N.C. Senator Ellie Kinnaird's Newsletter

May 1, 2009 Newsletter

Dear Friends,

Ellie Kinnaird

The Governor announced a one half-percent pay reduction for teachers and state employees. The temporary pay cut will save $65 million and employees will take ten hours of time off in exchange for the loss in pay. I am relieved that benefits and longevity pay have not been affected; however, I am distressed that lower-paid employees are not exempt from the reduction. The sacrifice that they are being asked to make is inequitable compared to the upper echelon employees.

The budget shortfall has created a situation where difficult decisions must be made. I will continue to represent my constituents during these trying times and make choices that will benefit my district and our state.

Legislation was passed to require more information be released about deaths in state mental hospitals, including the circumstances surrounding it and the cause of death. Patient deaths in state facilities have troubled me and we are working to reform the system, and make it more transparent.

I would also like to update you on the State Health Plan legislation, which we finalized. We have been working this year to shore up the plan, which was in financial danger, on behalf of the 667,000 state employees, teachers, and retirees. We were able to hammer out an agreement with the House that reduces the cost to the state by $60 million and avoids employee premiums, while increasing transparency and establishing a task force to work on long-term structural changes to the plan. Dependent premiums will rise, but by only 8.9%, which is much lower than the 31% increase we originally faced. Co-pays will rise as well. The plan will also include wellness initiatives to encourage smokers to quit and the very obese to lose weight.

The Senate Finance Committee began considering a plan this week to modernize our state’s tax system. The plan is a work in progress right now, but it seeks to lower sales tax, while broadening the base to provide more reliable revenue. I will keep you updated as this important discussion continues.

The Senate is also considering legislation, which already passed the House, to prohibit smoking in indoor workplaces, which includes restaurants and bars.

On a sad note, we lost a member of the Senate family. My friend and colleague, Vernon Malone from Raleigh, passed away suddenly two weeks ago.

SENATOR KAY R. HAGAN INVITES YOU TO A DISCUSSION:
GETTING YOUR PIECE OF THE ECONOMIC STIMULUS PIE
How Small Businesses, Minority- and Female-Owned
Businesses and Non-Profits Can Access Funds
Made Available Through the Stimulus Package
MONDAY MAY 4, 2009, 10 A.M.
North Carolina Central University
Mary M. Townes Science Complex, Concord Street, Room 1221

Senator Kay R. Hagan
Dempsey Benton, Office of Economic Recovery and Investment
Lee Cornelison, District Director, U.S. Small Business Administration
David Heinen, Director of Public Policy, North Carolina Center for Non-Profits
Charlie Nelms, Chancellor, North Carolina Central University

Panelists Include:

Scott Daugherty, Small Business Technology and Development Center
Andrea Harris, NC Institute of Minority Economic Development
Sadie Abdullah, Energy Director, Operation Breakthrough Inc.
Charles Archer, Associate Director, North Carolina League of Municipalities
Farad Ali, Durham City Councilman

As always, please don’t hesitate to let me know your thoughts on these initiatives or any other issue you feel is important. I hope you have a good weekend, and thank you for the opportunity to serve you in the Senate.

Paid for by Ellie Kinnaird for Senate • PO Box 668, Carrboro, NC 27510 • 919-929-1607 •