- Associated Press - Friday, September 12, 2014

RALEIGH, N.C. (AP) - Gov. Pat McCrory announced Friday he won’t ask North Carolina legislators to return to Raleigh this year to consider legislation left behind by this year’s General Assembly session, particularly economic incentives and tax credits.

Lawmakers completed their annual work session Aug. 20 without the House and Senate agreeing how to give more to a popular job-creation incentives program that’s running out of money and to develop an initiative to lure big companies to rural counties. Others wanted him to consider reviving film production and historic preservation tax credits expiring at the end of the year, and possibly overhauling Medicaid.

In a video statement, McCrory said it would be counterproductive and a waste of taxpayer money to bring lawmakers back when there’s no agreement on issues already voted on this year. The House voted down in the session’s final days a broader bill that contained some of the economic incentives, but lawmakers considered them too expensive.

The governor, however, said he is leaving the door open to calling lawmakers for a special session should a major job recruitment effort require legislative support. Barring a veto override session, lawmakers aren’t expected back until January.

“After a lengthy session, (lawmakers) need a break,” McCrory quipped. “And frankly, I need a break from them.”

Legislators, several groups and even McCrory Commerce Secretary Sharon Decker had urged him to hold a special session to beef up incentives programs for fear that North Carolina could miss out on several potential corporate expansions.

Republicans leading the House and Senate also declined to renew the state’s historic preservation tax credits. McCrory said he would ask lawmakers early next year to improve the historic buildings program.

McCrory didn’t mention in his video the expiration of the film and television production tax credits. The state budget replaced the credit with a grant program capped at $10 million for the first six months of 2015. Wilmington-area legislators and the film industry are worried the program will drive productions to other states.

Senate leader Phil Berger, R-Rockingham, said in a statement that chamber leaders agreed with McCrory’s rationale.

McCrory said he would work this fall to advance a Medicaid overhaul. Legislative leaders decided against calling their own extra session on Medicaid in mid-November after the Senate and House passed competing plans this summer. Two committees are examining the issue.

Five bills remained this week on McCrory’s desk from this year’s session. McCrory said he would let one of the bills - to clean up coal ash ponds - become law without his signature. He has until Sept. 19 to sign the bills, veto them or let them become law. McCrory scheduled a bill-signing ceremony Saturday in Asheville but his office didn’t disclose what would be signed.

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