NC Strategic Scorecard
8.2.1 Government Efficiency

Target: Less than 95% of US average state and local tax investment ratio
Actual: 97% of US average
US Rank 2004: 20th (down from 18th in 1995)
SE Rank 2004: 6th (down from 5th in 1995)
SE Region: AL FL GA KY MS NC SC TN VA WV   Updated 4/17/06
 
Primary Performance Indicator

State and Local Tax Revenue / Personal Income
 Performance Trend:
Stable
The trend depicts the degree to which actual performance has approached the target in recent years.
Comments
•

Over the past decade, NC’s governmental tax revenues have declined marginally as a percent of personal income.
•

Our state and local tax revenue ratio remains relatively low from a national perspective (we have the 20th lowest tax revenue ratio), but is relatively higher within the Southeast (we have the 6th lowest tax revenue ratio in the region).
  Definition (What Is Being Measured)
Total state and local taxes as a percent of total personal income.
Source: US Census Bureau, Bureau of Economic Analysis, Annual State Personal Income, and US Census Bureau, State and Local Government Finances; Tax Foundation; rankings from Morgan Quitno		 Relevance (Why This Is Important)
Measuring state and local taxes as a percent of total personal income reflects each state's relative tax investment, but only approximates the relative efficiency of state and local government.
 
Other Highlights
North Carolina
•
 In 2005, NC’s total aggregate taxes (including federal taxes) were 27.8% of personal income, giving it the 18th lowest aggregate tax ratio in the US and the 7th lowest ratio in the Southeast region (Tax Foundation, Comparative Total Tax Burden by State).
•
 In 2005, NC had 18th lowest rate of state and local government employees in the US and the 2nd lowest in the SE region (Source: US Census Bureau).
•
 In 2003, NC’s per capita tax revenues and expenditures were the 7th lowest in the nation and the 4th lowest in the Southeast region.
  
 
• In 2003, NC had per capita expenditures of $3,768, the 7th lowest in the US and the 4th lowest in the Southeast (Source: US Census Bureau, 2003 Annual Survey of Government Finances).
Southeast Region

National

Global
  Data Links
Government Performance Project, Governing Magazine
National Governor's Association
National Association of State Budget Officers
National Conference of State Legislatures
  
Federation of Tax Administrators
Tax Foundation
Institute on Taxation and Economic Policy
Massachusetts Taxpayers Foundation
Goal 8.2:
Provide Effective and Efficient Government