North Carolina Gov. Beverley Perdue Tuesday released a budget proposal for fiscal 2011 that includes no additional bond issuance, but creates a new fund for transportation projects. The plan, which would amend the state’s biennial budget passed last year, closes a $1.2 billion budget gap.
The budget seeks a $95 million North Carolina Mobility Fund for state transportation projects comprised of $72.6 million of vehicle registration fees and $22 million of funds from the state’s highway trust fund. It would initially provide pay-as-you-go financing, but could eventually support bonds, the Triangle Business Journal reported Tuesday.
The recommendations include $700 million for debt service, up from $695 million in fiscal 2010. Perdue’s budget plan also includes $100 million to replenish the state’s rainy-day fund.
North Carolina had an 11.1% jobless rate in March, the ninth highest in the U.S. and above the 9.7% national average. It is one of seven states rated triple-A by all three major rating agencies.