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Perdue’s

gambit

Jan 20, 2012 | 2120 views | 6 6 comments | 8 8 recommendations | email to a friend | print

It might be a bit early in the game for a Hail Mary, but Gov. Bev Perdue’s surprise decision earlier this week to propose an increase in the sales tax as a way to boost education suggests that she understands the challenge of being re-elected to a second term.

Perdue said she will include in her 2012 budget an increase of three quarters of a cent in the sales tax, which would boost it from 6.75 percent to 7.5 percent, costing the average household in North Carolina about $180 a year and raising about $850 million over that time that would be funnelled to education. She said the increase is needed after a Republican-controlled General Assembly made across-the-board cuts to education last year that critics say will have long-range and far-reaching effects.

“Education is the key to our children’s future and to North Carolina’s economic future,” Perdue said in a statement. “Investing in education is central to our ability to attract new jobs and businesses to our state. We owe it to our children and our state to stop these cuts and make education a priority again — a fraction of a penny for progress.”

As far as taxes go, a sales tax is the fairest. It is progressive in the sense that the more you buy, the more you pay, but everyone pays at the same rate, so financial success isn’t penalized.

Perdue touts the tax increase as temporary, but the public should be wary. Republicans last year, while fulfilling a campaign promise, let the sun set on a 2009 temporary single-cent sales tax increase over the objection of Democrats and Perdue, who said the $1 billion that was raised each year was needed to protect education while revenues were depressed by the recession. Cutbacks in education followed, with Democrats calling them debilitating, and Republicans arguing that most lost jobs were part-time and the state could do just as much with less by being efficient.

We doubt that the Republicans will support the increase when budget talks heat up in June, and revenues likely to pick up because of an improving economy. Perdue herself probably has that factored into her calculation, but understands the proposal allows the governor to campaign as an education crusader while trying to distinguish herself from Pat McCrory, the former Charlotte mayor and the presumptive Republican nominee.

Perdue, during a campaign with McCrory, could ask North Carolinians what they value more, their child’s education or a three-fourths of a penny on the dollar. Perdue’s was a bold move, one that will be championed as risky politically.

But a larger risk to her re-election might have been to do nothing.



Comments
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thetruthis
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January 26, 2012
Until the folks in Robeson County as well as North Carolina stand up to beaurocrats, crooks, and dirty politicians, it will always stay the same. One problem is that people get mad when an issue arises but their memories are short. They forget before they get to the ballot box or either they vote straight ticket. I'm ready for a change, I've had all the change I can stand these past four years....
shturface
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January 23, 2012
Too much useless Administration is one of the cancers that is eating up a lot of monies that could be used for teacher and assistant raises and the hiring of more teachers. If you ever go to the Board of Education just LOOK at how many are sitting there with the greatest worry on their mind is WHERE they will eat for lunch. The last 2 governors we have had have been morons and crooks stop voting with your heart and use your brain.

BBBD
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January 23, 2012
You're on a role, shturface. Someone who sees things for what they are.
PercyKution
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January 21, 2012
It's pretty clear with this latest proposal of Bev's that she is not only incompetent, but that she really dosen't WANT to be Governor anymore. If the NC Democratic party has ANY common sense at all they will nominate someone else for Governor. Not that it will do any good, McCrory WILL be the next Governor of NC, but Bev has NO chance. NO CHANCE AT ALL of being re-elected.
BBBD
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January 21, 2012
Once a tax increase is passed the odds of it being cut are very low. What assurances would we have guaranteeing ALL of this money will go to education? The same assurances that came with the lottery? The truth is that more and more money isn't the answer. The money needs to be spent in the most effective way. Watch "The Cartel" on Netflix to learn about what a money black hole public education is.
teacherman
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January 22, 2012
Watching TV or movies to get information is a bit ignorant in my opinion. It is not that hard to end a temporary tax. The republicans did it with ease this year. Thats why about 100 teacher assistants in Robeson County lost their job and the rest took a 25% pay cut. A sales tax is an answer to prayer for our public schools.
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