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McCrory 'confident' in budget compromise with General Assembly

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Gov. Pat McCrory says he's confident a compromise on the budget can be reached with the Republican-run House and Senate. Gov. Pat McCrory says he's confident a compromise on the budget can be reached with the Republican-run House and Senate.
RALEIGH, N.C. -

North Carolina senators want to spend two percent more in next year's budget, but the programs they are cutting back on are turning heads.

The budget includes no raises for state employees, including teachers. Also, there is no expansion of the state's Pre-K program and no compensation for eugenics victims -- people who were sterilized against their will by the state of North Carolina.

Those are some big differences from Gov. Pat McCrory's spending plan.

"We have some differences in Pre-K education," McCrory pointed out. "I have an expansion for Pre-K [and] I have a pay raise for state employees."

He added, "Senate did not include money for the eugenic victims -- my budget did.

"I consider these people victims," McCrory said.

The Republican governor says he's confident a compromise on the budget can be reached with the Republican-run House and Senate.

But McCrory says the budget is challenging because he says he's spending "90 percent" of his time working on operational issues left over from the Bev Perdue's administration.

"We have some very broken operations systems, especially in the Department of Health and Human Services and Medicaid," McCrory said.

"Last night we found out we have another $50 million in more cost overrun due to bad projections last year on the cost of Medicaid, which has busted my budget and will bust the Senate's budget, which means we need to go back to the drawing board."

McCrory explained that "some bad accounting" lead to a lot of overtures in Medicaid. He says that pulls money away from education and job creation.

"I'm focusing on energy, I'm focusing on commerce and jobs, I'm focusing on Medicaid reform, I'm focusing on transportation reform," McCrory said.

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