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Governor Douglas Begins third Term By Presenting Inaugural Address

Tuesday January 9, 2007

By Dale Piper

Governor Jim Douglas began his third term on Thursday by presenting his Inaugural Address, containing arguably his most ambitious agenda so far. For the first time he is faced with a strong Democratic majority in both the House and the Senate and the most pressing priority is to be able to work together rather than be at partisan loggerheads. Vermonters, he pointed out, are not much interested in partisan bickering but are most concerned with seeing results.

When asked if he could foresee any resistance to any of the issues that he wants to put forward during the next two years he said, “I have already met with legislative leaders and stressed the fact that my constituency and theirs are the same people with the same needs and problems. I don't really foresee resistance to any of the issues.” He did, however, say that possibly the issue with the most potential for disagreement is the spending cap on school budgets. All parties agree that Vermonters are overburdened with school spending that rises at twice the rate of the average paycheck, but, as in the past, they disagree on the ways to achieve a solution. When asked the perennial question about folding school funding into the income tax he pointed out the problems with that idea. Vermont has either the highest or the second highest income tax burden in the nation and to raise it yet again would present problems to the business community, in that it would be difficult to attract the best employees and it would also present a barrier to attracting new employers to the state. Also, Douglas pointed out, income is a very volatile figure as a tax base. A significant rise in unemployment would cause the bottom to fall from such a funding formula with nothing to fall back on. No, he repeated, the first thing to do is put a limit on the spending. Also, he reiterated that the current property tax system is indeed income driven, with rebates and prebates.

Environmental issues rank high on Douglas' list of priorities. He is proposing tax relief for hybrid vehicles and for biofuels to increase ways in which we can reduce our emissions of greenhouse gases. Directly connected to the environmental issue is the creation of an Environmental Engineering Advisory Council to recruit and promote businesses in the field of environmental issues and renewable energy.

Another step in a related direction is the creation of Robert T. Stafford Schools for Math, Science and Technology to educate and encourage young Vermonters during their high school years in those fields and to create a pool of talented and technologically educated graduates.

Douglas sees the availability of wireless and cellular services as vital to a business and technology-friendly Vermont. He intends to do what is necessary to make these technologies available everywhere in the state, with no more dead zones, endless downloads or dropped connections. This is a business-friendly move and also impacts the resale value of homes as more and more potential buyers want cell service, broadband, and wireless service available. As part of the Governor's ongoing Affordability Agenda, he reiterated the need for affordable homes in communities close to jobs and schools as the focus of his New Neighborhoods Initiative. Also discussed were expanding health insurance coverage, continuing to make higher education more affordable and continuing the crackdown on drug dealing that has mushroomed in so many of Vermont's communities. All in all, Governor Douglas has provided himself with more than a full plate to occupy both his office and the Legislature during the coming year and the one to follow.

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