October 2009 at NCICL


Oct 31st, 2009
by Cynthia Crowdus & Kristin Mar

October 2009

The North Carolina Institute for Constitutional Law is a nonpartisan organization that educates, informs and advises the public and elected officials on the rights of citizens under the constitutions of the United States and the State of North Carolina. NCICL also supports litigation by its lawyers on constitutional issues when appropriate. In keeping with its mission, NCICL is sending this newsletter to keep you abreast of our current endeavors, litigation, and research.
  

Litigation Updates
 
Goldston v. State
On October 20th, Bob Orr and Jeanette Doran, in collaboration with Gene Boyce and Dan Boyce of the Boyce & Isley law firm, filed a Notice of Appeal and Petition for Discretionary Review in a case challenging diversion of taxes specifically collected for the building of specific roads and highways and placed in North Carolina’s Highway Trust Fund. NCICL was contacted by Boyce & Isley following last month’s Court of Appeals decision and asked to join in the Supreme Court appeal.
 
Last month, the Court of Appeals ruled that the State Constitution prohibits the Governor from transferring money from the Highway Trust Fund to the State’s General Fund in an effort to balance the budget, but also ruled that the General Assembly could make such transfers and that “trust fund” principles were not applicable even though the money had been placed in the “Highway Trust Fund.”
 
This case has already been to the Supreme Court on the question of whether the Plaintiffs, Goldston and Harrington, had the right to file the lawsuit. In 2006, the Supreme Court ruled in favor of the Goldston and Harrington and sent the case back to the trial court saying taxpayers have the right to challenge the unconstitutional misuse of public funds. NCICL filed a friend of the court brief in the previous appeal and has closely followed the case since its inception.

Read More About the Case
Read the Notice of Appeal and Petition for Discretionary Review

Munger, et al. v. State, et al.
On Monday, October 26th, Bob Orr and Jeanette Doran will present oral arguments before the N.C. Court of Appeals about whether Plaintiffs have standing to challenge, under the Uniformity Clause of the N.C. State Constitution, a special tax break given to Google.

Read More About the Case

NCICL Updates

Justice Orr on News 14 Carolina's Political Connections
News 14 Carolina's Tim Boyum spoke with Bob Orr about the impact of business tax incentives on the North Carolina economy in light of the closing of the Dell Triad plant.

To see the video, click here.

Justice Orr on NC SPIN
Bob Orr appeared on NC SPIN, which first aired Sunday, October 11th, 2009. The focus of the discussion was litigation that has challenged state laws and asked constitutional questions. Topics up for discussion included the recent Appellate Court decision in Goldston, the Highway Trust Fund case; the public purpose provision of the constitution regarding ecomonic incentives, specifically the giveaways to Dell, in light of their annoucement to close their Triad plant, and to Johnson and Wales, which has received millions of taxpayer dollars; and litigation challenging the way North Carolina charter schools are funded. NCICL attorneys have represented plaintiffs in each of the cases discussed. Justice Orr was joined by Chris Fitzsimon, Director of NC Policy Watch; John Hood, President of the John Locke Foundation; and former Secretary of State and Attorney General, Rufus Edmiston.

If you missed the show check out NC SPIN Online to see the video.

Jason Kay at The National Alliance for Public Charter Schools
On October 6-7, Senior Staff Attorney Jason Kay, along with Charlotte attorney Richard Vinroot, addressed the National Alliance of Public Charter School Attorneys at a Chicago conference.  There, experts from across the county analyzed the legal strategies necessary to achieve fiscal equity and adequacy for the nation’s public charter schools.  Kay and Vinroot were invited to represent North Carolina on the topic of “How Can Charter Schools Win: Fiscal Equity and Adequacy Lawsuits.”

October Articles about NCICL


North Carolina Updates
In response to seven individual plaintiffs, represented by attorneys at NCICL, who questioned the constitutionality of the approximately $279 million in incentives granted to Dell, the N.C. Court of Appeals determined in October of 2007 that “To the extent plaintiffs question the wisdom of the incentives and whether they will in fact provide the public benefit promised, they have sought relief in the wrong forum…. it [is] the role of the General Assembly and the Executive Branch— and not the courts — to determine whether such incentives are sound public policy.” This month, Dell announced that it will shut down its N.C. plant within the next several months.

 
Justice Orr remarked that the Dell plant closing "provides a stark and painful example of the folly of the incentives game engaged in by our state and local governments.  No matter how big the incentive package, operational decisions by businesses headquartered out-of-state will be driven by corporate financial considerations and not by any sense of loyalty to the community being left behind. To the extent North Carolina state government and local governments feel compelled to invest in businesses through the use of incentives, those investments should be in smaller, local businesses and not in multi-billion dollar interstate and international businesses.”

Donate to NCICL

The North Carolina Institute for Constitutional Law operates solely on the generosity of people who support our fight for freedom and fairness. NCICL depends on contributions from individuals, businesses and foundations.  When you give to NCICL, you are supporting our goal to achieve good government in our State. Your entire contribution is tax deductible to the extent allowed under the law for 501 (c)(3) nonprofit organizations.

Please Donate Online

Or mail your donation to:
Executive Director
North Carolina Institute for Constitutional Law
Suite 180 Six Forks Place I
333 E. Six Forks Road
Raleigh, NC 27609


“I know no safe depository of the ultimate powers of the society but the people themselves; and if we think them not enlightened enough to exercise their control with a wholesome discretion, the remedy is not to take it from them, but to inform their discretion by education. This is the true corrective of abuses of constitutional power.” –Thomas Jefferson 
  
“The mission of the North Carolina Institute for Constitutional Law is critical to all North Carolinians.  With skill and diligence, NCICL has helped to ensure that our State’s Constitution is respected by those who derive their power from it.  I'm so glad NCICL exists and I support its work enthusiastically.”
-- The Honorable Richard A. Vinroot, Attorney, Charlotte, North Carolina.

 
“NCICL is exceedingly professional.  They are outstanding listeners and have a reverence for the law and the Constitution of North Carolina.  They are above reproach.”
--Michael J. Pratt, Headmaster, Rocky Mount Preparatory School, Nash County, North Carolina.

 
“The North Carolina Institute for Constitutional Law is to be commended!  As a small rural charter school four hours from Raleigh, we were amazed at the commitment of the staff to visit with us and to communicate and advocate so well the important constitutional issues of our case.   We greatly appreciate their tireless efforts to help those who have neither the funds nor the numbers to stand up for what is right.”
--Joe Maimone, Headmaster, Thomas Jefferson Classical Academy, Rutherford County, North Carolina.
 
 
NCICL in the Community

On October 2nd, NCICL staff attended the Trey Cheek Memorial Golf Tournament to support theTrey Cheek Public Interest Memorial Scholarship Fund which is granted to law students based on financial need and a commitment to public interest law.