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Senate | June 2, 2016 | Chamber | Senate Convenes

Full MP3 Audio File

[BLANK_AUDIO] [BLANK_AUDIO]. Senate will come to order, sergeant at arms close the doors. Members go to their seats, members and guests in the gallery please silence your electronic devices Leading the Senate in prayers Reverend Peter Milner, Senate Chaplain. All members and guests in the gallery please stand. [BLANK_AUDIO] >> Let's pray. Father in heaven we thank you for this day, thank you for your grace As we come and go from this place, from this building, Lord, you are able to keep us from falling and only you can do that. Give these friends here hope as they struggle through the budget and as we enter into that mess, you enter into it with us With us and you make us worthy because your arm of grace keeps us and we pray in Jesus name. Amen. >> Amen. [BLANK_AUDIO] >> Senator Burgess recognize your motion. >> Thank you Mr. President. The journal of of Wednesday June the 1st 2016 has been examined and is found to be correct. >> Senators, let's come to order please. Let's come to order. >> I move that we dispense with the rating if the journal and that it stands approved as written. >> That objection, the journal for Jim first stands approved as written. [BLANK_AUDIO] [BLANK_AUDIO] So we have leave of absence granted today, for senator Bryant and Newton. We also have a nurse of the day with us today, Danielle Foti Mitchel of North Carolina is here, nurse Foti thank you for serving us in the Senate today. [APPLAUSE]. [BLANK_AUDIO] >> Ratification of the bill clerk will read. [INAUDIBLE] clerk reports to filing bills do we ratify for presentation to the governor? House Bill 632, an act that protects students online privacy in the following bills and resolution duly ratified properly enrolled and prepared for presentation to the office of Secretariat State. House Bill 469, an act that every man and child in the town of Sunset Beach to allow the town to use proceeds from On speed parking meters in the same manner in which proceeds from of peak parking facilities they use. House joint resolution 1018 for joint resolution confirming the governments re appointing of Raymony Grace to the office of Commissioner of Banks [BLANK_AUDIO]. Senators that takes us to the calendar for the day and we are gonna start off the calendar with some local bills, third reading roll calls senator bill 727 te clerk will read. >> Senator bill 727 more county local sales Use restriction >> Do we have any discussion or debate? Hearing non the question for the senate passes the committee substitute Senate Bill 727 in its third reading all in favor vote aye oppose vote no, five seconds will be allowed for the voting and the clerk will record the vote. [BLANK_AUDIO] Robinson I, McKissick I, Smith I. 47 having voted in the affirmative and one in the negative, committee substitute Senate bill 727 passes its third reading and it will be sent to the house. Senate bill 852, the clerk will read. >> Senate bill 852 Bakersville town [INAUDIBLE] DNX. >> We have any discussion or debate? Hearing none the question for the senate is as fast as the committee substitute for senate bill 852 on its third reading, all in favor will vote aye, oppose will vote no, five seconds will be allowed for the voting and the clerk will record the vote. [BLANK-AUDIO] aye. 48 having voted in the affirmative and zero in the negative, committee substitute center Bill 852 passes it's third reading and it will be sent to the house. [BLANK_AUDIO] Senate Bill 874, clerk will read. >> Senate Bill 874, Sanford do we have any discussion or debate?

Hearing none, the question before the Senate is the passage of Senate Bill 874 on its third reading all in favor vote aye, opposed will vote no, five seconds to be allowed for the voting, clerk will record the vote. [BLANK_AUDIO]. Clerk 48 having been voted to the affirmative and zero on the negative Senate Bill 874 passes its third reading it'll be sent to the house, Senate Bill 875 clerk will read. >> Senate Bill 875 Town of Sunset Beach the [INAUDIBLE]. >> Any discussion or debate? Hearing non question for the senate passes senate Bill 875 on its third reading, all in favor vote aye, opposed will vote no. Five seconds will be allowed for the voting and the clerk will record the vote. [BLANK_AUDIO]. Smith-Ingram. Aye. 45 having voted in the affirmative and 3 in the negative, Senate Bill 875 passes its third reading and it will be sent to the house. [BLANK_AUDIO]. Mr. Apodaca for what purpose do you rise? >> Motion please >> Senator Apodaca respond to your motion. >> Mr. president if we may let's move Senate bill 876 up for it's third reading. We'll do this and then we're gonna me take a little recess please. >> Thank you senator. Moving on to Public Bills third reading Senate Bill 867 the clerk will read. >> Senate Bill 867, protect Students in Schools. >> Do we have any discussion or debate? Hearing none, the question before the Senate is the passage of the Committee Substitute Senate Bill 867 on its third reading all in favor in favor will vote aye, oppose will vote no, five seconds be allowed for the voting and the clerk will record the vote. [BLANK-AUDIO]. 48 having voted in the affirmative and zero in the negative, the committee substitute senate bill 867 passes its third reading and it will be sent to the house, senator [INAUDIBLE] for the purpose of your ayes. >> Mr.president if we can let's take a recess until about 10:30. >> Without objection the senate will stand in recess until 10:30. >> Mr President. >> Senator Brown for what purpose do you rise? >> Republicans from [UNKNOWN] during the recess. >> Thanks senator.[UNKNOWN] [BLANK_AUDIO] [BLANK_AUDIO] [BLANK_AUDIO] [BLANK_AUDIO]. Come to order, sergeant-at-arms close the door as members go to their seats. [BLANK_AUDIO] [BLANK_AUDIO]. Senators, we are gonna jump right back into the calendar with public bills second reading will call house bill 1030, clerk will read House Bill 1030, 2016 appropriations Act. >> Senator Brown for what purpose do you rise? >> I have to send forward a rule 29 request. >> You can send forward your forum. Senator Brown is recognized to speak to the Bill. >> Thank you Mr. President. First of all I wanna thank my coach here, Sen Harrington, Sen Jackson for long hours it takes to put these things together. I also wanna thank my staff committee chairs who I think this year made our job a whole lot easier with the good work that they did in the sub committees and I definitely wanna thank the staff who work long hours and help all of us, but this This thing together and the expertise that they have, to me it's quite amazing and I don't think we can thank them enough for the good work that they do. I think we're fortunate this year to be in the second year of our budget cycle, to be in a position to do things that we're able to do in this budget. In North Carolina, with the growth that we We've had in our economy and some of the stuff that we've done in the past few years to create more revenue that allow us to do some

of these things, I think speaks volumes over what we've done as a body and we're fortunate to be in this position I think because there are a lot of states that are not in a position to do what we've been able to do in this particular her budget. Having said that I'll briefly go over it and I'll have my sub committee Chairs kind of touch on their areas as well after I get through but I'll try to hit some of the high points of the budget. The senate budget includes net appropriations of 22.225 billion which is 490. .3 million above the amounting enacted for fiscal year 15 and 16. This is about a 2.26% increase and I'll touch on some of the highlights of the budget. First of all it uses recurring revenues for all recurring expenses, no recurring revenues is used for recurring expenses in this budget there's 583.9 million to the savings we reserve to bring the total held in the rainy day font in 1.7 billion rate percent of operating which is a statutory goal. It provides 50 million to the lottery reserved for school capital needs and provides for a study of school Care for needs, by the program evaluation division. It provides 10 million for mental health task force reserve, upon further legislation and report from the governor's task force. It provides 10 million to the state emergency response and disaster relief fund, it leaves 71 million in the reserve for the future benefit needs and provides further direction to the State Health Plan, the load and unfunded liability and keep cost low. It leaves 186 million unappropriated in the Medicaid Risk Reserve to address potential liabilities. Under capital 117.5 million for repairs and renovations of state owned facilities and it also changes that formula back to 50-50 proportion based on the university and other state facilities. It provides a required state [UNKNOWN] for water resources development projects by providing in five million in funds And this funds will match 37 and half million in non state funds. It pays a full amount of funds owe to the federal government for the [UNKNOWN] deepening. The 37 million in funds will pay off 30 year debt that we find out about this year that was issued back in 1999 I think was the day That none of us knew about until this year and it would save the state over 44.7 million in interest payments. The cause of that finding also there is a provision in the budget that will limit the ability of agencies and campuses to integrate the death and death like arrangements without general Assembly Approval, exceptions are made for items that have existing statutory processes. [BLANK_AUDIO]. And the salaries and benefits, the Senate budget includes recurring net appropriations of 441.86 million and now recurring at appropriations of 92 million for salary increases, bonuses and retirement contributions. This increase the total net appropriation for accruing salary expenditures to approximately 11.4 billion across all sub committees, a 3.6% recurring increase of fiscal year 15/16 and referring that appropriation for retirement contributions to $1.5 billion. It provides each employing agency with funds to provide salary increases and merit based bonuses. It grants step increases for assistant and deputy clerks, magistrates And highway patrol. It appropriates 16.9 million to continue implementation of custody led pay for correctional officers. It increases assistant public defenders, assistant district attorneys minimum salary to 40,000 from $38,628. And for teachers on average it provides a 6.5% salary increase which estimates the new average salary up to $51047 this year but a plan to raise the average to close to $55000 next year and it also grants a step increase for educators. It creates the third grade reading teacher performance pilot program, which provides $10 million and bonuses paid through the program. The program will use student growth index scores for reading to determine bonus eligibility. Of the 10 million, 5 million is allocated as bonuses To the top 25% state wise and 5 million is allocated to be split among LEAs for distribution to the top 25% in each LEA [BLANK_AUDIO].

It also grants the step increase for school based administrators and provides a $7 million bonus Which we allocated out $500 bonus for assistant principals and a $2000 bonus to principals. It funds all state retirement systems and actuarily determine levels and under state health plan and keeps the 71 name reserve for future benefit needs and reserve And reallocates fund to the State Health Plan if the State Treasury Board make changes that reduce future growth and state contributions to full percent or less. That's some highlights of the budget, and at this point I would ask Senator Barefoot on of our education chairs talk Talk About education. >> Senator Apodaca for what purpose do you rise?. >> Motion please. >> Senator Apodaca your thought for motion. >> Mr. president I move real pieces suspended to the end of the staff may be allowed on the floor. >. Objections order, senator Barefoot is recognized. >> Thank you Mr. president first I would like to Start off by thanking our education policy team and our education budget team here at the General Assembly, for all the hard work and long hours that they put into this and also other staff that worked on this. And also thank Senator Apodaca and Senator Tillman for all the hard work that they've put in to the sub-committee's budget Other members who help contribute to this. This budget continues our commendment to lower class sizes in the early grades. Rewards teachers who are doing a great job teaching students how to read, they can pounce the national teacher shortage crisis by creating new ways to increase the teacher pipeline to our schools It supports innovation and higher education at both the community college and UNC system and continues our commitment to expand education opportunities to both parents and students.The senate budget for this year includes a net appropriation of $12.58 billion This is the states largest commitment to public education both at the K12 community college and UNC system combined in the states history, it represents a 3.41% increase over last years budget, and so here are some of the highlights and I will get it through the K12 community college in systems .First in the K 12 systems it provides $46.8 million to fully fund our enrollment growth, it increases funding for second grade teachers by $27.1 million in recurring funds and modifies the second grade teacher allocation ratio From one teacher per 17 students to one teacher per 16 students. It establishes a teacher assistant tuition reimbursement power program in five counties to help support 25 TAs in each of those counties for the educational cost of transition to classroom teaching in their school districts. Senator Brown mentioned we also provide 10 million to establish a program to reward high performing third grade teachers for how they teach reading both at the state level and within their local LEAs. Within special provisions you'll notice we direct the department of health and human services And the department of public construction to collaborate and come up with a state wide vision for early childhood education in North Carolina. We also direct them to determine and come up with develop a pre school transition plan for every child that has served in the INCU pre K and child's care subsidy programs We also established up to five local alternative teacher preparation programs to provide innovative routes to licensure for initially licensed and lateral entry teacher candidates. This is something that has come to us by many of the school district superintendents in the state. Moving on with the Community college section we provide $1.6 million to fund three new multi camping centers at Ashviel/g Bumcam tech Av-tech, Durham technical community college and Mitchell community college. We also increase funding for equipment by $15 million in non recurring Funds for equipment purchases throughout the community powered system. This budget also supports the development of competency based programs and helping the community college system come up with a way of awarding credits based on [INAUDIBLE] learning and demonstrated knowledge so the students can excel Progress towards degrees and reduced tuition cost. Within the special provisions,

you will see a modification of performance metrics for the community colleges to help improve assessment of student success and incentives for college performance. You will also receive tuition waivers for the North Carolina youth Apprenticeship program that seeks to engage K12 business and community colleges in the development of our states work force. Moving to the university in North Carolina system, we provide additional finds for their involvement growth, we expand internship opportunities that are historic By colleges and universities.We reduce some of the upcoming advancement cuts on a non recurring basis, we expand the Western school of medicine UCLA campus, by appropriating an additional three recurring dollars to them. The Western School of Medicine is a joint project between MAHEC the Mountain Area Health Education Center and the UNC school of medicine, we convert a portion of non recurring funds for the east Carolina school of medicine, there was currently at 8 million to 4 million or funding 4 million at non recurring and we also help provide funds to open the Western School of Engineering and Technology in Mogentorn that was part of the Connect NC Bond program. The last thing we do is we establish the opportunity scholarship Grant Fund Reserve with 34.8 million non-recurring fund to shift the Program to [INAUDIBLE] funding. In the special provisions you'll find the delay of the implementation of the NC GAP program by one year based on UNC and the president's goal to great plans to improve student completion rates for the 2017/2018 Academic year at those institutions. We also offer tuition and fees and create scholarship programs and I guarantee tuition and fee option at many of our universities. We've acquired UNC to establish pay the rate laboratory schools through all constituent institutions that offer Education preparation programs. These scores will be operated in local school administrative units with low performing schools and lastly we provide the statutory creation of the fore funding of the opportunity scholarship program. And next I would like to recognize Senator Heist to present the HHS subcommittees budget. >. Senator Heist has the floor. >> Thank you Mr. president, members of the senate I want to begin by thanking senator Patt, senator Tucker for all their work put on there and again for our staff Susan Jacobs put together an incredible team in HSS and they do a wonderful job Others were coming in and they've put a lot of time and energy into making this happen. The budget for the Department of Health and Human Services this year comes in to a net appropriation of $4.6 billion. That's $171.2 million less than the amount that was enacted for In 16 that your are coming in it feels good to be an HHS in position and we are not taking everything from everyone elses budget. I hear to fill a large gap that can actually take some of those cuts and allow us to do other things in government other than HHS. So by the 3.4 % decrease that will coming in one of the major Your investments that we're making in this budget, here and continued in the education budget is to making sure that we have health care providers as we move into the future. [UNKNOWN] and everyone knows we're facing a doctor shortage now and this problem it's only growing getting worse, so we have in here the 7.7 million for the [UNKNOWN] our hospital We also have the medical center at MAHEC and Western North Carolina that we're beginning to make sure we're meeting those residents in need across the state as we move forward. Also we're establishing some analytic projects, APPS/g medicate just to make sure that as we're transitioning to this new department That we have the staff, the capabilities to monitor our health care span to see what the PHPs will be doing with their funding's. Compare that clinical information and make sure that that's what we're doing as we transition. We [INAUDIBLE] the division of the aging and adult services, we also Fund several of the Alzheimer's disease plan that we're working in this state for respite/g services as well as no wrong door for 211 to make sure that individuals who call that will have access to services for people with Alzheimer's, that's for coming in. For the division of social services, most of you may know that we We have had a lot of problems with child protective services and the Federal Report indicated that as we came in and we've made tremendous investment in beefing up what we have on the state side,

child welfare as well as investing in what the counties can access and others to making sure that that's a problem that we end with this Report and make sure that we can protect children that are [INAUDIBLE] to the state that's with coming in. One of the fees that increases in department of public health we did raise the new born screening fee did some changes for what is reimbursable for medicaid and others we've raised that to 44 which is the cost of actually performing the service That is within there and for the office of minority health although the house had cut that we have restored that in their budget but we have placed in the requirement that they use evidence based programs and we are looking at how they award funds under those programs. For middle health once again we did close the [INAUDIBLE] consecutive years the senate has done so. But we also provide 1.6 million to operate and upgrade our control of substance supporting system. And I thank Senator Davis for his word that his diligently done in putting us in that position to make it happen. We appropriate only 14 million of the Dicks/g funds Well that's believable we can get to the ground to open middle health beds across the state that will bear the name of Dorothy and Davis consistent with how that funds. I'd come to the state, I think its 12 million in adult and 2 million in children's beds that we are looking to permanently open with that and we are going to do a state wise strategic plan for behavioral We also extend cap DA slots to help with Alzheimer patients again part of those recommendations and again thanks [INAUDIBLE] for his work on this we will be providing the funds to reinstate adult eye care and exams to Medicaid recipients I'm out a few years ago and he's working very diligently in that process and last two I have we're going to begin to enter into a contract to recover over payments that are under $150, we discovered this year that apparently if the mistakes is less than $150 we ignore it and make that payment, that someone in Neighborhood is probably about $250 million a year we pay out that we never recover, we think that's ridiculous, I'd leave that money on the table when it was never owed to the providers to begin with and so I will be happy to answer any questions that you may have as we get to that but Mr chairman I would ask that you would recognize Senator Randleman for justice and public safety. >> Senator Randleman has the floor. >> Thank you Mr.president, firstly I would like to thank my coach heirs senator Newton and senator Bingham and also our hard work and staff because they have been wonderful to the process in providing us with those b=things that we need, in 2016, 17 senate budget Senate budget projects it's in public safety includes net appropriation of 2.5 billion. And increase of 49.2 million or 2% above the enacted amount for 2015-16. I will highlight a few items. The budget provides 2 million to equip and operate the western crime lab and eddy vill and also provides. As for Pittman after triad and while the crown left facilities. It provides 2.2 million non recurring to renew the contract for out sourcing a forensic analysis services to alleviate the backlog in toxicology and DNA at the state Crown lab. I am told that at the end of, at the expiration of this Contract that the comp lab should be called up and they will not need to remove this contract again so time will tell and they will see. The budget provides 10.5 million non recurring to the office to the [INAUDIBLE] defense services to reduce their pack budget, short fall which is the private assigned council for [INAUDIBLE] class We had a two, excuse me, 2016/17 we had 4.2 million, this adds another 3.5 to the already existing base budget of 61 million. The budget provides 250, 000 to digitize mental health records help streamline background checks for gun purchases Invest 500 thousand for school risk management plans to be developed in 835 public schools to help keep our children and teachers safe while they're at school. 1,500 school plans have already been developed, this will finish out all the school plans. In special provisions there're several provisions that Relate to the function and future of the office of energy and defense. There is also a provision that direct RDS/g in conjunction with the administrative office of the course to conduct a [UNKNOWN] program using a [UNKNOWN] schedule for the pavement of the eternities representing indigenous client. Also, the [UNKNOWN] has been directed to study and And if feasible establish satellite or regional capital defender offices. In addition IDS has been directed to study the prosecution of capital cases to determine whether there's a more efficient way to identify

potential capital cases and how the state may effectively utilize local council in these cases. And Mr President if you would Please recognize senator Wade to present any of our budget. >> Senator Wade has the floor. >> Thank you Mr. president. I will start by saying in the appropriations I was in the wheats with this so today I gonna just highlighted and I'm sure we all got tired of hearing about any of our inapropriations Total spending for any year is 484.5 million. This is a 13.8 million above the budget we enacted last year and is a 2.9 % increase. Now for the highlights. In Arc we provided 3 million for For Fire fighting plane and heavy equipment and for environmental quality we restored 15.4 million transfer of gas tax revenue to the commercial [INAUDIBLE] fund and increased the funding by $800000. In commerce and state aid we provided 156,000 to a new position for the economic development partnership to attract food processing entities here. And under natural and cultural resources, we added an additional 5 million to the Clean Water Management Trust Fund. It really wasn't any Discussion and appropriations and I'm sure at the end we'll be glad to take questions and now I will ask Mr. President that we go to Senator Davies or Senator Anderson or General [UNKNOWN] >> Senator Davies has the floor. >> Thank you Mr. President, ladies and gentlemen Would first like to recognize my co chair Senator Sanders and our very capable staff for the great job that they did for us this year. I'll just go over the highlights that we have with the general government it's about a 6% increase our total appropriation is just shy of $400 million. Department of military And veterans affairs we're providing funding for FTE's for each of the four North Carolina Veteran cemeteries each will get one additional employee. Department of insurance, we have a million and a half dollars for equipment and IT structure for the new [UNKNOWN] building right across the road. North Carolina General assembly provides 3 million dollars for corporations to fill budget hole that occurs during the long, long sessions. State budget management that provides funds of $278,000 for staff to administer and manage the North Carolina connect Projects. In the auditors office we have additional funding of $150, 000 for expert witnesses, the Secretary of State, six new positions for the securities division to assist with the purchasing and selling of securities products. In the Department of Administration we provide the department with funds Just a higher six new positions to administer the connect North Carolina bond and pay for [UNKNOWN] licenses. In the ethics commission we have a appropriate 85000 to build a new updated system that will online filing and amending SCI reports In the Department of Revenue, we provide up to $12 million in non-recurring receipt funding for their department, for operations and maintenance of its automated tax collection systems. Briefly go over special provisions, we have the North Carolina Veteran Cemeteries Going to be operating Monday through Friday schedule except for State and Federal holidays. And also we're gonna maintain the insurance regulatory charge for insurance companies at six and a half percent. We're also transferring the functions and staff of four FTEs of the Youth Advocacy and Involvement Office to the council of women To become the council for women and youth involvement. Mr. President that concludes my presentation and now I ask that you recognize Senator Hise for IT. >> Senator Hise has the floor. >> Thank you Mr.President again I think Our new staff we kind of put together for this IT budget was a good run through for us and those as we kind of change most of that staff in the last year and they have been great to work with, just some quick highlights that are coming in, the appropriation portion of the budget for IT is about 43 million although there is Is a service fund another represents about 190 million dollars in funds that come from other agencies but isn't directly appropriated, in this budget we also some of the highlights we do provide for

the SPI to licence the amendments [INAUDIBLE] analytics tool others we coming in we also move the P 20 workload Center from DPI we're gonna have that under the expertise and the government lay down analytic center to make sure that it's functional and operating well, we don't need another system to not run in the state of North Carolina as we've done,we're also creating a cyber security apprentice program for disabled veterans within this state Beginning this program next year with five who already have IT and other requirements come in and we'll be able to help them get their cyber security certifications and others while working at positions within the department, move forward and we will fund tat in future years through the rights charge speech agency for providing cyber security this is for coming in We also as we go through this transition we've had some issues with when departments are receiving what their rates will be for IT services and we've directed the department of IT to use its cash balances in order to pay for that as we're transitioning this with a lot of different things will always be in others, we're actually Going to begin to function as an agency and actually appropriate the funds to them and have them revert each year that would be new for IT as service response have never reverted previously and they kind of operating growth cash balances we're going too change those type of things we are putting in processes, we're planning for an ERP System within the state they believe they can do that out of savings they already have i their department so that's what we're gonna allow them to do. But that project will be over 300 million dollars and we think we can save a lot by changing processes before we bid that project coming in. Most importantly, though we do exempt The controller, the SPI,g ,the state highway patrol and the division of emergency management from IT this is a request that ultimately came from the governor's office so we've agreed that he'll make those decisions with the executive branch. That's what I have for IT and I would ask if you would recognize senator Rucho for the finance portion of the budget. Senator Rucho is recognized. >> Thank you Mr President and members of the Senate. On this finance package we spent a lot of time in finance explaining these but let me talk briefly about them. The first provision increases Senate/g Deduction by 2000 over two year tax period, we discussed that at length as to the advantage of the middle class tax cut and it puts monies directly back into the pockets of those individuals nearly 80% of the [UNKNOWN] will receive that money directly and it will be a huge plus for them For the economy. We did vote unanimously I believe on that bill so I move onto the second. Includes a part [UNKNOWN] accessories of specified or specialized equipment used to one load in process bulk cargo. This was a portion of a bill that we passed last time that Was immediate end up it allows for the use of the article 5 tax based on those parts. The third provision that we have in deals with market base sourcing of multi state tax portionment. We talked about that I believe This past week and it talks about being effective I believe in January of 2018. And what it does, ladies and gentlemen, is clearly helps clarify what or determines how much tax liability in multi states cooperation would have in North Carolina or any of the states this is part of the simplification and clarification process and more importantly going along with single sales factor which we passed in the previous budget which helps attract incentivize manufacturing business to come to North Carolina. Market based sourcing is the tool that gives us the ability to incentivise and bring in service businesses, high tech businesses in the like into North Carolina and so therefore we would be well served and moving forward in this direction the We've had agreements with most every business Duke, Local time Warner banks and etc. recognizing that market base sourcing as to where that service is actually used is a very simple way,far different than the complicated process we have. The only opposition That we've been able to identify has been discussed in previous meetings and I'll just remind you that the national billion dollar broadcasting industry is in a position to ward it's audience Factor

in market base sourcing, ladies and gentlemen, I talked about it before but I'll just reiterate an important point. The audience factor is the clearest way to determine where that service is being delivered and that means where the Senator Apodaca gets Netflix or I get Time Warner Or any of that stuff is the clearest way that it should be determined, the audience factor is done in 18 states, it is very advantageous or it is utilized in states like New York, Connecticut, California and Georgia where it is Tax advantage for these multi billion national broadcasters and in North Carolina because of the fact that a private letter ruling was issued on, I think it was December 28th 2012 Which is I think the last couple of days of the previous, one of the previous administrations, I was talking with Senator Apodaca about it that was two days before the end of the year, I find it interesting that much work was done by many of our qualified state employees in the two days of December so That was a real move to get this private letter ruling in place. In a private letter ruling what it does is it actually determines or the department of revenue tells the tax payer how they will portion this, well in this private letter ruling it clearly states that the tax liability in the state of North Carolina will depend on where the contractor signed the contracts never seem to get signed in North Carolina, so therefore the tax liability for this industry, multi billion dollar industry actually is very small in our state in this situation I ask One of our staff members to look at it in 14, 2014 the industry generated nationally about $200 billion in revenue, created $40 billion in profit and looking at North Carolina which you have in that situation is roughly A three percent portion of the audience and the entire nation so that's about 1.2 billion dollars of profit in the state of North Carolina and with this private letter ruling that was established and has been used elsewhere in the states to try to cut a special bill like this The total tax liability is 3 million dollars and 1.2 billion. Now to most normal folks they'd say that's a little outrageous but I guess in reality it's just a matter of fairness recognizing that a lot of tax dollars or revenue leaves the state of North Carolina we can't fund our school teachers salary increases in our education in the other major parts of our [UNKNOWN] system with a mere $3 million. So this is a matter of fairness and so I hope that you all will believe that in reality as a matter of fairness that Corporation should pay a fair share. Every other cooperation on the state pays what is the rate? This time its four, next year it will be three. But at $3 million that is point 0.025% corporate tax rate. Cant get much close to zero. But we will go on to the next one dealing sales tax with the General Assembly was give the responsibility before [UNKNOWN] I'm trying. >> [LAUGH] >> Its my last chance you know. [LAUGH] >> [LAUGH] [APPLAUSE] [LAUGH] [APPLAUSE] [LAUGH] Arch meter, arch meter. >> You'll miss me Apodaca. [LAUGH] The last part was dealing with the sales tax issue and I know most of us have had a number of calls and emails regarding the complexity of this issue and the confusion and what this does it provides a clear definition of what a retailer is in North Carolina so that We can know who indeed is in business there, it defines repairs maintenance and installation, it defines capital non taxed improvements, it sends out a clear message to the department of revenue what the general assembly was expecting them to do and it has been outlined

and I'll have to tell Staff they did an outstanding job in putting that together to help accomplish that task and the good news is it also gives a grace period because of the confusion so businesses won't be punished by this. The last two parts, one of them is dealing with A [UNKNOWN] on labor for boat repairs and for airplane repairs, the part for the parts will always be attached at whatever level. The part on service will labor will be kept at $ 25,000 and that really Takes on most of the work done in that industry. And the last piece is a repeal of the 17.6 million dollars state contribution that is allocated to all counties as part of the two percent local tax. What that clearly means is, we generate, we're expect to get 67 million dollars, we were Gonna use about 17.6 of the generate fund to pay a short fall if indeed it occurred. Well the good news is because as senator Brown eluded to our economy is roaring here in North Carolina. We created $100 million which is about 29 million more than we anticipated so the need for the 75 five no longer. Exist, that will be put back into the general fund for availability and the counties and municipalities none of them were injured by this deal/g. Mr.chairman that concludes my report. >> Thank you senator Meredith is recognized to speak on transmitting center senator Apodaca for the purpose do you rise? Quick motion please. >> Senator Apodaca you have the floor for a motion. >> Mr. President I move Senator Rucho's words be spread upon the journal. I stopped listening into it so if we would put him in the journal. >> [INAUDIBLE] >> Senator Meredith is recognized. >> Thank you Mr. President. I would also like to thank the appropriations chairs, my colleague Senator Raven and our staff. They did an Excellent job, thank you. The transportation budget, the combined projective revenue is up 4.7 percent, the reason for the increase in revenues, DMV changes made in the 2015 budget, increase in consumption of diesel oil, increase in how a used revenue is associated with new and used car sales are going very well Increase in DMV revenues from drivers licences and track licences. Part of the money report increase recurring funding by 13.8 million to the flight rail causing safety causing improvement fund, increase recurring funding by 14.8 million for the The General Aviation Airport Development, appropriate five million to advance and promote DMV modernization initiatives targeting the call center response, wait time reductions in driver's license offices and due process improvements for medical reviews. Increase funding by ten million In for litter prevention and removal, increase for current funding by 32 million to the strategic transportation investment fund. Thank you MR President. >> Thank you Sen Meredith. Senator Apodaca, for what purpose do you rise? >> Mr President, to send forth an amendment. >> Senator Apodaca you sent forward the amendment. >> Clerk has it. >> Clerk will read. Senator Apodaca moves to amend the bill. >> Let me recognize that Senator Nick is back in the chamber as well. Senator Apodaca has the floor to speak to the amendment. >> Mr. President, thank you very much. Members, we're all familiar with the Access to Affordable College Education Act, I think we've had Quite a bit of debate on it, externally and internally over the last couple of weeks. We filed that bill with one motivation, and that motivation was to make the benefits of public education availed to all citizens of North Carolina, as the constitution mandates at the most Believe I said what is the most practical, expense of freeness/g of the people of the state free of expenses as far as practical, that's what we're trying to accomplish here. Now that was our only goal, but if we move forward over the last couple of weeks, we found quite a bit of talk Yeah know, a lot of discussion is somewhat shocking to me and somewhat embarrassing as of within the last 30 minutes I've had a death threat coming to my office I've just have a At the hardest time understanding the rationale behind this. College tuition, the expense of college has gone up 72% in the last ten years, up, the average now is $23440 a year, that's a lot of

money People.That makes it tough for people to go to college so our act which we have talked about, number one, it sets tuition for the four years someone is in college, so families can budget. It also did something I thought was wonderful And we named it thanks to Senator Don Davis, NC promised tuition plan and this was selecting five universities across this great state to provide two students a $500 semester tuition plan. Sounds wonderful to me, but good Lord, a lot of people didn't agree. A whole lot of people. Let's see. The last few days we've had protests in [UNKNOWN]. We've had folks come to my office. I've had numerous phone calls About how bad this bill is and what it does to HBCUs in particular. But I was struck this morning when I was reading the paper, which I try not to do, but occasionally can't help it. This was brought to me.This was the AP story They interviewed the 21 year old black student majoring in history at UNC Pembroke and he said, I don't mean to sound biased but anything we can do to help more African American young people get into college and educate themselves is always a great thing to do,and I agree with it I agree with them from the bottom of my heart. But the overwhelming and I mean overwhelming majority of feedback I've heard from students , alumni, faculty and our HPCU's use indicated they did not want reduced tuition for various reasons. So even though I'm feeling strong it was this right thing to do and in my heart I still feel it was the right thing to do. This amendment removes the HPCU's use from this bill, it leaves [INAUDIBLE] western Carolina university and UNC pembrone It's what the people want, I recommend it too. >> Senator Davis are you rising to speak to the amendment? >> Yes. >> You got the floor senator. >> Mr. President, members, I wanna start on Senator Apodaca by saying, yes sometimes Issues can be contentious and heated here. But I wanna first start by saying no one should receive a death threat, that's unacceptable. Go on and say that yes, this bill has stirred up a lot of tension This bill has spark nerves, I do want the, somehow science and light on the other side of this issue though. When I think about the role that Historical black colleges and universities have played in our society. They've been there to give people an opportunity to engage in the American dream. They've been there. They've helped educate, a place where many can receive an education When others wouldn't actually maybe always be embracing. And I'll be the first to admit to you I didn't graduate from a historically black college but I can tell you this one thing my mother graduated from one and I would be willing to believe with her being the first in my family to go to college that if she had not Gone to that HPCU I would not probably have gone to the schools that I had gone to, but the issue at hand I believe is one of inclusion, that's often what we talk about inclusion, how do we bring people to the table in a real way Not at the 11th hour? And I would also say, and yes I see the look but let's hear the situation here. Okay. Let's talk about Elizabeth City State University. We Are partly here because we look and we do acknowledge and realize yes there's some enrollment concerns there but hear this, and this is the other side of the story somewhat. 2011, 2012 enrollment is stable around 2700 a little over that, 2013 now we start talking about Closing schools in the system, this is member of the senate at the time,

what happens overall enrollment then drop 16 percent, then we come back the next year, roll out an amendment and bought the clothes. It was the city state university, what happens the next year It drops 35% that's enrollment. Then we come to the following year, members of the board of governor, this is a public statements go, read them for yourself. Talks about reshaping, resizing again to many that's close Universities, okay tuition drops now 45%, and enrollment drops 45% just to now get to 2016 and here it is, it's 2016. And I want you to hear me when I say this To even propose a bill that talks about reset and rename and studying and written new names. How often, how much does it take of somebody feeling that you're picking on them and that's not you in person but in general they are being picked on. [BLANK-AUDIO] Now some of this we have to look at ourselves in terms of creating some of these situation and actually been responsible for the situation. And then we're talking about just loosely having these conversations, okay let's be real. If we had an amendment right now, Now, to say we're gonna study closing UNC Chapel Hill, or we have an amendment that says we're gonna study changing the name in North Carolina state. >> Senator Alexander. >> Absolutely it's not going anywhere, and not only that we are We must understand the implication of our actions, that's gonna mitigate those not only in North Carolina but around the world, but with lose link [INAUDIBLE] about changing names for the institutions [INAUDIBLE] having conversations about closing other institutions And watch this. Some may remember this, this last session, we were growing around this place because yes it was this point and time, the senate was dealing with a budget and we're so concerned about this HPCU's use, what was in the senates budget when the board of The governor said Elizabeth City State University needed just $3 million. Zero, nothing was in the senate budget. Thank you. Later, it got worked out yes, and I do commend your help for getting it worked in conference and we put the $3 million Back in the budget. That was $3 million dollars, hear this, to help with information management system. Hear this, to help with enrollment growth management. In other words hint hint, this is to process applications before the kids even get in school. So we had to fight last session just to help them upgrade to move Towards upgrade, grading the application system and yet we're talking already this session of open up flood gates. the issue is not the concept of making tuition practical, that's not the issue, the issue is bringing individual In a way that they feel engaged and welcome to be engaged in that process. I say this not to fan any death threats or any forms of inappropriate conversations. That's not at hand here, and I still say this and we just have to call it as it is and I'm dealing with what I think part of the issues have been for a long time looking at enrollment. I mean we're talking here essentially about $2.3 million in the big scheme of things for Elizabeth city. And when you've gone through all of this, why wouldn't you have a concern of will the money be there in the future. Is there sincere commitment to helping the students. So I stand today actually, in support of the amendment. In support of the amendment, I'm asking everyone To vote for this amendment. But I'm gonna tell you the spirit in which I'm asking for you to vote for this amendment today, it's two spirits. It's in a spirit of inclusion and cooperation. We have the ability if we want to work on this. This is not the final day of a budget but it may Been embracing and inclusive in a real way to have serious conversations. [BLANK_AUDIO]

So this is done in the spirit of inclusion. [BLANK_AUDIO] And I would also say as we have all these conversations At the end of the day, what I believe we must remain focused on, our students. How do we help our students? I realized in the west as well as in the east, there are a lot of students who Who are right now going to school and they are living in situations of chronic poverty. And yes education and higher education is a way out for them. That's what my grandmother would always tell me. This is their pathway Towards living the American dream right here in North Carolina. And doing what my grandmother would always say. You make sure you just keep going in getting a good education. It's up to us to come to the table and to be truly welcoming and reviving, so that we can Keep our kids first and make sure they get a good education. [BLANK_AUDIO] >> Mr. President. >> Senator McKissick for what purpose do you rise? >> To speak on the amendment. >> Senator McKissick you have authority to speak on the amendment. >> I think my colleague here Senator Davis summed up things pretty well. [BLANK_AUDIO] I'd also Don't doubt at all that when Senator Apodaca set forth for Senate Bill 873, he did it out of sincere concern for the plight of the universities that were included in that bill. I don't believe there was a nefarious plan to sabotage the Historically black colleges and universities. I think the problem is one of perception and inclusiveness. Rather than at the back end having the chancellors of all of these schools brought into a room to sit down. It should have been down before that bill was ever filed. It should have Been done as part of an ongoing communication to solicit feedback. To incorporate from those chancellors as well as others that might be hearing this will miss a part of these chambers their thoughts and opinions. I suspect that had that occurred and consensus building Had occurred along that path that perhaps we would have seen a modified version of Senate Bill 873. One that did not include from the offset contentious issues like name changes, one that from the offset Addressed a broad range of other issue that are chancellor articuly. At that , and the bill was introduced and there was some event down in the media room but we all come together, you might have seen the chancellor the HPCUs use, the chancellors of the other Institutions as well as others coming together to support a concept that would have helped not just the HPCUs but the other universities. I hope that one day somebody may look back at this as a missed opportunity but also Also do when I call it case study, to figure out how you pull together this stakeholders, how you work through the process, how you incorporate the feedback and opinion , and how you do it from the very outset, so that we can all Develop a plan, I hope that the days discussion will not be the end but that it will be the beginning. I know Senator Apodaca won't be in this chamber when we will reconvene the next time but I hope that perhaps he might move forward with others To try to develop that broad based consensus, what a plan that will help not just the HPCUs but the other universities that need help in this fate and that can reduce the debt obligations on our students. >> Senator Brock what purpose do you rise? >> To speak to the amendment Senator Brock has the floor to speak on the amendment. >> First I wanna say to senator Apodaca thank you for keeping Western Carolina in the bill. And the reason I went to Western as well and on behalf of all the working families that are out there he got feedback from them. When you see that education in college has gone up 27 28% in a few number of years. Well families have to take on second or fourth jobs to pay for it. Where people can't go we got hit harder in North Carolina. We got hit hard in my area worst than any where else during recession

and people cannot got to school but still tuition fees kept going up And up and up. When families have to go to figure out some top of payment plan to pay for college or can work a semester you got a school semester. That's what is happening and when we come up feedback from administration. About what would happen. They need to be focused on the students, focused on the families of what they're going through. I think this is a great idea. I wish we could keep all the schools in it but some schools wanna be out of it. But thank you Senator Apodaca for keeping my beloved school And just a sign for all the working families out there, there is a great place to be in North Carolina and that's up in Cullowhee, thank you. >> Senator Robinson for what purpose do you rise? >> To speak on the amendment. >> Senator Robinson you have the floor to speak to the amendment. >> Thank you Mr. President. Is kind of a funny place for me to be in today to stand because I'm going to vote against the amendment, and I'm going to do that because I am a graduate of HBCU's but not just that, I served on the university of Carolina board of governors for ten years probably longer than anybody in the general assembly, and more than most of you I would say I understand not just HBCU is about understanding our university system and I've watched over Program was 20 years, the change is have watched getting better, I've also watched the decline in funding from this general Assembly, regardless of what party had it. And so my perspective on this, is not just from a poor girl who Came from Georgia, to a private college in North Carolina and then went on to a public one to get to more degrees. But also in terms of the perspective of students all across our state and the constitution does say is free as is practicable. I know Know that and I presided it and I remembered it well. As I've tried to influence this General Assembly for many years to do what's right for our students in this state. And so whereas usually over what has happened And perception is real to people. I said to Senator Apodaca when he first handed the bill to Senator Lowe and I to take a look at and I know he handed it to me because of my experience and I appreciate that. I do appreciate that. That the perception Is because, folks have seen some bad things happen from the part that the Republican side, that their perception will be that its not well intended, and I think you recognize that idea the first. And so there were some things that jokingly. We talked about but also we work to say that's bad, if you're sincere take it out, and I appreciate he's working with us on that I really do, tere's[G a low set of four and the others with you, in terms of making the concessions well let me say to that, what we From, let me say that I was the one senator Tillman who saw the piece in the bill a couple of years ago what you did to Elizabeth [INAUDIBLE] and say what university is this, and I knew what it was and so I was the one who address and attack that, and you All of your help to make sure we pull that out, I think was senator Apodaca who said let's table this, but I recognize the plight of the universities in this state and I would be the first to fight to keep you from ever closing, if I have to pull all Pull all the troops I would be the first to fight, but also know that we have to do some things to sustain them, a partisan ship has caused us, has kept us from bridging the divide this time, that's really what it is It's how we see things, how people on the outside see it, and while we return to make something happen for the good of the universities that in this facility does need,

maybe the other don't need it as much, that university needs Disbanding, it needs the marketing, it needs the support to get to where it needs to be, I was the one who advocated for an aviation center when I was on the board of governors to say that, that program would launch it and it needs some help to launch it because it can't stay where It is, so there are things that doesn't make the difference, now the perception of 500 or what, what I say to people is that drop the tuition to $1,000 you still got room of boys so it still cost you $10,000 you all need to look at total cost of college, but everybody doesn't Understand that, they don't know that, they only know what they see and who has marketed, and what's put out there by the media and then by social media, also that is what happens, and in online you know the chance slows came/g together and they talk with the president about a proposal, it came too late after, whatever he had said to senator Apodaca yes today it got all hot in the collar, then the proposal came a a little bit too late because they did propose and I appreciate that opportunity that we had to Sit with him and propose what they thought will happen, yes it was laid on, it wasn't on the funny end. But you know sometimes we can't decide how things are going to happen, is politics, and this world. And I'm saying just as much to you Republicans as I am to Democrats, is that We have to find a better way to work for things that support the good of the whole. We have to find a better way. This was one time that I think and I am convinced and I would say publicly, that this bill was not ill intended. Senator [INAUDIBLE] put it out there a year ago Senator Berger I didn't like that. And I told you too, but with the reworking this time and the agreements that we can make some changes include the chancellor pieces as it worked out I thought It would work. And so I hope that as it moves, that there will be some changes in the conference report, to include at least [INAUDIBLE] City, it needs the support. At least the help, and if all of you intend To make sure that that University thrives and survives, survives first then thrives, then I hope that you'll do something good. You know I am saddened at the fact, that the opportunity at this point seems lost and I know. Because God will work whatever he intends out in the end and it may not have been this way but some way beneath us in the conference report will be worked out. But I wanna let you know how we do each other. How we do each other. Some of you have children Who have finished universities you did. Some have children going to schools and you came and you told me and you said, Senator Robinson, that makes sense in terms of that kind of proposal. And all of us want our kids in the state to survive and to thrive regardless of what we look like What color we are, what gender we are, what race we are. What income we have. I've never met a parent who didn't want their child to do better than they did. And that's the same case today. And so as we move forward on this, I want us to remember that. I want us to remember that we are all working but the children of the state and for those little ones that are coming up who still need the opportunity to be the very best that they can be. So I'm gonna vote against it for those reasons Because I think it was well intended and the universities needed it. I wasn't worried quite the way I wanted it worried but I told you that. But I do appreciate the fact that we were working towards a resolution. Thank you, Mr. Chair. >> Senator Lowe, for what purpose do you rise? >> To speak on the amendment. >> Senator Lowe you have the floor to speak to the amendment. >> Thank you. To my dear bike-riding friends, no one should get death threats

and I feel very badly about that. I speak for several reasons, one because I'm a product of HBCUs. I was in no way ready for college work but I went to an HBCU and they helped me Do what I needed to do so I believe in that system but while I believe in that system I came here because I wanted to help all North Carolina's, that's why I'm here. [BLANK-AUDIO] The school that I represent is WSSU, and after talking with many of them they did not want to be a part of this bill from the beginning as they saw it and I said I will support my constituency and I did that, but while I supported my constituency I believed in the spirit of the bill in that some of our schools need help. To survive some of our schools need help to progress and I always felt and you all know that I felt like this having had several conversations that a lot of work had already been put in But maybe some more work needed to be done so we could make this the best thing it could be, when I was in college my father wanted me to go to a state school that I didn't want to go to so I decided that I would go to A school out of state in Texas a private school that cost about four times as much as University was then, and my mother who was a college grad and was a school teacher worked in the evening As a Janitor to make sure I got through college, so I get it I understand we got to find a way to make college affordable, but to do that it will take a continuum Of us coming together both sides really hashing this out and trying to do what's best for our citizenry, and to do that it might mean that all us will be pushed some places and Into some areas that maybe we had not planned to go. And we may leave feeling uneasy on both chambers but it will be good for our citizenry. So I support the amendment but I hope that in conference Something will be worked out and worked through so all of our citizens can be successful, so all of our schools can move forward so that all of us can be thankful to God that we did something that was good for our Children and the families of North Carolina thank you. >> Any further discussion or debate on the amendment, hearing none, the question before the senate is the adoption of amendment one all in favor aye oppose the vote No five seconds be allowed for the voting and the clerk will record the vote [BLANK_AUDIO] Ford I, 42 having voted in the affirmative and six in the negative amendment one is adopted, the bill as amended is back before the body, revenue discussion Or debate on the bill as amended, Senator McKissick for what purpose do you rise?. >> To speak on the bill. >> Senator McKissick you have the floor speak to the bill,>> well we are back here again one more year looking at the budget, back Here one more time looking at the priorities for our state. Back one more time trying to create the appropriate priorities and we're back one more time looking at education in this state. One thing I can say is that teacher pay is just one component of

it. I'm glad to see teacher pay is moving in the right direction. It's where we need it to move because we were somewhere between 46th and 48th among the 50 states. But one thing that I can say from looking at this budget right now in terms of education that we're still quite far away from where we need To be. Cuz when you look at the principles in our schools, we're still 50th among the 50 states in terms of what we're compensating them. And while these principals may get a step increase in the budget and assistant principals might get a small step increase, the Only thing these assistant principals are gonna get is $500. That's less than 10 bucks a week before taxes. Principles will get $2000 bonus, works out to about six bucks a day. That is a scenario where we must really focus attention upon because our education system has to Not just for the teachers, but for those that are managing our public education system. To make sure that they have the resources that they need as well. I'm really disappointed that we've cut $4.8 million in resources for at risk kids that are students in our school system, some of those After school care, cut $10 million from school connectivity when it comes to all, trying to make sure our students online are, I guess the students but schools themselves, not everybody has broadband connectivity in this state, that type of thing is not something we should be doing and we cut 4.8 % from the department republican, instruction an additional 5.3 % from our central office administration and when it comes to our textbook and technology we are far, far away from where we need to be, you go back to 2008 we were appropriating $100 million, our need has not decrease it's substantially increased, we get this year becomes the textbooks, when it comes to technology we are only putting in about $61.5 million and when we sit there and look at what's being done with opportunity Scholarships, well you had it in that base budget to start with, enough money to fund the opportunity scholarships and that was truly sufficient, it would have been like $24.8 million and that would have been providing scholarships of about 5,000 student but then it double down, double Down and increase the funding for this opportunity scholarships and reserves to commit to us funding over the next 10 years roughly about $144 million, a substantial amount of money, and the Goal and the plan and the path is intended to divert 2,000 additional students every year above the one that we're already sending to private schools, not to boater our public schools as we should, we need to make sure that those children in our public schools get the very best quality education Education that they can, our constitution of this state guarantees it and it's with that in mind that I will send forth an amendment. >> Clerk will read. >> Senator McKissick move to amend the bill. >> Senator McKissick is recognized to speak to the amendment What this amendment does is very straight forward, at extra ten million dollars a year that was going to be spent on this opportunity scholarships the same kids that are in our public schools to private schools would be diverted and what would it go to, it would go to funding Our text books and technology in our classrooms, our classrooms desperately need technology, we need to prepare our students for the jobs of tomorrow, they need to have access to the technology of today, but more importantly this kids today they are not connected need to be Digitally, that's important, that's imperative, and what it would do also in terms of that ten million a year that we go for text books and go over technology in the first year that extra money that was going into the reserve that 35 million dollars or so which go Also to textbooks and technology, what would that do, well by 2008 standards we put in 100 million, it wouldn't bring us back to where we were [INAUDIBLE] get us close, will get us in about 96 million dollars, we need to make Certain that technology in our class was adequately funded,

our students today are not just competing against other students here in North Carolina, they are competing against students nationally and across the world, they need to be the best and brightest. They need to have access to resources that are necessary, but this This amendment do would make certain that we are able to do so that's important, that's imperative, now we could do other things with education if we weren't just simply putting money in our rainy day fund, our rainy day fund is adequately funded, we don't need to To worry about that right now.We need to make certain that we prepare this students for the jobs of tomorrow,the teachers have the resources that are needed, and that we adequately fund what's necessary for our students to be prepared and for our students to have Access. Through the Internet have access to digital technology. To have access to everything that will prepare them and everything that will train them so they can be competitive, hold the jobs of tomorrow and be the leaders of tomorrow. So I ask for your support. Senator Apodaca what purpose you rise? >> Mr. President, send for a subsidy amendment. >> Sorry,now you can send forward your amendment. [BLANK_AUDIO] >> Clerk will read >>Senator Apodaca rise to Amend the bill>> Senator Apodaca is recognized. >> Thank you Mr. President. John, Senator McKissick soliloquy I was taking a look at the Appropriation Act 2015 and I found an unnecessary reference and this deletes that reference. I ask for your support. >> We're having a discussion on amendment three Senator Van Duyn for what purpose do you rise? >> To speak on the amendment. >> Senator Van Duyn you have the floor to speak the amendment. >> Even if you support opportunity scholarships, I think we can agree that when we're failing to fund the needs of public school children. >> Mr. President. >> Senator Van Duyn will need to keep the debate focused on On amendment three please. Not on amendment two. >> Yes Sir. >> Thank you Senator. We're having discussional debate on amendment three. >> Mr. President. >> Senator McKissick for what purpose do you you rise? >> See if I can ask Senator Apodaca a question. >> Senator Apodaca do you yield? >> Sir. >> Senator Apodaca Let me ask you this, of course by submitting this substitute it would kill my original amendment which was sent forth. Are you of the opinion that we don't need to adequately fund technology and textbooks in our classrooms or that we should be diverting our students from our public Public schools or private schools to the he point after a decade there'd be 25% of our students that are in public school today in private schools? In your own opinion we don't ->> Let me know when you finish. >> Sure. I just wanna get your opinion on that issue because by killing the initial amendment by Fitting this substitute that seems to be what you're, advocating that we, so what are your thoughts on that? >> Well my thoughts are we need to correct the error that was in the appropriations bill of 2015. It has nothing to do with textbooks and all, you zeroed out in two 2009 common force though, no, this just is >> Well, can I ask you a quick follow up? Mr. President? >> Senator Apodaca do you yield?>> Yes sir if it applies to this two sentences on the matter, I'll be happy to it >> Absolutely. Since the purpose and intent is not to defeat my amendment, would you mind Withdrawing it until a vote is taken on my amendment so we get on the record the position of people in this chamber when it comes to adequately funding our private school system, the textbooks, the technology and making certain, >> Mr. President, quick answer. No, we're good. >> Is there any further discussion or debate on amendment three Hearing none, the question before the Senate is the adoption of amendment three. All in favor vote aye, opposed will vote no. Five seconds will be allowed for the voting and the Clerk will record the vote[BLANK_AUDIO]. Senator Chaudhuri, no. 33 having voted in the affirmative and 15 in the negative Amendment three is adopted. The bill as amended is back before the Body. Do we have any further discussion or debate? Senator Cook, for what purpose do you rise? >> I rise to send forth an amendment. >> Senator Cook, you can send forth your amendment. The Clerk will read. >> Senator Cook moves to amend the bill. >> Senator Cook is recognized to speak to the amendment This amendment only corrects an incorrect reference to existing law on page 110. >> Do we have any discussion or debate on amendment four?

Hearing none, the question before the Senate is the adoption of amendment four. All in favor vote aye, opposed vote no. Five seconds will be allowed for the voting And the clerk will record the vote. [BLANK-AUDIO]. 47 having voted in the affirmative and one in the negative, amendment one is adopted, the bill as amended is back for the body. Senator Smith-Ingram for the purpose of your ayes, to speak to the To the bill. >> Senator Smith-Ingram you have the floor speak to the bill. >> What's most glaring to me about this budget, is the lack of balance. Funding teacher pay is very critical and vital, however the great recession has left us in damage control for the past several years. While our teacher's are struggling, so to our state State employees across the board. We are responsible as the North Carolina General Assembly, for the well being of all of our citizens, the nine million citizens that we serve in North Carolina. We are responsible for the first responders, our state highway patrol officers, our. Our correction officers, those in close and in minimum security will be responsible for our State parks stuff. Our department of transportation employees, this includes all those employees who today dedicate their time, they dedicate their talent and they Dedicate their service to the betterment of this State. As well, we have retirees who have for decades, served and worked so faithfully to the constituency of North Carolina, we have to be prudent and we do have to be practical about how we spend the tax dollar. There are hardworking families work so diligently to pay. But we cannot fix recession era teacher pay gaps in one year and certainly not to the detriment of 85000 additional State employee. As well as thousands of state retirees both of whom have received most significant pay increases in the past several years, when we went through the recession we balanced our state budget on the backs of state employees who as we all know don't receive market's Its salary for their very valuable contributions to the well being in the operation of our great state, this proposal does a disservice to all of our state employees and puts the variability of state employee recruitment and retention at a very great risk, we cannot give Everything to everyone but we can offer some balance within this budget and offer some support to all. >> Mr President. >> Senator Waddell for what purpose do you rise?. >> Speak to the bill. >> Senator Waddell you have the floor to peak to the bill. >> Ladies and gentlemen of the Senate I am a 30 year retired Veteran in the field of education, and I speak for my colleagues who retired some cannot afford anything, not even food and clothing because I look at this budget and I see zero for increase in the Cost of living, some of them are having to eat [INAUDIBLE] foods as means of their meals and so I say to you we can do better, we can do much better, North Carolina with ties have not received the pay increase Since the yeart 2009 and this budget has zero in it, the new budget proposal does not make provisions that recommend any adjustments for retirees as a cost of living, cost of goods and service even medical bills continue to rise and the average Pension plan for retirees is just $20,000 this is not enough, I've got emails, telephone calls, and a bunch of retirees all week knocking on my door for help, this is not good, this This is not good business, this is not taking tab those who have educated those who are now medical doctors, educated those who are attorneys, educated those who are making good salaries, we must do better, and now look at the cost of Living .Look at the consumer price index and has increases, the cost of everything is going up, if this is not passed, no,

it can take another year before we can have retirees, zero or no. We can do better than that. During the 2015, legislation session in North Carolina, the House unsuccessfully proposed a 2% call for teachers and state employees that didn't not weigh up. And now, we have an opportunity To do better, given opportunity to correct this. And so hopefully when we go to conference, we will do so and remember those who've given their lives for education. >> [SOUND] >> Representative- >> Senator Brock what purpose do you rise? >> Speak to the Bill >> Senator Brock you have the floor to speak to the bill. When I was elected in 02, in [UNKNOWN] In 2003, when my mama held the Bible, she spent the from 1961 to 2002 in a classroom. And after I took the oath of office, she said, son promise me one thing when you go down that rally, I said yes mama what's that, don't you mess My retirement, I'm glad senator Smith Ingram, Senator Waddell brought up the pension plan, pre 2011 the pension plan was not fully funded, talking about caring retirees, the pension plan didn't put in the full Money, and these are teachers like my mama, who had to stay in the classroom then Jim Hunt frozen all the salaries during record rates of inflation. But one thing they promised that, we would have a pension. But every year The back road would dip into, now on the back road they wanna fund within, dip into the pension. Again and again and again, so in 2011 when the republicans took over we made sure the pension was fully funded for the first time in 12 years. And the health care plan it was two weeks from going Broke. And for years we tried to get more and more information about the health care plan. We finally fixed that, so on behalf of the retirees that I talk to, yes I wish we could offer big collar this year, we have to make up for 12 years of not funding the The way it is, because if you do it now, with the COLA increase, it's the same thing as back home we can say it's eating your seed corn. >> Senator Smith -Ingram for what purpose of your rise? >> set forth an amendment. >> Senator Smith-Ingram you can set forth your amendment [BLANK_AUDIO] [BLANK-AUDIO]. Clerk will read. >> Senator Smith -Ingram votes to amend the bill. >> Senator Smith-Ingram is recognized to speak to the amendment. >> The Carolina comeback should include all of our public service workers who are vital to our states operation 24/7, 365 just last a few weeks ago, almost a month ago a department of transportation worker was hit on the highway doing his job Three months go my cousin,a state employee was hit during a construction zone as he was doing repairs to the buildings that serve our constituence. If we are truly going to have a Carolina comeback Should it be true one for the both of the people who stand in the gap to make sure that our operations go smoothly, it is in a comeback if it does not include our state employees all of them, who provide vital public service Raise up 2 percent and a $500 bonus and 1.6 percent collar should be the minimum starting point of this conversation and not the maximum. While budget here marks $95 million for permanent married based pay raises for state employees We have a situation where how can we really, truly implement that before we have a serious discussion about performance based razes and evaluation system that employees have confidence in as being fair, affordable and free of politics That must be in place first before we can apply this $95 million permanently merit they stay. A 1.6% caller for retirees is the minimum after years and years of neglect and stagnant salary growth.

A 1.6% caller for retirees is not a liability, it is the right thing to do and whether you're sitting on the front row or the back row, you have to agree that our retirees have sacrificed proper pay for a Secured retirement. And so senator Brock, your mother and many teachers across the State, after giving their lives to service the citizens, deserve to be compensated in their retirement. We need to pay our obligations, retirees Built this State and they are not a liability, I commend this amendment to you and I urge each and everyone of you in the chamber, to support our State employees and reward them for the outstanding services they provide and help Helping out great state function as it should. >> Senator Brown, for what purpose do you rise?. >> Speak to the amendment. >> Senator Brown, you have the floor to speak to the amendment. >> Senator Smith-Ingram, I think we all share the same concerns you have and I think, all of us would like to do more if we possibly could, but as you. You have to balance this budgets and you have to make this decisions and they are never easy if took every need/g that someone came to you with I think you'd have about a hundred billion dollar budget problem but you know we can't print money and we have to try to do the best we can as we set this budget. Goes in understand it completely. I know a lot of retirees and I have thought to a lot of them. But the 1.6% coal increases you're talking about increases our liability on that plan to about $700 million. An additional liability over the next 12 years And senator Brock touched on it. We're trying to catch up on some things that happened several years ago. That really started to put out our retirement plan and a little bit of a stress. And I think what's more important is protect what we have today. Look at other situations across the country look at Detroit what's happened to their retirement Plan.Look at some of the other states that are really struggling for their plans were underfunded, I don't think any of us want to put our retirees in that situation, I surely don't, and again is about parties and as far as pay goes a lot of people argue for across the board pay What has happened because of across the board pay with state employees we've got a lot of positions we can no longer fill because they are not to market anymore, and what we've tried to do with some of this pay pieces by giving some I'll call them block dollars I guess The agencies is to try to allow them to show up some of this salary problems where they are not to market any more and if you continue build across the board pay rises all you do is make that issue worse not better.We got on field positions all across state government and one of the main reason is It's because we can't pay to market and that's one thing we're trying to fix in these last few budgets. We'll continue to work on that. It's about priorities and I know some are more tough. I can tell you as we work through this budget we all would like to spend more money on certain things but Trying to get this state as peacefully, I guess settled is possible, we are trying to do the right thing for as many people as we can and I would just ask we vote against this amendment at this point, and this is a moving target we will continue to work on it. >> Senator Apodaca what purpose do you rise?. >> Send forth an amendment. >> Senator Apodaca He will send forth the amendment>>Mr. President, I like senator Daniel to explain [BLANK_AUDIO] >> I'm so sorry Senator Apodaca, who did you say? >> Senator Daniel is,clerk will read and then the amendment first >> Senator Apodaca moves to amend The bill. >> And then senator Daniel recognized to speak to the amendment. >> Thank you Mr. president. This is an ongoing, this is an amendment that relates to an on going economic development project in my district, with the new Brotton Hospital being built, there's gonna be an old campus that's gonna be redeveloped. And this amendment merely extends the deadline By which the department of commerce has to report to the legislature June 30th of 2016 and also designates department of commerce as the lead agency that will direct the [UNKNOWN] Development project in the future >> Senator Smith-Ingram what purpose to rise? >> To see if the amendment sponsor will yield to a question?

>> Senator Daniel, do you yield? >> I'll be glad to yield to a question about this amendment. >> Thank you, Senator Daniels so are we suggesting that a project in your district takes priority over 85000 state employees who worked so hard. >> This is just a very important project for all of western North Carolina There's a lot of priorities in this budget and this amendment is just one of those priorities. >> Do we have any further discussion or debate on amendment six ? Hearing none, the question before the Senate is the adoption of amendment six. All in favor will vote aye. Opposed will vote no, five seconds will be allowed for the voting. The Clerk will record the vote. [BLANK_AUDIO] 35 having voted affirmative and 13 in the negative amendments, six has adopted the bill has amended its back before the body, do we have any further discussion or debate on the bill as amended. Senator Lowe for - >> change my vote to no >> Senator Lowe changes his vote to no. Final count on amendment six [BLANK_AUDIO] [LAUGH] >> 34 14, do we have any further discussion or debate on Senator Jackson for what purpose do you rise? >> Speak to the Bill >> Senator Jackson has the floor to Speak to the bill. >> Thank you Mr. President. I actually I probably need to senator Lowe I don't believe we quite heard him a while ago. [LAUGH] I'm joking. >> Members is this budget perfect, absolutely not. Did this budget give even the majority party, everything we wanted, . Absolutely not. Would we have loved to have heard two or three more billion dollars to spend on different things. Absolutely. But is this budget, I cant even say it Tom fiscal responsible. Absolutely [LAUGH] Well I will tell this quick story Mr. president if you will bear with me. They call me the twerk at the firm. And someone asked me one time what that meant and I said I don't really know what that meant. My son says the top one in charge. So I'm not used to this big words like fiscal but is this budget fiscal responsible, absolutely did we supply the basic needs of this state which I believe that is our obligation and duty where it be education or be the BOT work around on the street. Absolutely. Yes I would have loved to done a collar. I would to see the increases in the salary package bigger, but we were not able to do that at this time and senator Brown plainly explained that. We've got a deficit coming on this retirement system that we've got to try and. And this is just one way over the last several years we've been trying to cause a physical clift to become a physical little bump in the road so that we can keep our triple A, triple A bond rating that we've been so fortunate to do in this state. One of the few in the nation by the way. So I ask you that you support this Budget I asked that you support this bill and I'm sure it will change ways from six ways from sendy as the saying goes in Samson county. Before is the final piece of work, but we are gonna sent forth the good piece of legislation. But on another note. A little bit, I wanna personally thank my chair senator Brown, senator Harrington hardly mentioned that while I go there has been a lot of hours put in this and our sub chairs, I'm not gonna call you, you all did like our jobs much easier, you all done a great job We have said it before but I want you all to think about this. We changed the budget process a little bit this year. I believe our budget should be simple to understand, I believe it should be transparent and I believe the numbers should be where any citizen Any taxpayer in this state can pick up this copy and read it and understand it. And so we started a new transparency, just a small part of changing this budget so you could see it more and see the total dollars being spent across this state. And I just wanna commend our Stuff [BLANK_AUDIO] They have been gentleman's in doing this, the progress team and all of us that have worked on this budget, they have jumped in, there has been

extra work on them and we're just This process and I personally Mr. president think this body right here deserves to give our staff that's working on this budget so hard a round of applause, thank you. [APPLAUSE] [APPLAUSE]. Totally unrelated here but senator Jackson has some friends up in the gallery that have probably been waiting a while, I hope they are still here, senator, so upon the motion of senator Jackson of Sampson county The chair is happy to extend courtesy of the gallery to Susan Doyle,district attorney for judicial district 11B, and I only lead district attorney for judicial district 4, if you're with us in the gallery please stand and be recognized. Thank you so much for joining us. [APPLAUSE] Do we any further discussion or debate on the bill as amended. Hearing none. >> Mr. president. >> Senator Waddell for what purpose do you rise?>> Send forward your amendment. >> Senator Waddell you can send forward your amendment. [BLANK-AUDIO] Clerk will read. Senator Waddell moves to amend the bill. >> Senator Waddell is recognized to explain the amendment. >> Thank you Mr. president, bad science, bad policy, waste of Tax dollars and even muscles, that's what you'll find in section 14.13 of this budget, in this section of the budget we attack our initiate management strategies, the programs that were designed to restore water quality Massive fish kills in news astuary the chaprpablica sancuary as many of you know the Jordan falls like reservoirs or sources for over drinking sources for over 750000 residents of the triangle area. And of course those of you who don't Might say how does this affect me. But as you know if you study water policy everybody is down stream from somebody. So what happens those lakes it's critical in the news. Cape fear, Top Hamaco/g river basin all the way to the coast. And the impact continues in our fishing industry. Section A of these section subsection A presents the premise that North Carolina's [INAUDIBLE AUDIO] management strategies have not worked well and will not work. But this section is full of hyperbole it contains the number of. Let's be clear the current management strategies have reduced Nitrogen and Phosphorous pollution where their have been implemented. And already conditions are not as bad as when we started implementation of this in the late 80's While these estuaries have stabilized they are still in a very fragile state from the onset because of pollution working it's way through ground water and the life time it's gonna take to clear the pollutants still cycling between estuaries saderm[g and in water. It could take up to a couple of decades. To see real improvements of the estuaries but in 12 years we have seen a significant decrease of pollution inputs from waste water plants and a decrease in the wait of new loading, thanks to new development and buffer rules. But it's wrong to expect. That this or any alternative package of rules will fully restore estuary health, that quickly. Thanks to our interference in the process the frozen [INAUDIBLE] neck rules have barely began to be implemented That way we would then stop them under this provision, they've had no chance to work yet, how can we evaluate something that we are putting the brakes on, if the rules are fully implemented particularly Jordan falls lakes traditions will continue to improve The provision in 1413 blocks all implementation of the Jordan falls like rules, 3rd December 2019 and appeals all force strategies of that day as well as repealing the Catawba base of river birth of protection, all rose to protect

one quality in the random of reservoir, in the mean time the provision here marks 500,000 the UNC chapel hill to study in like our alternatives to controlling pollution at the source, this comes just one month after the Environment Management Commission concluded in a report required by us that [UNKNOWN] treatment technologies do not and are not likely to solve nutrient impairment in our reservoirs and that none of these are substitutes for controls on pollution of the kind already called for in the Jordan and Falls Lake rules. This provision 1413 concludes that the SolarBees didn't work. That's a surprise to a lot of, it's a shame but it's a surprise to us. And it's interesting that in this conclusion, the provision puts the blame on the rules. Now, think about that for a second, the [UNKNOWN] Were there to stop the rules and now where the [UNKNOWN] Don't work, we'll say what's the rules fault? The logic doesn't make sense there. What the provision fails to acknowledge is that the [UNKNOWN] were ill-conceived and scientists told us that. You heard that three years ago the science community told us they wouldn't work and they did not. And now we're gonna throw good money after bad. If you read it in 1413 the provision earmarks another $500,000 from the Clean Water Management Trust Fund. 10% of the money that's allocated in this budget will go to study whether muscles mussels could be used to clean up the Falls and Jordan lake reservoirs. The provision goes further to require the EMC to adopt new rules based on a new in-lake study, with temporary rules that they put in place by December 2019. DEQ is directed to run a time-consuming stakeholder process, starting in December this year. Yeah that would make sense, we might all support that except we've already had four, count them, four stakeholder processes that have run as we've developed these nutrient management rules. And now we'll have a third. The new rules that are being asked for will result in what the bill calls a comprehensive nutrient management strategy. Put in fact, that's a misnomer because it will in fact just develop a one-size-fits-all model for all of our impaired waterways. And that is a flawed methodology. Different bodies of water, need different kinds of protection actions. And if you don't believe it, ask the federal government cuz they'll sure tell us. We must remember that these bodies of water are impaired and they fall under the clean water act. This isn't like the clean power plan which is an executive order the Supreme Court overruled it. Many of you know the Clean Water Act was an act of Congress from 1972 and we've been dealing with that for decades now. [BLANK_AUDIO] So ladies and gentlemen, [COUGH] this amendment will repeal these sections of the bill and they will let us get back to letting the good science and good policy drive our way forward to an effective nutrient management strategy. I urge you to vote for the amendment so we can continue that work. Thank you, Mr. President. >> Do we have any discussion or debate? Senator Alexander, for what purpose do you rise? >> File for an amendment to the bill. >> Senator Alexander, you can send forward your substitute amendment. >> Thank you, Mr. President [BLANK_AUDIO] The clerk will read, >> [COUGH] >> Senator Alexandria moves to amend the bill >> Senator Alexandria is recognized to explain the amendment >> Thank you Mr. President, this amendment rewrites section

14.13 which is development of the new comprehensive nutrient management regulatory framework and I'd like to preference my remarks with the appreciation that I could extend to people from Riley, from Durham, up in the city of Riley from Lake county all the different input we had. The by partisan input that we had within this chamber and the hard work that's gone into it, obviously when start talking about water, and whatever else you get to a very ticklish subject, we've got a beautiful, beautiful state we need to keep our water as clean as we possibly can, and we got 10 million people who enjoyed every everyday to the particular bill, section 14.13A was re-written to recognize that in some places some existent nutrient management strategies have improved water quality but continues to recognize these strategies are actually failing at other locations. A sub section five was also added to recognize that a new regulatory framework should incorporate proven measures already shown to be effective and to recognize the investments in water quality already implemented by shareholders. Section 1413b was not modified. Section 1413c was modified to clarify the project at UNC Chapel Hill and also change the $500,000 appropriation to recurring dollars reach fiscal year through 2020 for a total of $2 million for this particular project which is an independent research review and recommendation running parallel to the investigation by DEQ and EMC. The project due date was also extended by a year from December 2019 to 2020 to allow this project to work through it's whatever it needs to happen to get the best answers that we can. Section 1413e changed the date of swapping the new rules with the old rules I had one year to provide more time, the new sunset replacement day is December 31st 2020, section 1413F was not modified, section 1413G was the date was changed to December 31st 2020 to conform with other date changes to provide more time for review, analysis and rules development, section 1413H and section 1413I neither of those provisions were changed, we went through a lot of work, a lot of conversation, a lot of prayer, a lot of what ever else it took to get to what this is, I really didn't like first part of it yesterday, a lot of my people were jumping up and down like third stream short stops but this is a good amendment and I ask for your support. >> Any discussion or debate on amendment 8, senator [INAUDIBLE] for the purpose of your ayes. >> Speak to the amendment. >> Senator [INAUDIBLE] you have the floor to speak to the amendment >> I appreciate the work Senator Alexander obviously put in this because like a number of us in this Chamber, his constituents are affected by what happens in this lakes. However many of the points I made in presenting my amendment point right exactly to what Senator Alexander's trying to do. The funding for the study that we know is gonna end up with the same place where we are, is increased from $500,000 to $2 million. Folks let's do the math. We've already spent a million and a half on SolarBees that failed. We're gonna put $500,000 into studying mussels. Mussels. We're gonna put boatloads and mussels in Jordan Lake. And Senator Alexander now wants us to spend on top of the 500,000 in the original provision, another million and a half, all out of the Clean Water Management Trust Fund. That's a pretty significant hit to the $5 million that's in this budget. That is way too much money to be spending on questionable science. Where's the data to support taking almost half of the clean water management trust fund and putting it in this study. And then it's just another delay. Senator Alexander, with a gift for words can spend this as time to study. But stretching this out at 2020 is just continued delay. First we've been delaying and delaying and delaying. I get back to the point I made earlier it's bad science, it's bad policy and it's a waste money to the tax payers. While I appreciate the effort, we need to defeat this and get back to the original amendment. >> Senator Chaudhuri, for what purpose do you rise? >> Mr. President, I rise to oppose Senator Alexander's amendment. >> Senator you have the floor to speak to the amendment. >> Thank you, Mr. President. Mr. President here's a side fact. Jordan Lake that provides drinking water to more than 300,000

people and a lake that is used by 1.2 million people for boating, fishing and swimming is polluted. Algae is choking Jordan Lake and since 2002 the Environmental Protection Agency has listed this lake as impaired. Unfortunately the story about protecting Jordan Lake, a story which this body is very familiar with, in a story which I fear is lost based on Senator Alexander's amendment, is a story that's dominated by two overarching themes. The first theme which Senator Woodard talked about is about delay. For the last seven years, the decision to put the rules in place for Jordan Lake, has been delayed. In 2010, this body voted to delay the rules, for waste water plant upgrades. In 2013, 2011 excuse me this legislature again sought delay. In 2013 this general assembly again sought delay until the completion of the so called Solar-B project. And in continuing with this theme, this years budget provision again delays senator Alexander's amendment again delays. The second theme about the Jordan Lake rules is actually the failure of emerging technologies to clean up the lake. Last year even after warnings from environmental advocates and scientists, that such technology would not work, the Department of Environmental Quality, elected to spend and waste more than a million dollars, on 36 Solar-B units. that were supposed to turn and swirl away the algae. A draft report of the department environmental quality stated that these solar bees have shown no improvement in water quality at all. In a resent news and observer editorial Mr. president. I know Senator Apodaca doesn't read the News and Observer much, but the editorial called the solabies/g a goofy idea, they referred to this as a goofy idea. The same editorial sarcastically inquired about whether the department of Environmental Quality will now put special algae eating goldfish. The News and Observer editorial actually got the prediction halfway right, because the Senator Woodard Has pointed out, this budget bow is spending a half billion dollars on algae eating freshwater mussels. Let me repeat that, we're spending a half million dollars on algae eating fresh water muscles. Mr. President I do have a bag of New Zealand muscles that I was gonna hold up to illustrate my point but I would not do so but if any member is interested in having dinner with me, this team mussels. >> [LAUGH] >> I'm happy to have them over to my house. But here is why they are sequel to sollaby/g experiments will also fail, because the scientific evidence just as with the solabies/g strongly suggest that it won't work for two reasons, first according to a scientist at North Carolina State University, these freshwater mussels may filter out the initial algal particles but in the long run such mussels actually add toxic algae to the lake. And second such freshwater mussels species are actually endangered and threatened thereby lessening the amount of mussels that could be used in yet another experiment. But here's the broader point. The department of Water Quality has recently concluded that no in-lake technology, a strategy to treat the lake once it is polluted, appears to be feasible at restoring large bodies of water like Jordan Lake. And the same before it goes on the state, that in-lake technologies only work by reducing upstream nutrient and puts first which is exactly the strategy who's premises are being questioned in this budget provision. Mr. President, almost a decade ago after five years of negotiations and dozens and dozens of meetings, stakeholders came together to agree upon the Jordan Lake Rules rules to protect this body. This rules ultimately pass the house of representatives 108 to nine. Today I fear that our inability to come together because of delay And because of the failed experiment that we are engaged in, Whether

solar [INAUDIBLE] or fresh water muscle that eat algae will result in long term cost and consequences. At some point in the near future whether it's federal intervention or a massive environmental disaster, the pollution of Jordan lake will reach a tipping point and we will all have to pay. And our current divisions that we have in this body, triad versus triangle, upstream versus downstream, developers versus environmentalists, will no longer matter. I believe that the most important responsibility that we have, which is something Senator Robinson mentioned earlier, is that we shoulder in this body the important opportunity to pass on a better future to our children. And part of passing on a better future is protecting our beautiful lakes so that they will be enjoyed by future generations of North Carolinian's. There is an old Native American saying that says what befalls the earth befalls the children of the earth. And so I urge my colleagues to oppose the amendment submitted by Senator Alexander. >> Senator Wade for what purpose do you rise? >> To speak on the amendment. >> Senator Wade has the floor to speak to the amendment. >> I've listened to a lot today over here and the interesting thing is when Jordan Lake is a man-made lake, and when it was made the army quarry/g engineers said guess what, it's always going to be impaired. Always, and I think this body has tried to come up with the way, especially new scientific techniques, to maybe find a way to help make it unimpaired. But if we're ever gonna realize that, I don't know but I know one thing for sure. People upstream have done their part. I would just like to mention that Greensboro has already spent 61 million on a treatment plan. Burlington has spent 23 million on a treatment plan. Greensboro plans to spend 55 million more and make other improvements long before these rules come in to effect in 2021, 2027 .They're way ahead of the game and guess what? It hasn't made a dent in the algae in Jordan lake, and it's still just as impaired as it was. Now we worry about spending 1.5 million for SolarBees and jerk them out in a year and a half. Well people up the stream are a little concerned about 61 million, 51 million and 23 million over the last 7 years and still continuing to do. But first in things that are causing more than by the time it's finished a billion dollars. Now we'll say upstream we wanna do everything we can to help, but for goodness sake let's have some science that shows it's helping. We don't have that. But this bill will help us do this. This amendment will help us give time to study, spend the correct amount of money to doing actual study to see if there's new technologies. And if there really is anything that can be done to this impaired lake. The [UNKNOWN] quarry engineers they don't think so, they think it's always gonna be that way. It is not polluted, it has algae in it. So the use of the term pollution is really a little far-fetched. The water can be run through a treatment plant and is very safe to drink. I say we give it a chance to have a study. Let us see if there is any new technologies including muscles. It would be a lot better to find a muscle , any species that might be great for the environment and also incidentally, there are endangered one in North Carolina right now, they were holding up a highway project and is the dwarf wedge muscle. And so if there's a way that we can do something to clean it up naturally that will be a lot better than a man made way. So, my suggestion is, we let the study go and 2020 to see what this stakeholders come up with. And incidentally when the study was done before with all these stakeholders, a lot of stakeholders from upstream or basically threatened is my understanding with either you take these

rules or they can get a lot worse, so I'm saying instead of saying all these things why don't we just base it on science, like you wanna base the soul of this on science, why don't we base all the clean up Jordan lake on science and let someone do a study and it's great to use our own university to do this study and with our stakeholder meeting, which Senator Alexander, I wanna thank you for basically bringing together, the people in Riley that were there we're very much in favor of doing this study for all the impaired bodies in North Carolina and seeing what we could do to improve them. Thank you, Mr. President. >> Senator Gunn, for what purpose do you rise? >> To speak on the amendment. >> Senator Gunn you have the floor to speak to the amendment. >> Let me personally thank Senator Alexander for a really good amendment and I also wanna thank the City of Riley for their input. This was worked out worked out. We had different bodies with same interests to help find was to clean up this lake, not only this lake but with Falls and with Jordan and it's gonna come to a lake or river near you cuz that's the way it's gonna work. Thank you, Senator Alexander. A little history lesson. This may be the only lake that was ever deemed impaired before it was built. We had a flaw from day one and before our engineers told us, it's impaired before it was built. So to sit here and to wanna put all this on the upstream communities, is asinine. Now Senator Wade has talked about some number in the millions, 40 million, 28 million. Folks when the if what is not even documented to make a bit of difference in the quality of that water would be put in place with the Jordan Lake and the Falls Lake rules. We are now talking about under fully implementation a billion dollars for each. A billion dollars for each. Yes we do need to get this right. Yes the city of Durham has already started a pallet that is showing some good results. Yes it is new technology. I commend you senator Alexander I now ask that you certainly support his amendment. Senator Barefoot for what purpose do you rise? >>Thank you Mr. president. >> Now that mussels have become valuable the citizens of southern Wake county would gladly donate about a dozen that we've had that have held up one of the most important transportation projects and our reason for may years to Fall and Jordan Lake to clean up whatever else they have to do gladly. And you can come dig them up yourselves senator Walter. >> Any further discussion on amendment eight? Senator Apodaca what purpose do you rise? >> Mr. president I need about probably two minutes to check something before we vote this if we could. >> Let's stand at it as there no further discussion or debate will stand at ease for couple of minutes. [BLANK_AUDIO] [BLANK_AUDIO] [BLANK_AUDIO] [SOUND] Senate will come to order. [BLANK_AUDIO] Senators, we're still on amendment eight. Do we have any further discussion or debate on the amendment? Hearing none, the question before the Senate is the adoption of amendment eight. All in favor vote aye, all opposed vote no. Five seconds will be allowed for the voting and the Clerk will record the vote.

[BLANK_AUDIO] Lowe, Curtis, aye. Cook aye, Jackson, Cook, aye. Bingham. 33 having voted in the affirmative and 12 in the negative, amendment eight is adopted. The bill as amended is back before the body. Any further discussion or debate on the bill as amended? Senator Blue, for what purpose do you rise? >> To debate the bill. >> Senator Blue, you have the floor to debate the bill. >> Thank you very much, Mr. President and ladies and gentlemen of the Senate. I'll be very brief this afternoon because as I read through this, budget through this bill I see a lot of winners but also see a lot of losers and no matter what is touched on this budget, whether it's education, the tax plan, teacher pay or the environment, they are still seemingly a strong dividing line, that's engineered, that firmly defines who in this budget of haves and have not's. And that's concerning to me. I'm afraid that, this budget shows how much this body, truly values public education in the state. And that's the first key thing that jumps out at me. And it values it so much, that this General Assembly and this budget first time I remember, from those more that a billion dollars. A billion dollars, into a voucher program for private schools and takes it away from public education. A billion dollars! A billion dollars that would be available to address the question of connectivity for all the students in this state, that is digital connectivity a question that addresses supplies and learning tools for children all over the state. And especially in the low wealth areas of the state where it's still sorely needed. That billion dollars would go a long way towards closing these gaps that you've heard people talking about earlier today. A billion dollars. Now, you say you gotta be kidding, a billion dollars for vouchers. And automatically increasing $10 million a year for the next 10 years, so that by the end of that ten year period, annually we're giving $134 million per year to private vouchers programs at the expense of school kids and the privileged schools across North Carolina. Imagine what they have to do other highly successful [INAUDIBLE] Education program, which still need more funds to pull all the kids in. A billion dollars, we haven't debated it that widely, it hasn't been in through substitute committee. It just popped up in the budget. When I saw it two days ago I though it looked strange or a day ago I believe, I thought it looked strange. Forward funding it, so that you don't just fund for the other [INAUDIBLE] but as senator Berger/g said you put $34 million in there you guarantee that anybody who comes even after it's appropriated who applies for it, will have it at least for that year. Billion is a big number. I was a mathematics major in college and did all of this exponential stuff and all of that but a billion is a big number, folks. And if you started right now you couldn't count to it if you did it by ones or even tens before you die. That's a big number. But let's look further because I think that the numbers in this budget divide us even further. I truly do believe that I state employees emergency personnel , our first responders our transportation

workers, our park staff can't afford to wait another year to get a pay raise. They're stuck in place through the beginning of this great recession and historically it's time for us to go into another recession. This has been the longest sustained expansion in recent history in this country and all of the folk who handle money will tell you that we're not very far away from another recession if historical trends meant anything. And so as we ignore these state employees, again for the last eight years since they've had any real improvement in their pay, then we move into another recession and do they wait eight more years? While the entire state work force is depleted of the real talent, because they will go somewhere else. And statewide we'll lose the benefit of their services. We are rapidly developing as a state needing even greater skills and talents in the state workforce. I here the governor often responding that you know now we are the ninth largest state in the country I'm proud of North Carolina's progress proud of its growth, been here all my life and I hope it keeps growing and prospering but as that growth and prosperity comes we need a more improved workforce, a more talented one. And we set the stage so that we're gonna deplete the value of the one that we have. And I also think that our veteran teachers, are some of our most important assets in the state. We need to get them involved in the conversation on how we compensate them. Because although it's an improvement and I really do think it is. If we're giving pay raises to teachers for the first 15 years and I think going back adopting some of the steps that we have to start with is a good move and it's positive move in the right direction for teachers but we need to involve those from 15 to 25, 15 to 30 years, most of you in here, most of you that may be a few of you who haven't been involved in your profession for 15 years but most of you have. And you know as well as I do that after you pass that 15, 20 year mark, you're invaluable to whatever you're doing if you've been successful. If you're a farmer, you know more about what what the signs mean. You don't have to read the Almanac because experience has taught you how to pass that on to new and young farmers. I know that if you're a lawyer I don't plan to spend 20 hours a day writing this anymore. And young lawyers come and ask me what my opinion is and I save a client a few hundred dollars by them not having to spend a bunch of time researching it. Same thing with teachers. They're the ones who tell these, in their first 10 to 15 years, the shortcuts on how to be more effective. They're a very valuable product of our teaching force. You know they aren't all just waiting around to get the 30 years so that they could retire. They need to be part of the conversation, and I think that we again divide them against younger teachers in this budget. Because this experienced educators also bring the institutional knowledge. They are the ones who can question some of the practices of the principal and the leadership of the school, because their experience gives them the ability, to do so. And they know how to propel our schools forward, so they ought to be involved in a major way. I think that the budget threatens the stability of our employees, our teachers, in our public school system as well as our children even our, environment based on the debate that you just heard. And I'm pleased that we were able to accommodate the concerns and in the Fallow's lake watershed. Because they were genuine and are genuine concerns. And I thing those who work with Senator Alexander to make sure that we resolve that so that we dint bring a screeching halt to the development and movement and growth of Riley and at least the Northern and Eastern parts of Wake County. I think that the strategy of divide and concur works against our surviving as a productive progressive state as that we've become. And I think that we as a state for the 21st century will not be

a bright of a light as we could otherwise be what this device mentality. It is time to unite. I heard the discussion in the debate on the HBCU issue a little earlier. I think that the theme that stood out more about that debate is the one that I would live you with as we think about where we are to be going. Because I think it's time to finally unite in this chamber behind by partisan plans. Plans that take advantage of the wealth of knowledge of all the people in this chamber and the wealth of ideas. And the wealth of experience of all of the people in this chamber. To start addressing the critical issue of the state in a way that don't divide up. Because of still are many issues plaguing the state and they will continue to be. But we are smart enough to know that if we put aside partisan agendas and realize that we are not only here to serve the effort of getting reelected. But to serve the people of North Carolina and to address their problems I think that we wound have episodes of deceive budgets and things that make us go separate ways as we get in our corners playing partisan politics. So although some good issues as I said, some winners in this budget and some losers, I think that it's time that we work on the framework so that all that come out of this process, as we engage in it, are winners. >> Senator Brown for what purpose do you arise? >> Speak briefly on the bill. >> Senator Brown you have the floor to speak to the bill. >>Senator Blue I just wanna touch on a couple of things you mentioned in this budget and, the first thing you talk about are the opportunity scholarships and, you know I would just have to ask if you've got a kid, a special needs kid and public schools just can't offer the resources needed for that particular kid, don't you think a scholarship would make sense for that kid to go somewhere where they can really get help? >> Well if you've got, a kid that's stuck in one of the lowest performing schools in the state, and it's just obvious that that kid ain't going anywhere, but that family has an opportunity to move that kid to another school, to really make a difference in that kid's life, don't you think that would make a difference to that family and that kid? So I think it would. And I think everybody in this body feels that way. Because sometimes I think we forget that, we protect everybody else but we don't protect the kid. We forget it's all about the kids and you know it's a shame that sometimes we forget that because I see so many families in my district and every district in the state. And we all have those kids that are truly [INAUDIBLE] and might be because of their family background. It could be because of the disability of the kid, could be because of many many reasons. But anything that we can do to give those families an opportunity to help those kids, is that what it's all about. I mean we talk about everything but that sometimes. And that's unfortunate because I think that's what it is, we talked on the pay issue. Normally in the second year of a budget cycle, we don't even talk about pay. It's not even brought up. We don't waste pay a lot of time in the second year cuz we pass two year budgets. We come to this second year and we're fortunate that we're able to do somethings and we give teachers $269 million pay raise to get the pay over $50,000 on average and that's not a good thing? I think that's a great thing. I think what it'll allows us to do and what we're trying to do is get those teachers to $50,000 as quick as we can in 15 years and treat them like true professionals. I think in every profession I know nobody wants to wait 30 years to get to the top of their pay. That don't make any sense. Let's get them there quicker and then let's reward them for doing good things. If they're willing to go into a tough school, let's reward them for that. If they're willing to go into a tough school, let's reward them for that, if they're willing to teach a tough class, let's reward them for that. That's what our thoughts are.

Again that's a win for the kids. And that's who we're talking about. It's not about everybody else sometimes. It's about the kids. How can we help them? And we always seem to forget that. In this budget, we've got 10 million set aside for third grade teachers and it's gonna reward those teachers, half of it goes to 25% across the state the other half will go into LEAs to reward those third grade teachers that are exceptional in what they do. I think that's gotta be a great motivator. If I'm a third grade teacher and I see one of my colleagues that's doing a great job getting rewarded for that, that's gotta motivate me to do better. If it doesn't, I don't know what can motivate them to be quite honest. and that's in this budget, that's got to be good for the kids, these kids will win because of that, in the third grade. As far as veteran teachers go, what I see from [INAUDIBLE] teachers moving forward if we put them in a position and now, we can really reward their expertise to go in somebody's hard performing school, this low wealth schools, these tough schools and address some of these kids that are really struggling and let's pay them to do that, if thy are good teachers let's really pay them to take care of those kids. That's got to be a win, and that's got to help this state, all across this state forever in my opinion, and that's what this budget starts to address, as those kids that are so important, again to enter this budget is not perfect and I can tell you we put this thing together and we spent a lot of hours trying to do it, but I think there's a lot of good things in this budget, especially for a second year budget that normally does do very little. This budget does a lot and I think it's a win for North Carolina and for the citizens in this state. >> Any further discussion or debate? Senator Berger for the purpose do you rise? >> To speak to the bill. >> Senator Berger you've the floor to speak to the bill. >> Thank you Mr. president, I wanna start of reiterating some of the facts that have already been expressed by other members of this body. The work that is done to get us at this point is substantial and the work that has been done by the chairs of the appropriations committee, the members of the appropriations committee, the chairs of the appropriation sub committees and the membership of this body is substantial and it shows, and so I wanna thank everyone for their efforts, particularly our staff and I know we've mentioned that but I just don't know that you can mention it enough. This budget is the result, not just of what has transpired here since we've got here in April, this budget is in many respects are the result of work that has taken place over the past five years and it's work that has enabled us to do a lot of things and make great strides for the state, because of decisions made over the past five years. What we're able to do is provide substantial additional tax relief for the hard working people of North Carolina. All too often people forget, especially when you get here, you forget where the money comes from to pay for all the things in the budget. And that money comes from hard working people from all over the state. And they expect us to do a good job with their money, they expect us to be prudent in our spending. And they also expect us to think of them when there is extra money. And this year as last year, there is extra money. And part of that money is going back to the people of North Carolina and that's important. And I think it's something that recognizes, not only the work that has been done over the past five years but also recognizes and understands where the funds come from for us to be able to do all the things that are accomplished through spending in the budget. The second thing that I think is important and represents work over the past five years is the discipline that has controlled the growth in spending. I was first elected to the general assembly in 2000, and I spend

all of the years from 2001 through 2011 seeing a bummer/g bus situation in North Carolina with reference to the budget if we had extra money it got spent, if we dint have enough money we just took more out of the pockets of the people. Their never was at least never seem to be a plan to control the growth of spending on a year over year basis. The real measuring stick for how much the budget is gonna spend, was how much do we have to spend? And so this budget controls spending to I think it's two and a quarter percent over last year. I remember two and a quarter percent over last year's budget. The other thing that we are seeing and it represents work that's been done over the past years, is there was over $300 million it was budget last year that wasn't even spent. And so those funds were available as well. So the other thing that work over the past years has enabled us to do is continue the work of a dressing the pay structure for teachers. I've said this on a number of occasion, but teaching in 2010 teaching was the only profession I knew of where when you started it took you 33years 32 years to get to the top of your profession as far as the pay is concerned, and think about that, if someone graduated from engineering school at NC State and they were looking for a job and they were told it was gonna take them 33 years to get to top pay, I'm not sure they will be interested in taking that job, same with lawyers, same with nurses, same with doctors, it just doesn't make any sense to take that long, over the past 5 years what we've been able to do and what this budget does is taking that to 15 ears, a beginning teacher will get to the top of the pay scale in 15 years, based on the number that are in this budget. That is huge progress, at the same time what we've done is provide a substantial pay raise for those teaches who were in the profession, particularly those who were [INAUDIBLE][ in their careers, and what that means is they are over the course of their careers they will earn a lot more money than they would have under the old pay scale, and then there are raisers for state employees here and Senator Blue those raisers are in many respects targeted at exactly what you're talking about, those areas of state government where we are seeing that the pay scale doesn't make us competitive with either other governments or the private sector and so we've targeted that money to make sure that the earnings scheduled in state government are competitive so that we can keep those destined employees but one of the things I want to talk about is in some respect again this is, count for sure the 15 or 16th time I've been involved in this and it's actually gotten to the point where we have a budget doing good, where I mean the debates are always the same, I mean the discussion is always the same and so we got the terms that are used every time, but I wanted to talk about something other than what I would consider to be the sound bytes, because I think this budget is about substance over sound byte. I'm gonna give you two examples of substance over sound bit of this budget. The first is the opportunity scholarships. This budget deals with that issue in a substantive way, where else it's very easy to deal with it in a sound bit way. And the sound bit we've heard it, is outside, but the substance is that expanding opportunity scholarship not only provides opportunity for kids. Senator Brown. But what it does is it saves the state money. Because the amount of the opportunity scholarship is a little over $4000. The average cost state and local of educating kids in North Carolina. What the government currently pays in the public school is more than twice that. So for every child that accepts an opportunity scholarship. Not only does that child have an increased opportunity to succeed but it also leaves more money available for the those other students that are still in traditional public schools. Now that's what I would say is the substance of that issue, not

the soundbite of that issue. Another is COLAs for retirees. We've heard the soundbite, but the substance is that by increasing the Cola what we do is you make the retirement system the pension system, less stable. You do what a number of other states have done over the years and you make it so that down the road, you increase the cost on a year over year basis. But you also make it more likely that those retirees who have depended on receiving that retirement are put into a state of uncertainty as to whether or not the money's gonna be there. So the substance is that you make prudent decisions to keep the retirement system sound. That's not the soundbite. That's the substance. So what I would encourage you to do is think about the substance when you're deciding how to vote I think when you put it down to that, you will vote for this budget and I encourage you to do so. Any further discussion or debate? Hearing none, the question for the Senate is the passage of the Senate committee substitute to House Bill 1030 on its second reading. All in favor vote aye, opposed will vote no. Five seconds will be allowed for the voting and the Clerk will lock the machine and record the vote. 33 having voted in the affirmative and 15 in the negative, the Senate committee substitute to House Bill 1030 as amended passes it's second reading and it will remain on the calendar. At this time, we would like to say thank you to our pages this week. You got here at the busiest time of the year. We thank you for all your hard work over the past week and we hope you come back to see us sometime soon. Thanks a lot guys. >> [APPLAUSE] >> Do we have any notices and announcements? Senator Apodaca, for what purpose do you rise? >> Announcement. >> Senator Apodaca, you have the floor. >> Thank you, Mr. President. Members, during this afternoon's recess or before the session at midnight, the ox meter committee is gonna have a special meeting. We've seen things happen in this chamber we haven't seen before and we need to take a committee. We actually have an appointee a mid session appointee in the running for the OX/g leader with the first time he spoken in the chamber. But he's gone up against some shrewd veterans from Durham usually it's from Durham one or the other. So we'll have some hard choices to make this afternoon. But we look forward to a great presentation tonight about 12:15. >> Do we have any further notices or announcements? Senator Van Duyn, for what purpose do you rise? >> A brief moment of personal privilege. >> Senator Van Duyn you have the floor for a moment of personal privilege. >> A dear friend of mine and a friend of Buncombe county is gravely ill. And I would like to take a moment to honor his impact on me and on my district. Don Locke/g is a true gentleman scholar. A retired professor at UNC Asheville, intrinsically involved in his community, and a fierce advocate for justice. He taught me an important lesson. It was at a lecture he was making to physicians about healthcare disparities. And his message to the doctors was simple, it was that when you're trying to help someone who has been treated as second class all their life, that person is going to assume that there are going to be treated second class for ever, if you want to help them you need to first give them your trust quite simply by asking them what do they need, what do they think is wrong, how can you help, whatever success I have representing my district I owe to Dan Locke and I appreciate the opportunity to acknowledge him and the profound impact he's had on me and I ask you all to please remember him in your prayers. >> Thank you senator. Senator Tillman for what purpose do you rise? >> Just for a moment of personal privilege. >> Senator Tillman you have a moment of personal privilege. >> I've held back from all those speeches. Tom Apodaca looked at me like he looked at the, what's her name

the other [INAUDIBLE] Anyway I didn't say a word but something happened recently over in Senator Gunn's district and I wanna more serious note. Over in Senator Gunn's district, police dispatcher called one of the city policemen over in his district. Said I want you to go to 1412 [UNKNOWN] street, there's been a shooting over there. And I want you to report back and tell me what happened exactly. Well the officer went in and he saw that the man was shot, and the wife was in there mopping the kitchen floor. And he calls back this is dispatch and said what in the world happened? He said the woman shot her husband, killed him, dead as four o'clock. And he said what happened, and he said she was mopping the floor and he walked on the wet floor. And he said well have you arrested her yet? He said, no sir, the floors are still wet. >> [LAUGH] >> Senator Wade, for what purpose do you rise? >> A moment of personal privilege. >> Senator Wade you have the floor for a moment of personal privilege. >> I have inadvertently forgotten to mention my co chairs in many are, and all the help they've given me and the problem is their offices are right next to mine and we're all going back over there in a few minutes so I wanna be sure and thank them for all their help and especially Senator Blurr who has mentored Senator Cook and I for a couple of years now and we really appreciate it and I wanted to also express my appreciation to the staff [INAUDIBLE], thank you. >> Thank you senator, any other notices or announcements? Senator Sanderson for what purpose do you rise? >> An announcement Mr. president. >> Senator you have the floor. >> Thank you Mr. president, coming here on stage on local government will meet in about 20 minutes in our regular room, room 423. I hope all of you can come. >> Any other notices or announcements? Any further business come before the Senate, if not the chair recognizes Senator Berger for a motion. >> Thank you Mr. President. I move that the Senate do now adjourn subject to standard stipulations set forth in Senate rule 24.1, the appointment of conferees the receipt of committee reports, the ratification of bills, the receipt of house messages to reconvene of Friday June the 3rd 2016 at 12:05 am. >> The motion that the senate do now adjourn subject to the stipulation stated by senator Berger to reconvene Friday June 3rd at 12:05 AM, seconded by senator Brown all in favor say aye. >> Aye. >> Opposed no the ayes have it senate stands adjourned. [SOUND] [BLANK_AUDIO] [BLANK_AUDIO] [BLANK_AUDIO] [BLANK_AUDIO] Message from the house, Mr.president, pursue to the information that your own body failed to incur with senate bill 838, house committee substitute their edition, the bill again try to act to acquire further reporting from the department of health and human service related to transportation of the medicaid and the NC health charge programs and to modify certain provisions of the medicaid transformation legislation and request conferees, [INAUDIBLE] has appointed senate [INAUDIBLE] a chair, representative Dawson, representative [INAUDIBLE], representative [INAUDIBLE] on the part of house to confer with Lake committee appointed by the senate through the end that differences arising may be resolved respectfully this week press for clerk. House bill 984 enacted to transfer the former [INAUDIBLE] county, correctional center property to the the Daily County Board of Commissioners, referred to state and local government, house bill 1080 permitted substitute enact to establish

achievement school district. Refer to rules. House bill 1137 committee substitute, an act to enact the treasure [INAUDIBLE] 2016 investment administrative changes act.