Lawmakers and the legislative community returned to Raleigh Monday in shock from the sudden death of State Senator Vernon Malone (D-Wake) over the weekend.  State Government flags flew at half staff all week leading up to funeral services for Senator Malone on Thursday (see In Memoriam below).  Even while mourning, legislators continued work on major legislation to reform the State Health Plan, to allow local government funding of public transportation projects, to permit public funding of municipal political campaigns, and other key legislation.  The Senate Finance Committee released its highly publicized tax reform package at a meeting on Wednesday and other committees of the General Assembly were meeting to advance or consider various legislative proposals. 

A compromise version of legislation (Senate Bill 287) to reform the State Health Plan was approved by the House and Senate and signed into law by Governor Bev Perdue (D-Craven) this week.  The bill will raise deductibles and copays for most services, increase premiums for dependants of State employees by 8.9% and decrease benefits for smokers and the drastically obese who are covered by the Plan.  The Majority Leaders of the House and Senate, Representative Hugh Holliman (D-Davidson) and Senator Tony Rand (D-Cumberland), rebuffed criticisms of the bill during debate on the final vote for approval of the bill.  Both acknowledged that Senate Bill 287 is intended to be a short term fix for acute financial difficulty that the Plan is experiencing.  The $408 million appropriation to the Plan is hoped to keep the Plan solvent for two more years and buy time for a blue-ribbon commission to assist lawmakers in crafting a longer term and more comprehensive fix to the plan beyond the current and upcoming fiscal years.  The legislation passed over the objections of the State Employees Association of North Carolina and arrived at Governor Perdue's desk on Wednesday.  The Governor signed the bill into law on Thursday afternoon. 

In votes on Tuesday and Wednesday, the House approved legislation (House Bill 148) that would allow counties and municipalities to individually or by regional organizations levy a ½ cent sales tax to fund projects that relieve traffic congestion, promote public transportation, invest in intermodal transportation facilities and promote both passenger and freight rail.  Debate on the bill was lengthy and proponents rejected an effort to amend the bill to allow the revenue raised to be spent on road building.  The final vote on the bill of 77-40 reflects a strong coalition of business, environmental and transportation planning organizations that have worked on the legislation for months.  The bill now goes to the Senate where State Senator Richard Stevens (R-Wake) has introduced a companion bill. 

After several weeks of appearing on the House Calendar, but votes being deferred, the House approved legislation (House Bill 120) to allow candidates for municipal office to participate in a public campaign fund.  If House Bill 120 becomes law, candidates for non-partisan elected municipal offices could receive taxpayer funds for their campaigns if they gather enough small dollar contributions to qualify.  The bill represents another step in the publicly funded campaign movement that began with Statewide Judicial offices and more recently with several offices on the Council of State.  Proponents say the change will reduce the influence of moneyed interests and increase the opportunities for less wealthy persons to serve in public office.  The bill now goes to the Senate for further consideration. 

In the Senate this week, various legislative proposals were advanced.  On Monday, the Senate approved legislation (Senate Bill 833) to standardize the coding for delineation of North Carolina river basins that is used by the Department of Environment and Natural Resources and Federal Agencies.  Senate Bill 833 is one of several bills pending before the General Assembly that focuses on water resource allocation in the State.  Senate Bill 669, a bill to make changes to the statutes on appeals from orders of the North Carolina Banking Commission, was approved at session on Tuesday.  Also on Tuesday, the Senate approved legislation (Senate Bill 957) to allow for a special enrollment period for group health insurance and for continuation rights as called for in the Federal Stimulus legislation passed earlier this year.  On Wednesday, the Senate passed legislation (Senate Bill 117) to clarify that local governments may not adopt moratoria on development for the purpose of adopting a new ordinance. 

In the House this week, a number of proposals were advanced to the Senate including legislation (House Bill 530) that amends the "carrier of last resort" statutes regulated by the Utilities Commission.  The changes in House Bill 530 that were approved by the House on Monday would allow telecommunication companies to satisfy their carrier of last resort obligations by any available means of technology.  The carrier of last resort requirements help to ensure universal telephone service in North Carolina and the changes approved this week will accommodate the changing ways that telephone service is delivered to consumers.  House Bill 530 now goes to the Senate.  Also approved by the House this week, were changes to the Summary Ejectment statute (House Bill 630) and legislation (House Bill 631) to allow public safety personnel to wear medals and ribbons earned during military service on certain patriotic holidays.