need for an additional engine. Sometimes having a livestock building can help a fire
department get a better grade because they can be given credit for automatic aid in
manpower and engines tluoughout the ratings district. Making mutual aid agreements
mandatory could help improve frre department ratings.
Robin Smith, Assistant Secretary for Environment, DENR, addressed concerns raised
by Marilyn Kille in earlier committee meetings regarding the impact of the Jordan Lake
watershed rules on small farms, and in particular, whether urban areas are shifting their
burden for nutrient reduction to agricultural land. Ms. Johnson explained the underlying
reason for the watershed rules. Jordan Lake is a water supply reservoir. Nutrient runoff
into the lake is creating problems such as algae blooms, fish kills, and poor water quality.
The rules require the burden of nutrient reduction to be shared among both point and non-point
sources including agriculture, existing development, and new development.
Development standards are monitored by local government review of stormwater
management. The rules for agriculture have a specific, independent approach developed
through watershed management committees which include representatives from local
farms. The rules are not designed to shift the burden of reducing nutrient loads to any one
source nor is there evidence that this is happening. All sources are required to do their part.
Greg Roney, Staff Attorney with the General Assembly's Research Division, presented
on the North Carolina Estate Tax. North Carolina is one of twenty three States and the
District of Columbia that impose an Estate Tax or Inheritance Tax. The estate tax was
0.39% of General Fund tax revenue in2009-2010. Under current law, the first five million
dollars of an estate is exempt from the State and federal estate tax. The top State rate is
sixteen percent (estates over $10 million) and the top federal rate is thirty-five percent.
There is a 100% deduction from the federal tax for State taxes paid. In 2013, the federal
estate tax rate is scheduled to revert back to 2001 levels which carried a top rate of fifty-five
percent.
March 7,2012
The Committee held its fourth meeting on Wednesday, March 7,2012 at 1:30pm.
The Committee heard presentations on laws that limit the direct sale of eggs and raw milk
to consumers. While such limitations are based on food safety concerns, questions exist
about the balance between public health risks and the peoples' rights to access and consume
the food they wish. Direct sales of eggs and raw milk also would generate significant
income for small farmers and increase the economic viability of small farms.
The first topic of discussion was the North Carolina Egg law and, in particular, the
exemption from candling and grading for farmers selling 30 dozen or fewer eggs per week.
Daniel Ragan, Director, Food and Drug Protection Division, NCDA&CS, introduced Janna
Spruill, an inspector with the Division, who explained the State egg law. NCDA&CS sees
egg candling and grading as a food safety issue. Classes on egg candling and grading are
offered to farmers through poultry extension at NCSU.
Dr. Ken Anderson, Extension Specialist at NCSU, spoke to the Committee about food
safety issues in egg production and handling. Egg laws were first enacted in the 1960's
after a salmonella outbreak in Califomia occurred from the selling of checked (miniature
cracks) eggs. Checked eggs can be detected only by candling and grading. Candling is the
process of looking at an egg in a very bright light to detect internal defects including blood
spots, meat spots, and checks. The presence of meat and blood spots can contribute to the
inactivation of the internal antimicrobial mechanisms in the egg and can allow for the
growth of contamination. Checks can allow organisms on the outside of an egg shell to
move into an egg. When microbial loads get too great, illness can result. Dr. Anderson also
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