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North Carolina literacy test may finally be on way out

After 113 years, North Carolina's literacy test may be on the way out. The House Elections Committee unanimously approved a constitutional amendment repealing the literacy test for voting on Wednesday.

The test was passed by the Democratic-controlled legislature in 1899 and approved by the voters in 1900 as means to exclude black voters.

It was outlawed in 1964 when Congress passed the Voting Rights Act. But a voter referendum to repeal the literacy test in 1970 failed.

Democratic Rep. Kelly Alexander, the son of a prominent Charlotte civil rights leader, spoke in favor of the measure in committee. But standing at his side were several Republican lawmakers, who were co-sponsors.

Art Pope's committee visit shows path zero-based budgeting will take

So, a House judiciary subcommittee was minding its own business Wednesday, working through a calendar of unremarkable bills, Art Pope slipped into the room.

Pope, one of the most potent political figures in the state who also happens to be the budget director, quietly took an empty chair off to the side.

That prompted committee chairman Rep John Blust, a Greensboro Republican, to move up his own bill from last on the agenda to accommodate Pope. Blust’s HB984 is the latest version of his longtime effort to move the state to zero-based budgeting, which requires department heads to justify everything in their budgets every year, rather than justify only deviations from the baseline budget year to year.

Grover Norquist to NC to promote tax changes

Fox News regular Grover Norquist will headline a rally on the lawn behind the Legislative Building on May 16 to promote changes in the state tax code.

Norquist, president of Americans for Tax Reform, is working with Americans for Prosperity in promoting tax changes. His North Carolina trip will include stops in Greensboro, Huntersville and Kings Mountain over several days. The tour is part of AFP's campaign to promote a new tax code that AFP says will "tax less, tax fair, and tax simple."

State Senate leader Phil Berger released a plan Tuesday that puts a sales tax on more goods and services -such as prescription drugs, food, doctors' and lawyers' bills - and gradually cuts personal and corporate income taxes.

Dallas Woodhouse, AFP North Carolina state director, said his group has not yet endorsed the Senate plan, but probably will.

Holding to examine whether we have too many criminal laws

Rep. George Holding of Raleigh has been named to the newly created Overcriminalization Task Force of 2013, which will examine federal criminal laws.

The task force is part of the House Judiciary Committee. According to the news release, there are 4,500 federal crimes on the U.S. Criminal code. The task force “will assess how to reduce federal overreach and ensure that lawbreakers are held responsible while also protecting constitutional rights and civil liberties.''

“I'm excited to be joining the Overcriminalization Task Force,” Holding said in a statement. “As a former U.S. Attorney, I look forward to contributing to the conversation about how we can improve our federal laws. As new federal criminal laws are created, so are burdensome federal regulations – we must look at whether federal criminal laws are efficient, relevant, and protect personal freedom.''

Asheville threatens to sue if McCrory signs water system bill

The Asheville City Council voted Tuesday to sue the state if a new law goes into effect transferring the city water system to a Metropolitan Sewerage District of Buncombe County.

The Republican-controlled legislature voted to transfer the city water system to the sewerage district last week, and the bill is now on the desk of Gov. Pat McCrory. The bill was introduced at the urging of several Buncombe County GOP lawmakers.

The law makes the transfer of the water system effective on May 15th. The Democratic-controlled city council has opposed the move saying the city water system has been controlled by Asheville for more than 100 years and that the transfer could effect effect the $68.3 million the city has in outstanding bonds connected to the water system.

The resolution says the bill “has the potential to affect the the health, sanitation, and safety of the City of Asheville, and the users of the water system, and has the potential to affect the city's financial soundness.''

Morning Memo: Tax plan takeaways, full day at legislature

TODAY AT THE STATEHOUSE: The sausage machine is churning fast these days. A House regulatory reform committee will consider a number of measures to streamline government oversight, a major Republican agenda item, and the House Elections Committee will hear bills to repeal the state's antiquated literacy test and make judicial elections partisan contests. A Senate education committee will vote on a bill to regulate student prayers at school and athletic events and a Senate health care care committee takes up another abortion-related bill. The full House will take votes on a bill to impose term limits on House and Senate leaders and a proposal to repeal the estate tax. The full Senate will hear a measure to ban e-cigarette sales to minors. Gov. Pat McCrory will make an economic development announcement at 3 p.m. in Raleigh.

***More political intelligence below in the Dome Morning Memo including analysis of the Senate's tax plan and a roundup of the fast and furious legislative action. Send news and tips to dome @newsobserver.com. Thanks.***

Son of Senate Bill 10

That's what House Rules Committee Chairman Tim Moore jokingly called a revised bill that would change the composition of state boards and commissions and purge some of their Democratic appointees.

The House and Senate got hung up on Senate Bill 10 last month over a provision that would fire Special Superior Court Judges. The Senate wanted to get rid of them, the House wanted to keep them.

The new House bill removes the judge firings, and eliminates sections on the State Board of Elections and the Utilities Commission.

House passes gun bill; Democrats object to GOP tactic tabling amendments

As expected, the state House on Tuesday passed a bill that would allow people with permits to carry concealed weapons to bring their firearms into bars, restaurants that serve alcohol, college campuses and parks.

Approval of what is likely the major gun bill of the session – by a vote of 78-42 -- came after lengthy debate on Monday and Tuesday. Democrats emphatically complained that the GOP leadership repeatedly thwarted their efforts to amend the bill.

Republicans used a legislative maneuver to table proposed amendments 12 times (once for a Republican amendment). Before Tuesday’s session, Democratic lawmakers called a news conference to complain about the tactic limiting the debate.

Homeowners insurance bill is amended

A bill designed to make the state's ratemaking process for homeowners insurance more transparent and more understandable has been tweaked to address issues raised by industry and the state Insurance Department. One of the primary sponsors of HB 519, Rep. Paul Tine, a Democrat from Kitty Hawk, suggested the amended version that was adopted by the House Insurance Committee on Tuesday. The bill, which has bipartisan support, wasn't put up for a vote. Lurking in the background is simmering resentment among coastal residents, whose homeowners insurance premiums have been rising steeply -- and, many say, unfairly. The industry contends that the specter of catastrophic damages from hurricanes justifies the increases, which were approved by state regulators.

Senate rolls out tax plan, House yawns

Top Senate Republicans detailed a much-anticipated plan Tuesday to overhaul the state’s tax system by cutting personal and corporate income taxes in exchange for a broader sales tax applied to everything from haircuts to car repairs.

Senate leader Phil Berger, an Eden Republican, said the forthcoming legislation would trim the personal income tax from the highest 7.75 percent rate to 4.5 percent over three years and cut the corporate income tax from the current 6.9 percent to 6 percent.

The combined local and state sales tax would fall from 6.75 percent to 6.5 percent, but it would apply to hundreds of services currently exempted, including prescription drugs. The food tax would increase from the current 2 percent to the full sales tax rate, more than a three-fold increase.

The plan represents a retreat for Senate Republicans who earlier this year announced intentions to eliminate personal and corporate income taxes, a proposal also floated by Gov. Pat McCrory on the campaign trail. And many questions remain because lawmakers have not filed the exact legislation yet. Full story.

Senate passes bill creating charter school board

The state Senate passed a bill creating a separate regulatory board for charter schools by a vote of 32-17.

The charter school board would be responsible for handing out new charters and shutting down inadequate schools, diluting the State Board of Education's powers. State Board Chairman Bill Cobey opposes the bill and questions its constitutionality.

Sen. Jerry Tillman, an Archdale Republican and the bill's sponsor, said charters give parents choice. "When you have a choice, the free market works," he said.

Democrats said Republicans were over reaching.

"Keep this up and you're going to destroy the very thing you're trying to promote," said Senate Minority Leader Martin Nesbitt, an Asheville Democrat.

The bill now moves to the House for consideration.

Bill would ban foster parents smoking if they care for infants

Foster parents would not be able to smoke in their homes or cars in the presence of infants, under a bill that cleared a committee on Tuesday. Visitors would also be prohibited from smoking in the presence of a baby in foster care.

The state Division of Social Services would be required to enforce the law, banning smoking anywhere in a foster home where nfants are cared for, and from any vehicle if an infant is in it.

HB805 passed the House Health and Human Services Committee. It is sponsored by Rep. Patricia Cotham, a Democrat from Matthews, and Rep. Darren Jackson, a Democrat from Raleigh.

It’s next stop is scheduled to be a House judiciary committee.

Update: An earlier version of this story incorrectly identified Cotham's party affiliation.

McCrory wants to make it easier to fire bad state workers

Gov. Pat McCrory said Tuesday that his administration plans to support legislation that would make it easier to fire state employees who are not doing their jobs.

McCrory said he would ask for changes in the State Personnel Act, the law that protects state workers from arbitrary and political firings. He said his top managers are seeking more authority to both reward good employees and get rid of poor performers.

“One item we are looking at is the State Personnel Act, legislation that would give us more flexibility to help promote and give incentives to good employees who are doing a good job and at the same time dealing with employees are not doing a good job,'' McCrory told a meeting of the Council of State Tuesday morning.

“I will give you a couple of examples quickly,” McCrory said. “We have one employee who has not come to work in three months, which is not good. They appealed the firing.''

Morning Memo: Senate rolls out tax plan; ALEC keeps clout in North Carolina

SENATE LEADERS TO PITCH TAX PLAN: The long-awaited plan to overhaul the state's tax system will debut Tuesday. Senate Republicans want to slash the personal income tax from the highest 7.75 percent rate to 4.5 percent over three years and drop the corporate income tax from 6.9 percent to 6 percent.

In a video previewing a 12:30 p.m. announcement, Senate leader Phil Berger called it a $1 billion tax cut -- the largest in state history. The question is how to pay for it and the details are less clear, but Berger said it will involved taxing a range of services from haircuts to auto mechanics. (More details below.)

TODAY AT THE STATEHOUSE: Taxes won't take all the air from the N.C. General Assembly today. In committees, the governor's transportation plan gets a final hearing before going to the full House; a health committee considers a measure to limit what a doctor can do about sexually transmitted diseases, pregnancy and birth control without parental consent; and Senate lawmakers will consider (but not vote on) a proposal to allow armed guards in elementary schools who aren't necessarily law enforcement officers.

The controversial gun bill gets a third reading on the House floor and the Senate will consider a controversial state charter school bill similar to ALEC-sponsored legislation. (More on ALEC below.) Gov. Pat McCrory -- who promised to hold regular media availability -- will not take questions after the Council of State meeting at 9 a.m. today. It is normal practice but McCrory has shunned the media after the meetings just about every time since he took office. He lists no other public events on his calendar today.

***Thanks for reading the Dome Morning Memo. A big day in North Carolina politics ahead. Get the scoop below. Send news and tips to dome@newsobserver.com.***

George Battle III adds name to potential candidate list

Add another name for the potential vacancy in the 12th Congressional District.

George Battle III says he's considering a run for the seat that could be vacated by Democratic Rep. Mel Watt. Watt is President Obama's choice to lead the Housing Finance Agency. "I'm listening to people," Battle says. "I'm flattered folks think enough of me to even mention my name.”

Battle, 40, is the son of Bishop George Battle Jr., a former school board chairman. He's general counsel for Charlotte-Mecklenburg schools. Among other potential candidates in the overwhelmingly Democratic district: state Sen. Malcom Graham of Charlotte and Reps. Rodney Moore of Charlotte, Alma Adams of Greensboro, Marcus Brandon of High Point and Ed Hanes of Winston-Salem. --Jim Morrill, Observer staff writer