MobilityTechzone

Latest News

TMCNet: EDITORIAL: Lottery raid sets a bad precedent

[March 09, 2009]

EDITORIAL: Lottery raid sets a bad precedent

(The Mountaineer Via Acquire Media NewsEdge) Mar. 9--Many in North Carolina are outraged that lottery funds earmarked for school capital projects have been snatched to balance the state budget.

N.C. Gov. Beverly Perdue made no promise to return the funds when times get better, nor did she give much of an explanation for the action. In an executive order, Perdue said she was transferring $ 50 million from the Education Lottery Reserve Fund, putting it into a reserve account and managing it for possible use to support other state obligations.

To understand the bitterness, it is necessary to recall the contentious circumstances under which the lottery measure was passed.

Many legislators -- and their constituents -- opposed state-sanctioned gambling. It was only through a compromise that guaranteed all proceeds from the lottery would be dedicated to education that the measure passed at all.

Additionally, when the lottery distribution formula was fashioned, it put western counties where the property tax rate is generally lower at a disadvantage. Western legislators worked valiantly to address the disparity and a one-time corrective distribution was scheduled this fiscal year. The state budget woes mean that isn't likely to happen.

Perdue's action has sparked distrust and will forever provide ammunition to lottery opponents who now have ample reason to say "I told you so," when supporters laud the program as the answer to education funding woes.

Perdue's action is not unprecedented. Gov. Michael Easley also raided special capital funds, including those earmarked for education, and withheld portions of the sales taxes that should have been remitted to counties.

There will always be questions raised about spending priorities, but Gov. Perdue is correct in at least one thing. She is doing all she can to preserve education funding by requiring deeper cuts in non-education funds. North Carolina residents have made it clear education it at the top of their priority list.

That still leaves the question of a sitting governor's ability to highjack the lottery funds which clearly were intended for the single purpose of education.

One solution that could address the situation is a constitutional amendment that would make lottery funds off-limits for uses other than education. It's a move Perdue has indicated she supports and is one that appears necessary.

To see more of The Mountaineer or to subscribe to the newspaper, go to http://www.themountaineer.com/.

Copyright (c) 2009, The Mountaineer, Waynesville, N.C.

Distributed by McClatchy-Tribune Information Services.

For reprints, email tmsreprints@permissionsgroup.com, call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.

[ Back To MobilityTechzone Homepage's Homepage ]
FOLLOW MobilityTechzone

Subscribe to MobilityTechzone eNews

MobilityTechzone eNews delivers the latest news impacting technology in the Wireless industry each week. Sign up to receive FREE breaking news today!
FREE eNewsletter
Interview with VPI Systems
TMC's Rich Tehrani speaks with Russ Green, Senior Vice President of Marketing and Product Management for VPI Systems
Interview with Thrupoint
TMC's Paula Bernier speaks with David Jodoin, Chief Strategy Officer for Thrupoint
Interview with Nuance
TMC's Erik Linask speaks with Christy Clark Murfitt, Sr Manager of Solutions Mktg, Enterprise Division for Nuance
Interview with Abukai
TMC's Erik Linask speaks with Philipp Schloter, President & CEO of Abukai
Interview with DragonWave
TMC’s Stefanie Mosca speaks with Greg Friesen, VP, Product Management of DragonWave