$793 Million for Florence Recovery

Posted on October 16, 2018 by admin in Disaster Relief

State lawmakers yesterday allocated $793 million in additional Hurricane Florence relief funding in response to the preliminary needs assessment released last week, bringing the legislature’s total commitment to disaster recovery since the storm to $850 million. For comparison, after Hurricane Matthew, the legislature appropriated $200 million two months after the storm. With this latest action, the North Carolina General Assembly has allocated over $1.2 billion for hurricane recovery since 2016.

The Hurricane Florence Disaster Recovery Fund (HFDRF) appropriates $65 million to provide a state match for federal disaster assistance and another $65 million state match for federal transportation assistance. It spends $60 million on capital recovery funds for public school facilities and $30 million for capital needs in the University of North Carolina system. Another $28 million will benefit local governments, while agriculture recovery received $50 million. More than $30 million was directed to housing recovery support.

Tens of millions more dollars will meet needs in behavioral health, community hospitals, small businesses, community colleges, and mosquito abatement efforts in areas of North Carolina affected by Hurricane Florence. Funding for coastal beach renourishment, dredging needs, marine debris cleanup, and commercial fishermen were also included in the recovery package.

The measure includes a fix for members of the National Guard who participated in the response to Hurricane Matthew. The bill waives outstanding debt service members owed due to accidental overpayments by the Department of Public Safety (DPS). It also requires DPS to reimburse service members who already repaid the department.

As part of the continuing collaboration among state leaders to respond to the historic storm, officials from the Office of State Budget and Management (OSBM), including State Budget Director Charles Perusse, briefed key appropriations leaders and fiscal staff in the North Carolina legislature on Thursday. Participants discussed the Governor’s proposal at length in a productive working session.

OSBM told lawmakers that, consistent with the descriptions contained in the Governor’s report, the needs assessment released this week was a preliminary figure that may change based on further analysis and the availability of additional federal aid. OSBM also said that this is a long-term, five-year plan.

The report indicated that more concrete, on-the-ground data will soon be available to update the preliminary needs assessment, which relied in part on computer modeling. As such, some assessed needs may shift considerably over time as federal aid becomes clearer and damage assessments continue. Education needs, for example, are particularly preliminary, and many of the damage assessments will change in OSBM’s final report, lawmakers and staff heard from administration officials.

OSBM is also working on an estimate of how much funding could be spent in the next six months. They indicated that course corrections may be required over time. Based on this information and the Governor’s report, the legislature appropriated a majority of the funding immediately while preserving maximum flexibility to meet the final needs assessments that are currently ongoing.

Most of the funding transfer comes from the state’s record $2 billion rainy day fund.

In a joint statement, state House Speaker Tim Moore (R-Cleveland) and Senate Leader Phil Berger (R-Rockingham) said, “Since Hurricane Florence hit, we’ve sought to take politics out of the relief effort. Today’s historic, bipartisan aid package is yet another step in a collaborative recovery process that we hope will continue.”

State lawmakers convened in Raleigh on Monday for the second time in as many weeks, and are scheduled to go into session again in November. The legislature plans to continue collaborating with state agencies as they finalize their needs assessments for Hurricane Florence.

According to the most recent report on Hurricane Matthew funding, approximately $124 million has been disbursed, $115 million has been awarded, and $121 million remains available out of the total $360 million allocated in prior disaster recovery packages since 2016.

Hurricane Recovery Fund Approved in Bipartisan Vote

Posted on October 2, 2018 by admin in Disaster Relief, Education, Elections, Emergency Management

Legislation to provide emergency flexibility to schools and elections boards in the aftermath of Hurricane Florence, as well as establishing a new recovery fund from the state’s record savings reserve, unanimously passed the North Carolina House of Representatives on Tuesday.

Election registration deadlines were extended in the bipartisan House Bill 4 [Hurricane Florence Emergency Response Act] to accommodate voters displaced by the storm and local boards were given flexibility to adjust polling places, replace one-stop early voting sites, and adjust absentee ballot distributions to deal with facilities damaged by Hurricane Florence.

School districts in counties under federal disaster declarations were extended up to 20-day waivers for making up missed class time in the bipartisan Senate Bill 2 [School Calendar & Pay/Hurricane Florence]. Other school districts that missed class time but were not in the most hard-hit areas will only be required to make up two days of school.

The disaster relief legislation also requires school employees be compensated the same as if they had worked any scheduled instructional days deemed completed by the public school unit during September and October of 2018.

A $56.6 million initial funding transfer was made to a new Hurricane Florence Disaster Recovery Fund to provide the state match for federal disaster assistance programs. It will also cover missed compensation for some school employees and make a down-payment on the costs of relief in North Carolina counties designated under a major disaster declaration by the President of the United States.

The legislation also allows the waiver of any fees assessed by the Division of Motor Vehicles for duplicate drivers licenses or identification cards, applications for certificates of title, registration plate replacements, applications for duplicate registration cards, and late payments of a motor vehicle registration renewal fee.

It further addresses immediate needs to mitigate and prevent large populations of floodwater mosquitoes from emerging in the aftermath of Hurricane Florence. Those mosquito control efforts include mosquito abatement activities, integrated mosquito management activities, education regarding mosquito bite avoidance, and distribution of materials for prevention measures.

The legislation directs state agencies to strive to acquire goods and services from historically underutilized business vendors, whether directly as principal contractors or indirectly as subcontractors.

State House Speaker Tim Moore (R-Cleveland) thanked his colleagues for the bipartisan effort in response to the storm and recalled his damage assessments with representatives in regions impacted by Florence.

“Every one of you, I’ve seen what you do and mean to your communities, and I thank you for your service to millions of North Carolinians,” Moore said. “It’s always good to see partisanship and some of the crazy divisions we let ourselves get into have been put aside for everybody to work together. This special session is an example of that.”

Legislature to Convene October 2 for Hurricane Relief

Posted on September 25, 2018 by admin in Disaster Relief, Education, Emergency Management

Great Seal of the State of North Carolina The North Carolina General Assembly will convene Tuesday, October 2, 2018 to begin considering disaster relief legislation in support of victims of Hurricane Florence.

Lawmakers supported calling the extra session next week to address pressing needs for education communities, provide policy flexibility to storm victims, and prepare for a fourth disaster recovery act since 2016 as well as federal relief funding from the U.S. Congress.

State House Speaker Tim Moore said the upcoming session was important to begin work on key reforms and emergency funding packages that state legislators have experience addressing after Hurricane Matthew hit the state in 2016. “The disaster recovery process is familiar to North Carolina lawmakers from both a budgeting and policy standpoint,” Moore said, “and we are ready to get to work passing key reforms and preparing funding to accelerate the storm recovery and help victims through this difficult time.”

North Carolina has saved a record $2 billion emergency reserve fund for natural and economic disasters. The state legislature appropriated over $360 million for Hurricane Matthew recovery the last two years.

Education leaders in the North Carolina legislature held a press conference with state Superintendent Mark Johnson on Monday to detail proposals that would alleviate concerns among education communities about attendance makeup requirements and income instability for teachers due to missed class time after the storm.

State House and Senate leaders “are working together, both houses and both parties, on a comprehensive disaster relief bill to get the immediate needs addressed,” said House Education Committee co-chair Representative Craig Horn (R-Union).

North Carolina lawmakers continue to work closely with their state’s federal delegation to prepare for a Congressional relief package and clear potential legal and fiscal obstacles to appropriating impending aid.

On Sunday, U.S. Senators Thom Tillis (R-NC) and Richard Burr (R-NC) applauded the U.S. House for granting their request for a $1.68 billion “down payment” on Hurricane Florence disaster relief in the Federal Aviation Administration reauthorization bill. The relief includes $1.14 billion for North Carolina and $540 million for South Carolina.

Legislative leaders have expressed support for additional reforms that provide flexibility for storm victims including delaying upcoming small business tax deadlines and adjusting vehicle title replacement policies through the DMV.

State Revenues Exceed Forecast by Over $400 million

Posted on August 15, 2018 by admin in Economy, Tax Reform

North Carolina collected $400.2 million more in revenue than forecast at the end of the 2017-18 Fiscal Year as “a steadily growing economy produced yet another fiscal surplus,” according to a new report from the state’s nonpartisan Fiscal Research Division.

The state collected $176.1 million more in individual income tax than it forecast and $63.2 million more in franchise taxes than expected by June 30, 2018, the end of FY 2017-18.

Insurance gross premiums taxes increased 15%, or $74 million, over the previous year. Revenue from non-tax sources was nearly 10% over the state’s target.

“Tax relief for families and businesses, combined with smart state budgets that make education a top priority, are a winning combination for North Carolina’s economic growth,” said state Speaker of the House Tim Moore.

The state’s revenue forecast for FY 2018-19 was also revised upwards by $276.5 million, according to the report.

“Most of the increase in the revenue forecast was from the Individual Income tax, and more specifically from the increase in non-wage income such as business and investment income,” the report from the state’s nonpartisan Fiscal Research Division said.

The North Carolina General Assembly’s Republican leaders enacted historic tax relief this decade to save state taxpayers billions of dollars, encourage economic growth and spur job creation.

Since 2011 the General Assembly has levied a lower sales tax rate, personal income tax rate and corporate tax rate on North Carolina families and businesses, while tripling the zero-tax bracket for low-income families.

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