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Some in the venture capital community backed Trump. Here’s what’s next
Nov 30, 2024Tap to summarizeTesla owner Elon Musk, right, was hardly alone in the tech sector in supporting the reelection efforts by Donald Trump, left. Many Silicon Valley investors and innovators were hoping for a lighter regulatory hand than they have seen under President Joe Biden. (Photo by Brandon Bell/Getty Images)Some venture capital investors, who have funded the tech boom in Silicon Valley and beyond, say they are excited by the prospect of a lighter regulatory environment under a new Trump Administration than they saw under President Joe Biden. But they warn that Trump policies that will benefit many technology companies may come at a cost to other pro-Trump voters. The Bay Area bubble of Silicon Valley, which is home to institutional tech giants like Apple, Google, Intel and Adobe, had been previously seen as a left-leaning region, like many other California communities. But the 2024 election was a unique one, venture capitalists and founders say. “There’s been a significant shift in the valley rightward since the last election,” said Joe Endoso, a Silicon Valley investor. “And you’ve seen that in the financial flows — in the level of dollars — that were directed towards supporting President Trump’s campaign from the technology sector.” Endoso, president of financial tech platform Linqto, said some tech industry people who previously voted for progressive issues and candidates this time cast their ballot for Trump. He said he’s heard more concern about potential regulations in the tech industry and negative economic effects under continued Democratic leadership. This turn toward Trump wasn’t universal in the Valley. The majority of donations from employees at companies like Google, Amazon and Microsoft went toward Democratic candidate Kamala Harris, Reuters reported in September. But tech billionaires like Elon Musk and venture capital investors, like Andreessen Horowitz co-founders Marc Andreessen and Ben Horowitz, poured millions into his campaign. While Trump didn’t receive unanimous support from the tech sector, many American tech giants and investors are excited about the light-handed approach to tech regulation that’s likely to come in the next four years. Congress has struggled to pass any federal laws around emerging technology like AI, though states have done so on their own on issues like data privacy, transparency, discrimination, and on how AI-generated images can be used. The Biden administration, however, on its own issued a number of “best practice” guides for emerging technologies and aggressively pursued antitrust cases against some tech giants, including an ongoing case against Google that could force the company to spin off its popular Chrome web browser. It appears unlikely that Trump will continue the Biden era regulatory and enforcement drives. Those working in emerging technologies like AI are making advancements so quickly that regulators are unlikely to be able to keep up anyway, Endoso said. The tech industry mindset — move fast and break things, first coined by Facebook founder Mark Zuckerberg — will likely continue under Trump’s administration. “You’re running through walls and hoping that when the regulations come about, they’re not going to be so, you know, restrictive,” Endoso said. “But you’re not going to sit and wait for the regulators. You can’t afford to.” Why care about the VC market? Venture capitalists pour money into many promising startups in Silicon Valley and elsewhere, looking for the ones that will create lucrative new technologies or “disrupt” existing ones. Silicon Valley successes include Uber, which received its first round of venture capital investment for just about $1.3 million in 2010, and Airbnb, which started with just a $20,000 investment in 2008. Today, the companies are worth $146 billion and $84 billion, respectively. Many more, however, fail. High-visibility startups that folded after raising very large sums include streaming platform Quibi, which raised $1.75 billion and ChaCha, the SMS text-based search platform that had raised $108 million. The high-risk, high-reward nature of the industry makes for a rarified business, and there’s a high barrier to entry. To become an accredited venture capital investor, one must have an income of at least $200,000 a year, or be worth $1 million. The handful of firms pouring the most money into the United States technology market are usually worth billions. Yet, the technology being developed and funded by wealthy investors today will shape the next decade of everyone’s lives. Some of the most influential technology in the global economy has been released under President Joe Biden’s administration in the last three and a half years. Advancements in generative AI and machine learning technology, rapid development of augmented and virtual reality, further adoption of cloud computing and Internet of Things (IoT) technologies, such as internet connected appliances and home devices, along with automation of many industries have already shifted much of American life. ChatGPT, one of the most recognizable examples of generative AI that the public can use, was only released two years ago, but the sector of generative AI is already threatening many American jobs. Those with writing-focused careers like copywriters and social media marketers, are already feeling the disruption, and experts believe STEM professionals, educators and workforce trainers and others in creative and arts fields are going to see much of their job responsibilities automated by AI by 2030. The venture capital market has been a volatile one over the last four years. Though many of Trump’s attacks on Democrats during his campaign cycle centered on the healthy economy under his first term, the COVID-19 pandemic was the single-biggest economic factor to disrupt the venture capital market and others. The U.S. saw its biggest year for venture capital investments in 2021, but supply-chain issues and the continuing reliance on remote work changed the trajectory of many companies’ plans to go public on the stock market. High inflation and interest rates have kept many investors from deploying capital and many companies from completing mergers and acquisitions since then, although the second half of 2024 is looking up. The economy quickly became the number one issue for Americans in the presidential election cycle. And though thriving venture capital markets usually benefit those that are already wealthy enough to invest, we’ll likely see a positive correlation in the general markets too, said Scott Nissenbaum, president and CEO of Ben Franklin Technology Partners, an innovation-centered fund in Pennsylvania. “A thriving, efficient market is good for venture capital. And the flip side is also true,” he said. “We feed into and create the innovations and the efficiencies and the next generation … that create the robust and the boom.” How investors and founders are preparing for Trump Nissenbaum predicts that Trump may remove regulations for technology used by U.S. transportation and military systems, allowing for more tech integration than previously permitted without human safeguards in place. That might look like more flight optimization technology, or more drone usage by military branches. Nissenbaum al...
Transcribe →NC Senate joins House in overriding Cooper veto of voucher expansion-immigration enforcement bill
Nov 20, 2024Tap to summarizeNorth Carolina General Assembly (File Photo)North Carolina sheriffs must comply with Immigration and Customs Enforcement detainer requests with the passage of House Bill 10 over Governor Roy Cooper’s veto Wednesday. The bill will also funnel more than $2 billion to the state’s Opportunity Scholarship school voucher program over the next decade — expanding the program to allow students of all income levels to receive taxpayer funding for tuition at private schools in the state. The state House of Representatives voted to override Cooper’s veto by a 72-44 margin Tuesday, with three Democrats joining all Republicans present in favor. On Wednesday, the state Senate followed suit, overcoming the veto with a 30-19 vote. Cooper vetoed the bill days after its passage in September, calling private school vouchers “the biggest threat to public schools in decades.” He has since framed his opposition to the veto override effort around insufficient aid to western North Carolina, calling on lawmakers to put the billions this bill will use to fund school vouchers toward Hurricane Helene recovery efforts. The bill, labeled a “mini-budget” by Republican leaders, also includes several other appropriations, including $377 million to support Medicaid, $55 million for water and sewer expenses in Chatham County, and funding for various cultural, veterans, and agricultural projects around the state — enough for a few Democrats in the House to support the bill despite opposition to vouchers. Republicans have sought passage of the legislation multiple times in various forms in recent years and GOP senators declined to debate its contents when the override motion was brought forth. Senator Natasha Marcus (D-Mecklenburg), however, criticized the bill as a “massive and expensive and reckless expansion” of the school voucher program, which she called a “means of perpetuating white flight from public schools.” She cited a ProPublica report identifying 39 schools in the voucher program likely founded as “segregation academies” in the wake of the desegregation of public schools. Marcus also criticized the lack of regulation of private schools in the state, the absence of licensing for their teachers, and inadequate oversight over what children are being taught and their educational outcomes. “Parents are going in blind, and this body doesn’t seem to care whether these kids are getting a good education with the money that we are funding,” she said. The North Carolina Association of Educators decried the bill’s passage in a statement Tuesday, warning that the state’s public schools would suffer as a result. “Spending billions of taxpayer dollars to fund private school vouchers while public schools remain underfunded, while public school educators are asked to do more with less, and as the western part of our state is still recovering from the devastating impact of Helene is irresponsible,” said Tamika Walker Kelly, the association’s president. The new requirements for North Carolina sheriffs include an expansion of the circumstances in which they must check the immigration status of detainees, a requirement to withhold bond and turn over undocumented immigrants to comply with ICE hold orders, and protection from civil and criminal liability for these actions. These changes come as President-elect Donald Trump prepares to oversee sweeping immigration enforcement in his first days in office, with proposals on the table to deploy the U.S. military to carry out mass deportation and to create sprawling detention camps for the purpose of holding undocumented immigrants. In a statement Wednesday urging the Senate to vote down the veto override, Carolina Migrant Network Co-Executive Director Stefanía Arteaga condemned the bill as “devastating” to students and families. “House Bill 10 forces local agencies to act as immigration enforcers, creating an environment where families live in constant fear and are less likely to report crimes or seek critical services,” Arteaga said.
Transcribe →Abortion bans could reverse decline in teen births, experts warn
Nov 20, 2024Tap to summarizeStudents wait for a bus outside Lane Tech College Prep High School in Chicago. Teen birth rates have been falling for decades, but abortion bans threaten to undo that progress, experts say. (Scott Olson/Getty Images)Houston OB-GYN Dr. Hillary Boswell says she has seen how abortion bans affect teenage girls: More of them are carrying their pregnancies to term. “These are vulnerable girls, and it’s just heartbreaking to see the number of pregnant 13-year-olds I’ve had to take care of,” Boswell said, referring to the change since Texas prohibited abortions after six weeks in September 2021. In June 2022, after the U.S. Supreme Court overturned Roe v. Wade, Texas enacted a total abortion ban. “They would come in, and they would be very distressed,” said Boswell, who spent the past decade treating underserved women and girls at community health clinics. Not being able to help them get an abortion when they wanted one, she said, “was so hard — and so against everything that I trained for.” In the year after Texas began implementing its six-week abortion ban, teen fertility rates in the state rose for the first time in 15 years, according to a study released earlier this year by the University of Houston. Overall, the increase in teen fertility in Texas was slight: only 0.39%. But the University of Houston researchers said the change was significant, because it reversed a 15-year trend and because the national teen fertility rate declined during the same period. They also noted that the increases were larger for Hispanic teens (1.2%) and Black teens (0.5%), while the rate for white teens declined by 0.5%. So far, the Texas data is the first evidence that abortion bans might lead to an increase in teen births. But as abortion restrictions have spread post-Roe — 13 states now have total bans — some providers and other experts predict that other states will see increases. If so, the nation’s nearly 30-year trend of declining teen births could be in jeopardy. Dr. Bianca Allison (Photo: https://www.med.unc.edu/) Boswell and other providers note that teens are having a harder time accessing contraception and abortions — and they fear the incoming Trump administration could make it even more challenging for teens, whose pregnancies are riskier and who disproportionately sought abortions before the Supreme Court overturned Roe. “In a lot of ways, Texas is sort of a microcosm of what we’re going to see in other parts of the country,” said Dr. Bianca Allison, a pediatrician and assistant professor at the University of North Carolina School of Medicine. “Historically, it has always felt like young people — those who are minors but of reproductive potential — are left out of the conversation of reproductive autonomy and rights.” Access to pills People seeking abortions have been relying on the broader availability of telehealth for medication abortions, which now account for nearly two-thirds of all abortions. The number of abortions in the U.S. has increased since the fall of Roe, largely because more people are using the easier-to-access method, according to the Society of Family Planning. But the Trump administration could make it harder to procure the pills by reversing a current U.S. Food and Drug Administration policy that allows them to be sent through the mail. Some anti-abortion groups want the Trump administration to enforce the Comstock Act, a long-dormant 1873 law they believe could be used to make it a federal crime to send or receive abortion medication. States also could require in-person physician visits for abortion medication, effectively barring patients from accessing it via telemedicine. And Louisiana last month began classifying mifepristone and misoprostol — the two medications used in nonsurgical abortions — as controlled substances, making it a crime to possess them without a prescription. A Texas state lawmaker has proposed similar legislation in his state. “I would absolutely predict that we will see a reversal in our progress of reducing teen pregnancies,” said developmental psychologist Julie Maslowsky, an associate professor at the University of Michigan who studies adolescent reproductive and sexual health. “If someone does not want to be pregnant, they should have all the options available to them to prevent pregnancy,” Maslowsky said. “And the majority of teens do not desire a pregnancy.” Teenage girls tend to have less money, less access to transportation and less independence than adult women. That makes it harder for them to cross state lines for abortion care, or to obtain and pay for abortion medication. A medication abortion can cost as much as $800, according to Planned Parenthood. Many teens have trouble ordering abortion medication online because they don’t have credit or debit cards or a safe place where the pills can be mailed, said Rosann Mariappuram, senior reproductive rights policy counsel at the State Innovation Exchange, a nonprofit that advocates for progressive policies. Abortion funds that help people who can’t afford the care have been struggling to keep up with demand. Thirty-six states require parental consent or notification before a minor can get an abortion, creating another barrier. And teens are more likely to have irregular menstrual cycles, which makes them less likely to notice a missed period. Overall, about a fourth of women might not realize they’re pregnant at six weeks, which is the gestational time limit for abortions in Florida, Georgia, Iowa and South Carolina. It's just heartbreaking to see the number of pregnant 13-year-olds I've had to take care of in the last three to four years. – Dr. Hillary Boswell, Houston OB-GYN In addition, a law in Texas that went into effect in April mandates that family planning clinics get parental consent for minors seeking birth control. Lawmakers in Oklahoma and Indiana have argued that IUDs and emergency contraceptives are...
Transcribe →Fed’s recent rate cuts could improve borrowing options for state and local government projects
Nov 20, 2024Tap to summarizeA Connecticut Department of Transportation crew works on an Interstate 95 bridge on Nov. 05, 2023, in Westport, Connecticut. The Federal Reserve’s rate cut earlier this month could mean lower borrowing costs for state and local governments and bring changes for housing development, tax revenue and road, water and sewer construction. (By John Moore/Getty Images)The Federal Reserve’s second consecutive key rate cut could mean more than just lower borrowing costs for the average consumer — state and local governments stand to benefit, too. Lower interest rates may bring changes for housing development, tax revenue, debt refinancing and bread-and-butter projects like roads, water and sewer, state and local government officials told States Newsroom. The Fed’s cut earlier this month followed an aggressive rate-hiking campaign to beat down inflation, and it came years after the last time the U.S. central bank lowered interest rates. Key borrowing rates now stand at 4.5 to 4.75%, and inflation has cooled to 2.7%. Economists expect another rate cut in December. “On average, the lower the interest rates are expected to help stock market returns if historical trends hold,” said Liz Farmer, who focuses on budgets, fiscal distress, tax policy and pensions at The Pew Charitable Trusts. “So generally, you would expect a more positive effect on your average pension portfolio that has a good amount invested in equities.” This change means states and localities will have lower borrowing costs, which will make it easier to make big long-term changes in infrastructure, to see higher sales tax collections as a result of more spending, and it is likely to result in better pension performance in an environment where stocks tend to respond to lower rates, fiscal policy experts at Pew say. In 2021 and 2022, states had record high revenue growth due in part to federal pandemic aid and the impact of the federal aid on workers and businesses, according to Pew. But that kind of growth was unsustainable. Recently, nearly all states have entered into a slower revenue growth environment, said Brian Sigritz, director of state fiscal studies at the National Association of State Budget Officers, a professional membership group for budget and finance officers. More than three dozen states had a fall in revenue in fiscal year 2023, Pew’s analysis found. At least five states experienced budget shortfalls in fiscal year 2024, the think tank explained. “States overall are remaining in a strong fiscal position. It’s just that we’re starting to see slower growth compared to what we did see for those a couple of years after the start of the pandemic,” he said. “That was really a unique set of circumstances where we had the additional federal aid provided by all the different COVID relief bills and at the same time where state revenue growth was growing so strongly, and that led to very strong growth in tax collections.” Sigritz said that states, which have to almost entirely use borrowing for infrastructure and capital projects, will benefit from lower borrowing costs as a result of the Fed rate cuts. David Schmiedicke, finance director for the city of Madison, Wisconsin’s finance department, said he’s hopeful that the lower cost of borrowing will reduce the cost of public infrastructure when seeking construction bids. “We’re seeing a lot of development, even with the higher rates. Madison is an attractive place to live. People from around the country are moving here,” he said. Rebecca Fleury, the city manager for Battle Creek, Michigan, said interest rates affect key services the public relies on, including fire departments. “[Interest rates] have an impact on our ability as a city of 52,000 to provide the full services that we do. Every little bit impacts us, because we have to buy fire trucks,” she said.“If there’s a decrease in one of our three largest revenue sources, we feel it.” But there are both pluses and minuses to the cut in the federal funds rate, Schmiedicke said, as it brings down the interest income states receive. “It probably will reduce the amount of investment income the city receives on its cash balances. We saw that go up dramatically in 2022 and 2023, so that’ll probably come down as the Fed cuts rates,” Schmiedicke said. Different tax policies also change how states and localities experience the Fed rate cuts. H.D. Palmer, deputy director for external affairs and principal spokesman on fiscal and financial issues for California Gov. Gavin Newsom, said that the lower interest rates are overall positive for the nation’s largest state because of the concentration of technology firms there, its progressive tax rate, and the taxing of capital gains and stock options as personal income. “When the markets are doing well, those types of firms that are concentrated in California do well and in consequence, our revenues do well,” Palmer said. The Alabama Department of Finance told States Newsroom that it is closely following the Fed’s actions as it “closely follows all actions that could impact our citizens and the State’s revenues.” But the state agency said it may take some time to see any of the effects of recent rate cuts. “While recent changes in the federal funds rate may lead to increased state revenues, absent a significant change in the rate, the impact on revenues and expenditures would not likely be seen immediately. We will continue to monitor and assess all economic indicators to ensure steady, sustainable, conservative growth for the benefit of all Alabamians,” the department said in a statement. Schmiedicke said Wisconsin is very reliant on property taxes because although state law allows a statewide sales tax and counties can impose a 0.5% sales tax, cities other than Milwaukee have not been able to do so. The state also has strict limits on property tax increases. “We could see more development in the city and that could definitely help with our overall property tax base, as well as if it results in more travel and room taxes,” he said. As states and localities wrestle with how to provide more affordable housing, with nearly half of renters having to spend more than 30% of their income on housing, lower interest rates could help spur more building. Fleury said the costs of loans and labor and materials has been “astronomical,” making it hard for developers to build. Although she said Battle Creek would love to take advantage of Low Income Housing Tax Credits, it’s challenging to fund projects. “I think that a lower interest rate could really help us get farther along in our housing plans,” she said “If you can’t get your project to pencil within what they’re able to fund or finance, we just never make the list.” Despite lower interest rates creating a better environment for affordable rent and homes, states will likely continue to spend a lot of energy on housing programs, Sigritz said. Governors’ budget proposals and state of the state speeches have prioritized affordable housing more and more in the past few years, he said, and he expects this to continue. “Housing affordability is not an issue that’s going to go away overnight, and there’s still a need for more housing,” Sigritz said. “It takes a while to build additional housing even in the lower-interest environment.”
Transcribe →North Carolina Supreme Court race heads to a recount
Nov 20, 2024Tap to summarizeDemocrat Allison Riggs leads Republican Jefferson Griffin by 625 votes. (Courtesy photos) North Carolina county election boards began their recounts Wednesday in a much-watched Supreme Court contest in which just over 600 votes separate the Democratic and Republican candidates. Appeals Court Judge Jefferson Griffin formally requested the recount on Tuesday prior to the noon deadline. He trails Democratic incumbent Associate Justice Allison Riggs by 625 votes. It’s the only statewide race where there will be a recount, in addition to five General Assembly contests at the single- or multi-county level, the Associated Press reported. All recounts should be completed no later than Nov. 27, according to a press release. The recount results will become official. “Recounts are a regular part of the elections process when contests are close, and they help ensure that the results are accurate and that the public can have confidence that the candidate who received the most votes wins the election,” Karen Brinson Bell, executive director of the North Carolina State Board of Elections, said in a statement. “Recounts are conducted by bipartisan teams and are open to the public whenever and wherever they occur.” Griffins had a lead of about 10,000 votes on election night. Since then, county election boards have added absentee and provisional ballots to the total count. More than 5.5 million ballots were cast in the Supreme Court race. Second-place candidates are able to demand a recount in statewide races where the difference is less than 10,000 votes. “My goal has always been to ensure that every voter’s voice is heard,” Riggs shared on social media. “We expect a smooth recount process, and I continue to feel gratitude for our election administrators.” Griffin also filed election protests on Tuesday challenging the validity of more than 60,000 ballots across the state, according to the North Carolina Republican Party. There are more than 300 documents of protests. “These protests are about one fundamental principle: ensuring every legal vote is counted,” Griffin said in a press release. Earlier in the week, Griffin sued the State Board of Elections on Monday, claiming it wasn’t providing data quickly enough for him to request a recount by the deadline. North Carolina has a history of tight judicial races. In 2020, Republican Paul Newby topped Democrat Cheri Beasley by 401 votes out of nearly 5.4 million cast in the North Carolina Supreme Court Chief Justice contest.
Transcribe →NC State students demand accountability for PCBs found on campus
Nov 20, 2024Tap to summarizeNC State students tape a list of demands to Holladay Hall, the building containing the chancellor's office, on Nov. 19, 2024. (Christine Zhu/NC Newsline)One year after the closure of Poe Hall at North Carolina State University, students are demanding more action from the school’s administration to address the issue of PCBs on campus, which are linked to breast cancer. PCBs, or polychlorinated biphenyl, were found with levels up to 38 times greater than EPA standards at Poe Hall last December. But the university hasn’t done enough to address the issue since then, students say. The Campus Community Alliance for Environmental Justice and the NCSU Grad Workers Union delivered a petition to the institution Tuesday afternoon to express their continued concern over the health and wellbeing of campus community members. Organizers circulated a list of six demands to Chancellor Randy Woodson beginning in March, which has received 1,276 signatures to date. These demands include asking the university to identify and contact faculty, staff, and students who have had extensive exposure to PCB chemicals in Poe Hall, regardless of their current employment or student status at the university. The petition also demands that the university fully compensate all current and former Poe occupants for relevant short and long-term health screenings, as well as medical costs for those who have been diagnosed with cancer. In addition, the petitioners asked NC State to keep Poe Hall closed until it is independently confirmed that the building no longer poses a danger in regard to PCBs. Upon delivering the petition to the chancellor’s office, the students are giving Woodson 30 days to meet the six requests. “We’re not asking, we’re demanding today,” public history master’s student Celine Shay said. Holladay Hall, which contains the chancellor’s office, was tested for PCBs in 2023, but Woodson told WRAL in March that he doesn’t know why or what the results of the tests revealed. Following initial remarks from speakers, a group of about 20 students marched from Poe Hall toward Holladay Hall to deliver the petition to Woodson. Along the way, they shouted chants asking for action. Eric Martineau, a senior studying environmental science and plant biology, said he was disappointed by the modest turnout for the event but thinks it was a marketing issue. “It’s not that people don’t care about this, it’s that people don’t know they should care,” he said. Martineau attended a meeting on Monday with about 60 people and was the only one from that group to join in delivering the petition. Upon arriving at Holladay Hall, students found the back entrance locked. Organizers were confused — they’d gone to the building the day before at around the same time and had no issue entering. The group then circled around to the front entrance, which was also locked. Some students peered through the windows. A photographer from Technician, NC State’s student newspaper, said he could hear a police radio. At one point, NC Newsline witnessed phones held up to a basement window through the blinds, documenting the students. “Holladay Hall is locked at various times. We do have external signage with a number to call for deliveries and admittance to the building for meetings,” Maggie Thomas, the chancellor’s communications specialist, told NC Newsline in an email. “A call was not received this afternoon, but a petition was delivered to the Chancellor’s Office.” Unable to deliver the petition directly to Woodson or his staff, the students settled for taping it above the doors of the front entrance. The unfurled petition was 34 pages long. “This has gone beyond North Carolina, who has been signing this petition, because they all know that you shouldn’t have to work in and tolerate a toxic workplace,” marine science graduate student Hwa Huang said.
Transcribe →Trump plumbs new depths with dreadful cabinet nominations
Nov 20, 202400:01:05Tap to summarizeU.S. Rep. Matt Gaetz is photographed inside the Rayburn House Office Building Feb. 27, 2019. (Photo by Alex Wong/Getty Images) In a scathing commentary, veteran journalist Hugh Jackson of the Nevada Current summarized recent developments in Washington this way: quote – “U.S. Congress replaced by an app on Trump’s phone.” Sadly, Jackson’s biting hyperbole isn’t that far off. Since his election, Donald Trump has quickly nominated a slate of remarkably unqualified lackeys to lead the nation’s most important government departments, while demanding that the ordinary U.S. Senate process for vetting and approving nominees be bypassed. A Fox News talking head and an inexperienced ex-congresswoman for Secretary of Defense and Director of National Intelligence. An anti-vaccine advocate to head Health and Human Services. And a disgraced congressman to lead and weaponize the Department of Justice. The bottom line: Right now, with Congress in Republican hands, there are only a small handful of lawmakers who know better and who are in a position to keep Trump even remotely in check and, as it happens, North Carolina’s Senator Thom Tillis is one of them. One prays that he musters the guts to do the right thing. For NC Newsline, I’m Rob Schofield.
Transcribe →NC Republican lawmakers move to curb power of statewide offices won by Democrats
Nov 20, 2024Tap to summarizeThe North Carolina Legislative Building (Photo: Clayton Henkel) Republicans in the North Carolina legislature moved swiftly Tuesday to reduce the authority of statewide offices that will be held by Democrats in the new year, fast-tracking a bill that makes major changes to state government’s structure and functions. The bill was approved by the House of Representatives Tuesday evening on a vote of 63-46. Ten members were absent, and one member did not vote. Three of the “no” votes were Republicans. The Senate is expected to take up the measure on Wednesday. Various sections of the 131-page proposal, which also includes a modest third round of funding to aid Hurricane Helene recovery, place new limits on the offices of governor and attorney general. NC Newsline obtained a draft version of the legislation earlier Tuesday. The final bill, which contained only minor changes from the draft version, was not made public until about 5:30 p.m., after hours of on-and-off closed-door discussions. The bill was written in secret, and since it was brought forth as a conference committee report, could not be amended. The original bill was a six-page measure that dealt with the state Dental Practice Act. Rep. Donny Lambeth (R-Forsyth) said the bill includes many needed technical corrections and suggested additional funding for Helene recovery efforts might come next month. “This is the third phase and there will be more and there will be a vetting process when we come back in December, you’ll see additional funds requested for disaster relief,” Lambeth said. The bill provoked a firestorm of protests from Democrats who blasted the measure for focusing on stripping power from elected officials rather than helping people whose businesses and homes were devastated by Helene. Republicans in the legislature are putting their political priorities over the needs of citizens, they said. “We need the help now, and it doesn’t seem to be forthcoming,” said Rep. Eric Ager, a Buncombe County Democrat. “Speed really matters. People can’t wait for this help. Winter is here.” Rep. Robert Reives, the House Democratic leader, said the bill is an abuse of power. “I can’t even make this make sense in my head that we’re sitting here thinking that this is good law,” he said. “It’s going to be weeks before people figure out what’s in this bill. The bill contains no housing assistance for western North Carolina Helene victims, said Rep. Caleb Rudow (D-Buncombe). The legislature appropriated $1 million for housing in a previous bill, he said, the same amount the city of Asheville has set aside. Buncombe County has 797 children unhoused because of Helene, he said. “They need housing assistance.” Rep. Lindsey Prather (D-Buncombe) said the bill failed to help small business owners who have been struggling for weeks. “This is a transparent power grab pushed through by a super majority that’s not happy with the recent election results, and you’re calling it a disaster relief bill. This is shameful, and Western North Carolina isn’t gonna stand for it,” Prather said. Here’s what to know about the latest version. Governor: No more election appointments, limits on judicial nominations Gov.-elect Josh Stein (Photo: N.C. Dep’t of Justice) Under current law, the governor appoints members to the five-person State Board of Elections. The Republican plan shifts that authority to the state auditor’s office. Dave Boliek, a Republican, won the race for auditor in November, flipping an office that had been held by Democrats since 2009. If the plan is made law, Governor-elect Josh Stein would be barred from shaping the state board. Rep. Pricey Harrison (D-Guilford) said the sweeping bill was never vetted by committee and only served to undermine elections. “I don’t know that anybody when they were voting for the state Auditor thought that the state Auditor was now gonna oversee elections, but it is, she said. “That’s likely unconstitutional, but I guess we’ll find out once it gets litigated.” A spokesperson for the state board told NC Newsline on Tuesday that it was likely to change the partisan control of the board to a “3-2 Republican split.” Read more about changes to the elections board, absentee voting and ballot counting here. Rep. Grey Mills (R-Iredell) said the changes to election laws created more efficiency. “Keep in mind that the auditor would not direct nor supervise management functions of the state board,” Mills said in defense of the bill. “I submit to you that the state auditor is the best place for the Board of Elections. Like the Board of Elections, the state auditor has a history of performing very important audits and investigations — just like our state board is charged with doing after every election.” The bill would also limit the governor’s flexibility to appoint judges on the Supreme Court and Court of Appeals. Nominees for a vacant post would be provided to the governor by the political party that the vacated judge was affiliated with. That means that Stein, a Democrat, would not be able to replace a Republican judge with a Democrat, and vice versa for a Republican governor. The governor would still be able to appoint the person of their choosing for vacancies on superior courts. Rep. Marcia Morey (D-Durham) noted the bill also would punish two Superior Court judges who had issued rulings that did not side with Republican lawmakers. “At the end of their term, their seats are gone. And guess who they are? Wake County, Bryan Collins. Some people got upset about his ruling on a constitutional issue. Guess what Judge Collins, you’re out,” Morey said. “Todd Burke, Forsyth County, made a couple rulings on gerrymandering. Guess what Judge Burke? You’re out.” Appointments to the five-member North Carolina Utilities Commission would also change. The bill reduces the number of appointments the governor can make from three to two, and grants the state treasurer (Brad Briner, a Republican, will take office in January) power to appoint one member. Gov. Roy Cooper blasted the plan as a series of “power grabs” in a statement Tuesday. “Shortchanging disaster recovery right now will have serious consequences for years to come,” Cooper said. “Legislators have put forward a bill that fails to provide real support to communities hit hard by Hurricane Helene and instead prioritizes more power grabs in Raleigh. North Carolinians recovering from unprecedented disasters should strongly urge their legislators to do their jobs and help Western North Carolina rebuild.” U.S. Rep. Jeff Jackson (Photo: House.gov)</figu...
Transcribe →Republicans select Rep. Destin Hall to serve as next NC House Speaker
Nov 19, 2024Tap to summarizeNorth Carolina Rep. Destin Hall (R-Caldwell) speaks with reporters at the legislative building on Tuesday, Nov. 19, 2024. Hall was elected by his Republican colleagues as the next Speaker of the House. (Photo: Galen Bacharier/NC Newsline)Members of the North Carolina House Republican caucus voted to nominate Rep. Destin Hall (R-Caldwell) to serve at the chamber’s next Speaker in the session that will convene in January. Republicans will enjoy a 71-49 majority in January, so the nomination makes Hall’s election a foregone conclusion. Hall, who has spent four terms in the House, will succeed long-serving Speaker Tim Moore, who was elected to Congress in November. “My intent is to continue to do what you’ve seen Republicans do now in 14 years in the state,” said Hall in a brief press conference following the vote. “You’ve seen us cut taxes, session after session. And you’re going to see us work with the Trump administration, do all we can to lower inflation in North Carolina.” Hall pledged that topping the list of priorities was a focus on public safety, starting with a veto override vote on House Bill 10, that would dramatically expand the state’s private school voucher program and require North Carolina sheriffs to cooperate with Immigration and Customs Enforcement (ICE) agents. Hall said the closed-door caucus vote was by acclimation and not contested. Having served previously as the House Rules Committee chairman may have given him a leg up. “It’s kind of like being Speaker on training wheels,” Hall quipped. Asked about the latest hurricane relief package that strips powers away from the governor’s office, Hall suggested it was justified. “I’m fully committed to doing everything that we can to rebuild western North Carolina. But as we heard yesterday in one of the oversight committees, the reality is what we’ve been doing as a state — and I’ll lay this blame at the foot of the executive branch — has not been sufficient.” Hall said the victims of Hurricanes Matthew and Florence are still waiting on ReBuild NC to complete their homes eight years after the disaster struck. “We heard yesterday in committee, the director of that group submitting that mistakes were made, yet refusing to resign. And so we’re going to fix that.” Hall did not elaborate on the numerous election law changes and changes to other Council of State offices that were also packed into the bill. As for the ability of Republicans to work with North Carolina’s newly elected Democratic governor, Hall offered this. “Voters at the state have elected both sides in the executive branch and legislative branch. And so, we’ll try to come to compromises where we can. But I can tell you that at the end of the day, you know, we have a recipe for success from North Carolina that’s tried and tested.”
Transcribe →NC House overrides veto, votes to boost school voucher program by $2B over next decade
Nov 19, 2024Tap to summarizePhoto: Getty ImagesThe North Carolina House of Representatives on Tuesday afternoon overrode Governor Roy Cooper’s veto of House Bill 10 — a bill that would boost funding for the state’s private school voucher program by more than $2 billion over the next decade. The vote was 72-44. The bill, which came to be referred to as a “mini-budget” when it was passed by the General Assembly and vetoed by Cooper in September, would also require sheriffs to cooperate with Immigration and Customs Enforcement officials at a time when President-elect Donald Trump is pledging to enact the “largest mass deportation” in American history. “Helene was the most devastating storm our state has ever seen and there is a long and expensive road of recovery ahead for Western North Carolina,” Cooper said Friday ahead of the vote. “Legislators should invest billions of dollars in Western North Carolina recovery instead of locking in billions for private school vouchers.” But Republican leaders did not heed that request, proposing just $227 million in Helene funding in the latest relief bill while allocating nearly ten times that sum to the state’s Opportunity Scholarship school voucher program over the next decade. The proposal would immediately appropriate $463 million to that program to expand it to all income levels. The program, which uses tax dollars to fund K-12 students’ tuition at private schools around the state, was set to receive roughly $3.7 billion from 2024 to 2033. Under HB 10, it will instead receive more than $5.8 billion after using up its annual funding early in the previous fiscal year. Appropriations for the program would ramp up by tens of millions of dollars each year before settling at $825 million per year in the 2032-33 fiscal year, where it would remain in all subsequent fiscal years. Rep. Julie von Haefen – (Photo: ncleg.net) Rep. Julie von Haefen (D-Wake) condemned Republicans for prioritizing school vouchers over aid to western North Carolina in her remarks on the floor. “People in western North Carolina are just now getting water to drink,” von Haefan said. “We have the money to help them survive, but instead, we’re giving it away to the wealthiest families in our state.” Rep. Tricia Cotham (R-Mecklenburg) said Democrats were setting up a “false choice” between funding for school vouchers and hurricane relief. She also denied that the voucher program predominantly benefits wealthy families. Rep. Tricia Cotham (Photo: ncleg.net) “This is about putting children first. It is unfortunate that we have seen for the past two years with this legislation the political posturing from the executive level all the way to here,” Cotham said. “When you talk about wealthy and billionaires, you are wrong.” Not all backers of the bill were Republicans. Rep. Carla Cunningham (D-Mecklenburg) voted for the override, citing funding for ICE and healthcare and a desire not to “throw the baby out with the bathwater.” The ICE component of the bill requires sheriffs to determine the immigration status of those held in jail and comply with any ICE warrants, protecting law enforcement officers from criminal or civil liability for doing so. Rep. Abe Jones (Photo: ncleg.net) Rep. Abe Jones (D-Wake) objected to using sheriffs to enforce immigration law, arguing that state and local law enforcement is already under-resourced. “ICE is federal law. And the federal government gets plenty of our tax money to hire whoever they need to enforce those laws,” Jones said. “I say, tell ICE to do ICE’s work. Need more money? Go over there and get it from the federal government.” The bill’s passage in the House comes just months before North Carolina Republicans are set to lose their supermajority in that chamber, according to unofficial State Board of Election results, which will significantly raise the difficulty of passing legislation opposed by the governor. So far in the “lame duck” session, Republicans have focused on veto overrides and reducing the power of newly elected Democrats in the executive branch. The Senate, which adjourned for the day early Tuesday afternoon, is expected to vote on the veto override when it reconvenes Wednesday.
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