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RALEIGH, NC (AP) — Senate Republicans are talking up fiscal restraint in their proposed North Carolina state government budget for next year.

But Democratic Gov. Beverly Perdue and an educators’ group say it will mean more layoffs or probably no pay raise for teachers.

Senate GOP leaders prepared Tuesday to debate their $20 billion spending plan before the chamber’s full appropriations committee and take public comments before voting.

The proposal sets aside more money for Medicaid next year than the House but does not restore as many spending cuts for school districts. The Senate does earmark more need-based financial aid for the University of North Carolina system.

The Senate also would require ferry tolls on all coastal routes. The House wants to delay new and higher tolls on five routes for a year.

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 This material may not be published, broadcast, rewritten or redistributed.)

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