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Riggs writes ruling favoring WBTV in records dispute with Charlotte

One of new state Supreme Court Justice Allison Riggs’ last actions as a state Appeals Court judge was a ruling favoring WBTV in its public records dispute with the city of Charlotte. Riggs wrote the opinion for a unanimous three-judge panel favoring the television station’s owner, Gray Media. Appellate judges on Tuesday reversed a trial court decision favoring the city.

CJ Staff
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Deadline To Launch NCTracks Medicaid Computer System Looming

RALEIGH — The Department of Health and Human Services is taking an “unbelievably risky” approach to activating a nearly half-billion-dollar, high-powered Medicaid computer system, one state senator says. And a blistering state audit says NCTracks, plagued by major delays and cost overruns, may not be ready as its launch date draws near.

Dan Way

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Bill Targets Incentives Conflicts

RALEIGH — State Rep. Paul Luebke, D-Durham, introduced a bill last year that would prohibit consultants who advise the state on economic incentive programs to advise businesses on how to obtain incentives under those programs. Luebke developed the bill after Carolina Journal reported that accounting firm Ernst & Young advised officials in the Department of Commerce on the structure of its economic incentives, then represented Time Warner as the cable giant sought to obtain the new tax breaks offered by the state. “In my judgment, making money from both sides of the street is a conflict of interest,” Luebke said.

Paul Chesser
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Senate Panel Pulls Incentives Bill

RALEIGH — A bill that would expand funding and the number of projects that can be subsidized for economic development was tabled in a Senate Finance Committee meeting Tuesday. Both Democrat and Republican senators doubted the worth of the Job Development Investment Grant program in a lively debate. Some thought the legislation might have failed in a vote before its sponsor, GOP Sen. Fletcher Hartsell of Concord, asked that the bill be set aside. Current law allows the state to provide tax-rebate incentives for 15 businesses per year, with up to $10 million per year for the entire program. The new legislation would increase the potential number of projects to 25, at a cost of up to $18 million annually.

Paul Chesser
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On Milking A State’s “Cash Cow”

RALEIGH — A workshop conducted in late March, led by experts in getting economic development incentives from state and local governments, shows that large companies are now banding together to learn how to extract as much public money as possible from elected officials. The seminar taught dozens of corporate government-relations executives how to “Turn Your State Government Relations Department from a Money Pit into a Cash Cow.” It urged companies in part to “involve elected officials in press announcements;” to “thank everybody a zillion times;” and to “be mindful of the election and legislative cycle.” Two NC lawmakers criticized the presentation and what it signified.

Paul Chesser
News

Report: NC Not Low in Business Taxes

RALEIGH — A study released several weeks ago by an accounting firm and recently touted by North Carolina politicians as evidence of the state’s attractiveness to business is fundamentally flawed and offers little useful information to policymakers considering tax changes, according to a new report published today by the John Locke Foundation. Small businesses, Cordato wrote, are particularly affected by the taxes left out of the study, and account for about half of employment in North Carolina and have generated 80 percent of net job growth in recent years.

CJ Staff