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BTC Report: Final Budget Agreement

The NC Budget & Tax Center’s analysis of the 2007-09 state budget finds that lawmakers spent this year’s surplus wisely, setting aside funds for savings, one-time capital expenses and a few large long-term program expansions like NC Kids’ Care and the Earn Scholars.

However, beginning in 2008, the state’s underlying structural deficit will reappear and make the task of formulating a budget difficult once again. Two things must be done in order to bring the budget into overall balance in the long-term – 1) national health care reform that lowers annual increases in costs and 2) state and local tax reform aimed at establishing a fairer and more stable revenue system for North Carolina’s public sector.

Click here for the BTC report The Final Budget Agreement: An Affordable Investment in North Carolina’s Future [1]