Latest / The SEANC View / Political Earthquakes and Revenue Surpluses
Transcript
- 0:00Hello everyone and welcome to another edition of the Scenic View podcast.
- 0:03I'm your host Jonathan Owens, communications director, along with Suzanne Beasley,
- 0:08the government relations director at Scenic, and also our podcast producer, Sammy Klein.
- 0:13We are without our leader, our captain this week, we're going to try to get through.
- 0:18Without Artis Watkins, we are going to do our best to provide what we can for
- 0:24you guys this week. Let's get to it.
- 0:36So the biggest news this week from state government was one of the main leaders
- 0:41of the state government will not be in his position next year.
- 0:46And I'm not talking about Huber Davis at Carolina, the basketball coach.
- 0:50See, I was trying to make that analogy. It wasn't very clean.
- 0:54Senate leader Phil Berger has conceded his race to Sam Page.
- 0:58That's right. And it was a, I think it was like a 23 vote difference.
- 1:02He finally just decided to call off the recounts and concede.
- 1:07That is a huge earthquake for political junkies like us, right, Susanne? Yes.
- 1:14I'm not even sure how to feel right this moment because, you know,
- 1:17Senator Berger has been around since I've been around.
- 1:20So, yeah, it's a huge change. The Senate, that's going to, you know,
- 1:24that's going to shift power in the Senate. And we've already heard some folks
- 1:28coming out publicly that want to take that spot, become the president pro tem of the Senate.
- 1:35Senator Ralph Ice, obviously, Senator Michael Lee and Senator Todd Johnson.
- 1:41We'll get into that in a second. But I just wanted to talk a little bit about
- 1:45just how big of an impact this is going to be.
- 1:48He's been in the Senate for, what, 26 years? Yeah, exactly.
- 1:52When you first heard that there was a challenger, primary challenger for him,
- 1:56did you expect, I mean, did you even think this was possible, I guess? No.
- 2:01I mean, it's Senator Berger, so no.
- 2:04But, you know, Sam Page is the sheriff in Rockingham County,
- 2:07and, you know, everybody loves their sheriff.
- 2:09So, you know, once he decided to run, he was going to have a bit of a formidable
- 2:14opponent in the primary. This is also, you know, a perfect situation to say
- 2:19to people who think that their vote doesn't count.
- 2:22Right here is proof that your vote counts.
- 2:25Yeah. At the end of the night on election night, it was two votes.
- 2:28Yes. Yes. It spread out to 23. But that's just amazing.
- 2:34And it kind of shows you the difference between state government,
- 2:38state politics in Raleigh and maybe local politics.
- 2:44Legislature. A legislator is dragged into a fight locally. Maybe the issues change.
- 2:50I know that the casino thing was kind of a local issue down there or up there, I guess. It was.
- 2:58So, you know, like Senator Berger has his hands in all of the state politics.
- 3:04I mean, he is the leader of the city. He's probably the most powerful politician in the state.
- 3:09Yes. But it's amazing that a local issue like that can impact his race so much.
- 3:14Yeah, it was interesting to witness this whole election all the way up through the recounts.
- 3:21And, you know, it's just going to be a huge change for the entire legislature,
- 3:25obviously for all of us who work there and for our state.
- 3:29Yeah. So let's look at the folks who are in line to take his place.
- 3:33I saw a story from the State Affairs today that said that Ralph Heiss is seeking to replace him.
- 3:39There's also a story about Michael Lee, I think, and Todd Johnson.
- 3:42It's interesting, though, because even though he's, you know,
- 3:46he lost a primary, he didn't lose a general election, so it's not any kind of.
- 3:51Party change. I mean, they're still going to have a majority pretty much.
- 3:56Yeah, that didn't change.
- 3:57And, you know, we kind of saw this through the elections.
- 4:00You know, there were some Democrats in the House who had voted with the Republicans
- 4:03against Governor Stein's vetoes, and we saw them lose their seats.
- 4:07So, you know, interestingly, across the board, there were some upsets that some
- 4:12you kind of saw coming. Some of them were like, OK.
- 4:16I think the most interesting aspect of this is that we still have a short session
- 4:20and Senator Berger will still be there.
- 4:23And I assume he'll still be in charge of the Senate, right?
- 4:26Yes. Yes. And I expect Senator Berger will, you know, he'll finish up his business
- 4:31as much as he can through this session and before he leaves,
- 4:34you know, but it's going to be odd to go back in knowing that he's not coming
- 4:38back and knowing that we're fixing to have this big shift in power.
- 4:41Do you think that it'll change any strategy for us at all or definitely i mean
- 4:48we've got you know these will be new relationships,
- 4:51Yeah. So, you know, we're going to we're going to have to build,
- 4:54you know, on whoever, whoever gets that position, you know, whoever's elected
- 4:57by their caucus to lead them.
- 4:59We will have to work on our relationship with them.
- 5:01And obviously that will change the way we work with the Senate.
- 5:05Can you see this being I'm sorry, I'm grilling you with questions,
- 5:08but you are expert this week.
- 5:10Do you see this being a shorter than usual short session?
- 5:15I anticipate that they're going to be pretty quick. I mean, they can't campaign
- 5:19when they're in session.
- 5:21Lawmakers can't campaign when they're in session. So they kind of need to get in and get out.
- 5:25You know, November will be here before you know it. So no dragging of the feet,
- 5:28which is good on one hand.
- 5:30But on the other hand, we want them to have time to actually craft and pass a budget.
- 5:36You know, we still we don't have a budget from the previous year.
- 5:40It's an election year. So they're going to need to look at something in whatever
- 5:44budget they do for the short session that makes up for what they didn't do last
- 5:48year. you know, in order to leave a better feeling in people's hearts, so to say.
- 5:53So, yeah, I think they will come in and do business and go out.
- 5:56I could be completely wrong because it's the North Carolina legislature and, you know, sometimes.
- 6:02But, yeah, I think it'll be quick.
- 6:05Another story that came out this week is the revenue projections for next year
- 6:10for 2027. Yeah, so if the revenue, if the tax collections are over a certain
- 6:16amount of revenue, it triggers a decrease in the personal income tax.
- 6:20So we have an overcollection of $370 million, I believe the number was,
- 6:25which will trigger the decrease from $3.99 to $3.49 next year in the personal income tax.
- 6:32We're also looking at the next year of there being overcollection of taxes,
- 6:36which will trigger the next year.
- 6:39Phase of personal income tax, which means less revenue for the state.
- 6:44And that just goes right into what we talk about all the time.
- 6:49How are you going to fund services for taxpayers?
- 6:52We've still got a 23% vacancy rate here in North Carolina. How are you going
- 6:57to pay the people that you've got in order to keep them?
- 7:00How are you going to raise salaries enough that people want to come work for
- 7:05the state. There's so many things to consider.
- 7:07And I was doing, I did some reading on the actual document that's on the OSBM
- 7:12website, more weeds than I want to get into right now.
- 7:15But the, you know, the infrastructure of our state is at issue here.
- 7:20And, you know, we hear all the time that North Carolina is the number one state
- 7:24for people to come and move to, to open new businesses.
- 7:27We hear this from, you know, agency heads who talk about, you know,
- 7:32how this affects the services that they're able to provide.
- 7:36You know, Secretary Marshall, she spoke in committee not too long ago and explained
- 7:40how we'll need to fund things appropriately because these are the services that
- 7:45are offered to those people who come to North Carolina to start new businesses.
- 7:49If you don't have an infrastructure that's properly funded, you're not going
- 7:52to attract people to come to our state. You know, that sounds good on the surface.
- 7:56I mean, doesn't everybody want to pay less tax? But at the same time,
- 7:59we've got to consider how that's going to affect our state as a whole.
- 8:02It has an impact on everyone. So when you hit that, you know, the.
- 8:06Pothole in the middle of the road and you're wondering where the OT is to fix
- 8:11your roads and it's because they're not funded and there aren't enough people to do it.
- 8:15So lack of a budget, the impending lack of revenue, how all this plays into
- 8:19North Carolina remaining number one is important.
- 8:22Yeah. So this story that I'm reading from WUNC says that with this reduction.
- 8:28The state would bring in $5.08 billion this year, but it would only bring in
- 8:33$34.72 billion during the next fiscal year.
- 8:37Governor Stein said today's forecast means we'll soon fall into a budget gap
- 8:42of at least $2.8 billion.
- 8:45Yeah. Causing the state to have to make painful cuts to critical services like
- 8:50public safety, education, and health care.
- 8:53Yeah, there'll be no way around it. So, Speaker Hall, Destin Hall,
- 8:58his office said in a news release that the new numbers are increasing the chances
- 9:02of a significant recurring deficit, underscoring the need for a responsible budget.
- 9:07So that's maybe a little different than the Senate would say, right?
- 9:11Definitely. And I mean, that's those hard lines between the Senate and,
- 9:15you know, what the Senate wants and what the House wants.
- 9:17And Speaker Hall has held his line the whole time. So that trends with what
- 9:21he's been saying this entire last year of the budget and or lack of a budget.
- 9:27You know, that there is that concern that, you know, we're going to have a budget
- 9:31shortfall, you know, and they do need to be responsible.
- 9:34All the things that I just talked about, about infrastructure, all of that suffers.
- 9:38This is why it's important for our members to stand up for themselves,
- 9:42right, to be part of this discussion.
- 9:44And we have a lobby day on May 6th coming up. So we want everyone to come out
- 9:49and, you know, make sure that they know that the jobs you do are important and need to be funded.
- 9:54Exactly. And I mean, we're looking forward to that day.
- 9:58It's not only a great day for us just to gather as a collective,
- 10:01you know, and see each other and appreciate each other for the work that that
- 10:06state employees and retirees have done.
- 10:08But it's also the opportunity to go visit lawmakers and deliver that message
- 10:13collectively so that they, you know, hopefully will understand what's at stake
- 10:17here for North Carolinians. So we're looking forward to that.
- 10:20It's on May 6th. We're going to gather at 9 a.m. that morning at the state capitol.
- 10:25We'll hear from our officers and, you know, artists.
- 10:29Obviously, we'll speak to the group and maybe there'll be a couple of VIPs who come and say hello.
- 10:36But then we'll make the walk over to the legislative building and start our
- 10:40grassroots advocacy day.
- 10:43So we're looking forward to that. If you're a state employee or retiree, come join us. Yes.
- 10:48How does this projection, maybe not change what your team will be fighting for
- 10:53down there, but maybe inform it?
- 10:55Does it change any ways you approach things or anything? Well,
- 10:59I mean, always knowing what money you have or don't have.
- 11:02Is going to, you know, fall into your conversation because the question's always,
- 11:06well, how are we going to pay for that?
- 11:08So, yeah, that will definitely play into our conversations about pay raises and COLA money or,
- 11:15you know, the lack of money being there to provide those kind of things for
- 11:18the people who keep the state running and who help build this state into what it is today.
- 11:23So, yeah, really important for those folks to come out and talk about that straight from them.
- 11:29It's one thing to see us. They see us all the time.
- 11:32They know who Cynic is, you know, with the DR team on the ground over there.
- 11:36But when it's your constituents who are coming in the door with their concerns, that hits differently.
- 11:42So anything else going on down at the legislature?
- 11:46It's been kind of a quiet week this week. There's a couple of meetings next week.
- 11:49Just, you know, oversight committees, those kind of things that are doing their required reporting.
- 11:54April 6th, there is session calendared. I'm not sure at this point if that's
- 11:59going to be a skeletal session.
- 12:00I anticipate that it is.
- 12:03The only thing that's listed on the calendar are some overrides that have not
- 12:07been addressed by the House yet.
- 12:09They may call the House back to address those before session starts,
- 12:12or they may do that when session convenes April 21st.
- 12:16So this WNC report also says that the, it talks about the state is the,
- 12:21North Carolina is the only legislature in the country that didn't pass a budget last year.
- 12:25While a surplus figure represents a change in revenue projections,
- 12:29the lack of a budget means North Carolina has collected more than $2 billion
- 12:33more than it's spent under the current budget.
- 12:37So, I mean, we will definitely be wanting some of that money,
- 12:40right? Exactly. I mean, there's money there.
- 12:43So that's money that's been saved on the kind of on the backs of our members,
- 12:48you know, because they didn't get raises.
- 12:50That's right. They didn't get raises. They've seen increases in the cost of their health care.
- 12:55You know, the price of prescription drugs has skyrocketed. Everybody's feeling that effect.
- 13:00So, you know, not having any adjustment to their income has made it even more difficult for them.
- 13:06So, yeah, we want some of that money for the working people of North Carolina. That's only fair.
- 13:11And plus, you know, obviously, like we've talked about already,
- 13:14the department, the agencies are needing funding as well, especially like EAC.
- 13:19That's right. And we're looking forward to probably closer when session meets
- 13:23maybe in early May, having OSHR Director Stacey Meyer on to talk about the revamping
- 13:28of the State Human Resources Act.
- 13:30How people are paid and maybe that'll have some positive effects for state workers.
- 13:36We already have seen changes from session law back in the summer last year for
- 13:41hiring practices that make it easier for agencies to hire people.
- 13:45So that's headed in the right direction, but that'll be something that's on
- 13:49the table when session starts.
- 13:50Let's turn to Sammy. Sammy, so you took a big trip and then you came back to
- 13:55work on Monday and you were sent to an even bigger trip, Goldsboro,
- 14:00North Carolina, for Cherry Hospital.
- 14:02But you said it was a pretty fun experience down there. What happened at our
- 14:06event at Cherry Hospital? Yes.
- 14:09So they had, I think, three kind of long periods that they were out there.
- 14:14They gave the night shift some
- 14:17snacks. And then I was there during the day shift, during their lunch.
- 14:22And there was so many members that came out. Everyone was really excited.
- 14:25Everyone was really friendly, very happy. It was a great event.
- 14:28And it was great turnout.
- 14:29So many volunteers from District 59. So we're going to be getting out in the
- 14:34field a lot more, especially with the weather being nice.
- 14:36And it's always fun to see people. Anyone talking about the budget?
- 14:40Anything legislative-wise to you?
- 14:43When am I getting a pay raise or anything like that? There were some members
- 14:46who had some questions for Flint and Chris about that because they were also
- 14:50out there with us at the event. Okay, cool.
- 14:53And Suzanne, I saw you. Flynn Benson and Chris Haley are part of the government
- 14:57relations team, and they joined member relations yesterday for the event at
- 15:00Cherry Hospital, which is always a big event.
- 15:03Yeah. And Suzanne, I saw you somewhere, too. Where were you?
- 15:07You went to an event. I went to Noble.
- 15:10Yeah, the National Organization of Black Law Enforcement. That was a really cool group of people.
- 15:18Great energy and discussion about lots of different things.
- 15:21We had the opportunity to talk about things that affect them that they didn't
- 15:25even know affected them as far as the retirement system and state health plan
- 15:29if their locals are in that.
- 15:31But it was across the state group of different law enforcement entities from
- 15:36state troopers to the local police departments to sheriff's office to even some agency folks.
- 15:42Yeah, that was a good event. Cool.
- 15:46I do have a follow-up to last week's question of the week topic for myself.
- 15:51Afro man beat the charges and he did win his case. And he's now a phenomenon,
- 15:57right? He is everywhere.
- 15:58He's bigger than he was when he was popular.
- 16:01So he went from 250,000 followers on TikTok when this case started,
- 16:06and he's now almost at a million.
- 16:08Look, he's everywhere. My 81-year-old dad knew about it, y'all.
- 16:12My 81-year-old dad, so. And you remember last week when I mentioned it, y'all were like, what?
- 16:18You didn't even know. And now it's everywhere, right? It is.
- 16:21Well, I immediately went home to check it out. What's even funnier is that the
- 16:25Gen Zs were looking at it as like, oh, I forgot that he got raided in 2022.
- 16:30It's like, dude, you brought this back up with this case. We forgot.
- 16:36Yeah, his American flag suit is now iconic. It's probably going to be in the
- 16:41Smithsonian at some point.
- 16:43My dad said, this is proof that the Constitution is still alive.
- 16:48My favorite part. Well, there's a lot of parts. But my favorite part is the
- 16:52part where he shows the video of the sheriff looking at the lemon pound case.
- 16:58And he don't even steal a piece. video in court.
- 17:02But the sheriff doesn't even steal a piece. Like he just looks at it.
- 17:07And that was enough for Afro man to make fun of it.
- 17:11Crazy time. I mean, he did look like he wanted to put his gun down and grab his lice.
- 17:17I saw a meme that was, you know, the whole Marco Rubio meme where he like has every job.
- 17:23Yeah. They had one with him with the suit on, with the Afro man suit on the couch.
- 17:28That was pretty funny. So you guys are, I'm not saying emotional,
- 17:32but you've already admitted that y'all are maybe have a little more,
- 17:36show a little more emotion than artists and maybe me.
- 17:39So I thought that this week's, is that a weird, you gave me a look, Suzanne.
- 17:44I don't know. Is that a good thing? No, I meant that, yeah.
- 17:47No, not weird. So I thought that I would try to tailor this week's question
- 17:50of the week for you two specifically.
- 18:00Now, what is the best moment in your life so far? That's easy for me because I'm a, I'm a GB.
- 18:07I'm a grandma, Grandma Beasley. You know, the, the best part of my life was when Mia was born.
- 18:13She's my first grandbaby, you know, and that man, what a, what an epic moment
- 18:17to see, you know, your child holding his child.
- 18:20Just when did that happen? You know, and then, and then they added Libby to the mix.
- 18:24So yeah, the, the best part of The biggest moment, the best moment in my life
- 18:29has been becoming a grandma.
- 18:31Okay. So mine, I was going to say my daughter being born. Yeah.
- 18:37October 2012. I still remember like the second that I saw her face and she looked
- 18:42at me and she was like, she was so disappointed that I was her dad.
- 18:47But it's interesting that you say that because like I would say that that's
- 18:52my daughter being born, but you say your grandkids are.
- 18:56Yeah. Is that even bigger than your son, Piannora? It's not bigger.
- 19:00It's different, and it's part of it.
- 19:02Okay. I mean, you know, Garrett is, Lord have mercy, he's walking around.
- 19:05They're expansions of him. They are.
- 19:08He's my heart walking outside of my body, and then he gifted me with these two
- 19:11beautiful, you know, little girls that are an extension of him,
- 19:15like you just said, Sammy.
- 19:16So it's just, it's an increase of joy and love. It just makes it bigger.
- 19:20It just makes it bigger. I'll hope you see it one day.
- 19:23Well, I've got something to look forward to, I guess. Yeah. I was going to say
- 19:26the 2017 National Championship, but I guess I better say the 2017.
- 19:30No, I'm just kidding. Sammy, what is your best time of your life so far?
- 19:34That's a hard one for me because I'm like, I don't have kids. I don't have a husband.
- 19:39I don't have any of that stuff. I'm like... Maybe that's it.
- 19:42Maybe not having all that stuff. Being single.
- 19:45Yeah. It's not the worst thing in the
- 19:47world, is it, Sammy? I will say that there's a lot to be said for that.
- 19:50Like the time from like 22 to 30.
- 19:54Living joyfully in my 20s alone with just a dog.
- 19:58Because I'm starting to apparently make my friends jealous and
- 20:01one of my friends who has had roommates since college like
- 20:04she still lives with roommates but she drove me
- 20:08to the airport for my trip and the night before she comes over
- 20:11we're having a glass of wine watching tv and I'm
- 20:14just curled up on the couch and she's like see you
- 20:17living like this I am jealous she's like
- 20:20I want to be this happy being alone
- 20:23yeah because i'm extremely happy just being at my apartment being like i made
- 20:28myself a nice dinner i watched a movie and had a glass of wine before going
- 20:33to bed yeah we're introverts that's how we recharge yeah i i don't miss that
- 20:39time in my life but it was fun i will say that.
- 20:43Anything else to cover before we get out of here? Besides the pollen?
- 20:48Yeah, besides the great pollening. It seems like it's worse now than it used to be.
- 20:53Am I right? I feel like it was all worse this year. So this year, we were number seven.
- 20:58Raleigh was number seven on the top ten worst allergies in the country.
- 21:04Yeah, I don't get it. I mean, because it seems like with development,
- 21:08we have less and less trees.
- 21:10Like, why is it happening worse now? It's the ragweed. What is that? The grass?
- 21:17Yeah, it's a hateful, hateful plant.
- 21:22We need like one big rain to wash it all away. We do.
- 21:25This is just gross. And it's not necessarily the yellow pollen that causes your allergies to act up.
- 21:32It's just the season that the yellow pollen falls.
- 21:35All the other stuff is falling at the same time, too. But daggone if it doesn't make a mess.
- 21:39It does. On everything. My car is green right now. Yeah, it's just gross.
- 21:43I saw that there was on Capitol Boulevard, there was one of the,
- 21:46like, Leith Toyotas or something that was like, we're having our pollen sale.
- 21:49If our cars are covered in pollen, you get a discount.
- 21:53If our cars are green, then the prices are lean.
- 21:56Oh, that's pretty, that's clever. I love it.
- 21:59Make something out of nothing. And if you've heard a little difference in sound
- 22:03quality this week, we are doing this virtually this week because we couldn't
- 22:07get our makeshift studio.
- 22:09So, hopefully it worked. If not, you will never hear this.
- 22:14And we missed you, Artis. We missed you, Artis. Yes, definitely missed you,
- 22:17Artis. We definitely need you back.
- 22:19Well, that's our show this week, and everyone have a great week.