North Carolina Budget and Tax Center: FACTSHEET: Keep Arbitrary Tax & Spending Limits Out of North Carolina – Vote No on Senate Bill 607
ITEP Work in ActionA suite of severe changes to the state constitution laid out in Senate Bill 607 would undermine the foundations of the North Carolina economy and make our current challenges much worse. The bill changes the state constitution in three ways:
1. Limits spending on education, health, and other services through a rigid, arbitrary, and fundamentally flawed formula and requires a 2/3rd majority vote of legislators to override that formula
2, Caps the income tax at 5 percent, which significantly reduces the resources available to run our schools and maintain our priorities
3. Limits access to the state’s rainy day fund – the Emergency Savings Reserve Fund – by requiring a 2/3rd majority vote of legislators