A panel of the North Carolina Judicial Standards Commission has filed a complaint against Superior Court Judge Jerry Tillett. The 13-page complaint will now be forwarded to another JSC panel for trial. The second panel can dispose of the matter in a number of ways including dismissal, public reprimand or forward to the North Carolina Supreme Court for consideration of removing Tillett from the bench.
To read the complaint filed against the judge, click here.
Thursday, February 28, 2013
Friday, February 22, 2013
Property Revaluation 101
Dare County’s current $101 million budget is funded with a variety of sources, including federal and state money, grants, fees collected, and tax revenues derived from property taxes.
Property tax revenues in the current budget total $49 million, slightly less than half the amount needed to pay for the total current budget that expires on June 30, 2013.
During the last few years, foreclosures, the recession, and damage and/or loss of properties from storms has forced property values down from $17 billion to $12 billion.
If the current tax rate of 28 cents per $100 is applied against the total of the new property values, the resulting revenues would be just $33.6 million – a $15.4 million shortfall in supporting the current budget of $101 million.
To read the full explanation posted on Island Free Press, click here.
Friday, February 8, 2013
Hamlin sentenced; order sealed
Former Bank of America vice president, Loren Hamlin was sentenced on Friday, Feb. 8 in federal court held in Raleigh. Although the sentence was written on the docket report, the plea agreement has been sealed by the court. Below is the entry from the court docket. For more information, see previous post.
"Minute Entry for proceedings held before Chief U.S. District Judge James C. Dever III in Raleigh: Defendant present with counsel and Assistant U.S. Attorney present for USA - Defendant sworn. Sentencing held on 2/8/2013 for Loren F. Hamlin (1). Count 1: Bureau of Prisons - 78 months - Supervised Release - 5 years with special conditions imposed - Special Assessment - $100.00 due in full immediately - Restitution - $12,010,536.00 due in full immediately - Interest Waived. Recommendations by the Court: Receive intensive substance abuse treatment - Place of incarceration at the Federal Correctional Institution in Butner, North Carolina. Defendant advised of appeal rights. Allowed to self report as directed."
Reporting to prison delayed. Click here for order.
Thursday, February 7, 2013
Former Bank of America vice president to be sentenced Feb. 8
More than six years after being fired from Bank of America's Kitty Hawk branch for his role in what is estimated to be a $13 million fraud, Loren Hamlin is scheduled to be sentenced in Federal Court on Friday, Feb. 8.
During the six years since the discovery of the fraud, multiple law suits have been filed in both state and federal courts. The investment scheme that went awry has led to at least two bankruptcies filed as well as civil suits between various parties.
And in a related case, a State Bar disciplinary hearing is set for March to consider complaints filed against former Kill Devil Hills Town Attorney Dan Merrell for a portion of his role in the matter.
A plea deal for Hamlin was filed with the court about a year ago but has been kept under seal. The matter was set for hearing at that time, but the court agreed to a continuance so that a large piece of property in Perquirmans County that had been purchased with the absconded funds could be sold and placed against the amount of restitution. When the property sold at just a fraction of its original purchase price, another continuation was requested while attorneys for Hamlin apparently tried to change the portion of the plea agreement that dealt with the amount of restitution. And yet another continuation was granted after Hamlin informed the court that he was without legal representation because he could no longer afford to pay his attorney.
Yesterday, in a flurry of last-minute filings, Hamlin's attorney asked the court to reduce the amount of his active sentence, but federal prosecutors countered with a filing opposing such a deal.
Although the plea agreement is still sealed, the filings entered on Feb. 6 hint at what the terms may be and give Hamlin's version of what led to the theft.
To read the request for reduced sentence, click here.
To read the prosecutor's response, click here.
During the six years since the discovery of the fraud, multiple law suits have been filed in both state and federal courts. The investment scheme that went awry has led to at least two bankruptcies filed as well as civil suits between various parties.
And in a related case, a State Bar disciplinary hearing is set for March to consider complaints filed against former Kill Devil Hills Town Attorney Dan Merrell for a portion of his role in the matter.
A plea deal for Hamlin was filed with the court about a year ago but has been kept under seal. The matter was set for hearing at that time, but the court agreed to a continuance so that a large piece of property in Perquirmans County that had been purchased with the absconded funds could be sold and placed against the amount of restitution. When the property sold at just a fraction of its original purchase price, another continuation was requested while attorneys for Hamlin apparently tried to change the portion of the plea agreement that dealt with the amount of restitution. And yet another continuation was granted after Hamlin informed the court that he was without legal representation because he could no longer afford to pay his attorney.
Yesterday, in a flurry of last-minute filings, Hamlin's attorney asked the court to reduce the amount of his active sentence, but federal prosecutors countered with a filing opposing such a deal.
Although the plea agreement is still sealed, the filings entered on Feb. 6 hint at what the terms may be and give Hamlin's version of what led to the theft.
To read the request for reduced sentence, click here.
To read the prosecutor's response, click here.
Tuesday, January 29, 2013
Top 10 Stories of 2013 - No. 4
At the end of the year, publications often do a recap of what they deem to be the biggest stories of that calendar year. But I dance to a different drummer so below the reader will find the first four potential Top 10 stories I would like to read in 2013. To keep the posts from being too long, I am posting them separately over several weeks. They will not appear in any particular order - it isn't possible to predict the impact of stories until all the facts are known so there is no way of predicting which will prompt the most impact and/or interest.
So here we go...
2013 Story No. 4
So here we go...
2013 Story No. 4
According to a story posted on the N&O website on Jan. 9, the North Carolina State Board of Education was set to vote on whether to allow online charter schools for K-12. These for-profit virtual schools, if approved, would be eligible to receive taxpayers' dollars as do traditional charter schools.
The number of brick-and-mortar charter schools has been and continues to grow across the state. The creation of some, such as the new charter school in Corolla, are easily defensible. That small school is serving about two dozen students who previously either had to pay tuition to attend Dare County schools or be bused through Dare County, across Wright Memorial Bridge and onto Currituck County mainland. The distance between their home village and the schools that they attended made for long days for the children and made it difficult for parents and students who wanted to be involved in school activities such as sports, teacher conferences. etc.
But charter schools opened to fill this type of need thus far have been the exception. Many are opened simply because parents want a private school type situation funded by tax dollars.
When a charter school is approved for operation, the per student amount of tax dollars allotted to the public school system is transferred from the coffers of the public school system to charter school. For instance, if Dare County gives the Dare County Schools $5,000 per student, that amount is transferred to the charter school for each student enrolled thus shrinking the public school budget. The charter schools do not receive funding for buildings or maintenance.
Due to charter schools funding, Pamlico County school system may lose about one-third of its funding in the next budget. Martin County, a low-wealth county, is shifting more than $350,000 from the local public school system to charter schools.
An analysis of the impact of charter schools on public education is probably long over due. It would be interesting to see the following questions answered in a story about the topic:
1. What is the overall educational standards track record of charter schools in North Carolina? How to they compare with public school districts?
2. What oversight is provided by the state to ensure that state-mandated curriculum is followed?
3. How do students who leave charter schools to attend public schools adjust? Are they behind or are they ahead of their peers?
4. Do any of the charter schools have mandated religious or unique interest training and, if so, should that be funded with tax dollars?
5. Have charter schools prompted public schools to improve their course offerings and teaching standards? Or, because of pared back budgets, are they offering less learning opportunities and reducing their teaching expectations?
6. Has the loss of students to charter schools caused public schools to be less cost effective? If the expense for teaching a course averaged $100 per pupil, does the reduction of students now make the course financially prohibitive to offer?
7. Should local elected officials and/or the local voters have a voice in whether to use tax dollars to fund charter schools in their districts?
This would be an interesting story for some enterprising reporter. And the public has a right to know the answers.
Due to charter schools funding, Pamlico County school system may lose about one-third of its funding in the next budget. Martin County, a low-wealth county, is shifting more than $350,000 from the local public school system to charter schools.
An analysis of the impact of charter schools on public education is probably long over due. It would be interesting to see the following questions answered in a story about the topic:
1. What is the overall educational standards track record of charter schools in North Carolina? How to they compare with public school districts?
2. What oversight is provided by the state to ensure that state-mandated curriculum is followed?
3. How do students who leave charter schools to attend public schools adjust? Are they behind or are they ahead of their peers?
4. Do any of the charter schools have mandated religious or unique interest training and, if so, should that be funded with tax dollars?
5. Have charter schools prompted public schools to improve their course offerings and teaching standards? Or, because of pared back budgets, are they offering less learning opportunities and reducing their teaching expectations?
6. Has the loss of students to charter schools caused public schools to be less cost effective? If the expense for teaching a course averaged $100 per pupil, does the reduction of students now make the course financially prohibitive to offer?
7. Should local elected officials and/or the local voters have a voice in whether to use tax dollars to fund charter schools in their districts?
This would be an interesting story for some enterprising reporter. And the public has a right to know the answers.
Thursday, January 17, 2013
And here comes the judge...again
Attorneys representing the Town of Kill Devil Hills have asked the North Carolina Supreme Court to place sanctions against attorneys representing Dare County Resident Superior Court Judge Jerry Tillett. Representing the judge are Kevin Rust and Norm Shearin of the Raleigh office of the Norfolk-based firm of Vandeventer and Black.
[The earlier version of this post stated that the sanctions, if granted, would go against the judge. That was incorrect.]
The judge first sought a hearing before the North Carolina Court of Appeals in reference to its opinion handed down on Oct. 16 that vacated an order issued by Superior Court Judge Milton F. Fitch, 7B Judicial District. Although not the focus of the appeal, the court also vacated an earlier order issued by Tillett. Both orders were issued against the town.
In seeking the hearing, it was argued that although not a party to the suit, because the Appeals Court had vacated his order and because the Judicial Standards Commission may be investigating his actions related to the Kill Devil Hills Police Department, the judge was entitled to a hearing.
The Appeals Court refused Tillett's request. He was not a party of the original case.
In response, on Dec. 20, a petition was filed on Tillett's behalf by his attorneys with the Supreme Court.
The town responded to the petition through its attorneys in the matter, Dan Hartzog, Dan Hartzog, Jr. and Jaye E. Bingham-Hinch of the Raleigh firm of Cranfill, Sumner and Hartzog.
The attorneys argued that Tillett had no standing to enter the suit at this point and noted that he had remained silent up until that point.
And now, Tillett's attorneys, have filed a response to the town's response although Supreme Court rules do not allow such filings.
The town's attorneys have responded by asking that the Supreme Court place impose sanctions against the attorneys for filing frivolous actions and for violating the court's rules.
The most recent filing on behalf of Tillett is linked here.
The request for sanctions is linked here.
For more on the background of the case and and links to previous filings, scroll down to earlier related blogs on this site titled "Oh, what a tangled web... " and "Top 10 Stories of 2013 - No. 1."
Sunday, January 13, 2013
Top 10 Stories of 2013 - No. 3
At the end of the year, publications often do a recap of what they deem to be the biggest stories of that calendar year. But I dance to a different drummer so below the reader will find the first three potential Top 10 stories I would like to read in 2013. To keep the posts from being too long, I am posting them separately over several weeks. They will not appear in any particular order - it isn't possible to predict the impact of stories until all the facts are known so there is no way of predicting which will prompt the most impact and/or interest.
So here we go...
2013 Story No. 3
According to a story posted on the N&O website on Jan. 13, the North Carolina Board of Transportation has voted to increase fees on ferries currently charging vehicles and to add tolls to several routes that have been free. These new taxes become effective on July 1.
The link to the story is: http://www.newsobserver.com/2013/01/12/2602599/board-of-transportation-members.html
The only ferries not to come under the new toll rates on July 1, are the Hatteras-Ocracoke route and the Currituck-Knotts Island route. Some board members, states the story, objected to not charging tolls on the two exempted routes because the Hatteras-Ocracoke route is the most heavily used in the state. If it also was taxed, it would allow reducing the tolls on the other ferries, they argued.
Ocracoke Island is accessible only by ferry - either the taxed ferry from Cedar Island and Swan Quarter on the mainland or via Hatteras Island ferry which is free. If the Hatteras-Ocracoke route is tolled, there will be no free way to access the island. Ocracoke residents would have to pay to access any other part of the state.
The ferry trip from Ocracoke to Swan Quarter - the county seat for Hyde County that includes the island - takes about 2.5 hours one way. The only "free" transportation corridor is via Hatteras-Ocracoke ferry, then NC 12 north to Whalebone Junction, west on US 64 to US 264 in Manns Harbor, and then approximately two hours to the county courthouse for a total of about 6 hours.
An interesting story about this issue would answer the following questions:
1. Does State law and/or the North Carolina Constitution guarantee that the public can move freely throughout the state? If so, how would that apply to Ocracoke islanders if use of the Hatteras-Ocracoke ferry was taxed, thus removing the only free access to the island?
2. Is there any location in the state that can be accessed only by paying a tax? Where?
3. Taxes on the Ocracoke-Swan Quarter and Ocracoke-Cedar Island ferries will be more than doubled beginning on July 1. How will that affect the cost of supplies and services provided to the island from the mainland? Who will be the hardest hit by this increase?
4. Will the increased tax pull money out of the local economy? If so, will this impact small businesses, particularly those that remain open in the winter when there is little tourism?
5. If the island's economy is negatively impacted, will there be a secondary impact on other state agencies' budgets? If a resident has to go to the mainland for medical services on a regular basis, will the increased cost discourage them from seeking the healthcare they need?
6.Will the added cost of transportation equate to a larger number of residents getting increased financial help and food stamps from Social Services and higher reimbursements from Medicaid? Will other government agencies have a direct cost by having to pay the tax for their vehicles/passengers?
7. The stated goal of raising the taxes is to collect an additional $5 million with which to partially fund the ferry division. Other taxes already in place - such as the gas tax - are used to fund the Department of Transportation of which the Ferry Division is a part of. Is there a goal of tolling all transportation corridors across the state to offset the cost of maintaining roads, highways and bridges?
8. If not, why are these water transportation routes that are part of the State system being taxed?
9. Before passage of the increased and new taxes, was there an economic impact study done to identify potential unintended consequences?
10. If, at a later date, the Hatteras-Ocracoke ferry route is taxed, how will that affect businesses who rely on employees who use the ferry to travel from home to work?
11. Will the General Assembly take up this issue when it convenes? How do these taxes fit into the promise of less taxes so that there can be more economic growth?
12. Frequently, the fact that the coast depends on tourism is used to try to argue that not all those being taxed are residents. But, in this case, all the residents are being taxed regardless of how many tourists use the ferries. Does it really make a difference who pays a tax?
Please let me know if you find this story - I'm anxious to read the answers.
So here we go...
2013 Story No. 3
According to a story posted on the N&O website on Jan. 13, the North Carolina Board of Transportation has voted to increase fees on ferries currently charging vehicles and to add tolls to several routes that have been free. These new taxes become effective on July 1.
The link to the story is: http://www.newsobserver.com/2013/01/12/2602599/board-of-transportation-members.html
The only ferries not to come under the new toll rates on July 1, are the Hatteras-Ocracoke route and the Currituck-Knotts Island route. Some board members, states the story, objected to not charging tolls on the two exempted routes because the Hatteras-Ocracoke route is the most heavily used in the state. If it also was taxed, it would allow reducing the tolls on the other ferries, they argued.
Ocracoke Island is accessible only by ferry - either the taxed ferry from Cedar Island and Swan Quarter on the mainland or via Hatteras Island ferry which is free. If the Hatteras-Ocracoke route is tolled, there will be no free way to access the island. Ocracoke residents would have to pay to access any other part of the state.
The ferry trip from Ocracoke to Swan Quarter - the county seat for Hyde County that includes the island - takes about 2.5 hours one way. The only "free" transportation corridor is via Hatteras-Ocracoke ferry, then NC 12 north to Whalebone Junction, west on US 64 to US 264 in Manns Harbor, and then approximately two hours to the county courthouse for a total of about 6 hours.
An interesting story about this issue would answer the following questions:
1. Does State law and/or the North Carolina Constitution guarantee that the public can move freely throughout the state? If so, how would that apply to Ocracoke islanders if use of the Hatteras-Ocracoke ferry was taxed, thus removing the only free access to the island?
2. Is there any location in the state that can be accessed only by paying a tax? Where?
3. Taxes on the Ocracoke-Swan Quarter and Ocracoke-Cedar Island ferries will be more than doubled beginning on July 1. How will that affect the cost of supplies and services provided to the island from the mainland? Who will be the hardest hit by this increase?
4. Will the increased tax pull money out of the local economy? If so, will this impact small businesses, particularly those that remain open in the winter when there is little tourism?
5. If the island's economy is negatively impacted, will there be a secondary impact on other state agencies' budgets? If a resident has to go to the mainland for medical services on a regular basis, will the increased cost discourage them from seeking the healthcare they need?
6.Will the added cost of transportation equate to a larger number of residents getting increased financial help and food stamps from Social Services and higher reimbursements from Medicaid? Will other government agencies have a direct cost by having to pay the tax for their vehicles/passengers?
7. The stated goal of raising the taxes is to collect an additional $5 million with which to partially fund the ferry division. Other taxes already in place - such as the gas tax - are used to fund the Department of Transportation of which the Ferry Division is a part of. Is there a goal of tolling all transportation corridors across the state to offset the cost of maintaining roads, highways and bridges?
8. If not, why are these water transportation routes that are part of the State system being taxed?
9. Before passage of the increased and new taxes, was there an economic impact study done to identify potential unintended consequences?
10. If, at a later date, the Hatteras-Ocracoke ferry route is taxed, how will that affect businesses who rely on employees who use the ferry to travel from home to work?
11. Will the General Assembly take up this issue when it convenes? How do these taxes fit into the promise of less taxes so that there can be more economic growth?
12. Frequently, the fact that the coast depends on tourism is used to try to argue that not all those being taxed are residents. But, in this case, all the residents are being taxed regardless of how many tourists use the ferries. Does it really make a difference who pays a tax?
Please let me know if you find this story - I'm anxious to read the answers.
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