Democratic Governor Beverly Perdue offered her spending plan for the next fiscal year Thursday morning. It increases spending by nearly $1 billion and restores cuts made by Republicans in the previous session of the General Assembly, including Pre-K programs. Perdue’s budget relies on a 3/4 penny increase in the sales tax and a number of assumed savings to reach her spending target. The proposal also includes a 1.8 percent pay increase for state employees.
Senate President Pro Tem Phil Berger (R-Rockingham) says the sales tax increase won’t be part of the Legislature’s final budget.
Perdue’s budget arrives late historically and legislative budget writers have already nearly finished their budget. They have been meeting constantly during the interim period. The word is we’ll see their spending plan the first week of session which opens May 16.