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Their Cup Runneth Over

 The General Assembly and Gov. Mike Easley just can't get enough.

After proposing budgets that increased spending well over a $1 billion and denying counties any help for their Medicaid burden, the Legislature suddenly discovered a windfall (from the May 3rd Raleigh News and Observer):

Lawmakers received good news late last week when they found that unexpected growth in tax payments from capital gains on stock and real estate sales pushed North Carolina's revenue surplus to more than $1.1 billion. That gives House leaders more flexibility as they fashion a roughly $20 billion state budget. They could release a budget bill early next week, and planned to release some portions of it today.

The capital gains payments helped bring $260 million more to the state in April, when income tax collections are due. David Crotts, the legislature's economic analyst, said the April income tax revenues are 28 percent higher than in the previous year.

But rather than share the excess with the counties in the form of Medicaid relief, or, perish the thought, return what amounts to overtaxation to the taxpayers, the newly found funds were quickly swallowed up.

Raleigh has become a black hole of spending.  It is growing every year and nothing can escape its grasp.

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