Gubernatorial hopeful visits town
By Stephen S. Glass
Star Staff
Republican gubernatorial hopeful Jim Henry paid
a second visit to local politicians Thursday in an effort
to garner support for his upcoming campaign. Though Henry
has yet to officially declare his candidacy for the governor's
office, he feels he has begun to gain the backing necessary
to give fellow candidates a run for their money when the time
comes.
While in Elizabethton, Henry spoke to the Star
about the upcoming race, his chances of winning, and the "big
issues" he believes the state now faces -- budget shortfalls,
TennCare reform, and the influence of federal courts over
state government.
With talk in Nashville of legislators calling
for a special session later in the year in an attempt to shore
up a growing budget deficit -- possibly by making another
pass at an income tax -- Henry declined to say whether or
not he believed an income tax would be the best solution to
the problem.
"An income tax is certainly one solution, but
I don't feel I have enough information right now to make that
call," said Henry. "All I know is what I've read in the papers.
But I will say this: When I was last here in Elizabethton,
we were all talking about whether or not there was a [revenue]
problem. Now we're all just wondering how big the problem
really is."
Earlier in the week, State Finance Commissioner
Warren Neel announced that Tennessee is facing a shortfall
of as much as $300 million this year. Neel estimated that
the shortfall could be as large as $1 billion by next year
if legislators don't do something by way of revenue reform.
With division in Nashville between the house
and senate, Henry said he believes Senate leaders like Minority
Leader Ben Atchley are the "key to getting something done."
A past opponent of the income tax, Atchley, along with a handful
of other senators and Lt. Governor John Wilder, has been working
this week on a compromise plan the group hopes will eventually
pass muster in both the Senate and the House. The group's
proposal is purported to include a 3.5 percent flat-rate income
tax.
"I think everyone in Nashville knows right now
that they have two choices -- either increase revenue somehow
or make tremendous cuts in services. It's a matter of one
or the other," Henry said.
When asked what he believes to be the root cause
of Tennessee's budget woes, Henry cited the state's TennCare
program and "interference" from the federal courts.
"We're losing control of state government to
the federal courts," Henry said.
"We need to be doing a better job of balancing
services and revenue before the courts have the chance or
the need to get involved."
Henry said that the courts had delayed much-needed
TennCare reforms by freezing enrollments even as legislators
sought to trim down the program.
"I am not against TennCare," said Henry. "TennCare
is a good program. The problem is that it's too good."
Henry said that TennCare recipients now have
better access to health care than those who are able to purchase
insurance privately.
"I don't believe that's right," said Henry. "TennCare
should offer the same type of benefits you or I can afford.
It's too expensive otherwise."
A former senate majority leader, Henry has been
"out of politics" for the past 12 years. However, he says
he has spent that time honing business skills that could prove
useful in the governor's office. His own business spans two
states and employs 700 workers.
"I don't see much difference between the responsibilities
of the governor and those of a CEO," said Henry. "A good CEO
knows how to work with people to get things done, and he knows
when to make changes. I've had to restructure my own business
twice in the past few years to keep up with market conditions.
That's what I think government should be like."
Though he has yet to go public, Henry says he
believes his chances of making a showing in next year's election
are already much better than when he first began talking about
running.
"I'm still out meeting people, though. I'm still
working on building a good base of support."