news-record.com

Among the big spenders in 2008 North Carolina political campaigns, none was more generous to state legislative candidates than Citizens for Higher Education. It gave $479,000 to contenders for House and Senate seats, watchdog group Democracy North Carolina reported last week.

Citizens for Higher Education was formed by boosters of UNC-Chapel Hill. One of its chief interests in legislative affairs is a tuition break for out-of-state students receiving university scholarships -- including athletes.

The break costs taxpayers more than $10 million a year, enough to make lobbying efforts worthwhile. So far, despite public opposition, the break has been maintained.

Citizens for Higher Education is just one of many political action committees mentioned in Democracy North Carolina's latest report. It looked at three dozen that donated a combined $7 million to candidates and political parties last year. They represent industries of all kinds, public employees and teachers, hospitals, physicians, lawyers and more. Some benefit from tax loopholes and favors granted by past legislatures, some from more spending, and all stand to gain or lose depending on the actions of the current General Assembly, according to Democracy North Carolina Executive Director Bob Hall.

There is a lot at stake, with budget pressures putting the legislature in a position of making everyone unhappy.

"The test of the balanced budget this year will be how fairly it distributes the pain of cuts and how it closes the loopholes built into the tax system over decades by special-interest lobbies," Hall said.

The danger is that special-interest groups will still fare better than ordinary citizens who don't make thousands of dollars in campaign contributions and can't hire lobbyists to bend legislators' ears.

Political influence could explain why legislators have considered adding a sales tax on haircuts but not legal services. Lawyers are big campaign contributors; barbers aren't. Or why a general sales-tax increase is on the way but not a boost in the 3 percent sales-tax rate for auto sales. The N.C. Automobile Dealers Association PAC donated $186,000 to legislative candidates last year.

Of course, not all legislators can be swayed by campaign cash. But it's notable that ethics rules prohibit lawmakers from accepting free meals, drinks and other gifts from lobbyists during a legislative session, yet the same lobbyists and the organizations behind them can funnel thousands to the legislators' campaigns.

As long as that continues, the best safeguard is watchfulness by the public, media and good-government advocates like Democracy North Carolina.

These next few days, as work on the state's budget is wrapped up, will be truth-or-consequences time. Will legislators serve the best interests of the public as a whole or the special interests that fund their campaigns? Only close scrutiny can assure honest decisions.