Boone Report for Iredell County, NC

 

Iredell shortchanged on lottery money

High tax counties will get more

 

Boone Report Volume VII, No. 1                                                                            Winter  2006

The recently passed state lottery legislation specifies that 40 percent of the profits, or an estimated $150 million, be spent for school construction.

On a per-pupil basis, Iredell county’s share would be between $2.5 and $3 million. But it now appears the local school systems will get considerably less.

State officials plan to divide 65 percent of the school construction money among the counties on a per-pupil basis. But the other 35 percent, or an estimated $52.5 million, will be a “bonus”, distributed to the counties with higher-than-average property tax rates.

The plan rewards government inefficiency and high taxes, and penalizes government efficiency. Governor Easley’s budget advisor, Dan Gerlach, defended the policy: “It rewards tax effort.”

Most of the high-tax counties are in the eastern part of the state or in the major urban areas. They generally vote Democrat. Most of the counties with lower-than-average tax rates are in the piedmont and mountains, with a few on the coast. They generally vote Republican.

 



 

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