We were glad to see State Auditor Les
Merritt investigate how legislative leaders were able to
hand out as much as $24 million of our tax dollars in
2003 for favorite projects.
This money was used to fund things that had either not
been discussed in legislative committee meetings or even
some that had been rejected in earlier budget bills.
Merritt sent a copy of his report to Attorney General
Roy Cooper because state law prohibits spending money on
projects that were voted against in previous budget
votes. He found 11 things purposely excluded from the
budget by name, but they got funded anyway by the
legislative leaders.
This sudden slush fund materialized at the last minute
on the final day before the start of the 2004 fiscal
year. That's when fiscal researchers forecast that the
state would have more revenue than originally thought.
Senate leader Marc Basnight and House Co-Speakers Jim
Black and Richard Morgan decided to divide the money.
Basnight controlled $6.5 million, and it is reported the
House chieftains split an additional $10 million evenly.
Other reports, however, have said Black's share was $4.6
million and Morgan's was $2.9 million. They also
controlled $10 million in the Department of
Transportation funds.
They didn't identify how the money would be spent when
the final version of the budget went to the full Senate
and House. Instead it was put in the massive budget
document as reserve funds so members wouldn't notice it
and begin asking questions.
Among other expenditures, Basnight directed that $1
million go to historic Old Salem, $400,000 to the
Exploris Museum in Raleigh, $50,000 to Rutherford
County's 225th anniversary celebration and $500,000 to
the Turnage Theaters Foundation in Beaufort County.
Black and Morgan spent "their" loot in their home
districts and those of their House allies.
Morgan, R-Moore, designated $1 million for a senior
enrichment center in his home county and spread the rest
of the money around to senior centers and nonprofit
agencies in House districts represented by lawmakers who
were political allies.
That even included money from the Republican for the
Metropolitan Community Health Services in Beaufort
County, which is headed by a Democrat.
Black came up with an additional $100,000 for the
Turnage Theaters Foundation and $150,000 for the
Historic Bath Foundation, both in Beaufort County. No
wonder state Rep. Arthur Williams III, D-Beaufort, says
Black "is the best guy in the world to me. ... The
taxpayers send their money up there (Raleigh), and I
feel like it's my job to try to get what I can back for
Beaufort County."
Black also provided $45,000 to give former state Rep.
Michael Decker a state Cultural Resources job after he
lost in a Republican primary. The state auditor reports
a Black assistant had the job posting changed "to tailor
the position to Mr. Decker."
Legislative leaders say what they did was legal. We hope
the courts get to decide that. But legal or illegal, we
know that's an underhanded and shameful way to treat the
public's money.