its such as providing sidewalk clear- in Chatham this is critical for Medford, who said his pub de- ance for pedestrians, separating their County to a low their local the state’s eco- pends on outdoor seating to draw a patrons from the public, and limiting of $26,821 in nomic develop- crowd, immediately teamed up with governments how many people dined or drank out- Anson County. ment, then they other bar owners to call for clear com- doors. Both alternatives are preferable Demographics should show the munication between local businesses to bar owners like Medford, who says play a role, too, moral courage and city staffers. as household size and employment to make this subsidy a line item in The result was a plan for a hospi- the city is moving in the right direction by discussing alternatives with local levels vary widely among commu- the state budget. Their current plan tality committee to help all downtown nities. Tourism, which not all places is an exercise in the politics of envy, restaurants and bars comply with the businesses. “It’s tough when you have a full enjoy equally, also is a factor. one that — as Gov. Pat McCrory existing PUPS handbook, and to dis- Given that local sales tax said — “would result in a hidden room and everyone has a different per- cuss revisions that satisfy everyone includes groceries, and there are tax increase on millions of people spective,” he said. “But that doesn’t involved, said David, who argued at grocery stores outside of the state’s in North Carolina, from the coast mean that I’m not optimistic. I think a recent Law and Public Safety Com- largest counties, it’s difficult to to the Piedmont and to the moun- it shows that the city is listening to us mittee hearing that the city’s zoning argue with a straight face that rural- tains.” CJ enforcement was too lax. now, and that’s the most important to-urban shopping patterns are the “Many of the things we currently thing.” dominant factor in the sales tax have on the books are very hard to en- The city council will vote during distribution. Michael Lowrey is an associate force,” David told the hospitality com- the first week of August on changes to No, the main reason per-capita editor of Carolina Journal. mittee. “The zoning staff goes home at the PUPS handbook, David said. CJ PAGE 12 JULY 2015 | CAROLINA JOURNAL Local Government Town and County Developer Sues, Says G’boro Stiffed Him on Grant Local design standards By Sam A. Hieb mant that no promises were made to Robert. Contributor The General Assembly has “I can unequivocally say I made no claims on behalf of passed legislation limiting the GREENSBORO the city or as mayor,” Perkins told CJ. “I don’t know where ability of local governments to developer is suing the city of Greensboro for what he [Robert] is coming from.” regulate the appearance of sin- claims is his promised share of a $6.6 million federal When asked about the March 11, 2012, meeting with gle-family houses and duplexes. brownfields grant. Robert and Roth, Perkins said, “I don’t remember that. I had Backers of the bill argued that AThe lawsuit was filed in Guilford County Superior hundreds of meetings as mayor.” such standards drive up housing Court by Eric Robert, manager of QUB Studios, also known In a 2012 study analyzing brownfields grants from prices, reports WRAL News. as the “Mill,” a mixed-use development in the former North 2002-07, HUD stated Greensboro would use funds “to fi- Examples of the types of State Mill building on the south side of downtown. nance pre-development costs” for the South Elm street proj- amenities that towns and coun- Brownfield is the legal term for property containing ect, which included “acquisition of real property, relocation ties no longer could regulate with some sort of regulated hazardous material that must be re- payments, clearance, demolition and removal, infrastruc- design standards include siding, moved or treated before ture upgrades, and site doors, windows, and roofing ma- the land or buildings can preparation.” terials, exterior decorations, and be redeveloped or sold. While that process house color. In a letter to Greens- was working its way Localities still can regulate boro City Attorney Tom through the federal bu- the appearance of commercial Carruthers, Scott Hale, reaucracy, Robert was in- buildings and apartments. Nor Robert’s attorney, reiter- vesting into the Mill and does the law affect design stan- ated his client’s “final, for- made a big score in 2014 dards created by historic districts or homeowners’ associations. mal demand for immedi- when Prospect Brands — “Unless we’re willing to ate payment of the no less owner of Duckhead Ap- change what our view of zoning than $1,037,166 that the parel and Gerbing Heated is, then too many cities and mu- city obtained by represent- Clothing — announced nicipalities have gone too far,” ing QUB to be an intended it would move its corpo- said Rep. Rick Glazier, D-Cum- beneficiary of the over rate headquarters into the berland, supporting the measure. $6,648,500 received by the Mill. Much of the opposition City.” In the meantime, the came from coastal residents con- In the suit, Robert rest of the area is starting cerned that the new rules would claims Greensboro “has to show life, albeit in the allow homeowners to add bed- breached the contracts it This photo of The Mill redevelopment project is from The Mill’s form of so-called “private- rooms to existing houses, thus entered into to fund the Facebook page (http://on.fb.me/1RppU8c). public partnerships.” creating rental “beach party hous- South Elm Street Redevel- In November 2013 es.” opment by failing and refusing to provide any funds for the city leaders — including Perkins, who was a lame-duck Rep. Pat McElraft, R-Cart- remediation or renovation of the Mill, proximately causing mayor following his loss to Vaughan earlier in the month eret, dismissed such concerns, Mr. Robert and QUB to suffer actual, special incidental, and — gathered at the site to announce plans for the new Down- noting that bigger homes “pay consequential damage. …” town University Campus. for our education in our coastal The suit quotes the city’s application for a HUD The project since has been rebranded Union Square counties.” Brownfields Economic Development grant, which stated Campus and at the moment is proposed to be a three-story, “rehabilitation on the North State Mill complex for studios 83,000-square-foot building that would serve as a health Airport taxis, ride shares or housing can begin as soon as the building is cleared for care training facility for nursing students from three area asbestos and lead paint” — as well as the application for colleges and medical workers from Cone Health. Charlotte Douglas Interna- a Section 108 Guaranteed Loan, which The $35 million “campus” will be tional Airport seems willing to stated, “The project includes the follow- owned and managed by Union Square recognize ride-sharing companies ing principal activities: Rehabilitation Campus Inc., a new nonprofit organiza- like Lyft and Uber but wants to of a mill building for 22-30 studio, office “Make no keep limiting the number of taxi- tion whose board includes Ed Kitchen, and/or residential units.” vice president of the Joseph M. Bryan cabs that can pick up passengers, “Make no mistake. The city has mistake. The writes The Charlotte Observer. Foundation of Greater Greensboro, as used my property to secure those In 2011, the city restricted city has used my well as presidents from the four major funds,” Robert told Carolina Journal. the number of taxi companies area colleges. that could operate at the airport The suit also cites a March 11, property to secure Funding sources are evolving, but to three while also limiting the 2012, meeting with Mayor Robbie Per- those funds” the campus received a major infusion of number of cabs approved to pick kins and interim City Manager Denise cash in the form of $17 million in rev- Turner Roth in which they “represented up fares there. Several cab compa- enue bonds approved in April by the to Mr. Robert that funds for the South nies that lost the ability to pick up Republican-controlled Board of Com- Elm Street Redevelopment Project would be paid to QUB passengers have gone out of busi- missioners. and Mr. Robert in late 2013.” ness. But that still leaves more than half the cost uncovered. Interim aviation director That meeting is referenced in a letter to Robert from According to the Union Square Campus website, $10 mil- Brent Cagle said that taxi limits Assistant City Manager Andy Scott, who wrote, “the city remain a priority. will suggest that certain improvements to the Old Mill be lion to $15 million will come from “benevolent sources and “We aren’t as interested in included in the next round of financing for the South Elm grants,” while $16 million to $22 million in debt service will the number of companies as the Street Redevelopment Project. It is anticipated the funds be “covered by lease payments from tenants.” number of permits or cars,” he should be available in late 2013.” Site work has begun on Union Square Campus, so it said. “The number is important Roth, who later would be named city manager on a looks like this project — however it evolves — might stick. because at some point we need permanent basis, left Greensboro to serve in the federal gov- It’s the latest of a long list of proposed projects for the corner to ensure the drivers can make an ernment and recently was nominated by President Obama of South Elm and Lee — a minor league baseball stadium, adequate wage.” as administrator of the General Services Administration. a luxury hotel, a new administration building for Guilford As for ride-share services Roth did not respond to a request for an interview. County Schools. such as Uber and Lyft, Cagle en- When contacted by CJ, Scott, who now works in the Meanwhile, Robert — who’s been there the whole time visions them operating from the city’s economic and business development department, de- — wonders if the city ever will make good on the promises airport but isn’t sure what fees the clined comment, citing the issue as an ongoing legal matter. he claims they made. airport would charge. CJ However, Perkins, who was defeated by current May- “I thought they would then turn around and or Nancy Vaughan in the 2013 municipal election, was ada- do the right thing,” he said. CJ JULY 2015 | CAROLINA JOURNAL PAGE 13 Local Government Appeals Court: Cyberbullying Law Not Unconstitutional By Michael Lowrey the state’s appellate courts hadn’t ex- types of content — “private, personal, instrumentalities to intimidate or Associate Editor amined the constitutionality of the or sexual information pertaining to a torment Dillion resulted in a jury RALEIGH cyberbullying law. At trial and again minor” while the harassing phone call finding him guilty under the cyber- n 2009, the General Assembly before the Court of Appeals, Bishop’s law hadn’t addressed the content of bullying statute. passed a law prohibiting cyberbul- attorneys argued that the statute was the calls. The cyberbullying statute is lying — the use of the Internet or void because it was overly broad and The appeals court rejected this not directed at prohibiting the com- Isocial media networks for deliberate criminalized speech protected by the distinction. munication of thoughts or ideas via harassment — of minors. Does the law First Amendment. “The United the Internet. It prohibits the inten- violate the First Amendment’s guaran- “Defendant States Supreme tional and specific conduct of intimi- tee of freedom of speech? asserts the statute The North Carolina Courts Court held a regu- dating or tormenting a minor. This In a June decision in a case from criminalizes both lation of speech conduct falls outside the purview of Alamance County, the state’s second- the narrow cat- which appears the First Amendment. highest court decided that the cyber- egories of speech to be content- The appeals court distinguished bullying law passes First Amendment historically de- based on its face North Carolina’s law from an Albany, muster because it attempts to prohibit nied First Amend- will be deemed N.Y., cyberbullying restriction that was the intent to “torment” a minor by ment protection, content-neutral, struck down as overbroad. The Albany making specific claims of a personal or as well as a broad if motivated by a provision covered all forms of elec- sexual nature over online networks. array of constitu- permissible con- tronic communications, including ham During the 2011-12 school year, tionally protected tent-neutral pur- radio and telegram, and extended to Dillion Price was a sophomore at speech,” wrote Judge John Tyson for pose,” wrote Tyson: adults and corporations. North Caroli- Southern Alamance High School. Not the appeals court. “We disagree.” The cyberbullying statute pun- na’s law is more narrowly focused, the long after the school year began, sev- An individual may challenge ishes the act of posting or encourag- court noted, prohibiting only the dis- eral of Price’s classmates began post- a law as overly broad even if it was ing another to post on the Internet closure of “private, personal, or sexual ing derogatory pictures and comments properly applied with the intent on his Facebook page. Price’s mother to him, as the U.S. to intimidate or information pertaining to the minor” eventually discovered the posts and Supreme Court torment. Like on the Internet with the specific intent contacted local law enforcement. has held that the The court did not the telephone, to intimidate or torment a minor. Robert Bishop was arrested in existence of an the Internet can The appeals court did not address February 2012 and charged with one overly expansive address a also be used as an whether a separate cyberstalking stat- count of cyberbullying for online com- law may cause instrumentality ute that applies to adults might be un- ments he made about Price, including others to refrain cyberstalking law for communica- constitutionally vague, as Bishop did those stating: “Anyone who would from engaging in tion. However, not argue the point at his trial. Some be so defensive over Dillion can’t be constitutionally that applies its use for shar- critics have noted that the cyberstalk- too intelligent”; “I never got to slap protected speech to adults ing thoughts and ing law’s wording does not appear to him down before Christmas Break,” or expression. The ideas does not clarify what conduct it aims to prohib- followed by a “sad face” icon; and “I doctrine can ex- prevent the In- it, making enforcement arbitrary, heard that his anus was permanent- tend to conduct as ternet from also Court of Appeals rulings are ly stressed from having awkwardly well as speech. being used as a mechanism for in- binding interpretations of state law un- shaped penises in it.” For its part, the state claimed that dividuals to engage in harassing or less overturned by a higher court. The A jury convicted Bishop, who the cyberbullying statute was much tormenting conduct. N.C. Supreme Court is not required to received a sentence of 30 days in jail, like North Carolina’s harassing tele- It was not the content of de- hear the case if Bishop appeals as the which was suspended, and four years phone call law, which the Court of Ap- fendant’s Facebook comments that decision by the three-judge panel of of supervised probation. Bishop appeals has upheld. Bishop attempted to led to his conviction of cyberbully- the appeals court was unanimous. pealed his conviction. distinguish the cyberbullying law, noting. Rather, his specific intent to use The case is State v Bishop (14- Though adopted six years ago, ing that it prohibited posting certain those comments and the Internet as 1227). CJ Solar Credits, Incentives Enrich Business, Cost Users Continued from Page 1 She said the 2014 Revenue De- Among objections to the renew- abuse or fraud. Moreover, develop- partment report shows that $717.6 mil- able tax credits is their uniquely trans- ment partnerships may claim multiple, ness for big business. lion was invested in renewable energy ferable nature. While the credits can- separate tax credits on the same proj- The state has issued $224,508,181 projects that utilized the Renewable not change ownership and, technically, ect rather than limiting them to one tax in tax credits since 2010, according to Energy Investment Tax Credit. cannot be transferred, the law is writ- credit per facility. Revenue Department records. “These investments from banks, ten in such a way as to make that the The solar industry is pushing Aside from Duke and BCBS, the insurance, and other companies in practical outcome. back against proposed legislation cap- lion’s share of the largest tax credits North Carolina are leading to $1.54 Here’s how that works. The ping the legislatively mandated pur- since 2010 went to insurance compa- in tax revenue for state and local gov- original developer and investor form chase of renewable energy at 6 percent nies and banks. Those include Met- ernments for every $1 of tax credit a flow-through partnership allocating of utilities’ power mix. Without the ropolitan Life ($15,203,523), Bank claimed,” Eckley said. installment shares of the tax credits cap, the requirement to use renewable of America ($7,969,794), and BB&T Economists at the Beacon Hill In- over a period of years. energy will rise to 12.5 percent by 2021. ($6,672,487). stitute of Suffolk University criticized According to the Revenue De- One of the most vocal critics of “It is very common for banks or the study touted by the renewable in- partment, if a partner sells his inter- the tax credits is state Rep. Chris Millis, insurance companies with tax liability dustry showing tax revenue and jobs est in the flow-through entity after the R-Pender, who unsuccessfully pushed in North Carolina to have full or par- gains in North Carolina from renew- first taxable year, the buyer can claim legislation this session sunsetting the tial ownership in renewable energy, ables. the former partner’s share of the credit. 35 percent tax credit. “Why should the hard-earned historic preservation, and low-income Some state lawmakers disagree Technically, the credit stayed with the dollars of my constituents be taken by housing projects” to qualify for tax with the renewable industry’s study as partnership, even though the partners way of their tax bills and their power credits that offset their tax burden, said well and want to eliminate the state’s changed. bills to underwrite the prosperity of an Allison Eckley, spokeswoman for the renewable tax credits, which are set to There are doubts about how N.C. Sustainable Energy Association. expire at the end of this year. closely the program is monitored for Continued as “Solar,” Page 15 PAGE 14 JULY 2015 | CAROLINA JOURNAL From Page 1 McCrory Standing Firm in Support of I-77 Toll Road Project

Continued from Page 1 bonds, and $248 million from Mobility Partners. CJ pointed out to Mobility project. The hurdle is the perception Partners that those components add of spending $50 [million] to $100 mil- up to $632 million, not the announced lion in contract termination fees,” Tarte $648 million. “There is interest income said. and capitalized interest that makes up “When this project started, NC- the majority of the difference,” Mobil- DOT told us that it had to be managed ity Partners spokeswoman Jean Leier toll lanes or nothing, but now there are told CJ. other ways. I think NCDOT is emo- The agreement contains a provi- tionally attached to a bad decision and sion for Mobility Partners to make a can’t change directions,” he said. claim against NCDOT if the depart- The project would be the second ment were to build additional lanes toll road project to be built in North that result in a loss of toll revenues to Carolina and the first operated using a Mobility Partners. Opponents of the public-private partnership. project have referred to this provision Even though the contract has as a “noncompete clause.” been signed, opponents appear to be gaining momentum. On June 16, the Opponents Mecklenburg County Board of Com- missioners passed a resolution ask- Area residents Kurt Naas, Mac ing McCrory and NCDOT to cancel McAlpine, and Chuck Suter are among the contract and explore alternatives the most visible opponents of the proj- to road improvements without using ect. Naas and others set up Widen I-77, tolls. a nonprofit dedicated to pushing for And on June 22, the Lake Norman alternatives to the toll project. The or- Chamber of Commerce passed a reso- ganization has filed a lawsuit to stop lution urging the termination of the the project, and its website, wideni77. project. In a press release, the chamber org, has information about the suit. said it polled its 1,000 business mem- McAlpine brought together ap- bers, and 94 percent of those respond- proximately 150 Lake Norman area ing oppose tolling the corridor. business owners in May for an event To date, nine local governments named “Emergency Call to Action.” At have passed resolutions asking NC- the event, McAlpine argued that the DOT to rethink the project. The I-77 project would add one toll lane in each direction in the median of this sec- I-77 toll project would harm the region. At press time, a group of Lake tion of the highway near Cornelius. Above left is an aerial view of how it looked on a He noted that Mobility Partners could recent weekday. On the right is a Carolina Journal photo illustration superimposing collect as much as $13 billion in tolls Norman area business people had the two one-way lanes in what is currently the median. (CJ photo by Don Carrington) planned to travel to Raleigh on a bus over the life of the contract. McAlpine on June 30 to hold a press conference lanes will help resolve current and fu- safer, and more predictable travel for characterized the $144.5 million pay- and meet with legislators, to urge them ture congestion problems. The agency drivers who choose to use the lanes. ment from NCDOT to the CRTPO as to scrap the project. decided to use a public private part- Toll rates will fluctuate periodically “a bribe.” nership to accelerate the project rather based on the level of traffic in order Suter runs Constitutional War, a The project than submit it to NCDOT’s often-com- to ensure that express lanes drivers website and grass-roots organization plex system of selecting and prioritiz- travel at faster, more predictable rates “focused on saving lives, protecting After the Charlotte Regional ing road projects. of speed. As traffic levels and demand our freedoms, pushing for lower tax- Transportation Planning Organization The design calls for closing the increase, the toll price increases to keep es, demanding smaller government, approved the toll concept in 2007, NC- current high-occupancy (carpool) vehicles moving. Once traffic volumes and defending the Constitution of the DOT proceeded with developing the lanes in each direction along the cor- drop, the price goes down. Vehicles United States of America.” Suter has details. The CRTPO comprises Meck- ridor and converting them to express with three or more occupants and pub- spoken against the project in public lenburg, Union, and Iredell counties toll lanes. A second express lane would lic transit buses can use the express forums, including to the Mecklenburg and the incorporated towns within be added so that when the project is lanes at no charge.” County Commission and the Davidson them. The section of I-77 that is the complete, there will two express lanes Drivers still may use the general- Town Commission. He also has posted object of the plan passes through the in each direction for the southernmost purpose lanes for free. Trucks will not several videos of local government corporate limits of Charlotte, Hunt- 18 miles and a single express lane in be permitted on the express lanes. Ve- bodies discussing the project. ersville, Cornelius, Davidson, and each direction for the eight-mile north- hicles using the express lanes will be Mecklenburg County Commis- Mooresville, an area often referred to ern section. Drivers can enter or exit monitored with a transponder or by sioner Jim Puckett, a Republican, is as the Lake Norman Region. the express lanes at either end of the having the license tag photographed. another frequent critic of the toll proj- The lake, created 50 years ago by project and at five other planned ac- Vehicle owners will receive a bill in the ect. On June 12, The Charlotte Observer Duke Power, is the largest in North Car- cess points. mail. There will be no toll plazas. published an open letter from Puckett olina. The area has seen rapid growth, Mobility Partners will observe Mobility Partners has not deter- to McCrory urging him to reconsider and traffic on I-77, the main north- traffic flows and says it can adjust toll mined maximum toll prices, but oppo- the project. south corridor, is frequently slow or at rates at five-minute intervals. It has a nents are estimating a round-trip using “Pat, you once famously sug- a standstill during peak times. contractual requirement to maintain the toll lanes could be as high as $20. gested folks not put their stupid hat Two years ago, the General As- traffic flow in the express lanes ata The agreement is structured for Mobil- on,” Puckett stated in his letter to the sembly passed the Strategic Transpor- speed no less than 45 miles per hour, ity Partners to keep the toll proceeds, governor. “I respectfully ask you sir to tation Investments Law containing and tolls will be manipulated to ensure but there is a complex provision call- take your stupid hat off. You have suc- a provision allowing incentives for that this traffic speed is maintained. ing for a portion of excess profits to be cessfully provided new tools for road regional planning organizations that For instance, if traffic in the toll lanes returned to NCDOT. expansion. Use those tools. Do what approve toll projects. The money can begins to bog down, the tolls will be According to a May press release you went to Raleigh to do, bring logic be used to speed up other transporta- increased to discourage users. from Mobility Partners, the total cost of to challenges and return responsibility tion projects. NCDOT offered CRTPO As Mobility Partners explains the project is $648 million, and will con- to leadership.” $144.5 million in incentives to approve it, “The I-77 Express Lanes use con- sist of a $95 million contribution from Former GOP state Rep. Robert the I-77 toll project. gestion-management pricing to help NCDOT, a $189 million federal gov- Brawley of Mooresville told CJ that NCDOT says the I-77 express manage traffic flow and provide faster, ernment loan, $100 million in private Continued as “McCrory,” Page 15 JULY 2015 | CAROLINA JOURNAL PAGE 15 From Page 1 Solar Tax Credits, Incentives Enrich Business, Cost Ratepayers Williams said. Continued from Page 13 WHO BENEFITS Duke has not taken a position on the tax credit industry that provides no net economic or environ- Aside from Duke Energy, and Blue Cross and Blue Shield, the companies that benefited most from large debate in the legislature, he said. mental benefit to their person?” Millis asked. “We believe a decision on whether to extend or The $224.5 million in tax credits issued since renewable tax credits claimed on renewable energy projects in 2014 include: allow the program to sunset is a decision best suited 2010 may understate the magnitude of the payouts for state lawmakers,” Williams said. to businesses. • Hartford Insurance through eight separate companies ($4,018,118) If there are major changes to the state’s renew- State law allows the credits to be taken over a • USAA Casualty Insurance, USAA General Indemnity, and able mandates, “we have been suggesting that it be period of five years, rather than in one lump sum in USAA Life Insurance companies ($2,688,210) done through a collaborative stakeholder approach the year they were earned. An extension of five years • United Services Automobile Association ($2,368,258) to consider the many renewable issues before the is possible under certain circumstances. • Northwestern Mutual Life Ins. Co. ($2,240,000) state — the same approach that created the RPS in “Since the credit is taken in five installments, • BB&T ($1,870,869) 2007 — and involved legislators from both parties, and due to the extent of the growth in the credit in • Southern Farm Bureau Life Insurance ($1,556,785) • First Citizens Bancshares ($1,103,769) industry groups, consumer advocates, and environ- recent years, there are significant amounts of credits mental groups,” Williams said. earned but not yet used that will impact future tax • Glenworth Life and Annuity and Glenworth Life Insurance Co. ($1,026,571) “I am not against the form of energy they pro- collections,” legislative Fiscal Research Division staff • Builders Mutual Insurance Co. ($1,005,391) mote but against the subsidization of the industry on said in a June 8 email to Millis. • Federal Insurance Co. ($996,266) the backs of the taxpayers and energy ratepayers,” Duke Energy’s 2014 tax credit claim is an ex- • Owners Insurance Co. ($551,926) Millis said. Aside from the forgone tax dollars, he ample. The Revenue Department’s report for the • Transamerica Life Insurance ($543,480) also is concerned about the lack of scrutiny the tax • Southern Power Company ($520,435) 2014 calendar year “includes amended tax returns credits receive. that combined four years of solar, hydro, and other • Sentinel Insurance ($378,352) “From my understanding from the Department renewable projects into one year,” said Duke spokes- • Standard Insurance ($327,289) of Revenue, there is no audit on what individuals are woman Anne Sheffield. • United States Surgical Corp. ($293,590) • Peoples Bank ($200,000) claiming as expenses [and] whether the expenses are “The report includes a pilot rooftop solar pro- • Union Security Insurance ($191,339) valid,” Millis said. gram launched by Duke Energy Carolinas in 2009, • Synergy Insurance ($183,195) and N.C. projects launched by Duke Energy’s com- Millis also suggested that state law is written • Time Insurance ($166,430) in a solar-friendly way, letting solar farms avoid the mercial business unit,” Sheffield said. “The amount • Vigilant Insurance Co. ($138,184) reflects what was processed by the Department of • Trumbull Insurance ($114,889) $2.5 million cap on allowable tax credits per energy Revenue versus what was used by Duke Energy in Source: N.C. Department of Revenue facility. 2014.” He believes developers are collecting multiple Sheffield said Duke’s solar credit installments credits on individual arrays of solar panels at a so- eration in 2014 were completed, Newton said at the for 2014 were about $5 million, associated with its lar farm rather than being limited to one credit per time. commercial business unit, Duke Energy Renewables. project. For example, a $100 million solar farm with Duke has not provided Carolina Journal with a Even so, in testimony last year before the state 10 separate components might generate $25 million Joint Legislative Commission on Energy Policy, Paul total cost of the renewable mandates to date. in tax credits rather than $2.5 million for the overall Newton, president of Duke Energy North Carolina, “I don’t have an aggregate amount on what project. said the utility’s lower-income customers subsidize we’ve invested. There’s a lot of stuff in the pipeline, In its email response, the Revenue Department more affluent customers who can afford rooftop so- and the investments are passed on through a rate- said the law allows an “installation of renewable en- lar panels on their homes. making procedural matter,” said Duke spokesman ergy property” to receive the tax credit. An installa- Utilities are required to purchase solar power Tom Williams. tion is defined as “property that standing alone or from “qualifying facilities,” including residential so- But the utility has raised customers’ annual bills in combination with other machinery, equipment, or lar installations. to meet the direct costs of the renewable mandates. real property is able to produce usable energy on its Annual rate increases of $100 million for 15 “Duke Energy Carolinas is closer to $6 [annual- own. Therefore, a single project may be comprised years would be imposed on power customers if all ly], Duke Energy Progress is closer to $10,” depend- of multiple installations of renewable energy prop- renewable energy facilities that were under consid- ing on how far along they are to meet the mandates, erty” eligible for the tax credit. CJ McCrory Standing Firm in Support of I-77 Toll Road Project

Continued from Page 14 Proponents the STI law. I-77 Corridor.” “I trust the CRTPO and the trans- when he attended a NCDOT presenta- While a number of local elected portation experts who have studied I-77 Mobility Partners tion about the project in early 2013 he officials have expressed support for this project for years. The I-77 Express I-77 Mobility Partners LLC was had no strong opinions about it, but the project, the most outspoken back- Lanes Project is what is best for our re- formed in April 2014. The chief execu- after meeting with opponents in the ers are the state officials who now must gion,” Curran concluded. tive officer is Javier Tamargo. Mobil- following months he determined they deliver it. Rep. John Fraley, a Mooresville ity Partners is led by Cintra, a Spanish had the better arguments. NCDOT Board Chairman Ned Republican who defeated Brawley in company heavily involved in the pri- “Public-private partnerships Curran responded to Puckett’s letter in the 2014 Republican primary election, vate-sector development of transporta- came about and were developed in a June 15 opinion piece also published told CJ that NCDOT should go ahead tion infrastructure, in partnership with Third World countries as a way for the in the Observer. Curran stated that it with the project. “The I-77 congestion was not DOT’s project to cancel since Aberdeen, a London-based infrastruc- rulers to funnel public funds to their must be addressed,” he said. “There is ture investment fund. it was requested and approved by the friends,” he told CJ. “If you do it on a signed and legally binding contract Project opponents point out that CRTPO. “The state is simply deliver- traffic count, I-77 should have been in place for the project. Unless there is Cintra filed for bankruptcy for a public ing on that request,” he said. [expanded] a long time ago. Traffic a legal reason or a very firm, nonspec- toll road it took over in 2006 from the He also stated that canceling the count is as nonpolitical as you can get,” ulative alternative, the project should state of Indiana. he said. He also said it was fair to char- project would cost approximately $100 move forward.” In March 2013 the John Locke acterize the $144.5 million payment to million in penalties and the region “All sides of this discussion have Foundation released a report titled CRTPO as “a bribe.” would lose the $144.5 million in incen- important points to make and be con- “Transportation Priorities for North A Facebook Group, “Exit 28 Ri- tive money. He noted as well that local sidered,” Fraley said. “There are also Carolina,” written by the Hartgen diculousness,” named after the often- planners never submitted an alterna- comments being made without proper Group and the Reason Foundation, congested I-77 Exit 28 in Cornelius, tive general-lane project for DOT to context or full details, which I believe that discussed public-private partner- has 3,900 members. It is a place for score under the Strategic Transporta- are harmful. I believe NCDOT and I-77 ships and price-managed toll lanes as people following the project to make tion Investments law. Mobility Partners are fairly and seri- possible solutions to some of North comments, and most commenters are He said the project would not be ously considering many of the points Carolina’s transportation problems. critical of the project, NCDOT, and Mc- eligible for McCrory’s bond proposal being made and serious about doing The report offered no opinion of Crory. because it had not been scored under what is best for North Carolina and the the I-77 Hot Lanes Project. CJ PAGE 16 JULY 2015 | CAROLINA JOURNAL Interview Cooke: America Should Return to a More Robust Federal System

By CJ Staff RALEIGH “If you don’t like the way people live onservatives and libertarians often serve as allies in public in Mississippi, live somewhere else. policy debates, but they tend There’s no need to litigate every- toC diverge on some hot-button issues. Charles C.W. Cooke, writer for Na- thing nationally. I think creating a tional Review, hopes the two camps can find more common ground in the fu- little space between the old and the ture. He sets out one potential course in his book The Conservatarian Manifes- young will allow people to live their to. Cooke explained key themes from the book during a recent speech for consciences.” the John Locke Foundation. He also Charles C.W. Cooke offered details during a conversation with Mitch Kokai for Carolina Journal National Review Radio. (Head to http://www.carolina- Author of The Conservatarian Manifesto journal.com/cjradio/ to find a station near you or to learn about the weekly CJ Radio podcast.)

Kokai: First of all, let’s define the term. What’s a “conservatarian”?

Cooke: Well, it’s not my term. It’s debates hear quite often — and you al- change, to deal with these changing at- group of people, whom you see and a term I started seeing, probably from luded to this, as well — is people who titudes among the younger folks, how say, “This person gets it — he or she 2007 onward, at the end of the [George say, “I’m fiscally conservative but so- does it do it without alienating people kind of understands this conservatar- W.] Bush administration, among peo- cially liberal.” Your book sort of takes who will be turned off by this different ian trajectory”? ple who were disappointed with the on that notion and says, well, it’s not type of message? Bush administration and some young quite that easy to break it down exactly Cooke: Not especially. My pre- people who didn’t quite find them- that way. Why not? Cooke: The road forward, I sumption here is that politicians will selves in line with traditional conser- think, not just for the Right but for never relinquish power and that those vatives, but weren’t libertarians either. Cooke: For a start, because the America, is to return to a more robust who seek power are unlikely to im- These are people who will say to term “social issues” doesn’t really federal system. Now that is, of course, mediately decline to exercise it. If I you: “When I’m around libertarians, mean anything. This is a lazy short- not a radical new idea. That is a radical am right in my book, if the predictions I feel conservative. When I’m around hand. It’s an umbrella term that we old idea. That is the way the country is that I am making, if the road map that conservatives, I feel libertarian.” The use to aggregate a number of questions set up. The Constitution is an explicitly I have drawn up, come to be traveled, gist of it is: They’re with the libertar- that really — electorally speaking and federal document. then we will see an upward push. ians on gay marriage and on the legal- intellectually speaking — have very Back in the 18th century, there We’ll see a push not just from the Right, but often from the Left, perhaps ization of drugs and on federalism, but little to do with one another. was a genuine worry as to whether the from those in Washington state or Col- they’re with the conservatives on im- The question of gay marriage is a Quakers in Pennsylvania could co-ex- orado who have pushed through mari- migration and on foreign policy and — question of which of civil society’s in- ist in a federal union with slave owners juana legalization who are unhappy stitutions will the state recognize. The mostly — on abortion. in South Carolina and Virginia. And so with the fact that overnight [U.S. At- question of abortion is at what point is there was a degree of leeway permit- torney General] Loretta Lynch could Kokai: And you decided that this a life a life, and who should defend it, if ted. The states created the federal gov- wake up and decide to use federal group needed a manifesto. Why? at all. The question of drug legalization ernment, not the other way around. power to shut them down. is at what point should the state inter- We now need a return to that ar- We will see conservatives, as we Cooke: Well, yes, and, of course, vene in the market — the market for rangement because people in Missis- have done in Texas and in Florida and this is my attempt. This is not the last drugs. These really don’t have much to sippi and people in Brooklyn have very in a good number of other Republican word. I’m sure I shall continue to get do with one another intellectually. One little in common with one another. It’s states, who say, “No, we do not want letters. But they are going to increas- can come up with different answers to not just libertarians and conservatives. the Medicaid expansion that the feder- ingly affect the Right because younger each and stay intellectually consistent. My proposal is that if the federal al government is pushing [on] us. And people, for example, are in favor of gay But electorally they are different government would get out of a good we won’t support anyone for federal marriage, are in favor of marijuana le- as well. Younger people are more pro- number of these questions, then you office who endorses it.” galization. Even if they call themselves life than they were 20 years ago. In fact, can allow older people and younger I don’t think this is going to come a Republican or a conservative, they’re they are more pro-life than any genera- people — hipsters and religious con- from the top down. I think this is go- in favor of those two things. tion except the oldest. But they are in servatives — all to thrill to the Ameri- ing to come from the bottom up. And That’s going to cause the Repub- favor of marijuana legalization, and can flag, all to thrill to the notion of be- it will be a reaction among presidential lican Party some problems in the near they are in favor of gay marriage. ing an American, without being at each aspirants or [from] the next president future because older conservatives are So I think it’s too easy to say, well, other’s throats. rather than a positive agenda. not in favor of those things. And so Republicans need to become more so- If you don’t like the way people Kokai: what I try to do is to look at how can cially liberal. We need to define what live in Mississippi, live somewhere That sounds like a good thing, perhaps. we move forward on the Right and try we mean. We also need to remember else. There’s no need to litigate every- to accommodate all of the various fac- that there are an awful lot of older Re- thing nationally. I think creating a little Cooke: Absolutely, not least tions, not just libertarians and conser- publicans who vote for the Republican space between the old and the young because if we had a president, for ex- vatives, but younger conservatives and Party precisely because they’re socially will allow people to live their con- ample, who had read my book and in- older conservatives as well. And I hope conservative. You cannot just jettison sciences. gested it whole, he would only be there what I’ve done is given a blueprint, a them overnight and expect to win elec- for four or eight years, and then what? road map, for that that also works — tions. Kokai: Looking forward, you You need a systemic structural change doubles, perhaps — as a road map for mentioned the problems created by the that makes it incumbent on Democrats how to fix a divided country. Kokai: You brought up a very Bush administration — the disappoint- and Republicans — and anyone else, important point. If the Republican ment. Are there any political figures, for that matter — to relinquish power Kokai: Now one of the things Party is going to be changing, or if the either among those who are White and allow people to live how they see that people involved in public policy conservative movement is going to House aspirants or those outside that fit. CJ JULY 2015 | CAROLINA JOURNAL PAGE 17 Higher Education

NCGA Considers Year-Round COMMENTARY College Is Community College Funding Not a Theater By Harry Painter “Skip” Stam, R-Wake, sponsored H.B. Contributor 15, while Rep. Allen McNeill, R-Ran- tarting in the 1970s, officials at shouldn’t be chosen because they RALEIGH dolph, who chairs the House Educa- America’s more selective col- have the right ancestry to play racks are appearing in the tion-Community College Committee, leges and universities began parts in a play. They should be longstanding school tradition sponsored H.B. 579. Susing racial preferences to increase chosen on the basis of their desire of breaking for the summer; House Bill 97, the House budget the percentages of certain minority- and ability to learn. Cnot everyone prefers the traditional bill, added $17 million to the commu- group students on campus. Prefer- Even though the percentage schedule. In some circles, a year-round nity colleges’ budget to cover the costs ences for certain groups also mean of Asians in the population has schedule is gaining in popularity. For of year-round education. preferences against others. been growing, the percentage ad- example, in Wake County, more than a The Senate budget did not in- Early in the last century, some mitted to Harvard has remained al- third of elementary schools have year- clude the additional funding. At press of the top colleges and universities most unchanged for decades. That round schedules. time, the House and Senate were nego- had a quota for Jewish students. strongly suggests a quota policy, The need for flexible schedules is tiating differences in their budgets. Harvard, for example, capped their which hardly seems to comport more pronounced at the postsecondary Gov. Pat McCrory gave year- number because officials didn’t with the law. level. College is no longer just for re- round education a big push forward by want to risk upsetting Boston tradi- It’s revealing that at another cent high school including it in tionalists who might be disturbed of America’s elite universities, the graduates; in his budget pro- to see Harvard become California Institute of North Carolina’s posal early this “too Jewish.” It didn’t Technology, the percent- community col- year. “The gov- matter that many of the age of Asian students lege system, the ernor felt like it Jewish students were has risen steadily, from t h i r d - l a r g e s t was important academically superior to 26 percent in 1993 to 42.5 system in the to accelerate the other applicants — of- percent today. Cal Tech nation, the aver- talent pipeline ficials just didn’t want to is notable for not play- age student is 28 and ensure that have too many. ing the “diversity” game years old. Col- community col- These days, the un- with admissions and lege students of leges, the state’s preferred group is stu- admitting students based the older, “non- main work force dents of Asian ancestry. only on their evident traditional” vari- d e v e l o p m e n t GEORGE ety need flexibil- Many Asian-Americans LEEF academic strength rather engines, were in now are battling against than their race or ethnic- ity. They often year-round ‘pro- have steady jobs, the double standards that ity. duction,’ just make it much harder for The truth about families, and like our state’s other priorities, them to gain admission into the na- racial preferences is that they mean b u s i n e s s e s , ” tion’s most prestigious schools. turning away some of the strongest and would pre- said Mary Shup- fer the option to A recent Wall Street Journal applicants and replacing them with ing in an email piece, “Harvard’s Chinese Exclu- students who are academically finish as quick- to the Pope Cen- ly as possible, sion Act,” was based on an inter- weaker. Doing that makes admin- ter. Shuping is view with Chinese immigrant and istrators feel good, but it down- without summer-long breaks. the director of government relations at A proposal in the North Carolina successful Florida businessman grades the school. the North Carolina Community Col- General Assembly may allow commu- Yukong Zhao. Zhao argues that You might think that trust- lege System. nity college students to be unshackled Harvard and other top universities ees and alumni would demand The proposal could save the from the constraints of the standard hold Asian students to significantly to know why their school lead- state money. It could improve the use school year. It’s pretty straightforward: higher standards to keep them ers persist in the diversity mania of building space that currently sits Let community colleges offer courses from growing as a percentage of instead of trying to recruit the best empty during the summer months. over the summer, not just in the fall student bodies. students. They shouldn’t meekly Additionally, it costs students and tax- and spring semesters. The old “too Jewish” fear has sit by and allow racial preferences payers less to get credits at community A 2013 law allows the state’s 58 been replaced by a new one — “too to impede their schools from excel- colleges rather than state universities. publicly funded community colleges Asian.” ling. How about an alumni petition University of North Carolina students to offer classes in some fields. Those Zhao is among the people ad- to the president of Harvard saying, could speed up their degree comple- are science, technology, engineer- vocating that the U.S. Department “Why can’t we be more like Cal tion by taking transferable courses ing, and math (STEM) courses; health of Education investigate Harvard’s Tech?” over the summer. Year-round funding care courses; technical education; and admission policies. Under the Civil Although it’s asserted repeat- also would permit more faculty mem- developmental education. However, Rights Act, educational institutions edly, there is no reason to believe bers to earn money teaching over the most summer classes are not autho- that receive any federal money that admitting quotas of students summer. rized for state funding. are obligated to treat individuals from “underrepresented” groups McNeill acknowledged the risk Two bills extending the commu- equally, regardless of race. does anything to improve the involved, however. “You’re funding nity college school year were proposed Can a university be in compli- learning climate on campus. To the something to a certain level, and you in the North Carolina House of Rep- ance with the law when “an Asian- contrary, it degrades the learning don’t know that the students will ac- resentatives this year. The first, House American student must earn an climate when administrators feel Bill 15, introduced in January, pro- tually take advantage of it,” he said. “We’ll probably need a year or two SAT score 140 points higher than compelled to make allowances for posed funding summer courses that a white student, 270 points higher weaker students. are transferable to all 16 University of of data to determine what the actual than a Hispanic, and 450 points The purpose of college is for North Carolina system campuses for need, or whatever you want to call it, higher than an African-American” students to maximize their learn- general education credit. is going to be.” That risk is to the tune to have an equal chance at admis- ing, not for administrators to play The second, House Bill 579, was of $17 million, which is 1.5 percent sion? Zhao and quite a few legal at social engineering. CJ introduced in April and expanded on of the overall budget for community scholars think not. the first. It called for funding all curric- colleges. CJ ulum courses (any courses for which He maintains that this is a George Leef is director of re- students earn academic credit) — not Harry Painter is a writer for the civil rights issue and adds, “Col- search at the John W. Pope Center for just general education transfer courses. John W. Pope Center for Higher Education lege is not a theater.” Students Higher Education Policy. House Speaker Pro Tem Paul Policy. PAGE 18 JULY 2015 | CAROLINA JOURNAL Higher Education Campus Briefs Interview: Outgoing NCCCS President Scott Ralls he University of North Caro- lina system’s Board of Gov- By Pope Center Staff that hit technical, science, and health school. The average [age] for our ca- ernors has experienced plen- RALEIGH care programs the hardest, because reer technical program is 31, and the tyT of turbulence so far in 2015. one of the things you can do to save average for our university transfer pro- Its decision in February to dis- (Editor’s Note: The following has money is to add another seat to a lec- gram is 24. It’s the students who come continue three campus centers and been excerpted from a recent Pope Center ture course, but you can’t do that with back after a period of time who have institutes (including the Center on interview with outgoing North Carolina a course that can an interest in Poverty, Work ,and Opportunity at Community College System President only be taught in technical pro- UNC-Chapel Hill founded by for- Scott Ralls.) labs and has very grams. mer U.S. Sen. John Edwards) and expensive equip- F u r t h e r - monitor 13 others closely, some PC: How have community col- ment. more, in many of known for championing left-wing leges changed over the years? So we cre- those areas, they initiatives, sparked national out- ated a tiered are very male- rage. The move caused a few com- SR: We grew out of a system of funding struc- dominated and mentators to allege that the board 20 industrial training and four junior ture so that tech- our population, was infringing upon academic colleges. I don’t think we ever lost nical programs, like all of higher freedom. sight of our mission: Our mission was health care pro- education, is One month earlier, the UNC to be comprehensive when we were grams, science becoming more system announced that president created, with the industrial centers and math cours- and more fe- Thomas Ross would (involuntari- turned into community colleges for the es, and courses male. And so we ly) step down early in 2016. Liber- purpose of offering transfer degrees. that lead to third- have our areas al pundits across the state blasted [Former Govs.] Terry Sanford and Lu- party industry where colleges BOG chairman John Fennebresque ther Hodges were in conflict over the certifications or have made a and other Republican board mem- mission. It was Sanford’s idea to turn licensures are all great investment bers, accusing them of engaging in training centers into community col- funded at a high- because they’re partisan politics and ousting Ross, leges, while Hodges thought the work er level. supporting their a Democrat, without valid justifi- force mission would be ruined. They We put a local economies, argued over whether libraries should priority on what there are avail- cation. Scott Ralls, president of the N.C. Com- Now, as Ross prepares to exit be on campuses; Sanford won when we call job-driv- munity College System, will leave North able jobs, and the system’s top office, the BOG is he convinced Hodges that industrial er programs, and Carolina in September to serve as president employers are preparing to choose his replace- workers would need to read. Every- they are now of the six-campus Northern Virginia Com- saying we just ment. In May and June, the univer- thing comes back to work force. moving forward: munity College. can’t find work- sity system hosted four public fo- We’ve had about ers but too often rums, or “regional input sessions,” PC: What are community colleg- an 8 percent switchover in enrollment some of those programs will not be at in Asheville, Greenville, Durham, es becoming today? in those areas since we started doing capacity. and Charlotte. University affiliates that. One reason why people should — mostly professors, students, SR: Our mission is to take people consider higher funding for communi- PC: There are different dynamics and alumni — attended to inform where they are and take them as far as ty colleges is that they prioritize well. at metropolitan and rural areas. board members about the charac- they can go. Some folks come in the But there are still many problems teristics they’d like to see in the door just learning to read — that’s why with the public perception of technical SR: We’re seeing a general de- next president. we do the literacy programs in North training. One is that we don’t always cline in enrollment, but less than any The BOG also has approved Carolina. Going as far as you can go produce a lot of graduates because the other state in the Southeast. It’s re- hiring Isaacson, Miller, a national may also mean getting a four-year de- students often leave before they gradu- gional; Wake Tech hasn’t had a decline, executive search firm that has gree and then a Ph.D. Or it can have a ate because they’ve been offered good ever. [In some] rural areas of the state, helped schools such as Duke Uni- work force emphasis. One of my con- jobs [e.g., welding]. that loss in enrollment reflects a loss of versity and Vanderbilt Univer- cerns is that too often it means either/ Also, they tend to be unpopular jobs, it reflects a loss of population, it sity find presidents, provosts, and or [an academic education or a focus among students coming out of high reflects a lot of things. CJ chancellors. on working], not both. Isaacson, Miller’s website I’m a big proponent of technical indicates that racial and gender education, and I’m very concerned that “diversity” is a major part of the there’s a huge gap between the amount firm’s mission: “Over the life of the of rhetoric about the need for technical firm, 43 percent of our placements education and the investment. have been women and 23 percent We have made some gains in have been people of color.” funding technical education by the The board’s Leadership State- way we fund enrollment. A while back ment Committee has approved we were dropping our programs in a “leadership profile” based on technical education. The argument of- feedback from various campus ten was that we were losing our focus, groups, the regional input ses- becoming too university-focused or sions, and a public survey. Moving too liberal-arts-focused. forward, the profile will be used One of the reasons we were strug- by Isaacson, Miller as it narrows gling is that we funded everything the the field of candidates. A final date same, so if you taught a sociology class for the selection of the next presi- with 30 students where you didn’t dent has not been set. The price tag need anything more than a blackboard, for the presidential search will be you got funded the same as a nursing roughly $300,000. CJ clinical that can have no more than 10 to 12 students or a machining program where you need a quarter-million-dol- Compiled by Jesse Saffron, a lar piece of equipment. writer and editor for the John W. When the recession hit, our bud- Pope Center for Higher Education get fell while our student enrollment Policy. spiked. That caused our per-student funding to drop by 21 percent. And JULY 2015 | CAROLINA JOURNAL PAGE 19 Higher Education Opinion Our Unwavering Faith in the Benefits of College is Misguided igher education long has been irrational levels, ployers now have writing skills. We see students who viewed as a leading source and yielded an the pick of the know more about Brad Pitt and An- of national progress and as a oversupply of Issues litter. And as more gelina Jolie’s relationship than basic Hpanacea for social and economic ills. graduates. people respond United States history. Increasing the number of degree-hold- And that in to the intense We also see college departments, ing citizens, the mainstream thinking oversupply is Higher Education competition for attempting to lure pop culture-mind- goes, will improve our cultural and distorting labor well-paying jobs ed Millennial students, increasingly political institutions. It will catalyze markets severely. by chasing ever- offering trendy courses about zom- commercial, The Bureau of higher credentials, bies, rock music, and sexual prac- technological, and Labor Statistics the problem inten- tices rather than the classic works of artistic advance- says that fewer sifies. literature and philosophy that helped ment. And it will than 30 percent of jobs today require Still, policymakers tend to ignore to shape modern civilization. create upward mo- postsecondary education. However, these trends. The latest thinking seems These developments are not in- bility for minori- according to the Census Bureau, to be that underemployment and creasing the supply of well-rounded, thoughtful, articulate individuals who ties and the less roughly 50 percent of workers possess other distortions result from students will go on to advance our civic and fortunate. such education. Future projections majoring in the wrong disciplines. In- social institutions. Rather, there ap- In other are cause for concern, too. The BLS stead of producing impractical liberal pears to be a cultural, intellectual, and words, more post- expects about 50 million new jobs to arts degrees, some say, colleges should moral vacuum that is not being filled secondary educa- JESSE be created between 2012 and 2022, but churn out more science, technology, by many colleges and universities. tion equals more only 27 percent of those will require engineering, and math degrees. It SAFFRON Higher education is, and always individual and an associate degree or higher. turns out, however, that there is a glut has been, an exclusive meritocracy. In collective success. Yet it is the rare adviser who of STEM degree holders, too. (Check fact, the minute it ceases to be based Falling Such is the ap- provides such crucial information out Michael Teitelbaum’s book on merit it ceases to be a true educa- proved gospel. to would-be college students. That Behind: Boom, Bust & the Global Race tion and becomes egalitarian social en- That view has produced a soci- partly explains why, despite abundant for Scientific Talent to learn more about gineering. It makes both practical and ety in which access to higher educa- examples of overeducated, debt- this issue.) moral sense for costly college education has never been greater. There are enslaved baristas, almost 70 percent Policies aimed at increasing col- tions to be reserved for the best and more colleges and universities than of recent high school graduates will lege access have contributed not only brightest. For those who have not yet ever before. There is more govern- go on to either a two-year or four- to job market turmoil; they also have proven themselves capable of benefit- ment spending on higher education year postsecondary institution this exacted high social costs. For example, ing from a university education, there than ever before. There are more fall. (For comparison, in 1973 only 47 many graduates, facing dismal job is an open and inexpensive alternate financial aid options for students than percent of high school graduates went prospects and high student loan pay- pathway via community colleges. ever before. to college.) ments, have been forced to postpone There may have been a time But therein lies the problem. The There are other strong forces am- marriage, homeownership, and other when increasing the incentives for law of diminishing returns cannot be plifying the “more graduates” mantra. important decisions. people to attend academic colleges denied indefinitely: Eventually there One is credential inflation. Expanded Also, many high school students made sense. But times change; today, can be too much of even a good thing. college access has resulted in a glut of are unprepared for the rigors of high- the feel-good policy of expanded Strong cultural momentum degree holders and, concomitantly, a level coursework even though they college access for all does more harm — strengthened over several genera- diminution in the value of a college are expected to move on to college. As than good. CJ tions by parents, teachers, guidance education. Certainly, unemployment a result, academic standards gradually counselors, and elected officials — has for degree holders is lower than that have eroded. We see students spend- Jesse Saffron is a writer and editor fostered an unwarranted faith in col- of people with only a high school edu- ing four, five, or six years in college for the John W. Pope Center for Higher lege’s benefits, raised attendance to cation. But that’s partly because em- without improving their reasoning or Education Policy. PAGE 20 JULY 2015 | CAROLINA JOURNAL Books & the Arts

From the Liberty Library Book review

• As we celebrate the 800th anniversary of Magna Carta, me- Liberal Commentator Powers Takes PC Censors to Task dieval historian Stephen Church has offered an essential biography • Kirsten Powers, The Silencing: How the Left is Killing Free timate-partner homicide is a leading cause of death for Af- of the monarch whose failings led Speech, Regnery, 2015, 289 pages, $27.99. rican-American women ages 15 to 45. Glenn Kessler of The to that historic document. In King Washington Post found this statistic was a complete fabrica- John, Church argues that though By Lloyd Billingsley tion. Powers also finds a contempt for truth in the Rolling Contributor John was a masterful political Stone rape story at the University of Virginia, defended by manipulator, his traditional ideas RALEIGH illiberal feminists long after it was proved bogus. of unchecked sovereign power SA Today columnist and Fox News contributor So were the charges against the Duke University la- became increasingly unpopular Kirsten Powers has learned from experience that crosse players, but a Duke law and feminist studies profes- among his subjects. As king of contemporary liberals are not very liberal. For ex- sor “demonized the lacrosse players as privileged white England, John taxed his people Uample, liberals are supposed to believe in diversity, but she men who deserved a presumption of guilt.” On this story, heavily to fund his futile attempt finds that “an alarming level of intolerance” emanates from readers may want to consult Until Proven Innocent, by Stu- to reconquer lands lost to France. the left side of the political spectrum against those who ex- art Taylor and KC Johnson. And Powers does not forget The cost to his people of this failure press views that don’t hew to the the Tawanna Brawley case, which was great, but it was greater still “settled” liberal world view. launched the Rev. Al Sharpton’s for John. In 1215, his subjects rose Powers makes a strong case national profile. A grand jury in rebellion and forced upon him a that what the illiberal left does is found “the entire story was made new constitution by which he was not debate. For the illiberal left, up,” but it loomed large in illiberal to rule. The principles underlying “facts don’t matter, only ideol- feminist demonology. this constitution — enshrined in ogy does, and vilifying your oppo- Likewise, Naomi Wolf said the terms of Magna Carta — would nents.” They are “at war with the that former U.S. ambassador to the go on to shape democratic consti- freedom of speech and of legal due United Nations Jeane Kirkpatrick tutions across the globe, including process that allows us to find the was “uninflected by the experi- our own. For more information, truth.” What is true does not equal ences of the female body.” Gloria visit www.basicbooks.com. what happens to be politically cor- Steinem called U.S. Sen. Kay Bai- rect, and the author proves adept ley Hutchison of Texas a “female • In You’re Going To Be Dead at decoding the lexicon. impersonator.” Yet, the illiberal left One Day, conservative legend Da- When nonliberals cite facts in “sees its bullying and squelching of vid Horowitz opens up about his a clear and forceful manner, this is free speech as a righteous act.” In storied personal life and remark- “hate speech.” Rather than answer these quarters, curbing free expres- able family. Now 75 years old, an argument, illiberals proclaim sion in pursuit of left-wing goals is Horowitz reflects on the good and that someone has created a “hostile “both necessary and defensible,” bad fortune that has touched his environment.” They cite “privi- the author says, and “misogyny life and muses philosophically lege,” which amounts to “a mov- and authoritarianism all for the about love, happiness, and his ing target that seems to apply to greater good.” own mortality. It’s a political war- whomever the illiberal left is up to This “silencing of opponents” rior’s reflection on the mysterious demonizing that day.” If someone is taking us “to the end of freedom rejuvenating power of love, the is less than worshipful of illiberal of speech, thought, and debate, to bittersweet way in which our chil- orthodoxies or heroes, that person uniformity, all in the name of di- dren reward us while also leaving “has an agenda” or is “political,” versity,” Powers writes. Those are us behind, and how kindnesses to meaning a closet conservative. some very high stakes, and the il- others bring blessings home. Learn Ad hominem character assas- liberal left has the establishment more at www.regnery.com. sinations replace argument, and media and current administration any challenge amounts to “mansplaining,” “whitesplain- in its corner. And as Powers shows, it is not the most trans- • Early in his career, Adolf ing,” and “microaggression,” all terms deployed to delegiti- parent in history. George W. Bush, George H.W. Bush, and Hitler took inspiration from Benito mize. Any activism against the illiberal left is construed as Bill Clinton far outstrip Barack Obama in press conferences. Mussolini. But an equally impor- an attack. The Silencing is not short on examples. Readers may conclude that the “illiberal left” is an ac- tant role model for Hitler and the For Powers, who supports gay marriage and Obam- curate description but still on the charitable side. Even so, The Nazis has been neglected almost acare, “the entire country is, and should be, a free speech Silencing provides a thorough treatment of what amounts to entirely: Mustafa Kemal Atatürk, zone.” But on campus, she finds free speech “restricted to an inquisition and veritable jihad of junkthought. Too bad the founder of modern Turkey. tiny spaces requiring university preapproval for use.” The the author fails to stick the landing. In Atatürk in the Nazi Imagination, University of Hawaii and Penn State University harass The moral of the story, she says, is to “make efforts German scholar Stefan Ihrig re- students for distributing copies of the U.S. Constitution. Il- to invite people who hold different views into our world.” Therefore, “now go and make some unlikely friends.” Actu- writes our understanding of the liberals have turned the university campus into a domestic ally, that’s what the illiberal left needs to do, apologize to roots of Nazi ideology and strat- North Korea. those they have vilified, people such as George Will, Sharyl egy. Hitler and the Nazis watched The author finds it alarming that, in current condi- Attkisson, Ron Fournier, and Powers herself, and befriend closely as Atatürk defied the West- tions, “cities have a right to discriminate against Christian- them. It is not going to happen, but the illiberal left inquisi- ern powers to seize government, owned businesses if their owners have opinions that don’t tion will continue. and they modeled the Munich jibe with the illiberal left,” as shown by the Chick-fil-A case. Putsch on Atatürk’s rebellion in The last thing anybody should do is back down, which Brendan Eich is forced to resign as CEO of Mozilla because amounts to surrender. Readers need to use their right of free Ankara. Hitler later remarked that he voted for California’s Proposition 8, banning same-sex in the political aftermath of the speech against those who would take it away and declare marriage. Robert F. Kennedy Jr. wants to punish climate them nonpersons. Take a stand, be careful with facts, and Great War, Atatürk was his mas- change skeptics as war criminals. As Powers shows, the il- ter, he and Mussolini his students. as Orwell said, maintain a dedication to the truth. Write liberal left really goes off when anybody questions rape sta- Ataturk’s suppression of Greek articles, go on television, or better yet, write a book. The tistics, as confirmed by the “hate speech” charges against and Armenian minorities also in- Silencing is a helpful effort, but in this high-stakes battle George Will. spired the Nazis’ brutality against there’s always room for more ammunition. CJ The Silencing also shows how the illiberal aversion to Jews. For more, visit www.hup. facts extends high into the corridors of power. For example, harvard.edu. CJ Lloyd Billingsley is author of the forthcoming Bill of Writes: former U.S. Attorney General Eric Holder claimed that in- Dispatches from the Political Correctness Battlefield. JULY 2015 | CAROLINA JOURNAL PAGE 21 Books & the Arts Founders Drew Heavily Upon Magna Carta Ideas in Bill of Rights n late June, the John Locke Foun- and not law, wields dominion.” Or, in from somewhere else — the law. Americans wanted a list preventing dation commemorated the 800th more contemporary terms, no person To be forthright, the document government encroachment on certain anniversary of Magna Carta (Latin is above the law, and all must obey it. was “aristocratic” in scope; it was guaranteed liberties. Ifor “Great Charter”). Magna Carta of What prompted Magna Carta, written for a feudal society of lords Alexander Hamilton, however, 1215, I admit, is not an everyday con- a watershed event in English his- and vassals and barons and the crown. argued that what became known as versation topic, yet its general prin- tory that eventually influenced U.S. Even so, its principles soon spread the Bill of Rights was unnecessary. ciples generate history? There had been precedent: across the English kingdom and influ- A declaration of rights applied only many modern-day King Henry I’s coronation Charter of enced the development of an unwrit- to kings and their subjects, and the conversations in Liberties (1100). Later, in 13th-century ten British constitution and English United States did not have a king, was work break rooms, England, disagree- common law, and his thinking. In the end, advocates for at dinner tables, ments abounded. later an American a Bill of Rights and those skeptical of on blogs, and in King John disap- resistance to the handing more power to the national the media. proved of the Vati- crown. Conservative government prevailed. Americans can’s appointment scholar Russell Kirk Magna Carta’s principles can be often express of Stephen Langton has remarked in The seen in the Bill of Rights. For two ex- statements such as Archbishop of Roots of American amples, passages 39 and 40 of Magna as “The president Canterbury; there Order that Magna Carta sound similar to the Fifth and is not above the TROY was unrest among Carta was the “root Sixth Amendment’s guarantees of law,” or “It doesn’t KICKLER many English of the Declaration of a right to a timely trial by a jury of matter how much barons, protesting Independence.” one’s peers, and passages 28-32 seem money one has, heavy taxation, So, how did similar to the Fifth Amendment’s everyone is equal under the law.” mismanagement of Magna Carta influ- stipulation that no “private property These sentiments can be traced funds, and dispossession of land; and ence the American founders and the be taken for public use, without just back to Magna Carta. Several decades the French posed an imminent threat drafting and ratifying of the U.S. compensation.” after King John and the barons signed to England. Constitution? After the American One has to read only various dec- Magna Carta, Henry de Bracton, In all, circumstances compelled colonies withdrew from Great Britain larations of rights in state constitutions known as “the Father of English Law,” John to acquiesce to demands, abdi- in 1776, many founders started pen- and the Bill of Rights (along with Magna wrote in 1260: “The king himself cate some authority, and recognize ning and adopting respective state Carta itself) to determine that America’s ought not to be under man but under liberties to barons, the Church, and constitutions. They contained declara- founding documents embody a long- God, and under the law, because the the city of London. It must be remem- tions of rights, and this practice set a standing legal tradition. CJ law makes the king. Therefore let the bered, however, that all involved precedent that influenced concerns king render back to the law what the parties agreed to abide by the stipula- in 1787-89 that the U.S. Constitution Dr. Troy Kickler is director of the law gives him, namely, dominion and tions of Magna Carta, and in so doing, should contain a similar declara- North Carolina History Project (northcar- power; for there is no king where will, admitted that their authority derived tion of rights. In other words, many olinahistory.org). BOOKS BY JOHN LOCKE FOUNDATION AUTHORS

If you don’t know about Edenton, North Carolina, your knowledge of U.S. history is incomplete and your knowledge of North Carolina insufficient. Organized women’s political activity in America was born in Eden- ton. The concept of judicial review—that courts can declare legislative acts unconstitutional—was champi- oned here. Ideas for a national navy and defense were implemented here. Many passages of the N.C. Con- stitution (1776) and the U.S. Constitution originated here. Leading proponents of the U.S. Constitution (a.k.a. Federalists) lived in this small place, and so did nationally known jurists and politicians. Dr. Troy Kickler, founding director of the North Carolina History Project, brings Edenton, its people, and its actions into proper and full focus in his book, The King’s Trouble Makers. Go to northcarolinahistory.org for more information. PAGE 22 JULY 2015 | CAROLINA JOURNAL Books & the Arts Book review Tucker Profiles 14 Conservatives Who Helped Shape America • Garland S. Tucker III, Conservative phies. Fans of his first book, The High evelt — until FDR’s New Deal proved ventionists for decades. Heroes: Fourteen Leaders Who Shaped Tide of American Conservatism, will especially hazardous to the traditional Two footnotes: First, those who America, From Jefferson to Reagan, ISI not be surprised to see a full chapter American conception of a limited fed- peruse the book’s cover are bound to Books, 2015, 240 pages, $27.95. devoted to John W. Davis. While that eral government. “As early as 1931, he notice 14 photos of dead white men. earlier volume focused on Davis’ role foresaw the damage that government While that’s likely to generate angst By Mitch Kokai as Democratic presidential nominee activism could do to the economy and among some readers, those who fol- Associate Editor in the 1924 election that returned Cal- the nation: ‘The danger in such a situ- low Tucker’s narrative will under- RALEIGH vin Coolidge to the White House, this ation is that ill-informed and inconsid- stand why his profiles skewed toward sk a modern-day American book highlights Davis’ impressive re- erate men will get into the leadership people who tend to look alike. A list conservative to list his politi- cord arguing con- and bring to pass of the “most influential” or “most im- cal heroes, and you’re likely servative cases in measures that portant” conservatives in American toA hear names such as Ronald Reagan, front of the U.S. will not only not history would look a bit different than William F. Buckley, Thomas Jefferson, Supreme Court. accomplish the Tucker’s list. and James Madison. Those who’ve Fans of purpose desired, Second, some readers are bound studied 20th-century government North Carolina but will actually to object to the inclusion of John Cal- might throw Calvin Coolidge and Bar- history will note do lasting injury houn, the Jackson-era vice president. ry Goldwater into the mix. with interest the to all of us.’” Tucker does not try to hide the fact that But you’re much less likely to inclusion of Ma- Six years Calhoun’s strident advocacy for states’ hear the names Nathaniel Macon or con, the Jefferson- later, Bailey rights has come to be identified with Josiah Bailey, especially if the per- era speaker of played a key “the defense of slavery and the ulti- son compiling the list holds no ties to the U.S. House role in draft- mate dissolution of the Union” during North Carolina. of Representa- ing a 10-point the Civil War. But the author makes That’s why this latest book from tives, and Bailey, document op- no apologies for profiling one of the Raleigh-based finance executive -Gar a Democratic U.S. posing the New key figures in American conservative land Tucker offers such a valuable con- senator serving Deal. It came thought, defending the soundness of tribution to today’s American political in Congress more to be known as Calhoun’s principles while recogniz- discourse. Tucker’s fast-paced narra- than a century “The Conserva- ing that his arguments often defended tive highlights each of the men listed later. Both called tive Manifesto.” an “ignoble cause.” above — and a half-dozen more — the Old North “Though often Amity Shlaes, whose own recent who helped shape American govern- State home. Both viewed as a his- ment from its earliest days. displayed no fear torical footnote, work has helped correct the historical Before launching into discussions standing up to this manifesto record of the New Deal era, offers a fit- of his 14 protagonists, Tucker spells presidents from was an important ting description in her foreword about out “foundational principles” of con- their own party milestone in the the ultimate impact of Conservative He- servatism that motivated them. Con- when those presi- history of Ameri- roes: “Taken together, Tucker’s profiles servatism is “grounded in a realistic dents strayed from limited-govern- can conservatism — clearly articulat- remind us that America is broader than view of human nature,” rather than a ment principles. ing the importance of free enterprise, we think, and that the country’s histo- belief that good government can lead Macon’s distaste for debt sur- limited government, and separation of ry is too subtle to force into the frame- to a better class of human beings. Gov- faced early in his political career. “Ma- powers.” work of modern progressivism.” ernment exists primarily “to establish con rose to offer a resolution to reduce Tucker makes the case that the If readers are prompted to learn order and preserve liberty,” and the funding for the army,” Tucker writes. manifesto, while ineffective in its day, more about Macon, Bailey, Davis, conservative “stops abruptly” at those “Defenders of a larger appropriation, spurred a coalition of southern Demo- and even Calhoun, then one suspects two primary roles. he said, ‘think borrowing five or six crats and Republicans that blocked the Tucker will be satisfied that he has Property rights prove to be as millions a trifling thing.’ But such bor- greatest excesses of government inter- achieved his goal. CJ important to conservatives as human rowing was ‘unjust,’ he declared, in an rights since they “are inseparably admonition that conservatives have bound together.” Plus both the com- echoed down through the decades: ‘If munity and country at large depend we contract a debt we ought to pay it, Help us keep our presses rolling on “private virtues.” and not leave it to your children. To be Publishing a newspaper is an ex- Tucker makes no claim that his sure it is much easier to vote money pensive proposition. Just ask the many book offers definitive portraits of the than to lay taxes, because people do daily newspapers that are having trouble leaders it presents. Nor does he at- not directly feel the vote, but if taxed making ends meet these days. tempt to rank his heroes or suggest that they must instantly know it.’” It takes a large team of editors, re- he has chosen the top 14 conservatives Later, Macon and Virginia col- porters, photographers and copy editors from the pages of American history. league John Randolph served as vocal to bring you the aggressive investigative But Conservative Heroes tells the critics of Thomas Jefferson’s Louisiana reporting you have become accustomed important story of the role liberty- Purchase, along with other policies to seeing in Carolina Journal each minded thinkers and politicians have that strayed from the third president’s month. played at critical points in the nation’s earlier “radical reversion to limited Putting their work on newsprint and history: challenging the first consolida- government.” then delivering it to more than 100,000 tion of federal government power at “They embraced the principles of readers each month puts a sizeable dent the end of the 18th century, countering 1800, which they understood to be sim- in the John Locke Foundation’s budget. pleas for easy-money policies in the plicity and economy in government, That’s why we’re asking you to help late 19th century, standing up to gov- individual freedom from economic defray those costs with a donation. Just ernment overreach during the New and political oppression, and forbear- send a check to: Carolina Journal Fund, Deal era, and offering a principled al- ance and peace in foreign affairs,” John Locke Foundation, 200 W. Morgan ternative to the post-World War II wel- Tucker explains. St., Suite 200, Raleigh, NC 27601. fare state “consensus.” Like his North Carolina predeces- We thank you for your support. Along the way, Tucker wipes the sor, Bailey supported his party’s presi- dust off of several interesting biogra- dent — in this case, Franklin D. Roos- John Locke Foundation | 200 W. Morgan St., Raleigh, NC 27601 | 919-828-3876 JULY 2015 | CAROLINA JOURNAL PAGE 23 Books & the Arts Book Review Utah’s Sen. Mike Lee: Courts Willfully Subverting the Constitution • Sen. Mike Lee, Our Lost Constitu- Congress shall make no law establish- disingenuous opinion, showing that He would add five new members who tion: The Willful Subversion of America’s ing a religion. What that meant, Lee his “wall of separation” actually has would, of course, be chosen because Founding Document, Sentinel, 2015, 256 notes, was that the Founders were no constitutional basis. Unfortunately, they agreed with Roosevelt’s “progres- pages, $27.95. against allowing religion to become a that case (Everson v. Board of Education) sive” philosophy. national issue, with Congress decid- is now a precedent that is used to assail His threat worked on a “swing” By George Leef ing to favor any church through offi- any governmental action that isn’t per- justice, Owen Roberts. In the court’s Contributor cial support. The states were left free to fectly neutral with respect to religion. first big decision in 1937,NLRB v. Jones RALEIGH have whatever law regarding religion Another of Lee’s stories concerns & Laughlin Steel, Roberts ignored all ew of today’s Americans have their people wanted. the demolition of the concept of feder- the precedents and voted to uphold much understanding of our Con- How it happened that the “es- alism — that the federal government Roosevelt’s gift to the unions, the Na- stitution. It’s seldom covered in tablishment” clause was turned into a has only the specific powers granted tional Labor Relations Act. schoolF or college, and law students get “wall of separation” between religion to it. The Founders wanted to keep In that case, the key issue was a course called “constitutional law” and government is an amazing tale federal authority strictly limited just whether the power to regulate inter- that isn’t really about the document that involves the only Supreme Court to a few truly national functions and state commerce (which is given to itself, but about the Supreme Court’s justice who had been a Klan member thought they had accomplished that Congress) includes the power to con- many decisions — decisions that often — Hugo Black. by enumerating the pow- trol working conditions where goods changed the Constitution’s intent. One of Black’s ers given and clarifying were produced. By going against long- Worse still, although elected of- lifelong prejudices was in the 10th Amendment standing precedents and ruling that ficials take an oath to uphold the Con- against non-Protestants. that all others were re- it did, the court not only upheld one stitution, many vote for legislation that He couldn’t abide the served to the states or the of the worst pieces of special-interest tramples all over it. idea of any government people. legislation ever, but also opened the One public official who takes the funds going to help Their efforts at put- door to endless statutes and regula- Constitution very seriously, however, Catholics, Jews, or oth- ting limits on federal tions whose legality was premised on is Utah’s junior senator, Mike Lee. In ers if there was even the power often were chal- the idea that the federal government his new book, Our Lost Constitution, slightest connection with lenged in our earlier his- has authority over anything that could he makes the case that the country religion. So in 1947, when tory, but the dam held affect interstate commerce. has taken a serious departure from the a case came to the court pretty well until the Lee’s history is fascinating, but wisdom written into our government’s challenging a New Jersey presidency of Franklin he knows that most Americans will foundation. law under which some Roosevelt. An impatient, fail to grasp the problem of a federal And he makes that case very ef- state funds could be used domineering man, FDR government that has gone far beyond fectively by discussing the actual deci- to help pay transporta- couldn’t stand the idea its proper scope. How can we get them sions that have been so ruinous, along tion costs for parents who that the Constitution to see that a federal government that with the events and people behind chose religious schools kept him (and his com- doesn’t abide by its fundamental char- them. Readers will become engrossed over public schools, Black saw his op- pliant Congress) from taking any steps ter is undesirable? in the key turning points when parts of portunity. to deal with the Depression and other- One of his suggestions is to put the Constitution were lost. Cleverly siding with the majority wise expand the scope of centralized this in terms they’ll probably under- Each of Lee’s chapters is illumi- that wanted to uphold the law so he power. stand, such as a neighborhood ho- nating, but perhaps the most memora- could write the court’s opinion, Black Until 1936, however, the Supreme meowners association. What if the ble is the one on the way the meaning then crafted a decision that put such Court largely ruled that FDR’s plans clique in charge of your HOA were of the First Amendment’s “establish- restraints on any connection between were unconstitutional. Angered at to take actions beyond what the ment clause” was tormented into an government (at any level) and religion the justices who dared get in his way, owners agreed to and didn’t even absolute prohibition against any con- that almost every future tie between FDR denounced them in one of his consult them? You’d be outraged nection between government and re- church and state would be open to at- radio “fireside chats” late in 1936 and — and should be equally so over ligion. tack. announced his solution to the court’s the federal government’s abandon- All the Constitution says is that Lee readily demolishes Black’s dedication to the written Constitution. ment of the Constitution. CJ

Books authored By JLF staFFers Free Choice for Workers: Selling the Dream A History of the Right to Work Movement Why Advertising is Good Business

By John Hood PresidentChairman of ofthe the By George C. Leef JohnJohn Locke Locke Foundation Foundation ViceDirector President of Research for Research at the at John the W. JohnPope William Center Pope for HigherCenter for Education Higher “[Selling the Dream] provides a EducationPolicy Policy fascinating look into the world of advertising and beyond ... “He writes like a buccaneer... Highly recommended.” recording episodes of bravery, Choice treachery, commitment and April 2006 vacillation.” Robert Huberty www.praeger.com (Call Jameson Books, 1-800-426-1357, to order) Capital Research Center PAGE 24 JULY 2015 | CAROLINA JOURNAL Opinion

COMMENTARY To Bond Or Not to Bond n one hand, it’s a good time bonds (explained at http://bit. to borrow money. Interest ly/1LpDee9) is another option. rates are low, as are con- The infrastructure bond is for Ostruction costs. North Carolina has $1.5 billion, almost all for main- many long-ignored needs — state tenance and renovations of state- buildings need repairs and updates, owned properties; half would go roads need repaving, and safety to the University of North Carolina issues need to be addressed. State and community college campuses. Treasurer Janet Cowell has assured Should all of the projects be us we have the capacity to borrow financed with borrowed money, or without endangering our bond rat- should the interested parties share ing, and the state budget director the cost? Park improvements could says we can repay the bonds with- be covered by higher user fees. Port out increasing taxes. The improvements could be EDITORIAL proposed bond is subject funded with shipping and to a referendum, so those docking fees. Universities paying the debt will have and community colleges final say. could raise part of the The Progressive On the other hand, costs of their projects — debt is debt. North Caroli- even 5 percent would na still is recovering from require local buy-in. A Flat Tax a recession. After decades shared commitment could of free spending and start a culture of com- epublican state senators want This is the amount of income excluded government growth, fis- BECKI munity responsibility and to make North Carolina’s in- from any calculation of state taxes. cally responsible decisions GRAY shared financial obliga- come tax system more progres- Those who support a higher over the last four years tion while reducing total sive,R even though they haven’t made standard deduction believe that have the state back on state borrowing. Matching progressivity an issue in their tax taxpayers with the least amount of in- track. Bold decisions — reforming a funds and challenge grants make reform discussions. It’s more accurate come should not have to pay the same complicated tax system, rolling back sense for parks, historical sites, mu- to say that, regardless of intent, the rate as those with more income. In tax regulations, improving education seums, zoos, and schools. Senate GOP’s proposed income tax lingo, lawmakers are setting a “zero to ensure a skilled work force, and A bond financing long- changes would create a more pro- tax bracket.” Rather than raising rates making smart infrastructure invest- neglected repairs and updates to gressive system. And that’s not a bad on high-income earners, a higher zero ments — have laid the groundwork state-owned resources would be thing. tax bracket lowers rates on earners for economic recovery and growth. enhanced greatly with a solid repair The most significant change with the lowest incomes. Will taking on debt jeopardize any and renovation reserve fund for on- in North Carolina’s income tax rate As the General Assembly low- of those hard-won reforms? going maintenance. Both legislative within the state’s larger 2013 tax ered income tax rates in 2013, they Should North Carolinians budgets add millions to the repair reform package involved replacement also repealed a previously existing approve almost $3 billion in debt, and renovation fund. of a three-tiered “progressive” income personal exemption while raising as proposed by Gov. Pat McCrory? Bonds are serious business. tax with a single flat tax rate. Based the standard deduction. For joint tax Maybe yes, maybe no. Less debt The governor is asking for a lot of on a desire for increased simplicity, filers, the standard deduction jumped may be a better choice. Maybe there debt, even if we can afford it. He is and relying on evidence that lowering from $6,000 to $15,000. For heads of are other ways to repair, fix, and to be commended for getting this top marginal rates leads to stronger household, the number jumped from build without borrowing the mon- conversation started. He’s shown economic growth, legislators decided $4,400 to $12,000. For single filers, the ey. Or maybe borrowing the money great respect for the taxpayers by to institute a flat tax rate of 5.8 percent number climbed from $3,000 to $7,500. with a solid plan is the soundest suggesting a general obligation for 2014 and 5.75 percent for 2015. Under the Senate’s latest tax fiscal and economic decision. bond that requires a vote of the Note that the new flat rate was plan, the flat income tax rate would drop again to 5.5 percent in 2016. The governor has proposed people, the first since 2000. lower than the lowest rate in the old Senators also would raise the standard two separate bonds. We get to decide. Borrowing progressive system. That reform cre- deduction gradually. By 2020, joint fil- A $1.3 billion bond would money at historically low interest ated a lower income tax rate for all ers would pay no state income tax on build highways and pave roads in rates to meet neglected needs for taxpayers. their first $18,500 of income. 57 counties. The projects come from long-term projects with no new The flat tax is “progressive,” in How would those changes af- the State Transportation Improve- taxes and with no threat to our that all taxpayers face the same rate ment Plan, a data-driven multiyear credit rating for over 200 transpor- fect our two families? Setting aside — not the same amount of taxation. all other credits and exemptions, the priority list. Can the same projects tation projects and 101 infrastruc- Without any credits or exemptions, be funded with an increase in fees ture projects OR put many of the $30,000 family would pay $632.50 in the person who earns $300,000 pays 10 2020, yielding an effective tax rate as proposed in the House budget, projects on hold and pay as we go times as much in taxes as the person eliminating transfers from the without incurring additional debt? of 2.1 percent. The $300,000 family who earns $30,000. At a 6 percent rate, Highway Fund as proposed by the At least we’re talking about meeting would pay $15,482.50, an effective tax that’s $18,000 versus $1,800. Senate, and some adjustments to the North Carolina’s needs in a fiscally rate just under 5.2 percent. The simple example above omits gas tax? Lawmakers should reform responsible way. Finally. CJ Note that that the higher-income all credits and exemptions. But that’s transportation funding by using family, earning 10 times as much overly simplistic. The tax code builds highway money only for highway income, pays 24 times as much state in multiple ways to remove income projects. Borrowing against future Becki Gray is vice president for income tax. Even with a lower rate, from taxation. For instance, lawmak- revenues by issuing two-thirds outreach at the John Locke Foundation. the end result would be a more pro- ers expanded the standard deduction. gressive tax distribution. CJ JULY 2015 | CAROLINA JOURNAL PAGE 25 Opinion

EDITORIALS COMMENTARY Stats Show Retreat Medicaid Debate But employment remains strong

orth Carolina’s economy grew punch the panic button. Over the two Will Continue slower in 2014 than in 2013, years, our average annual growth or years, legislators, policy debate plenty of opportunities to according to the U.S. Bureau rate was 2.1 percent, compared to the analysts, medical provid- cherry-pick sets of data to make Nof Economic Analysis. Southeastern average of 1.6 percent. ers, and lobbyists for various their respective cases. BEA tracks the gross domestic Among our neighbors, only Geor- Finterest groups have been arguing Moreover, since the implemen- product, a count of all the goods and gia kept pace with North Carolina’s about North Carolina’s Medicaid tation of a new billing system in services produced for sale. North Car- growth rate. program. Whether you find this mid-2013, North Carolina has been olina’s inflation-adjusted GDP grew GDP isn’t the only relevant mea- argument interesting, confusing, or underpaying providers for treating last year by 1.4 percent, down from 2.7 sure. In employment growth, North boring, I have some news for you: low-income seniors. Now that the percent growth in 2013. That’s a big Carolina’s economy did far better in It’s far from over. state is under orders to make good difference. In 2013, North Carolina’s 2014 (+2.7 percent) than in 2013 (+1.9 Medicaid matters because it on the underpayments, we’ll soon real GDP grew faster than the national percent). Using the federal govern- and regional averages. In 2014, our ment’s broadest measure of unem- is one of the four major services — get a clearer picture of recent Med- growth rate fell below these averages. ployment, which includes people along with K-12 educa- icaid costs. But right now, What’s going on? N.C. State who’ve dropped out of the labor force, tion, higher education, those costs aren’t known. University economist Mike Walden North Carolina has also had one of the and the prison system With these provisos, points to international exchange rates. nation’s largest labor-market improve- — accounting for the here are some things to When the dollar surged last year, ments over the last two years. vast majority of the state keep in mind: North Carolina’s exporters either lost To the extent state and local budget. If you’re looking • According to data sales or had to discount their products policies influence economic growth, at the General Fund alone, collected by the Kaiser overseas. Walden noted to WRAL-TV their primary effects are over the long funded by state taxes and Family Foundation, that “our economy is more susceptible run, not the short run. Better schools, fees, Medicaid is projected Medicaid spending in to ups and downs in the manufactur- better roads, safer neighborhoods, and to cost $3.8 billion in the North Carolina grew by ing sector,” which makes up a greater lighter tax and regulatory burdens coming year, or about JOHN an annual average rate share of North Carolina’s economy affect the willingness of entrepreneurs 17 percent of the total of 3 percent from 2010 to than in the average state. to start new businesses, existing firms General Fund budget. HOOD 2013. That’s lower than The new GDP estimates for to relocate or expand, investors to As recently as 2010, state the national average of 4 North Carolina and other states also adjust their portfolios, and workers Medicaid spending was authorized percent a year. may be inaccurate. BEA calls them to supply more of their labor to the at $2.3 billion, or 12 percent of the • However, states differ “advance statistics” based on “source market. General Fund. widely in Medicaid policies and data that are incomplete or subject to These decisions take a while to Medicaid also matters because medical cost trends. States that ex- further revision by the source agency.” manifest themselves, which is a good it delivers services to a large and panded Medicaid under Obamacare They’ll be revised next year, and some reason to wait for the next round of growing population of the disabled, face much higher costs. If you treat of the revisions may be substantial. economic measures before passing the elderly, and low-income families North Carolina, South Carolina, In any event, it’s premature to judgment. CJ with children. Most of the cost is Virginia, Tennessee, and Georgia as attributed to “the federal govern- a reference group — all neighboring ment.” But that’s accounting, not states that refused Medicaid expan- economics. Medicaid as a whole sion — annual growth averaged is currently projected to cost $14.2 2.2 percent. South Carolina, in fact, In the Deep End billion in the coming year, up from actually posted an annual average $10.7 billion in 2010. North Carolin- decline in Medicaid costs of 1.7 GOP growing pains are normal ians paid or will pay virtually all of percent during the period. this money, regardless of whether • In terms of Medicaid spend- he North Carolina GOP is in party swimming in the deep end for the funds go directly to Raleigh, ing per enrollee, North Carolina is deep trouble — or so say the the first time in its history. and then out to the various service slightly higher than the regional Democrats and left-of-center During the past three years, providers, or travels first through average, largely because the cost of commentatorsT who are rooting for North Carolina has reduced its tax Washington (minus shipping and treating North Carolina’s disabled the Republicans currently leading the burden substantially, adopted a flat handling charges) before ending up population is significantly higher state to bicker, fall out, and fail. tax, embraced regulatory reform, and back here. than in comparable states. Overall, Gov. Pat McCrory has vetoed a greatly expanded school choice. All Because we’re comparing past per-enrollee Medicaid spending bill allowing magistrates with reli- are longtime conservative goals. spending to a projected Medicaid was 8 percent lower in South Caro- gious objections to same-sex marriage Within the various constituen- budget for 2015-16, we’re using ex- lina, 15 percent lower in Florida, to opt out of performing marriages. cies that make up the movement, the penditures as projected at the begin- and 24 percent lower in Georgia. The legislature has overridden his prevailing sentiments are still satis- ning of each fiscal year. In the recent You can accept these observa- veto. Hasan Harnett, an entrepreneur faction and optimism — over newly past, Medicaid costs have exceeded tions and still disagree about how and GOP activist, has won election enacted pro-life legislation, continued projections in some years and come to proceed, whether by tweaking as chairman of the state Republican resistance to Obamacare, and unex- in at or somewhat below projections North Carolina’s current case-man- Party over a candidate endorsed by pected surpluses in state revenues as in other years. Furthermore, in the agement system for Medicaid pa- McCrory and other top officeholders. Washington drowns in debt. immediate aftermath of the Great tients, or by replacing it with some Negotiations over two very different Political parties are always coali- Recession, the federal government form of managed-care alternative. Senate and House budget plans may tions of groups who disagree on some chipped in additional money for But you can’t insist that there’s delay the end of the 2015 session. things but agree on enough to work state Medicaid programs. A couple nothing wrong with Medicaid, at Looks pretty messy, doesn’t it? together. The North Carolina Repub- of years later, that extra funding least not if you want to maintain But before liberal activists break out lican Party is no exception to this went away. your credibility. CJ the bubbly and Roy Cooper starts rule. The current stresses and strains These and other developments comparing color swatches for repaint- within the GOP augur something far have given interest groups trying John Hood is chairman of the ing the governor’s office, we suggest less catastrophic than the earthquake to influence the Medicaid reform John Locke Foundation. everyone calm down. What we see Democrats and liberals are counting is not a party in deep trouble, but a on in 2016. CJ PAGE 26 JULY 2015 | CAROLINA JOURNAL Opinion MEDIA MANGLE Sometimes an Error Is Not an Error t’s easy to make a mistake in journalism. It happens all the time. But most of those mistakes never get into print, either on paper or Ion the Internet. That’s because at several places along the way some editor or proofreader will see the error or typo and correct it. Yes, sometimes they get through, because there’s no such thing as perfection, especially in journalism. But there are some other things that appear in print or online that cannot be thought of as mistakes, but as purposeful acts. That’s because they’re the kind of things that get into print only after long and careful consid- JON eration by several people in HAM the editing chain. One that became the subject of much debate on the Web late last month was an Associated Press How Dining Out Became Normal photograph of Republican Sen. Ted Cruz of Texas speaking at a gun range in Iowa. Several pho- milestone was set in January of this year. The development and mass use of time- and tographs were taken from an angle that made it For the first time, Americans spent more on labor-saving household appliances reduced the time appear as if a handgun, on a poster in the back- eating out than on eating in. This was a big and effort needed to maintain homes. Businesses ground, were pointing at Cruz’s head. Achange from just five years ago, when we spent $7 also found many of the new service jobs could be There is no way this was inadvertent. Pho- billion more per month at food stores than at res- performed as well by women as by men. These two tographers are obsessive in the way they frame taurants. And in the early 1990s, households spent factors led many women to take paying jobs in the shots and find good angles of their subjects. They twice as much on food bought at grocery stores and labor force. Indeed, the labor force participation of do not ignore the background in their viewfind- supermarkets than they did on restaurant food. women rose from 34 percent in 1950 more than 60 ers. With digital cameras, they may take hun- Interestingly, households of all income levels percent today. dreds of shots, and all of these shots go through a spend about the same percentage of their income One consequence of this change was a time vigorous editing process. eating out — around 5 percent. crunch at home. In two-adult households where First, the photographer chooses his best shots However, younger households both partners work and in the increasingly preva- and gives the photo director or photo editor many spend more eating out than lent one-parent households, time often is the most to choose from. Then the photo editor chooses the older households, and the young limiting factor. Taking time to purchase food and best few, and someone decides which ones get sent also devote a higher percentage prepare meals became a chore many households de- out on the Associated Press image wire. of their income to eating out. cided they couldn’t do. Going out to eat or purchas- Later, a newspaper desk editor, or a web The obvious question is ing prepared meals at restaurants for eating at home why are we spending more editor, decides which one or ones to use, depend- became a typical pattern for many families. money buying meals away from ing upon things like space and which way the This brings us to today and the third big trend our homes than we are prepar- subject is looking in the frame. This is not an off- affecting where we eat — the rise of the “millennial” ing and eating meals at home? MICHAEL hand process. Graphics and photos are extremely generation. This year, the millennials — those born The answer is based on three big important in print and online. Nothing happens WALDEN between 1981 and 1997 — will surpass the baby by chance. socio-economic changes occur- boomers (born from 1946 to 1964) as the most popu- With all that, the Associated Press sent out ring in the last 100 years. lous generation. Millennials have been following the photos, and many outlets used them. Com- A century ago the economy was centered on their own path — staying in school longer, marry- pare this with the many photos taken by AP and farming. Families worked all day on the farm. Food ing later, and delaying having children. Dining out other mainstream news outlets that make it ap- that was eaten was raised on the farm. Tasks were pear as if President Obama has a halo around his also very gender-specific, with men tending to live- is a big part of their social life. As the millennials head. Those, too, allegedly were inadvertent. stock and crops and women handling the cooking, have gained in numbers this decade, spending on AP Vice President and Director of Media cleaning, and child-rearing. restaurant and take out dining has experienced the Relations Paul Colford said “the images were not The first shift to eating out occurred with the sharpest jump ever. intended to cast the senator in a bad light.” No development of the factory economy. As mechaniza- Is it good that as a society we are eating out serious media analyst believes that. That the pho- tion came to the farm — thereby reducing the need more? Some yearn for the “good old days” of tos have since been removed from the AP image for farm laborers — millions moved off the farm gathering the family around the dinner table eating wire belies Colford’s comment. and into the city to take jobs in the emerging manu- a home-cooked meal. They say something has been The Associated Press was among the media facturing sector. Most factory workers couldn’t go lost as this scene becomes less common. outlets that were harshly critical of Sarah Palin home for lunch, so many carried their cold meat, I won’t try to answer whether eating out more for a campaign flier that contained crosshairs on cheese, bread, fruit, and perhaps soup in lunch pails is good or bad. I will say that, with today’s fast- “targeted” congressional districts. Many in the to the factory floor. changing technology, any trend can be reversed. media blamed that flier for “creating an atmo- But over time, smart-thinking merchants saw Who knows? Maybe urban gardens and new cook- sphere” that inspired the man who shot Rep. an opportunity to offer low-cost, quick meals to ing methods will lure families back to the kitchen Gabby Giffords workers. This was the forerunner of “fast food,” and dining room table. Someday we may be lament- Similar concerns about the AP gun-to- and lunch became the first meal many workers ate ing the “good old days” of restaurant food and Cruz’s-head photos have not been expressed. CJ outside a home. carry-out. CJ As the manufacturing economy morphed Jon Ham is a vice president of the John Locke into the service economy, how and where we ate our Michael Walden is a Reynolds Distinguished Foundation and publisher of Carolina Journal. meals changed again. This time, the change was led Professor at N.C. State University. He does not speak for by women moving into the paid work force. the university. JULY 2015 | CAROLINA JOURNAL PAGE 27 Opinion The Magna Carta and America have just returned from the United cusations and demands of the king, It proclaims the English church free of at a particular point in time — regard- Kingdom, where there’s much talk it reads a little like the second two- monarchical control. less of the legitimacy of their hold on of historical commemorations. thirds of the Declaration of Indepen- Yet Magna Carta should not be office. I This year marks the 50th anniver- dence. But like that document, it also understood as a republican document. There are also specific clauses in sary of Churchill’s death, the 70th of contains a short series of important It neither deposed nor deterred John, Magna Carta that should be familiar the victory in World War II, the 100th of principles, maxims that the monarch although he did die the following year to Americans today. The right to legal the ill-fated Gallipoli campaign during agreed to recognize and that were as his civil war with the barons raged due process described in the Fifth and World War I, the 200th of Napoleon’s reissued and accepted regularly by the on. It is clearly an artifact of its time 14th Amendments to the U.S. Con- ultimate demise Crown until part of the charter was and place. There is language on the stitution is echoed in clause 39: “No at Waterloo, and codified into English law in 1297. rights of widows to remain unmar- freeman shall be taken, imprisoned, the 600th of Henry Although most of its individual ried and about unpaid debts to Jews, disseised [sic], outlawed, banished, V’s resounding de- components no longer are valid, the as Christians were prohibited from or in any way destroyed, nor will we feat of much larger document remains to the current day charging interest in the Middle Ages. proceed against or prosecute him, French forces at a central feature — many consider it Even so, two contributions except by the lawful judgment of his Agincourt. the wellspring remain crucial. peers or by the law of the land.” The Interestingly, — of the coun- First, as Stam also language that immediately follows, one event that was try’s common described, Magna “To no one will we sell, to no one will less a part of my law tradition Carta constitutes we deny or delay, right or justice,” is conversations with and “unwritten” a shackling of reminiscent of the equal protection family, friends, and ANDY constitution. monarchical — clause in the 14th Amendment. colleagues was the TAYLOR Magna or executive — It is a great shame that most signing of Magna Carta seems power. This is the of the United Kingdom let the an- Carta, or “The especially alive first time that the niversary slide with little more than Great Charter of the Liberties,” that and well in Crown had been a perfunctory inquisitiveness — the was undertaken by King John and a North Carolina. encumbered in commemorative event at Runnymede couple dozen nobles at Runnymede, It was the subject this way. was attended by the queen and prime near Windsor, on June 15, 1215. of an event held Much of minister but was filled largely with To many Brits, the Magna Carta by the John Locke Foundation in June. this radical language was stripped by Americans. is a dusty medieval document written On the opening day of this year’s state Magna Carta’s reissuances, but the Magna Carta deserves every- in impenetrable old English prose. In legislative session, Rep. Paul Stam, principle of limited executive power one’s attention, not least so that we fact, as many Americans understand, speaker pro tem of the N.C. House, and legislative rights remained — for can be reminded periodically of the it is something much more important. accepted his position with a very in- example, the king was forced to ac- critical ideas of the rule of law, liberty, The document was essentially a peace teresting six-minute speech about the cept outside representation onto his separation of powers, and checks and treaty between the widely unpopu- document. (To watch it, visit: http:// Great Council, the prototype of what balances, ideas that took deep root in lar John — an adulterer and despot bit.ly/1TEixxB.) was to become Parliament in the 14th the New World with our revolution who had lost the prized possession In his remarks, Stam focused on century. and our own great charter, the Ameri- of Normandy, tussled with the Arch- some of Magna Carta’s most interest- Second, and related, it estab- can Constitution. CJ bishop of Canterbury, and subjected ing components, including its em- lished the idea that a set of enumer- his countrymen to high taxes — and a brace of free commerce and religious ated rules can bind human behavior, Andy Taylor is a Professor of Politi- group of barons backed by the French liberty. The charter guarantees the even that of a society’s rulers. It is cal Science at the School of Public and In- and Scots. unimpeded movement of merchants these fundamental laws that are sover- ternational Affairs at N.C. State Univer- Constituting a series of ac- and protects them from “all evil tolls.” eign, not the individuals who govern sity. He does not speak for the university. People-Driven Versus Poll-Driven Candidates ebster’s Dictionary defines kidding. Maybe not. This is particu- cian being interviewed on the Sunday ing eye might notice “a little cosmetic “authentic” as “true to one’s larly true in Washington, D.C., and morning talk shows. surgery work” may have been done to own personality, spirit, or in races for major offices, including First, you have to get beyond freshen up the image. character.”W Congress, governor, and president. the self-importance and the bias of the Some might say I have a cynical In today’s Some would say that anyone likes of “objective” hosts, such as NBC view. Having been around the politi- electoral politics, who lacks a full head of hair and a News’ Chuck Todd and longtime Clin- cal game for most of my adult life, candidates and height of at least six feet does not ton crime family hack, ABC News’ that most likely is true. And of course elected officials too have the “stature” to be president. Of George Stephanopoulos. Then you are not all politicians are narcissistic and often are guided, course in the 2016 cycle this con- subjected to watching most politicians poll-driven — which brings me back or some would say ventional wisdom may have lost its parse and nuance almost every word to the word “authentic.” manipulated, by “street cred” with Hillary Clinton’s that comes out of their mouths. It is my view that the American consultants, poll- entry into the presidential sweep- Sadly, spontaneity and philo- electorate is looking for someone who sters, and image stakes. (Clearly, Hillary is not 6 feet sophical conviction have become rare is true to himself or herself and has makers. tall, and the receding hairlines and commodities among our political the courage of their own convictions. Every word MARC bald spots of several of the Republican class. Many seem afraid of their own Someone who is willing to level with is poll-tested, ROTTERMAN contenders may put an end to that shadows. Substantive answers have the American people about the chal- picked apart, and D.C. nonsense.) taken a back seat to the “sound bite” lenges we face both domestically and nuanced. Focus After twice electing the first which will make news stories and overseas. groups — a thriv- African-American president, we now blogs. Politicians are advised to con- In the 1980s we used to have a ing industry — routinely are con- are told we a have the opportunity to dense their messages to 15 seconds or saying: “Let Reagan be Reagan.” vened by pollsters and wordsmiths to elect the first female president. This less. Then they will make the network And you know, that actually get “reactions” to “messages,” images, line often is accompanied by the word news and deliver their 15 seconds of worked out pretty well, don’t you and ads. All demographics are “fo- “historic” — giving Hillary’s candi- fame. think? CJ cused” and targeted. Focus groups are dacy more substance, and, dare I say, But their hair will be perfect and asked their opinions of candidates and “electability.” in some cases “color-corrected,” and issues. Their likes and dislikes. Do I don’t know about you, but one let’s not forget that their teeth will be Marc Rotterman is a senior fellow they prefer Pepsi or Coca Cola — just of my pet peeves is watching a politi- unnaturally white. And the discern- at the John Locke Foundation. PAGE 28 JULY 2015 | CAROLINA JOURNAL Parting Shot Raleigh Officials Move to Regulate Downtown Vibrancy(a CJ parody)

By Harry Carry Nation The decision to install and charge Lifestyle Correspondent rent for meters, which was announced RALEIGH with little fanfare at a June 24 meeting ooming nightlife in downtown of the Raleigh City Council, has been Raleigh has grown too “vibrant” protested by several downtown pub for some, leading to a decision owners. Bby Raleigh officials to place “vibran- One restaurant owner complained cy meters” outside every bar in their that the city has been encouraging liv- downtown areas. ening up downtown, and now it’s say- The meters will rate noise on a scale ing restaurants are going to be penal- from “Snoozefest” to “Drunk and Dis- ized for their success. orderly,” and will be monitored by Reacting to this criticism, the city city officials during the times alcoholic decided that a “range of acceptable beverages can be sold at establish- vibrancy” should be created, and that ments with outdoor patios. restaurants must try to keep within Concerns first were raised when popular watering holes in Raleigh that range. began drawing large crowds to their In addition to charging bar owners outdoor patios along the city’s redevel- Raleigh city officials have purchased municipal vibrancy meters to ensure that rent for the meters, owners also will oped Fayetteville Street and Glenwood downtown “vibrancy” is kept within acceptable levels at the high and the low end. face a $100 fine each time their meter South corridors. (CJ spoof graphic) registers above a “NASCAR Infield” Though the traffic spike was good plify their seating outside when I’m residents are coming downtown, more reading for 15 minutes, and will face a news for business owners, the extra stuck indoors?” he complained. “If establishments are opening, and we $50 low-vibrancy fine if the meter falls bustle made for disgruntled residents I can’t serve outdoors, then nobody have to make sure that people have a below a “Hipster Exuberance” reading and jealousy among restaurateurs who should be able to. That’s what Amer- good time, but don’t enjoy themselves for more than 10 hours a day. didn’t have outdoor patios. ica’s all about, isn’t it? Equality, right?” too much.” Responding to the protests, city offi- “I live in a hotel on Fayetteville Soon after the issue sprang up, Ra- Consequently, the city recently pur- cials said in their new regulations that Street,” commented one elderly resi- leigh city officials concluded there was chased municipal vibrancy meters, vibrancy could be considered success- dent, who didn’t want to be identified just too much fun being had on Fay- which they have mandated must be for fear of being pilloried in social me- etteville Street, and that the situation installed at every restaurant with out- ful only if “all stakeholders agree on a dia. “Downtown was so dead when I should be monitored. door serving areas. level of vibrancy that is a lowest com- got here I figured it would never re- “It might be time to reconsider our Downtown vibrancy inspectors will mon denominator of vibrancy accept- vive. Now it’s just a real pain.” original vision so that we better under- be hired to monitor the meters, a city able to all.” A restaurant owner whose business stand what we want to convey when official said. “We figure a lot of park- This prompted one bar owner on spot does not have sidewalk space saw we describe Raleigh as a ‘vibrant’ city,” ing meter enforcement personnel will Fayetteville Street to say, “That gives the inequity at work. “Hey, why should said Raleigh Mayor Nancy McFarlane. be available for extra part-time work, grouchy old guy in the hotel the power these other restaurants be able to am- “We’re at a point where more and more considering the economy,” he said. to define downtown vibrancy.” CJ

We Have North Carolina Talking! THE NC SPIN NETWORK Every week, hundreds of thousands of North NC SPIN has been called ‘the most intelligent TELEVISION RADIO • WLOS Asheville, Sunday 5 am • Chapel Hill, WCHL-AM 1360, Sunday 6 pm Carolinians watch NC SPIN for a full, all-points half-hour on North Carolina TV’ and is consid- • WCCB Charlotte, Sunday 6:30 am • WXLV Greensboro/Triad, Sunday • Goldsboro, WGBR-AM 1150, Sunday 4 pm discussion of issues important to the state. Poli- ered required viewing for those who play the 7:30 am • Cable 7 Greenville, Sunday 10:30 • Greenville, WTIB-FM 94.3, Sunday 9:30 am tics • Schools • Growth • Taxes • Health Trans- political game in the Tar Heel State — whether am, Monday 9:30 pm, Wednesday portation • Businesss • The Environment they are in government, cover government, 6:30 pm, Thursday 9:30 pm, Friday • Jacksonville, WJNC-AM 1240, Sunday 10 am 9 pm want to be in government, or want to have the • WITN (7.1 & 7.2) Greenville/Wash- • Laurinburg, WLNC-AM 1300, Sunday 10 am ington/New Bern, Sunday 11 am A recent poll showed 48% of North Carolina ear of those in government. • WTBL Lenoir, Sunday 9 am, Monday • Morehead City, WTKF-FM 107.1, Sunday 10 am ‘influentials’ — including elected officials, lobby- 5:30 pm, Tuesday 12:30 pm • WRAL Raleigh-Durham, Sunday • Rocky Mount, WEED-AM 1390, Sunday, ists, journalists, and business leaders — watch If your company, trade association, or group 6:30 am 9:30 am • WRAL-DT Raleigh-Durham, Sunday NC SPIN, with 24% saying they watched the has a message you want political or business 6:30 am • Sanford, WWGP-AM 1050, Sunday 7:30 am • WRAZ “Fox 50” Raleigh-Durham, show ‘nearly every week.’ Thousands of North leaders to hear, NC SPIN’s statewide TV and Sunday 8:30 am • Smithfield, WTSB-AM 1090, Sunday 7:06 am Carolinians also visit NCSPIN.com and get the radio networks are the place for you to be! Call • WGSR-TV Reidsville, Saturday 7 am, 9 am, Sunday 12 pm, 10:30 pm • Statesville, WAME-AM 550, Sunday 5:30 am latest political news, rumors, and gossip from its Carolina Broadcasting (919-832-1416) for ad- • WNVN Roanoke Rapids, Sunday 10:00am • Valdese, WSVM-AM 1490, Monday 6 pm weekly newsletter “Spin Cycle.” vertising information about TV or radio. • WHIG Rocky Mount, Sunday 1:30 pm • Wanchese, WYND-FM 97.1, Sunday 7:30 am • Cable 10 Roxboro, Sunday 6 pm • WILM Wilmington, Sunday 5 am • Wilmington, WAAV-AM 980, Sunday 5:30 pm