Demands Would Increase Taxes by $4,000 Per Family of Four
As more information becomes available about the demands of the “Moral Monday” protestors, and their leaders in the state chapter of the NAACP, the price tag for their wish list grows exponentially.
Estimates now reach an eye-popping $10 billion to pay for the “people’s agenda.” That would mark a whopping 50 percent increase in the state budget. To fund the “Moral Monday” demands would cost every man, woman in child in North Carolina roughly an additional $1,000. That amounts to adding another $4,000 in taxes to the tax bill of each family of four.
As published yesterday, Civitas tallied a partial list of “Moral Monday” demands and arrived at an immediate budget impact of roughly $3 billion. The list was limited largely due to constraints in obtaining data.
Yesterday evening, however, Senate President Pro Tem Phil Berger’s office released the draft of a budget amendment that included cost estimates for many of the protesters’ demands. The estimates were put together by legislative staff and as such offers insights previously unavailable to Civitas. Berger’s office months ago sent a letter to state NAACP head William Barber asking for specific policy recommendations. After Barber responded, Berger asked General Assembly staff members to draft an amendment that would include many of the points addressed in Barber’s letter.
The amendment calculates about $7 billion in annual additional costs to taxpayers. The largest item is $6.8 billion to provide funding for health insurance for all North Carolinians, regardless of immigration status. Included in the 14-point “people’s agenda” laid out by the state NAACP are the demands for “health care for all,” and “NC must provide immigrants with health care.”
Thanks to the additional data provided in the amendment, we can now update the price tag for the Moral Monday protesters’ “agenda” by combining the figures from the amendment with Civitas’ prior research.
How do the protestors propose that all their demands be paid for? They never say.
Berger’s amendment includes a provision suggesting that to fund just $7 billion of their demands, the state would need to increase its corporate income tax from 6 percent to 50.5 percent. Goodbye, job growth.
And recall that the Moral Monday/NAACP demand to raise the minimum wage would cost tens of thousands of jobs, primarily depriving the working poor of opportunity. Such an outrageous price tag and devastating economic consequences reveal just how radical and extreme the “Moral Monday” protesters truly are.
|Demand||Cost to Taxpayers|
|Bring NC teachers average salary up to national average||$1.05 B in 1st yr.|
|Repeal 2013 Tax Reform||$500 million in 1st year
($2.4 B over 5 years)
|Accept Medicaid expansion under Obamacare||$3.1 B over ten years|
|Revoke Unemployment Insurance reform||$3.6 B over five years
($405 million in 2014)
|Fully fund all programs designed to aid at-risk, disadvantaged students||$142 million/yr|
|Hire special leadership teams of 3-5 experts in each school found “in violation of the Constitution” to reengage young people and their parents in the educational process||$7.6 million/yr|
|Continue to increase the state earned income tax credit||$108 million/yr|
|Construct a monument Honoring African Americans on the grounds $400,000 of the state Capitol||$400,000|
|Double need-based financial aid for historically black colleges and universities (HBCUs)||$39 million/yr|
|Appropriate $50 million to the N.C. Housing Trust Fund||$50 million|
|Senate Amendment Calculations|
|Health Care for All North Carolinians, regardless of immigration status||$6.8 B/yr|
|Medicaid Expansion under Obamacare||-$14 million
(this is first year net impact, long-term impact will be about $3.1B cost over ten years – see above)
|Expand Pre-K program to meet Leandro requirements||$173 million/yr|
|Triple Funding for Office of Minority Health||$9.6 million/yr|
|Establish Department of Human Rights||$4.7 million/yr|
|Double funding for state’s nonprofit minority, community economic development “package”||$32 million/yr|
|Increase funding for worker training and education programs by 50%||$360 million/yr|
|Double affordable housing program||$14 million/yr|
|Equalize per student funding for HBCU students to all other UNC institutions||$46 million/yr|
|Subsidize child care for families on waiting list||$225 million/yr|
|Create Youth Environmental Service Corps||$10.8 million/yr|
|Establish 1898 Wilmington Race Riots and 1979 Greensboro massacre reparations commission||$20 million|
|TOTAL IMPACT||$9.98 Billion|