Governor Beverly Perdue proposed a $21 billion, two-year state budget Tuesday.

Purdue crafted the proposal in hopes of getting back on track with the $2.2 billion budget deficit by cutting state spending on public schools by 3.2 percent, eliminating 1,034 in-state jobs, and increasing some taxes. The plan would replace some state spending on schools with federal stimulus money, actually increasing the amount spent on schools. Community colleges and UNC system schools would also see an increase in spending.

Two of the taxes to be increased will affect drinkers and smokers. The plan would increase alcohol tax by 5 percent and the per-pack cigarette tax by $1. The extra taxes would raise more than $500 million in extra funds to help close the deficit.

Students had mixed feelings about some of the proposed budget items.

Faizan Motan, a junior in biomedical engineering, said an overall increase in taxes is necessary for the economy to stabilize.

“Although I don’t think the money should go to the government as tax, I do think the money should be put back into the economy to make it more stable,” Motan said.

Gregory Williams, a sophomore in computer science, disagreed on an increase in alcohol tax but agreed on the proposed enforcement on cigarette taxes.

“I agree with it [the cigarette tax increase], because one dollar per pack is really not that bad compared to other state’s prices,” Williams said. “An increase an alcohol is an abuse of power.”

William Kapherr, a sophomore in mechanical engineering, also agreed with the cigarette tax, but said he thought the alcohol tax increase was fair as well.

“I think taxes on cigarettes and alcohol are fine,” he said.

Another way Perdue is trying to gain back the budget deficit is by increasing the licensing fee on professionals by $150.

Daniel Wiebke, a sophomore in civil engineering, said that raising taxes on licensing professionals was the right action, because they could afford it.

“An increase on that is good, because if they are trying to get a P.E. then they will probably have a source of income to tax rather than a less financially stable person,” Wiebke said.

Kapherr was clearly upset at the proposed increase in licensing fees and had only two words for it.

“That sucks.”

The most upsetting issue for students is Purdue’s plan to eliminate 1,034 state jobs in order to save $37 million. Included are jobs in the state mental health system and in the Department of Correction.

Motan, who is in pursuit of a job in the medical field, was not pleased with the proposal of job cuts in the mental health system.

“As a pre-med student, I don’t want to see any jobs cut from mental health. Funding cuts from mental hospitals is a major drawback for society,” Motan said.

Kapherr was not pleased with the job elimination proposal either.

“It”s never a good thing to lose jobs, but I guess if there is wasteful spending in the system, we need to cut wastes,” Kapherr said.

Williams agreed with Perdue’s plan to use stimulus money for education.

“I think they should use the stimulus money on top of original budget for the school. They should not cut school funding,” he said.

Students also were pleased with the tax cuts given to people who take care of aged citizens and the sales tax holidays proposed to people purchasing equipment that helps conserve water.

Motan was an advocate for the proposal of tax breaks for the care of the elderly.

“I have always believed that taking care of the elderly is a very important task. I do think tax breaks should be given to those who are taking care of the elderly,” Motan said.