Most of the budget work in the General Assembly during the past few weeks has been taking place behind closed doors.
Negotiations over the differences between the House and Senate versions of the budget have been stalled while legislative leaders work out agreements over the elements that make up the big budget picture, such as how much money should be spent and what should be done regarding reform of the state's welfare programs.
D.G. Martin, the UNC system's vice president for public affairs, said once the big budget items are resolved, the rest of the budget could fall into place quickly.
As time passes, more pressure builds to reach an agreement, Martin said.
"When you talk to a person who is entering the university in August and is going to have a tuition bill set after they come in, that starts to create the kind of annoyances people call their legislators to complain about," Martin said.
Among the provisions in the two budgets:
* The House proposed funding for 4 percent salary increases for SPA and EPA employees. For SPA employees, the increase would include a 2 percent cost-of-living adjustment and a 2 percent career-growth increase. The Senate proposed funding for 3 percent across-the-board salary increases for SPA employees and 3 percent salary increase funding for faculty.
* The House adopted the governor's proposal to cut campus nonacademic budgets by 1 percent. The Senate did not include the provision.
* The House proposed a $10 million cut for UNC Hospitals, while the Senate proposed a $3.6 million reduction.
* Tuition increases at Carolina and N.C. State of 3 percent for in-state students and 5 percent for out-of-state students were proposed by the House. The Senate did not propose tuition increases.
Other work being done
Legislators continued to work on other measures while the road map for budget talks is finished.
Admissions standards The General Assembly adopted a revised measure that calls for the UNC system's Board of Governors to establish by Nov. 21 a uniform policy regarding admissions testing of students from private and religious schools.
The bill instructs the board to consult with representatives of nonpublic schools as the policy is developed. An earlier draft of the measure barred the UNC system from requiring nonpublic school graduates to take admissions tests that are not given to graduates of other high schools.
Martin said the legislation was a workable compromise that addressed the concerns of nonpublic schools while not forcing the UNC system to adopt a legislatively imposed restriction on admissions policies. He credited Sen. Howard Lee of Chapel Hill for working out the compromise.
Health Plan rules A measure that clarifies the rule-making authority of the board that runs the State Health Plan was adopted by the General Assembly.
The General Assembly in an earlier session enacted legislation that required any rules set by state agencies be approved by a legislative commission. David DeVries, executive administrator of the state health benefits office, said the measure makes clear the plan is not subject to the rules reviews.
He said it was important that the plan's board of trustees be able to make rules changes quickly enough to address changes in medical practices.
Incentive bonuses A bill already passed by the House that would revamp the program that rewards state employees for cost-saving ideas received approval from a Senate committee. Under the measure, an employee with a cost-saving idea would get 20 percent of the saved money, to a maximum of $20,000.
Retirement incentive While no action formally has been taken on a measure that would establish a retirement incentive for some state employees, the top two legislative leaders commented on the proposal in a WUNC-TV call-in program.
Speaking earlier this month in response to a caller who asked if Senate President pro tem Marc Basnight and House Speaker Harold Brubaker supported the measure, Basnight said he opposed it. While he said he approved of rewarding longtime employees, he said he worried the measure would encourage large numbers of experienced state employees and teachers to leave their jobs at one time.
Asked for his response, Brubaker simply said he agreed with much of what Basnight said.
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