Local Nonprofits Review 2015 Legislative Results

By Nelda Holder –

How are families faring in North Carolina’s economy?

The impacts new legislative policies might have on families and individuals were discussed on December 8 at the 2015 Legislative Briefing organized by United Way of Asheville and Buncombe County and other area nonprofits.

The morning program featured United Way speakers from the local and state level, the focus was on analysis as well as advocacy, with Annaliese Dolph, registered lobbyist for United Way of NC, detailing gains and losses in issue areas impacted by new state legislation.

The nonprofit sector, she declared, was aided in the area of tax policy by the preservation of charitable deductions, the nonprofit sales tax refund, the property tax exemption, and worker’s compensation changes that remove uncompensated board members from the tally of employees (for purposes of paying worker’s compensation taxes). The result will free up funds to be applied to nonprofit services or made directly available to nonprofit clients in need.

Other 2015 legislative aids to communities, said Dolph, included the CHIP reauthorization (Children’s Health Insurance Program) providing health coverage to eligible children (administered by the states but funded jointly with the federal government); and North Carolina’s new mandate that all insurance plans in the state include coverage for autism (up to age 18).

Dolph offered a basic wait-and-see approach to the Medicaid reform passed by this year’s Legislature. It will not expand eligibility, she commented, and it moves the state to a “capitated” (managed care) system of private management — away from the current provider-led program.

The UW lobbyist then referred to potential issues for 2016, particularly the Taxpayer Bill of Rights, known as TABOR, which was already proposed in the Senate. TABOR would set a maximum individual tax rate of 5 percent (the current rate is 5.75 percent), which runs counter to the NC Constitution’s allowance for up to 10 percent. “Be aware it could come through in pieces,” warned Dolph, “instead of a constitutional amendment.”

The object, she explained, was to limit the growth of state spending. But the result is a loss of flexibility in the face of such conditions as inflation for consumers versus the faster-rising costs of service delivery by the state. (One particular issue on the charts in NC that might also be affected in terms of services is the general population growth, which is slower than the growth in older North Carolinians by a factor of 23 percent to 55 percent.)

Dolph said that the only state that has ever enacted such a flat-rate limit is Colorado. “It was very detrimental to education,” she observed. “It could really harm the whole infrastructure in North Carolina.”

New voter service through 2-1-1

Other speakers at the forum included Ted Fitzgerald, who is the lead outreach specialist with the NC Board of Elections. He presented an overview of voter identification changes in 2016, when the photo ID requirement for voters goes into effect as of the March primary. Fitzgerald outlined the voter education efforts underway by the state board, giving a nod to United Way of North Carolina for partnering through their 211 service number to offer details and answer questions about the change. (Dial 2-1-1 for free, multi-lingual assistance regarding this or other United Way services such as need for food, housing, child care, education services, and crisis counseling or substance abuse treatment.)

The annual event was co-sponsored by the Community Foundation of WNC, WNC Nonprofit Pathways, Women for Women, League of Women Voters of Asheville-Buncombe County, Children First/Community in Schools, UNC Asheville, and the NC Center for Health and Wellness.

The gathering shifted its format and location this year, taking place at UNC-Asheville’s Wilma Sherrill Center. Formerly held at the Enka campus of A-B Tech, past events have hosted presentations by legislators themselves as well as from the nonprofit NC Budget & Tax Center.

Read Nelda Holder’s blog, www.politicallypurplenc.com