The Raleigh Report

From the Office of Cullie Tarleton

February 22, 2010

Economic development in the rural parts of our state will play in important role in reviving our state’s economy. In the coming session, I will continue to work with my colleagues in the House to come up with ways to improve rural economic development in the district and across the state.

The following information highlights just some of the important strides we made last year in this area.

Thank you as always for your interest in state government. If you have any questions about this information or anything else that I can help with, please contact me at culliet@ncleg.net or 828-295-3353. I am always glad to be of service.

Budget

The main funding for rural economic development goes to the non-profit Rural Economic Development Center (Rural Center). The center now has a total state appropriation of $24.4 million. Of that amount, $1.54 million was transferred to the Department of Environment and Natural Resources to help pay for water and sewer improvements. The center received $500,000 in new money to help small businesses.

The $24.4 million the Rural Center received is allocated as follows:

The Department of Commerce received $2 million for the Main Street Solutions Program [S.L. 2009-451, Sec. 14.10 (SB 202, Sec. 14.10)]. This program will provide grants to micropolitan cities in Tier Two and Tier Three counties to assist with economic development projects designed to foster job creation and entrepreneurship in the state's smaller cities. West Jefferson is participating in this program.

The Agricultural Development and Farmland Preservation Trust Fund within the Department of Agriculture received $2 million to help buy agricultural and conservation easements. The fund also helps farmers with production, agritourism, marketing and sales and other agricultural-related business activities. In addition, newly enacted legislation clarifies that the money in the fund may be used only for the purposes set forth in the General Statutes (S.L. 2009-303 - HB 684).

In these difficult economic times, my colleagues and I thought it prudent to authorize the Department of Commerce to administer the Small Business Jobs Preservation and Emergency Assistance Fund (S.L. 2009-451, Sec. 14.3 - SB 202, Sec. 14.3). Money from the fund may be used for: (1) emergency bridge loans where clear ability to repay has been established but credit remains unavailable and (2) other purposes related to small business job preservation as approved by the department. The amount of a loan made to a small business is limited to an aggregate total of no more than $35,000. The small business is required to report on the costs of the project for which the loan is made to the department, and is subject to inspections.

Rural Economic Development

Last year, we established a 17-member Mountain Resources Commission within the Department of Environment and Natural Resources (S.L. 2009-485 - SB 968). George Santucci, Executive Director of the National Committee for the New River is a member. The commission’s purpose is to encourage quality growth and development, while preserving the natural and cultural resources of the mountain region of Western North Carolina. The commission is directed to: (1) identify and evaluate issues affecting mountain resources; (2) coordinate with local and regional efforts to address threats to mountain resources; (3) provide a forum for discussing issues affecting mountain resources; (4) promote communication, coordination, and education among stakeholders; (5) collect research and information from North Carolina and other states regarding state and regional approaches to coordinating provision of infrastructure for the protection of resources and encouraging quality growth that protects mountain resources; (6) determine whether new strategies would be helpful to address pressures on mountain resources; and (7) provide guidance and make recommendations to state, local, and federal legislative and administrative bodies for the use, stewardship, and enhancement of mountain resources. The act also creates the Mountain Area Resources Technical Advisory Council to assist the commission.

A new state law creates the 24-member North Carolina Sustainable Local Food Policy Council. The purpose of the council is to contribute to building a local food economy to create jobs, stimulate economic development, circulate money within local communities, and provide greater food security for North Carolinians (S.L. 2009-530 – SB 1067). It will also consider and develop policies regarding (1) health and wellness; (2) hunger and food access; (3) economic development; and (4) preservation of farmlands and water resources. The council will also consider ways to use local foods in schools and public assistance programs.

The Legislative Research Commission has been authorized to study the feasibility and advisability of extending greenhouse gas credits to the business of farming in the same manner that credits are extended to other businesses in the event that North Carolina participates in a market-based "Cap-and-Trade" program for greenhouse gas emissions [S.L. 2009-574, Sec. 2.38 (HB 945, Sec. 2.38)].

Notes

Laboratory Corp. of America Holdings Inc., a national provider of medical laboratory testing services, will open a new billing operations office in Guilford County. The company will create 346 jobs and invest $4 million during the next three years in Greensboro. The project was made possible in part by a $275,000 grant from the One North Carolina Fund.

Defense contractor Booz Allen Hamilton is expanding its Fayetteville offices, adding more than 270 jobs in the area. Booz Allen is shifting its work supporting U.S. Army Forces Command and U.S. Army Reserve Command from Fort McPherson in Atlanta to Fort Bragg.

Although I haven’t received “official” word, it appears that the proposed changes in the social studies curriculum (U. S. History) have been dropped.

Cullie Tarleton