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House's unusual budget earmarks a sticking point in negotiations

Republicans are close to finishing closed-door negotiations on the state budget -- but one sticking point is apparently a House provision earmarking economic development money for specific projects, or what some may call "pork spending."

The $20 million provision in question is tucked into the state commerce department budget for the One NC Fund, an pot of money used to entice companies to expand in North Carolina. The House wants to give $500,000 to Johnson and Wales University in Charlotte and another $500,000 to RTI, a nonprofit research firm in Research Triangle. Another $4.5 million is destined for the Rural Center's small business loan program. The other $14.5 million? It's House budget doesn't specify where it goes. 

The provision doesn't appear in the Senate budget and the commerce department didn't ask for it, an agency spokesman Tim Crowley said.

House unemployment fraud task force starts work

A special House task force created by Speaker Thom Tillis to look at unemployment fraud met for the first time Tuesday. The hours-long meeting briefed lawmakers on the current unemployment system. A staff report said improper payments amounted to 9 percent with most being overpayments. A small portion, 2.4 percent, were fraudulent overpayments, lawmakers were told.

N.C. Commerce Secretary Keith Crisco welcomed the effort at the start of the meeting. He said the task force's review is "a part of an ongoing effort to minimize overpayments and fraud in the unemployment system."

The lawmakers lodged a number of questions, seeking ways to tighten requirements on those receiving government aid and the agency distributing money.

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