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Associated Press

RALEIGH, NC (AP) — North Carolina state Senate leaders are taking a more cautious approach to proposed budget adjustments than the House by spending less and setting aside more money in reserve in case Medicaid costs get out of hand.

Senate Republicans spoke Monday about their $20.1 billion plan next year for state government, about $127 million less than what the House offered.

The Senate would cancel fewer required spending reductions for the public schools than the House. Senate leader Phil Berger of Eden told reporters the GOP didn’t feel comfortable using one-time tax windfalls to trim those school reductions.

Most workers in state departments would get a 1.2 percent pay raise, but raises would be optional in the public schools and higher education. The House plan offered $250 bonuses to everyone.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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