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Wake County Story



State Revenue and Expenditures Highly Sensitive To Economy

Credit: AP Online

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RALEIGH, N.C. -

 

 

 

During Wednesday's County Commissioners meeting, officials discussed budget tweaking, economy and home foreclosures.

 

The good news is North Carolina continues to be much better off than most states when it comes to jobs, development, and growth.

 

However, the plague of the nation's down economy is slowing making its way to the Triangle.

 

The bad news is state revenues and expenditures are highly sensitive to the economy. At the County Commissioners meeting, Wednesday, officials discussed budget "tweaking." If teacher salary increases by 1percent, it will cost the state, $125 million.

 

Also, North Carolina is facing growth in numbers of home foreclosures. Commissioners discussed that as the number of homeowners losing their homes increase, the number of people paying property tax decreases therefore putting less money into state savings.

 

The NCACC will be releasing a "fearless forecast" of the state budget to managers, and finance officers in the coming weeks. They say it will include county-by-county revenue and expenditure charts and graphs, and a county, "what if" revenue calculator.

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