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State Budget Update

A proposed state budget and tax plan to ease some cuts inside the spending proposal has cleared two major hurdles in the North Carolina House.

The House Appropriations Committee recommended a nearly $18 billion spending plan for next year late Tuesday night after considering dozens of amendments.

But the chamber's finance committee also agreed late to $780 million in tax increases pushed by Democrats.

More committee scrutiny is expected Wednesday before the changes are voted on by the full House, probably by the end of the week. It's all designed to get a new budget to Gov. Beverly Perdue this summer.

House Republicans like neither deep spending cuts nor the taxes and say the $4 billion-plus budget gap for next year is exaggerated.


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