Am I the only one confused? Can anyone out there explain this to me? (how much, unemployment)

[Awakening Escapade]

Prior to Bev Perdue taking oath as Governor for NC- our nation was already in an economic crisis. Lehman had folded, the housing market changed and the first part of the bail out funds had already been given out to failing banks.

When Governor Perdue was campaigning - she had no idea that NC would end up receiving over $ 735,000,000 from the first part of funds from the American Recovery and Reinvestment act (ARRA).

NC schools don't seem to have improved since the NC lottery started in 2006- dispute the fact that reports state that the lottery has had over $ 3 Billion in sales.

Why are NC schools suddenly having record hiring freezes and cutbacks? We are still paying our taxes and the lottery funds are pouring in.

Why is Governor Perdue having such problems addressing the needs of NC - when she has received so much unexpected funding from the ARRA ? What were her plans before she took office?

Governor Perdue talked about ensuring that 100% of NC's Education Lottery profits went to education. Now she is taking over $ 85 Million in funds out of the education lottery funds to set aside for other bills.

Exactly what makes the situation for NC this bad- when we are getting so much assistance from the Recovery Act Funds?

[lovesMountains]

Originally Posted by Awakening Escapade

Prior to Bev Perdue taking oath as Governor for NC- our nation was already in an economic crisis. Lehman had folded, the housing market changed and the first part of the bail out funds had already been given out to failing banks.

When Governor Perdue was campaigning - she had no idea that NC would end up receiving over $ 735,000,000 from the first part of funds from the American Recovery and Reinvestment act (ARRA).

NC schools don't seem to have improved since the NC lottery started in 2006- dispute the fact that reports state that the lottery has had over $ 3 Billion in sales.

Why are NC schools suddenly having record hiring freezes and cutbacks? We are still paying our taxes and the lottery funds are pouring in.

Why is Governor Perdue having such problems addressing the needs of NC - when she has received so much unexpected funding from the ARRA ? What were her plans before she took office?

Governor Perdue talked about ensuring that 100% of NC's Education Lottery profits went to education. Now she is taking over $ 85 Million in funds out of the education lottery funds to set aside for other bills.

Exactly what makes the situation for NC this bad- when we are getting so much assistance from the Recovery Act Funds?

I haven't the energy or time to answer you other than to say, I hope the people who voted for her realize eventually what they did to us all

[Asheville Native]

Because the NC Education Lootery is and always has been a shill to pick pocket more money from the citizens of NC. Education is just the excuse, as who can condemn a new revenue source for education.

In essence it is a new revenue stream, a tax on the bad at math if you will, for the general fund, the initial reason it was implemented in the middle of the night.

[SunnyKayak]

Originally Posted by lovesMountains

I haven't the energy or time to answer you other than to say, I hope the people who voted for her realize eventually what they did to us all

I concur with your assesment

[roadpony]

Originally Posted by Awakening Escapade

Why are NC schools suddenly having record hiring freezes and cutbacks? We are still paying our taxes and the lottery funds are pouring in.

Exactly what makes the situation for NC this bad-

Not defending the governor, but "we" are not all still paying our taxes. With record unemployment, individual income tax revenue is decreased. With people driving fewer miles, gas tax revenue is decreased. With businesses closing, tax revenue is decreased. With stocks and other equities at a level lowest in over a decade, the state will not be receiving much, if any, in the way of capital gains taxes. The NC Lottery has not yet produced revenues equal to preliminary projections. The housing market isn't exactly the cash cow for property taxes and tax transfer stamps it once was for local gov'ts (think school systems). Get the idea?

[le roi]

Originally Posted by Awakening Escapade

NC schools don't seem to have improved since the NC lottery started in 2006- dispute the fact that reports state that the lottery has had over $ 3 Billion in sales.

$3 billion over 3 years = $1 billion/year in revenue

About 30% of that goes to primary education, so that's roughly $300 million per year spread over 100 counties.

Why are NC schools suddenly having record hiring freezes and cutbacks? We are still paying our taxes and the lottery funds are pouring in.

How do you define "pouring in" ?

New Hanover County's education budget is about $250 million per year. If lottery funds were distributed equally among NC's counties, that would only be an additional $3 million for New Hanover every year. I don't think it is distributed equally, but regardless, the lottery doesn't generate enough revenue to warrant a measurable increase in our state's educational performance - especially not within 3 years.

[lorriem]

Originally Posted by lovesMountains

I haven't the energy or time to answer you other than to say, I hope the people who voted for her realize eventually what they did to us all

Dito. Some voters never learn. They go and vote straight party line instead of reading about the different candadates.

[ahnraleigh]

Originally Posted by Awakening Escapade

Why is Governor Perdue having such problems addressing the needs of NC - when she has received so much unexpected funding from the ARRA ?

I would tend to think that this is because we are in a global recession. It appears that you don't understand the impact this has and will cause on local, state, and federal government levels. Let me explain.

The bottom line is that our different levels of government are losing lots of money and are severely under budget. Read roadpony's post if you need an explanation of 'why'. Regardless of how much 'federal aid' we receive, as a state we're still under budget. Our state hasn't laid off employees yet, which means budgets need to be cut. When budgets are cut, usually the first thing that 'needs' to happen are hiring freezes. If it becomes clear that enough money can not be cut out of the budgets, layoffs will occur. Please understand that this would happen regardless of who is in office as once again, this is a 'global' recession.

[joey2000]

Originally Posted by roadpony

Not defending the governor, but "we" are not all still paying our taxes. With record unemployment, individual income tax revenue is decreased. With people driving fewer miles, gas tax revenue is decreased. With businesses closing, tax revenue is decreased. With stocks and other equities at a level lowest in over a decade, the state will not be receiving much, if any, in the way of capital gains taxes. The NC Lottery has not yet produced revenues equal to preliminary projections. The housing market isn't exactly the cash cow for property taxes and tax transfer stamps it once was for local gov'ts (think school systems). Get the idea?

I question whether those things added up even approach the ~$3.7B (assuming the numbers in the OP are accurate).

Originally Posted by rubber_factory

$3 billion over 3 years = $1 billion/year in revenue

About 30% of that goes to primary education,

Where's the rest going?

And did the Gov really promise to dedicate all (or nearly all) of that to education?

[le roi]

Originally Posted by joey2000

Where's the rest going?

Well, in order to have a lottery, you have to pay out some money. About 50% of it goes to pay lottery winners.

About 15% of it goes to "cost-of-sales" (I think this is the lottery administration), and to retailers.

Also ~3% goes to college scholarships.

And did the Gov really promise to dedicate all (or nearly all) of that to education?

Bev Purdue? I don't know. I haven't been paying attention.

I lived in South Carolina when they started the South Carolina education lottery. A big reason SC did it was because Georgia had one, and South Carolinians were driving across the state line to play the lottery so kids from Georgia could go to UGA for free.

A few years later, sure enough, North Carolina decided that it didn't want people from NC funding the SC Education lottery so SC kids could go to USC and Clemson for cheaper.

NC started one, but kids in NC already go to public colleges for very cheap (considering the quality you get.) So it appears that they decided to devote most of the money toward capital improvements and teachers for high schools, elementary schools, etc. in certain districts.

I agree with a previous poster, it is a tax on people who are bad at math. I think it would be fitting if lottery profits went to fund elementary math programs.