Q: Income-based tax structure has caused state problems as salaries have fallen and unemployment has risen. There have been efforts to change the tax structure in N.C. Would you support changes in the tax structure? If not, why not? If yes, what kinds of changes would you support?A: I support tax restructuring. It is critical, as a state, that we adjust our methods as the economy changes. Our tax structure is based on a manufacturing base of tobacco and textiles from years past. Because of a reliance on the sales tax and personal income tax, in a down economy, revenues are down and the burden increases on working families. Sales tax increases pose a burden on working folks just as the personal income does so we need to broaden the base of possible revenue sources by examining other services. Our economy has changeddramatically over the past 25 years and our tax system has not kept pace. I support a progressive tax system and a broadening of the base, specifically looking at taxes on services. We presently tax a little more than 1/3 of the services of the field of possibilities. There are loopholes to close and adjustments to make, as well as enforcement actions that can be taken in others areas of our tax system that will also generate additional revenues. We need to do tax restructuring to generate new revenues and lessen the burden on working families. And we need to commit to more periodic adjustments in anticipation of shifts in our economy based on the base industries.Q: How do you expect NC to keep services at an acceptable level once stimulus money stops flowing?A: To keep services at ana cceptable level, we need new revenue streams and a new base of revenues. Tax restructuring is one key as is enforcement and closing loopholes. But the second phase is to broaden our base with business development and new jobs. We need to assist small and mid-sized businesses with access to capital to support their operations but also with new markets. We can provide loans and other services but if a company has no customers for their products or services, they will not be able to retain their employees. We need policy adjustments to spur the creation of new businesses which will create new jobs and we can do this by adjusting our incentives policy. We need to evaluate and consider incentives for thriving and stable NCbusinesses that can retain jobs and create new jobs. Lending for small and mid-sized businesses is difficult now and for some, unattainable. The State can work with the federal agencies for government-secured loans through our already excellent Small Business Technology Development Centers and Small Business Centers and partnerships with community development organizations, alternative lending programs. We have tremendous alternative lending programs that already have federal funds for capital for small businesses. We can invest in additional assistance for these businesses. The State should assess its intellectual property, technology and processes it owns via the Universities to see what can be done to provide incentives for new manufacturing, new businesses that can create jobs. I want to completely reassess business development incentives and focus on the successful businesses that are growing here rather than engaging in competition for outside corporations that have no vested interest in our State or our people. We have dynamic, innovative corporations that are home grown and thriving as well as some of the best places to work. We need to focus on growing the number of those types of businesses because they will stay in NC. This is how we can grow our revenues and economy.Q: The state’s mental health system has come under scrutiny in the past couple years. Are you satisfied with the pace of change to address some of these problem issues? What do you want to see done in that area that is not being done?A: We had a tragic issue with our mental health system and it has been a slow process to address the issues. I understand the complexities of the system and once you fall behind, it can take a great deal of time to rebuild a sound system. I think we are in that process. It did not fall behind overnight and it will not be resolved overnight. Fortunately we have new health care legislation in this country and I am hopeful that there will be adjustments that will bring better services. Preventive care is less expensive than reactive care. Mental health services are critical to the well-being of communities. I believe we already have sound partnerships but we can possibly look at creating a “mental health service corps” where we get professional to get training and donate time to the community, modeling after the peace corps or service corps. At this point, the needs are so great compared to the funding available that we need to evoke a sense of community commitment to well-being and call on professionals to volunteer services to the community to meet the needs while we complete the adjustments in the system. Further, we need better education of the community about the mental health system and its effect on our communities so the broader public understands the needs.Q: Some talk about changing the equity formula so that money is spent where the people are. Would you favor a change in the equity formula? If so, what kind of change would you like to see? Why or why not?A: At the very basic level,roads move people from place to place. You may live in one area and drive a considerable distance to another area to work. Certainly, roads are needed where population growth occurs just as alternative transportation is needed in highly urbanizing areas. When I was Mayor I was an advocate for Eastrans in eastern Wake County, a commuter rail project. We need other options as well as roads. The equity formula is like our tax system, old and complex. We need to engage in some good planning and future planning and assess where the growth is and at what rate,and where the commuting and driving patterns are and at what rate and where business, industry and people are and are possibly going (industrial parks,commercial parks, retail centers, residential development) so we can make some determinations about funding and in what priority order. We need to plan transportation around a mix of options and we need to consider that a road systemis critical to economic development – distribution of goods, location of industry – and be fair about funding roads because they do lead to commerce opportunities and they do drive economic opportunity. We have been the good roads State and can still be the good roads State with proper planning, predicting and evaluation of the best use of limited funds for the greatest good.Q: Members of the General Assembly, and now the executive branch, have come under scrutiny in recen tyears for ethical lapses and illegal activity. What proposals would you make to strengthen ethical standards for the legislature? What role, if any, would stronger sunshine laws play in that effort?A: The more sunshine the better. The General Assembly, Executive Branch, local governments are public entities, using taxpayer monies and should be open and honest in all dealings on behalf of the people who support the government. There are a very few closed session issues where economic disadvantage and personnel matters may be deliberated and in these cases, those are permitted to ensure there is no an overspending of taxpayer money and a harming to individuals. Unfortunately a few ethical lapses driven by the desire on the part of individuals for power and greed have cast a negative shadow on our government and on the majority of our public servants who are honest, hardworking people who want to serve. We need more ways people can participate, be informed and watch the process. We need a commitment to honesty and service and we need to recruit candidates who are not driven out of personal motivation, but a sincere desire to help their fellow citizens enjoy a higher quality of life. We need candidates with a desire to be accountable. The Legislature has taken steps to strengthen the ethical standards and eliminate gray areas for misinterpretation of the laws and more are planned which is good. But the voters hold the ultimate power – to elect people and hold them accountable for their performance and their behavior. And, elected officials should only desire to act, plan, vote, and conduct all business in open and inform and educate the voters about those actions. At the end of the day, we are all people and there will always be those driven by greed and not service. A true public servant does not serve for himself or herself – they do it for others – it is a mission or calling. Let’s commit to serving a greater good, each other, and not ourselves.





