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(09/15/09 4:23am)
Last year, University officials turned heads with their decision to hire Bain & Company, a global business consulting firm.Now, universities nationwide are following UNC’s example by hiring consultants to help deal with administrative organization and unprecedented budget deficits.Bain & Company concluded its study at UNC this summer — funded through an anonymous donation — and found that the University was administration-heavy and decentralized, which added costs and made day-to-day operations less efficient. The firm’s work at UNC has prompted universities such as Cornell, University of California-Berkeley and Yale to hire external consulting firms as well.“We are excited to see that we are the lead on this,” Chancellor Holden Thorp said.“I talked to the chancellor at UC-Berkeley. He said, ‘You’re a year ahead of us.’ It feels really good when the chancellor at Berkeley says that,” he said.Cornell hired Bain & Company after hearing about their work with UNC, and UC-Berkeley officials are in the middle of negotiations with a consulting firm.Although UC-Berkeley officials won’t release the name of the firm, Christopher Kutz, chairman of the faculty senate at UC-Berkeley, said they were impressed by Bain & Company’s experience in working with higher education.“You can draw your own conclusions from that,” he said. David Harris, deputy provost for Cornell University, said they hired Bain & Company to help them deal with an unprecedented deficit of $200 million or more.“We are facing challenges we have never faced in our lifetime. We need expertise to deal with our particular problems,” Harris said. “I’m not that old, but people who are 60 or 70 say they’ve never heard of deficits of this magnitude.”Universities are also hiring the firms rather than using internal resources because they save time and money in the long run, Kutz said.“Outside allies have a fresher perspective. An inside decision with an outside hand can make implementation more successful.”Kutz said UC-Berkeley decided to hire a consulting firm in response to a $150 million budget deficit and a 20 percent budget cut.Both Cornell and UC-Berkley are using university funds to pay for their studies.Thorp said the trend of universities hiring external consulting firms could have a great impact on higher education.“I was surprised when the Bain people said, ‘We are leaving here to go to Ithaca.’ But now, I’m not surprised that Berkeley is doing the same thing,” he said.“What we’re seeing now is great universities of America figuring out that we need to change the way we do business and not just tinker around the edges.”Harris said that, as at UNC, people at Cornell were skeptical about hiring Bain & Company.“People are asking a lot of questions, but I expected this because it’s something new,” Harris said.Despite the skepticism, Kutz said he expects a lot more universities to follow in UNC’s footsteps.“Ideally, it’ll give higher education more choices and help universities in getting more bang for their buck,” he said.Thorp said the budding trend is a reassuring sign for all those who were skeptical of his decision last year.“It’s good for people to see that you couldn’t even go to Cornell to escape this,” he said.Although the main reason universities are hiring consulting firms now is to help them deal with budget cuts, Thorp said he had other reasons in mind when he hired Bain & Company. “When I decided to accept the Bain study, I didn’t know the financial crisis was going to be as bad,” he said.“I’ve focused on making employees feel more satisfied. I felt if we had a group like Bain look at our organization, it could make our employees feel more important about the work they do.”Contact the State & National Editor at stntdesk@unc.edu.
(09/14/09 5:09am)
Today is the first day of classes at Campbell University’s new law school in downtown Raleigh. The school’s relocation from Buies Creek, which is about 45 minutes south of Raleigh, spurred a 25 percent increase in applicants.The increased interest could serve as a threat to UNC-system law schools and other private law schools in the state, but it is hard to assess that, said Melissa Essary, dean of the law school.First-year students admitted have the highest credentials of any class yet, she said.Campbell chose Raleigh because of the opportunities the city holds for law students, especially ample internship opportunities that are waiting for students to take them.The school, located on the corner of Hillsborough and McDowell streets, is a stone’s throw away from the N.C. General Assembly, courts and a number of law firms. “Raleigh provides a living legal laboratory,” Essary said.“The opportunities that are going to be available to the students are going to be within walking distances. They will have unrivaled exposure to those opportunities,” she said. Most of their students are either UNC-Chapel Hill or N.C. State University alumni. “Some students have chosen us over the UNC system because Raleigh is a great city and a prime location for a law school,” Essary said. “We definitely have a strong Tar Heel presence at Campbell.”Landon White, first-year student at Campbell law and an alumnus of UNC-CH, said Campbell had been his first choice all along, but the new campus was a perk.“The legislature and political activity in Raleigh, so close to school definitely sweetened the deal,” he said. White was wait-listed at the UNC-CH law school. He said he took his name off the waiting list after his acceptance to Campbell.“The move to Raleigh has garnered more attention,” he said.“I don’t think it’s going to be taking away applicants from the UNC system, but it’s definitely helping Campbell.” Students traditionally apply to multiple law schools, so it’s impossible to predict if students will, like Landon, choose Campbell over UNC-system schools, Essary said. “I can’t say if we are taking away applicants, or if they’re just adding us to their list,” she said. Contact the State & National Editor at stntdesk@unc.edu.
(08/31/09 4:44am)
A high school summer program credited with opening the eyes of its participants might not be available much longer for those with limited financial means.High school students selected to attend N.C. Governor’s School, a six-week summer program that was previously free, will have to pay tuition beginning in summer 2010.The $500 tuition charge is an attempt to close the gap created by a $475,000 cut to the program’s budget for the next two years.Across the board, people involved with the program are concerned about how charging tuition could alter the experience for students.“Charging tuition is going to change the character of the program,” said Michael Fischer, a program instructor for two summers.“Now it’s going to be more of an elite institution than one that serves all North Carolinians.”The summer residential program provides academics and fine arts programs at Salem College in Winston-Salem and Meredith College in Raleigh. Each campus hosts 400 students every summer.The students must be nominated by their high schools and then go through an application process before they are selected.Fischer said classes that require students to share their opinions are going to be deeply affected.“You won’t get as many voices or a diversity of opinion,” he said.Will Brinson, a UNC-Chapel Hill sophomore, agreed. He said the program was perfect for a small-town boy like him because it broadened his perspective.“It’s going to deter a lot of people from going. It will also skew the backgrounds of the people there because it won’t be as diverse as far as socio-economic background.”The N.C. General Assembly decided to start charging after discussing other options such as selecting fewer students or limiting the program to one campus.“There were proposals to cut the program entirely,” said Sen. Richard Stevens, R-Wake, co-chairman of the education committee.“If you go to any other program, you have to pay several thousand dollars, so the compromise was to start charging tuition.”Those in charge are still uncertain about how it will impact the program and their selection process. “We’re still in the internal process of trying to figure out what to do since we’ve never had to do this before,” said Tom Winton, Governor’s School coordinator at the Department of Public Instruction. High schools have expressed disappointment and concern after hearing about the tuition fee, he said.“We hope that everything will be done to keep the impact to a minimum,” Winton said. “We don’t want any student to not be able to attend because of lack of income or disposable funds.” Anna Diemer, an alumna of the program and creator of the Facebook group and blog, “Save N.C. Governor’s School,” said it would be better if the legislators had temporarily cut the program in half.She said the Governor’s School Alumni Association is trying to provide financial aid to students who can’t afford to pay the tuition. “There’s a lot of people who can’t afford to pay $500 for six weeks. I want to make this experience available for as many people in North Carolina as I can,” she said.“(Governor’s School) just really opened my eyes to the world. I consider that to be the time when my brain started working,” she said.Contact the State & National Editor at stntdesk@unc.edu.
(08/26/09 4:15am)
The UNC system is using one of its greatest resources — its students’ expertise — to help small businesses and local governments throughout the state weather the economic crisis.Universities are partnering with different local organizations and giving students and faculty internship and research opportunities while simultaneously benefiting the local community through their work, said Norma Houston, executive director of UNC Tomorrow.UNC Tomorrow is a UNC-system initiative that promotes university engagement with the rest of the state by combining teaching, research and public service missions.“The university system has an obligation to step up to the plate and do what is consistent with our mission of helping the state in these tough economic times,” she said. “If ever our state needed our universities, it is now.”The most widespread effort, an alliance with the Small Business and Technology Development Center, sent 140 student interns across the state to provide free consultation to small businesses.They provided free consultation and guidance for the small businesses, saving them the cost of a professional consultant at a time when small businesses are especially struggling.Students received course credit for their work and gained work experience, said Scott Daugherty, executive director of the center.“It’s one of the more unique things ever done by a university system, and it will be very beneficial in the long run for North Carolina and our communities,” he said.Burton Signworks Inc., a sign company in Mount Erie, participated in the program and was able to increase its revenue from $6 million to $7.2 million and employment by 25 percent, Daugherty said.“It’s pretty remarkable stuff for this time in the economy,” he said.Through another organization, the Carolina Economic Recovery Corps, UNC-Chapel Hill students are lending local governments a hand.Nine students from the University were selected to help local government organizations in cities such as Asheville, Charlotte, Rutherfordton, Greensboro, Wilson and Wilmington for 10 weeks over the summer.Students helped governments determine how best to use their federal stimulus grants, said Jesse White, director of the Office of Economic and Business Development at UNC-CH.Houston said it was the only program of its kind in the country. “We are really trying to be an engaged University by working on the problems of the taxpayers who fund us,” White said.White said three of the graduate students involved with the program were hired by Dempsey Benton, the head of the state’s Office of Economic Recovery and Investment, which is in charge of handling stimulus funds in North Carolina. Will Lambe, director of the Community-Campus Partnership Project, led another initiative that placed graduate students in Caswell and Lenoir counties to help their local governments with their most pressing problems.“The University has resources and expertise that can help economically distressed counties, especially now that their problems are magnified,” Lambe said. He said students helped with day-to-day administration, organized a cleanup day, drafted plans for more walking and biking trails, installed street lights, planned science and engineering initiatives and worked at the local domestic violence center among other projects.He said students helped rural counties accomplish projects that otherwise might have been impossible. “They’ve been really busy doing a lot of cool stuff for the community,”Lambe said. “The plan is now to build onto the work the students have done.”Contact the State & National Editor at stntdesk@unc.edu.
(08/25/09 4:49am)
Some local consumers are putting away their credit cards and exchanging their U.S. dollars for a local currency to help businesses cope with the recession. A currency called the PLENTY, the Piedmont Local Economy Tender, is becoming increasingly popular in Orange and Chatham counties. Greensboro businesses also are pushing for the currency.One PLENTY equals $1, but because it is only a regional currency, PLENTYs spent stay within the Piedmont area, boosting local small businesses.There are now 45 businesses in the area that accept the currency and a record number of PLENTY bills in circulation, said Camille Armantrout, secretary and treasurer of PLENTY. “It shows that we are independent of the global economy and interdependent on the local community,” she said.Business owners can choose to either use the PLENTY or exchange it for traditional bills. The bills read “In each other we trust,” rather than “In God we trust,” to show the belief in the strength of the local economy, Armantrout said.PLENTYs started in 2002 and were often used at businesses such as Weaver Street Market and Cat’s Cradle in Carrboro. Many businesses stopped accepting them a few years later because they weren’t backed by a local bank and businesses could not exchange them for U.S. dollars.“It had a burst of activity at the beginning and then we had a lot of it, and it wasn’t circulating,” said Ruffin Slater, general manager for Weaver Street Market.The PLENTY was relaunched in May 2009 when Capital Bank in Pittsboro began backing it up. “It’s treated just like any other currency, like the Canadian dollar or the Euro,” said B.J. Lawson, president of the Board of Trustees for PLENTY. Armantrout, who gets paid in PLENTYs, said they are easier and more meaningful to use because consumers do not have to leave their community.“If you’re using credit cards or Federal Reserve money, you just pull out the plastic, but it doesn’t mean anything,” she said. About 70 communities around the country are now printing local money to cope with the recession, Lawson said.Patrick Conway, an economics professor at UNC, said local currencies are both good and bad.“If you spend it once, that’s not the end of it,” he said, adding that it can also lead to local job creation.However, because not all businesses accept local currencies, it limits the economy, Conway said.Oscar Moncada, owner of the Chapel Hill Bed and Breakfast, said he recently started accepting PLENTYs because he considers it to be “a win-win situation.”“It’s a way of creating a community of local businesses because we all have the same problem with the local economy,” he said. “United, we can help each other.”Contact the State & National Editor at stntdesk@unc.edu.
(08/25/09 4:31am)
The state budget is phasing out the sometimes controversial UNC-system school tuition waiver for N.C. School of Science and Math students.
(08/23/09 7:31pm)
The UNC system’s longest tenured chancellor, Patricia Sullivan, 69, died Thursday after a two-year battle with pancreatic cancer.The former UNC-Greensboro chancellor, known for her professional accomplishments and personal touch in working with students and colleagues, retired last year after serving as chancellor for almost 14 years. She was the first woman to hold the position.During her time as chancellor, Sullivan dramatically changed UNC-G, said Carolyn Ferree, a member of the UNC-G Board of Trustees. Enrollment grew by 36 percent and research funding for the university grew by 180 percent.“The difference was like night and day,” Ferree said. “She took a personal interest in every student.”Sullivan introduced 10 new doctoral programs, including nursing, economics, information systems, community health, communication sciences and disorders, and medicinal biochemistry. She also introduced eight master’s programs and 20 graduate certificate programs.Sullivan transformed campus facilities by spending an estimated $500 million in new construction and renovation.But it was her considerate nature and personality that she will be best remembered for, Ferree said. She said Sullivan was known as a “world-famous note writer” on campus. She regularly wrote thank-you notes for her staff. “She was just a unique person and great role model, especially for women,” she said. “She is already being missed.” UNC-system President Erskine Bowles said in a statement that Sullivan was admired by colleagues across the state and nation.“Pat loved UNC-G to her very core,” he said. “As chancellor of UNC-G and as a private citizen, she offered living proof that real success comes from doing what’s right and what’s in the public interest.”A science building at the university was named after Sullivan last year. A portrait of her will be placed in the building to honor her memory, Ferree said.Members of Sullivan’s family also suffered from pancreatic cancer. Even though Sullivan knew her prognosis, she maintained her dignity until the end and never showed her pain, Ferree said.“The staff she worked with for a long time are pretty broken up about it,” Ferree said.“When I heard it, even though I knew it was coming, it set me back.”Contact the State & National Editor at stntdesk@unc.edu.
(07/23/09 4:00am)
N.C. legislators have failed to approve a state budget three weeks into the fiscal year making preparations for the upcoming semester difficult for public education.Classes at public schools and universities will begin in a month and many state officials are concerned that a budget will not be approved in time.Gov. Bev Perdue signed a continuing resolution July 15 when the temporary budget expired which extends the deadline to July 30. The resolution allows the state to continue operating at 85 percent funding.At this point" students still are not in the know about important details related to the upcoming semester. ""It's just disruptive to students who don't know how much they're going to be paying for tuition" or how many classes are going to be cut" said Greg Doucette, president of the UNC-system Association of Student Governments. He said some legislators have told student leaders that this might be the last extension while others have said the budget might not be approved until the end of next month. Classes are about to start and there's no definitive answer"" he said. At this point there's some level of exasperation and exhaustion.""Rob Nelson" UNC-system vice president of finance" said the UNC system has been preparing for budget cuts all year.""This current budget system certainly did not sneak up on us"" he said.But he said he will be concerned if the budget is not approved by the end of this month. Universities cut back on library hours and other facilities during the summer to decrease spending. But when the students return, new equipment will have to be ordered and facilities will stay open longer.Without a budget, it will be hard for universities to determine their spending limits, he said.UNC-Chapel Hill has already started preparing for a 10 percent cut. Before July, the university was preparing for a 5 percent cut.We've already taken measures" said UNC-CH Student Body President Jasmin Jones. Whatever the outcome we are already in a safer place" she said. The General Assembly has come to a compromise on the spending part of the budget, but has not been able to negotiate the tax package, said Bob Hall, executive director for the think tank Democracy North Carolina. Perdue asked legislators to create $1.5 billion in new taxes in order to balance the $4.7 billion shortfall last month. The House and Senate, as of Tuesday, have not been able to negotiate the best way to increase taxes. After a conference committee session Tuesday, Speaker of the House Joe Hackney said in a statement that although there was still no budget, great progress had been made.It's frustrating for people who are dependent on the state" Hall said. But" it's a lot of money and there are a lot of strong disagreements."" Contact the State & National Editor at stntdesk@unc.edu.
(06/10/09 4:00am)
N.C. legislators modified state law to give Apple Inc. tax incentives in order to lure the company to the state.Apple the manufacturer of the iPod iPhone and Macintosh computers is expected to construct a new data center in the state in exchange for multiple tax incentives.Sen. David Hoyle D-Gaston" said legislators were forced to modify the state's corporate tax law and offer incentives in order to be competitive. ""They were willing to go to Virginia if we didn't accommodate" he said. If we didn't stay competitive" we were going to lose."" Hoyle said North Carolina had already lost a deal with Walt Disney that could have generated $17.5 million for the state"" and legislators did not want to lose another deal. Apple made the decision after Gov. Perdue signed a bill into law that offers Apple tax breaks adding up to $46 million over the next decade for the $1 billion that the company is expected to invest over nine years.""We welcome Apple to North Carolina and look forward to working with the company as it begins providing a significant economic boost to local communities and the state"" she said in a press release.The data center will employ at least 50 full-time employees and create more than 3,000 jobs in the regional economy.The 50 jobs created by the data center could bring $50 million to the state's economy in the next decade when the economy improves, said Mladen Vouk, computer science department head for N.C. State University. Legislators hope it will help alleviate the record 10.8 percent state unemployment rate. Those jobs could also help the roughly 2,000 computer science students that graduate from state universities each year. I see it as a positive thing because creating 50 jobs is not a trivial thing" he said. The more jobs we have" the better it is for our economy and our students."" But" in the midst of an economic crisis" the heavy tax breaks are causing some concern in the state.""That looks like a bad deal to me"" said Bob Orr, executive director for the$ N.C. Department for Constitutional Law. There is no reason why Apple shouldn't be paying its fair share of taxes.""He said such a deal is hard to justify in an economic crisis.Legislators hope Apple's presence will improve conditions in an economically distressed area in exchange for tax benefits because it will have to meet investment and wage standards and provide its employees with health insurance in exchange for the tax benefits. Rep. Jennifer Weiss" D-Wake said she hoped Apple's presence would attract other businesses.Contact the State & National Editor at stntdesk@unc.edu
(06/03/09 4:00am)
The controversial suspension of the Young Democrats chapter at Liberty University suggests that the concept of liberty at the university might just be limited to its name.Liberty University a private evangelical university in Lynchburg Va. revoked its recognition of the democratic organization just a few months after the club's founding while allowing the College Republicans to continue being an official part of the university.Since Liberty is a private university the legal action that members of the organization can take is not as clear said Michael Gerhardt" law professor at UNC.""It's unusual for student democrats to lose their opportunity to organize"" Gerhardt said. John Lawrence, chairman of the Lynchburg Democratic Party, said he was just as surprised when the university revoked its recognition but now thinks such measures are becoming a pattern with the university.Students were doing good" positive things" he said. They had done everything they could to conform to the university. They were approved all along.""But Gerhardt said it was unlikely the ban could be challenged in court.The act is causing concern among democrats and student organizations nationwide after Vice President of Student Affairs Mark Hine said the organization wasn't living up to the image of the university.""We are unable to lend support to a club whose parent organization stands against the moral principles held by the university" Hine said in the e-mail.The Democratic Party platform is contrary to the mission of Liberty University and to Christian doctrine (supports abortion federal funding of abortion advocates repeal of the federal Defense of Marriage Act" promotes the ""LGBT"" agenda…)" Hine continued in the e-mail. Lawrence said Hine's implied message in the e-mail is what is disturbing.The language implies that you can't be a democrat and Christian" Lawrence said. After facing national criticism, Liberty University President Jerry Falwell Jr. announced on May 21 that the organization could still exist and hold meetings as long as the name of the university was not associated with any of their activities.Official recognition carries with it the benefit of using the university name and funds" Falwell said in a statement.While this group will not be an officially recognized club it may still meet on campus he said.Liberty University will not lend its name or financial support to any student group that advances causes contrary to its mission he said.Lawrence said Liberty's tax- exempt status should be examined if they continue to take such political actions.Liberty seeks to control Lynchburg he said. You can be against democrats" but then don't portray yourself as though you aren't political.""Contact the State & National Editor at stntdesk@unc.edu.
(05/27/09 4:00am)
The ongoing investigation of former Gov. Mike Easley could have a lasting impact on politics in North Carolina. Recent scandals in the Democratic Party — including former Speaker of the House Jim Black being charged with public corruption in 2007 and the Easley investigation — might have tarnished the image of Democrats in the state.""Our Democratic Party has been in power for so long that we tend to take it for granted"" said Sen. Jim Jacumin, R-Burke. When one party rules for so long"" we do things we wouldn't normally do.""The state has elected a Democrat to the office of governor for the past five terms after Gov. Bev Perdue narrowly beat Charlotte mayor and Republican candidate Pat McCrory in November.Easley" who left office in January after serving two terms came under investigation after The News & Observer published a two-part series which revealed how he might have used his executive role for his personal benefit.Republican U.S. Attorney George Holding will lead Easley's investigation along with the investigation of Democratic presidential candidate John Edwards U.S. Sen. Kay Hagan D-N.C. announced last week.McQueen Campbell a close friend of the Easleys has also resigned as chairman of the N.C. State University Board of Trustees. Former Lt. Gov. Bob Jordan has been appointed by Gov. Perdue to take his place.Sen. Ellie Kinnaird D-Orange said the Easley investigation will not specifically affect the Democrats. Such investigations change the public's regard for the people in office as a whole rather than their regard for a particular political party" Kinnaird said. But Jacumin said a change of party is necessary in order to curb such corruption in the state.""Competition makes democracy work the way it was intended to work"" he said.He said the corruption in the state continues as members of a long-ruling party do favors for their friends.Gov. Bev. Perdue, who served as lieutenant governor under Easley, has not been giving the investigation enough attention, Jacumin said.It's difficult because he is a friend of hers" he said. But if you have a responsibility" then you should carry out that responsibility.""Kinnaird said it is still too early for Perdue to play a significant role.""The investigation has just started and we just have to let it run its course"" she said. We certainly can't arrive at conclusions.""Contact the State and National Editor at stntdesk@unc.edu.
(05/13/09 4:00am)
N.C. Senators passed a bill that bans smoking in enclosed restaurants and bars on Monday — a historic step for the nation's largest tobacco growing state.The Democrats in the Senate were forced to narrow down a broader version of the bill approved by the House last month in order to make a compromise with Republicans.The House version banned smoking in places where children under the age of 18 visit or work. The new version which passed 30-18 only bans smoking in enclosed restaurants and bars.The Surgeon General's 2006 study which reported that no level of exposure to secondhand smoke is safe stirred legislators to take action said Sen. William Purcell" D–Scotland.""We are trying to protect people"" he said. Studies have found that even 30 minutes of exposure to secondhand smoke can cause a heart attack."" Purcell said that although the Senate's version of the bill is not as strict"" it is still a step in the right direction for North Carolina. ""In the political war" you get what you can get" he said. A lot of it is a compromise."" N.C. Alliance for Health" an advocate for the bill reported that tobacco use costs N.C. taxpayers $2.46 billion in direct health care costs. Purcell said all the studies he has seen have shown that a smoking ban does not affect the level of business in restaurants and bars. Shannon Healy manager for Crook's Corner on West Franklin Street" said their bar and restaurant has been smoke-free for a year and it has not negatively affected their business. ""The reason we did it was because … It wasn't worth it to irritate customers for just one person to smoke"" he said. Most restaurants and bars in Chapel Hill, including The Crunkleton, Spanky's, Carolina Brewery and The West End Wine Bar are already smoke-free. Jared Resnick, owner of The Cellar on West Franklin Street said his bar has a smoking area in order to satisfy his customers.As long as smoking is allowed in public" I feel like my position is to accommodate all of my customers he said. But if the final ban is approved" we will follow the laws of the land.""The bill does exempt certain private bars and country clubs from the ban. Resnick said his business would be affected because of an exemption along those lines.""I'd rather see a complete ban than no ban at all"" he said.Dallas Woodhouse, state director for Americans for Prosperity, said the bill will hurt some business in the long run.It is an attack on property rights"" he said. This is big government intrusion into the rights of the individual at its worst"" Rep. Jennifer Weiss" D-Wake one of primary sponsors of the broader bill passed by the House" said the advantages of the bill far outweigh the drawbacks.""Health and safety trump the liberty and freedom argument."" The bill will return to the House after which both chambers will vote once again on the final version. Contact the State & National Editor at stntdesk@unc.edu.
(04/26/09 4:00am)
From the presidential elections to his NCAA Tournament bracket UNC students' efforts helped President Barack Obama secure two very different wins this year. And the enthusiasm among students continues even after the president's first three months in office. Justin Rosenthal co-president of the UNC Young Democrats" said the organization remains optimistic about Obama's agenda. ""Most students on campus understand that his job is going to be long-term" he said. Although we fought so hard to get him in office" it's going to take some time to see some action.""Rosenthal said the Young Democrats have stayed politically active even after the elections. They have lobbied at the N.C. General Assembly"" and are in process of releasing a progressive publication called ""The Blue Print.""U.S. Rep. David Price" D-N.C." said in an interview that the president knows that he is going to have to take bold steps to sell his plans to the public and continue gaining their support. ""I feel that Obama will have a warm spot for North Carolina" Price said. He knows the state came through for him big time said Price. Price and other Obama supporters consider the stimulus package to be the president's biggest achievement. Presidents don't usually achieve that in the first two months of their presidency" said Isaac Unah, political science professor at UNC. A poll done by Public Policy Polling shows that 54 percent of the people in the state approve of Obama's efforts so far. But some on campus are not convinced of his plans.Jason Sutton, administrative vice president of the UNC College Republicans, said most students on campus are not politically aware enough to realize the consequences of their decision in electing Obama to office. He said the stimulus package is going to double the national debt in 10 years. It was hard for the College Republicans to make students aware of these facts during the elections and gain support for Republican candidate John McCain.Obama was sort of a dream candidate for the youth" especially compared to McCain Sutton said.He said the Young Democrats used eight years of pent-up frustration well. The College Republicans hope to do the same thing when President Obama runs for re-election in 2012.From next year we will do our patriotic duty now that we aren't playing defense anymore" he said. For Vivek Chilukuri, former co-president of UNC Young Democrats, whatever happens in the next election, it is a memory from a cold January morning in Washington, D.C., that will stay with him.He remembers walking out of the Metro at 4 a.m. to attend the presidential inauguration and seeing a line of people a mile and a half long outside the National Mall waiting to get in. There's not many things that can get college students out of bed at three in the morning" he said. I said ‘Wow" something special is going to happen.'""Contact the State & National Editor at stntdesk@unc.edu.
(04/22/09 4:00am)
State officials have found a bright spot amid the recession in low construction costs. Contractors and architects have been competing for an estimated $1.4 billion that the state is expecting to receive from the federal stimulus package for construction projects.The competition for these projects has resulted in low bids" which is working to the state's advantage. Lower construction costs are allowing officials to stay within — or well below — their budget for construction costs. UNC is experiencing a competitive bidding climate for University projects as well. ""The cost for the projects are about 15 percent lower than the estimates" which were put together a year ago" said Bruce Runberg, associate vice chancellor for facilities planning and construction. He said lower bids and costs are helping the University make the most of a tight budget.Usually when construction plans are drawn up, the University includes items that are a part of the project site and need work, but are not of high priority. The funding the University receives for a project is limited to that project alone. Therefore, the money it is saving from lower construction costs will be used to do parts of the project that were prioritized lower, Runberg said.Now that we are getting a little bit extra" we can do everything we wanted and it will allow us to do a higher quality project he said.Runberg cited recent bids on two University projects as examples. The renovations for Bynum Hall and the UNC School of Dentistry will cost the University 20 percent less than the budget proposed.It is a boon to us clearly" Runberg said. The competitive bidding climate has been a significant help.""One of the biggest examples of savings is at the N.C. Correctional Institute for Women in Raleigh" which was $9.2 million under budget.Greg Driver director for the State Construction Office" said low bids are doing more than just cutting costs. ""If a project comes in with a lower bid" we are trying to make use of that to stimulate the economy as much as possible" he said.This year alone, the State Construction Office has bid on 74 projects. All of the projects were less than the proposed budget and cost the state a total of $186 million. Driver said costs have also been lower because some construction companies are taking jobs with low profit margins just to keep their employees working.The state hopes employees use that income to boost the economy.Construction affects people that are on the front side and rear side of the projects"" he said. It's not just the guy on the construction site that benefits."" Contact the State & National Editor at stntdesk@unc.edu.
(04/14/09 4:00am)
N.C. officials are nervously anticipating the state's income tax returns which are due today.Officials at the N.C. General Assembly Fiscal Research Division are estimating a $2.2 billion shortfall for the current fiscal year's budget of $20.6 billion.But once income taxes are calculated that deficit could increase or decrease depending on how much tax revenue is collected.Because there has been a decrease in consumption and an increase in unemployment rates in the state from last fiscal year the shortfall represents a 5.9 percent decline in the general fund which is funded by individual income taxes and sales taxes.In the past about 30 percent of the year's surplus or shortfall has come from April's personal income tax payments. Officials are expecting the biggest upward or downward swing in revenue this month.According to N.C. General Assembly Fiscal Research Division a shortfall of such magnitude is uncommon for the state because there is usually a surplus at the end of the year.Despite the shortfall" the N.C. Senate passed a budget of approximately $20 billion last week for the next fiscal year.""The Senate budget bill will focus on education" providing jobs and health care for the uninsured folks" said Sen. Linda Garrou, D-Forsyth. We thought it was a good bill for this time in our state's history.""Some legislators are expecting a decrease in income tax revenue" and therefore an increase in the budget deficit.Rep. Jennifer Weiss D-Wake chairwoman of the finance committee" said she is expecting the House's version of the budget to be more conservative because the income taxes could further increase the deficit.""We'll have the benefit of knowing what the revenue outlook is" she said. Every year" we have an April surprise. This year it's not going to be a good surprise.""Roland Stephen" assistant director at the Institute for Emerging Issues at N.C. State University" said the state needs a tax reform to make sure such shortfalls do not occur in times of economic depression. ""Our state revenue won't bounce around so much"" he said. We won't have to make tough choices about cutting programs.""Stephen said the economy has transformed into a service economy from a manufacturing economy and the state's revenue system should reflect that change.N.C. legislators should increase the sales tax base by taxing services" which will then decrease taxes across the board he said.Corporate taxes which make up 5.6 percent of the state's funds should also be broadened Stephen said.While tax reform will not improve the state's shortfall this year he said" it can reduce the deficit in the future. ""We believe in a classic tax reform — simpler" fairer" less volatile and more pro-growth. ""Contact the State & National Editor at stntdesk@unc.edu.
(04/12/09 4:00am)
The slump in the job market is affecting more than just the state's unemployment rate.North Carolina is facing the fastest-growing number of people without health insurance in the nation in part because the insurance system is primarily based on employer-based coverage.The N.C. uninsured rate increased 22.5 percent from 2007 to 2009 the fastest-growing in the nation according to researchers.As of January the number of uninsured people in North Carolina was an estimated 3220 the fourth highest in the nation. A recent study by UNC and the N.C. Institute of Medicine suggested the high uninsured rates could increase health costs across the state.Such increases in health care costs forced David Penkava Asheboro resident to change his lifestyle. He lost his job at Hanesbrands a Winston-Salem-based manufacturer three years ago but he was not initially worried because he still had health insurance.But when his insurance company increased premiums from $126 to $1000 per month he was forced to sacrifice his retirement to make payments.Since his wife is not yet old enough to be eligible for Medicaid and suffers from diabetes" he had to go back to work at age 64.""I don't mind working. My problem is that I can't be at home with my wife to take care of her"" he said.Penkava, who also had open heart surgery, said he soon learned that individual insurance plans were not an option because their premiums are not affordable for lower income, high risk people. My biggest concern in life is health care — the cost of it and the ability to have it" he said.All three of Penkava's sons recently lost their jobs as well and are currently living uninsured.Of course my story is a lightweight compared to those that do not have any insurance he said.And the number of uninsured is on the rise.The number of people without health insurance is expected to continue increasing as unemployment rates in North Carolina rose to a record 10.7 percent in February.We know the job market recovers slower than other aspects of the economy. This type of uninsurance will continue for a while" said Mark Holmes, vice president for N.C. Institute of Medicine.The results show that for every percentage increase in unemployment, there is a 0.7 percent increase in uninsured rate, said Holmes.As in Penkava's case, growing uninsured rates could affect the insured as well by driving up premiums and other health costs.This cycle not only affects the uninsured" but it also affects the rest of us" said Kristin Milam, spokeswoman for the N.C. Department of Insurance.When someone is treated at a facility but is unable to pay, that cost is absorbed by the facility and can add up to higher health bills.The growing number of uninsured patients at UNC Hospitals is causing the uncompensated care cost — money to treat uninsured patients — to rise to about $270 million this year, said Karen McCall, spokeswoman for UNC Hospitals.She attributes this 25 percent increase in cost mainly to patients losing their insurance after being laid off.For those who are struggling to find a job, the federal stimulus plan could lower costs for laid-off employees by providing a 65 percent subsidy for premiums.The more uninsured people there are in North Carolina"" the more expensive it is for everyone in the state.""And when people like Penkava's sons are laid off" it is even harder for them to pay the high costs of health insurance" creating even more uninsured. ""Since they're not working" they can't afford premiums" Penkava said. I don't know what they're going to do."" Contact the State & National Editor at stntdesk@unc.edu.
(03/25/09 4:00am)
Anne Meadors wanted desperately to improve her living space.She was living in a mobile home with no insulation bad flooring leaky pipes and no employed family members.Meadors who lives in Chatham county applied for the Weatherization Assistance Program. The initiative works to reduce the burden of energy prices on low-income families by improving the infrastructure of their homes. Earlier this month the Obama-Biden administration announced that North Carolina will receive $131954536 for the program.The program makes homes more energy efficient and teaches residents techniques for energy conservation.Workers from the program put insulation at the top of the house fixed pipes under the floors" put in a fire alarm and carbon monoxide sensor and also installed energy-saving lightbulbs.""They've done a wonderful job" she said. We are on a fixed income" and it helped us tremendously.""Douglas Dixon" weatherization director for Joint Orange-Chatham Community Action Inc." said the company is planning to weatherize 58 houses in Orange and Chatham counties by the end of June.This is a decision that UNC Center for Urban and Regional Studies senior research associate Spencer Cowan said is ""a fabulous investment for the state.""Weatherization is a cost-effective program" Cowan said because improvements are made only to parts of the house that will save the family more money than they will cost.Weatherization can save between 20 percent and 32 percent of a house's energy use Cowan said.On average" homeowners can save $350 to $400 per year by making their houses more energy efficient. The money that would have been spent on energy bills could instead stimulate the local economy.""If you save that money" you spend it in the community" Cowan said.The stimulus package increased weatherization funding to $6.2 billion this year, up from $440 million last year, Cowan said.This could also create jobs for people in North Carolina at a time when unemployment rates are close to 10 percent.Zack Hamlett, director of the Office of Economic Opportunity, said that the state typically weatherizes about 3,000 homes per year.Workers perform several diagnostic steps when they audit the house to identify leaks and other information.Air sealing" insulation of walls attics and floors and sealing ducts are typically things that save the most energy Hamlett said.Those families are able to save what little funds they do have on their heating and cooling bills" he said.Meadors said that a year and a half after her house was weatherized, she still follows the simple energy conservation tips that she learned through the program, such as cleaning the lint out of her dryers.You are not going to believe how much it has helped me"" she said. But there's a lot of people out here that still need help."" Contact the State & National Editor at stntdesk@unc.edu.
(02/25/09 5:00am)
N.C. legislators made it clear that they are still uncertain of the implications and process of allocation of the stimulus money that the state is receiving.In a joint finance committee meeting Wednesday legislators from the N.C. House and Senate expressed uncertainties at how best to allocate the $6.1 billion that North Carolina will receive as a part of President Barack Obama's $787 billion stimulus package. Roland Stephen assistant director for policy and research for the Institute of Emerging Issues said that even with the stimulus money North Carolina's needs far exceed the budget.He estimated that $9.8 billion is needed for maintaining schools" $65 billion for maintaining the transport system and $16.6 billion for the water and sewage system. ""The federal stimulus package is a small drop in the bucket in terms of North Carolina's needs"" he said.Looking for coins in the cushions is not going to be enough in solving these problems.""Stephen stressed the need for strengthening the state's renewable energy. He said that $183 million from the stimulus package should be allocated for the cause.""It is one growing step towards the future. How to is much more important than how much"" he said.Last week, Gov. Bev Perdue announced that Dempsey Benton would be heading the Economic Recovery and Investment Office, which will be responsible for handling the $6.1 billion in stimulus money.Benton assured legislators Wednesday that the office will adhere to standards of transparency, timeliness and accountability.The governor wants to maximize the availability of these funds to the state"" he said.One of the ways the office will accomplish that task is by working with federal agencies in the state that are also receiving stimulus money, Benton said.The office also wants to ensure that some of the money goes to local governments and public housing agencies across the state, he said.The state will invest funds to create jobs for the increasing number of unemployed North Carolinians through better education and innovation, he said.The state's unemployment rate hit 8.7 percent in December.Benton provided the legislators with a timeline of their expected plans to spend the money.This is a use it or lose it situation. We have to make sure we use the funds within the deadlines"" he said.Benton and the governor's office are uncertain about how the stimulus money will affect taxpayers. State legislators still needed to know, for example, whether they would have to mirror the federal government's tax incentives.There are still tax implications" and this office is going to continue to evaluate those implications" said Chrissy Pearson, press secretary for the governor's office. There are still a lot of questions that need to be answered"" she said. Right now where we are is sorting through the details to make sure North Carolina is ready.""Contact the State & National Editor at stntdesk@unc.edu.
(02/19/09 5:00am)
A study criticizing an immigration law enforcement program was presented by the UNC School of Law at a press conference on Wednesday.The program 287(g) partners local sheriffs' offices with the U.S. Immigration and Customs Enforcement.It allows sheriffs' offices to identify undocumented immigrants through a federal database and start deportation procedures. Currently" eight out of 100 counties in North Carolina participate in this program.""287(g) has pawned the responsibility off to local agencies"" said Deborah Weissman, a UNC law professor and director of clinical programs.Immigration traditionally has been a federal issue, and the study shows that giving local authorities the power to enforce federal laws is causing concerns statewide, Weissman said.(Local officials) are not immigration enforcement officers"" she said. Four to five weeks of training is not enough in dealing with complex immigration issues.""She said that the purpose of the program was to target terrorists and violent felons"" but that local officials are using it to arrest and deport immigrants mainly for misdemeanors and traffic violations. ""People are being arrested without any instigation except that they look like Hispanic immigrants. That is called racial profiling"" said Rebecca Headen, a lawyer with the American Civil Liberties Union of North Carolina, who contributed to the study.Headen also said that checkpoints are often set up outside Latino churches and markets to arrest and deport immigrants for charges such as driving without a license, jaywalking and fishing without a license.Wake County is one of the counties in North Carolina that has implemented this program.Donnie Harrison, Wake County's sheriff, said he has been monitoring his deputies and has not seen any signs of racial profiling.We are getting people off the streets that aren't supposed to be here and have committed crimes"" he said.Harrison also said more than 1,200 undocumented immigrants had been deported since the introduction of 287(g) last year. Headen said the program makes the community more vulnerable to crime because immigrants will be too scared to report crimes that they were victims of or witnessed.The study also mentions that the cases are not treated like criminal cases, so arrested immigrants who are facing deportation are not provided with a lawyer.Orange County is implementing a similar program known as Secure Communities. Through this program, sheriffs' offices have access to the database, which can identify illegal immigrants once they are arrested but does not initiate deportation procedures.Weissman said studies have shown that there have been problems with the database, and at times, the immigration status is not updated.At least three U.S. citizens from North Carolina have been erroneously deported, she claimed.All counties in North Carolina are expected to use this database by next year, Weissman said.That's the nightmare we are going to face"" she said. We think North Carolina can do better. We are a state that has principles of liberty and equality.""Contact the State & National Editor at stntdesk@unc.edu.
(02/16/09 5:00am)
RALEIGH — The bus of UNC students hadn't even left Chapel Hill before occupants burst into song and cheers — warming up vocal cords to express their dissatisfaction with the N.C. Legislature.About 75 UNC student activists joined 3"000 other N.C. residents to march from Martin Luther King Boulevard to the N.C. Legislature on Jones Street" and told the state government one thing: ""Don't budget on the backs of the poor.""The third annual Historic Thousands on Jones march — or HK on J — rallies organizations statewide to demonstrate for a 14-point agenda advocating" among other things livable wages universal health care" affordable housing and collective bargaining rights for public employees. ""Our agenda is rooted in freedom" hope and what's right. It is comprehensive because many people's pain is comprehensive" said Rev. William Barber, president of the N.C. National Association for the Advancement of Colored People, at the rally.The UNC chapter of the NAACP, the Black Student Movement and Students for a Democratic Society joined the march, as well as UNC student body president candidate Jasmin Jones.Brian Allison, political action committee co-chairman of the UNC chapter of the NAACP, said working with Barber inspired him to get UNC students involved. If it doesn't affect you directly" it affects you indirectly Allison said.Students' enthusiasm became clear when the bus full of students en route to Raleigh broke into songs and cheers almost as soon as the driver revved the engine. Allison said he hopes that the numbers and enthusiasm keeps increasing yearly. I don't think anything at UNC this big has ever happened — progressive whites and blacks from different organizations working together" he said.Allison said students care about workers' rights, affordable housing and health care because they will soon deal with the same problems.Many students also wore yellow gags around their mouths that had Repeal 95-98"" written on them to protest a statewide ban on collective bargaining.The route led the activists through historic sites in downtown Raleigh" starting with Chavis Park which was the only park blacks were allowed to enter during segregation and went by Shaw University where the first student nonviolent committee met during the civil rights movement.Woody Woodard president of the Statesville NAACP said the weather probably kept the march's numbers from reaching last year's high of 5000 people but said the youth turnout was higher than last year.Senior Kennetra Irby a member of the UNC chapter of the NAACP" said the causes supported at the march were universal.""These are points that resonate with everybody" she said. It's going to show the legislature that people in N.C. are really invested in the state" and we are going to push for what we want.""Contact the State & National Editor at stntdesk@unc.edu.