FRIDAY, JULY 29, 2011 State streamlines property management (Tennessean/Sisk)

The administration of Gov. Bill Haslam said Thursday it will merge two divisions that deal with state real estate. The Real Property Administration, the Department of Finance & Administration division that is responsible for capital improvements and construction of state buildings, will be combined with Property Services Management, the Department of General Services division that operates and maintains state facilities. It just makes sense to bring together people whose duties are so closely related, and I know well see positive results in short order, General Services Commissioner Steve Cates said in a statement. The state owns 135 buildings and leases 376 others.http://www.tennessean.com/article/20110729/NEWS0201/307290041/1972/NEWS02

Haslam: Tennessee OK for weeks even if U.S. defaults (Times Free Press/Sher)
As the country nears a possible historic debt default, Tennessee Gov. Bill Haslam and top officials said Thursday that the state can meet its obligations for weeks should Washington's partisan disputes over raising the debt ceiling send the nation's credit ratings careening off a cliff. "We've looked at what happens if the funding totally gets cut off if they shut down, and we're actually in pretty good shape with how our payment flow works," Haslam told reporters. "But it obviously impacts the credit ratings and funding that comes from Washington. "It's not a drastic like 'Oh boy, we're not going to be able to do state government the next day if they don't meet the [deadline]'" he said. Pressed on how long the state can go, Finance Commissioner Mark Emkes later said that preliminary figures show "we can go beyond six weeks." He will meet with Haslam today to go over the figures, he said. If the Republican-controlled U.S. House, Democratic-run Senate and Democratic President Barack Obama can't agree on increasing the nation's $14.3 trillion debt limit, some federal programs are expected to get less or no money. Tennessee and other states receive huge amounts of money from the federal government. Partially because of that, Moody's Investors Service, a credit rating agency, has put Tennessee and four other states with triple-A ratings on a credit watch if there is a federal default. http://www.timesfreepress.com/news/2011/jul/29/haslam-tennessee-ok-for-weeks-even-if-us-defaults/

Complex Force at Work in Debt Debate (Memphis Daily News)

Tennessee Gov. Bill Haslam has begun talking about a trip to New York in September to meet with representatives of the three major credit rating agencies. It would be a critical round of presentations by the governor and several top aides, since one of those rating agencies recently announced it might be forced to cut its rating on Tennessees credit if the federal government loses its own gold-plated credit rating in the coming days. One reason Haslam isnt packing his bags now is because of what the announcement by Moodys Investors Service about the credit of Tennessee and four other states is dependent on. That variable is how soon the federal government gets past a critical vote to raise the countrys borrowing limit and implements some longterm, belt-tightening budget fixes. Im glad were not going now, because it would be chaos, Haslam said, according to the TNReport news service. http://www.memphisdailynews.com/news/2011/jul/29/complex-forces-at-work-in-debt-debate/

Haslam presents grant for sidewalks (Tennessean/Wiersma)

Gov. Bill Haslam delivered a $69,686 grant Thursday to help Spring Hill finish a sidewalk project so children can walk to school. The city will build an elevated walking path across a stormwater detention basin connecting on the north end to sidewalks already built in Thompsons Station through the Safe Routes to Schools grant program. On the south end, the new path will tie into existing sidewalks in Tanyard Springs. In Thompsons Stations application for Safe Route funding, it was noted that no Heritage Elementary School students walked to school. And at Heritage Middle School, only a handful, about 1 percent, of the student body got to school on foot.

The money is a federally funded enhancement grant that the city applied for last year through the Tennessee Department of Transportation. http://www.tennessean.com/article/20110729/NEWS01/307290046/Haslampresents-grant-for-sidewalks

Governor makes stop in Lafayette (Macon County Times)

For the first time since his election, Tennessee Governor Bill Haslam visited Macon County Thursday, July 28 with Senator Mae Beavers and Representative Terri Lynn W eaver for a meet and greet at the Lafayette Municipal Airport. Rep. W eaver and Sen. Beavers took a minute to speak and welcome Gov. Haslam before Sen. Beavers introduced the governor. Before opening up a question and answer session with the audience, Gov. Haslam asked Lafayette Mayor J.Y. Carter and Macon County Mayor Shelvy Linville concerning economic development, Tell me what you think I need to know as governor about this area that I might not know. Mayor Linville said that Macon County may not have direct access in terms of a major highway, but that it did in terms of communications with the new fiber optic cable being installed by North Central Telephone Cooperative. As far as telecommunications goes, its probably as good as you can get in any area. Mayor Linville also says he is glad to see plans for improvements to Hwy 10. Money was appropriated in this budget for right-of-way acquisitions, and he says he hopes there will be money in the next fiscal budget for construction. The biggest asset here is the people, said Mayor Carter. W eve got great workers here. Mayor Carter says easier highway access to transport goods from Macon County is needed. ttp://maconcountytimes.com/view/full_story/14876509/article-Governor-makes-stop-in-Lafayette? h instance=home_news_lead

Governor to Visit Macon County, July 28th (Macon County Chronicle)

Tennessee Governor Bill Haslam will be flying into the Lafayette Municipal Airport, via helicopter, on Thursday, July 28th at approximately 8 a.m. to survey the recent updates at the airport and meet with County Road Supervisor Audie Cook to assess the countys options for obtaining more asphalt to repair roads. The Governors visit will also include a breakfast that will be served in one of the airports T-Hangars. State Representative Terri Lynn Weaver will be hosting the Governor during his visit to the area and all city and county government officials are invited to attend the morning breakfast. Macon County Chamber of Commerce President Marcus Smith, who is assisting Rep. Weaver in coordinating the event, said he excited to be a part of Haslams visit. Getting the Governor here has been one of the Chambers big goals for this year, he remarked. We are very excited to be a part of this, and are anxious to hear the Governors thoughts about the airport and his ideas for repairing our roads. http://www.maconcountychronicle.com/index.php? option=com_content&task=view&id=2516&Itemid=30

State Dashboard Still in W orks (TN Report)

Yes, Gov. Bill Haslam will indeed have a dashboard the device for measuring the states progress, as the former Knoxville mayor outlined in his campaign for governor. But its still not certain when the dashboard will appear, or what will be on it. When Haslam, a Republican, announced the idea of a dashboard for state government to the Rotary Club of Nashville last September, Mike McWherter, his Democratic opponent, said it was little more than a gimmick masquerading as policy.But Haslam said Tuesday the dashboard idea is alive and well and headed to a place Tennesseans will be able to see, presumably online. He mentioned it might appear in a couple of months, but not to hold him to the timing. http://www.tnreport.com/2011/07/state%e2%80%98dashboard%e2%80%99-still-in-works/

Haslam interviewed during visit to Paris at the Post-Intelligencer (Paris Post)

Tennessee Gov. Bill Haslam (right) answers a question posed by Post-Intelligencer Editor/Publisher Michael Williams (left) this morning at The P-I office, as Publisher Emeritus Bill Williams listens. The interview was videotaped and will be available for viewing online at http://www.youtube.com /watch?v=dJM48SCx0os .

Airplane gas station, historic jails get state funding (WBIR)

A number of organizations who are working to preserve the past are getting a financial boost from the state. On Thursday,Gov. Bill Haslam and the Tennessee Historical Commission announced Historic Preservation Fund. grants for 28 community organizations for programs and activities that support the preservation of historic and archaeological sites, districts and structures. The grants include funding for the Airplane Filling Station in Knox 2

County, jail restorations in Claiborne and Hancock County, work on the Niota Depot in McMinn County, and renovations to an home in Historic Rugby. "Historic places are a vital part of our state's heritage, and this program helps fund the work of local governments, non-profit agencies and other entities committed to protecting important elements of Tennessee's rich history," Haslam said. "Collectively, these 28 projects represent more than $600,000 in assistance and will ensure these special places are available to enjoy for generations to come." http://www.wbir.com/news/article/177862/2/Airplane-gas-station-historic-jails-get-state-funding

Governor announces transportation grant (Springhill Informer)

Tennessee Gov. Bill Haslam joined state and local leaders today to announce the award of a $69,686 transportation enhancement grant to the city of Spring Hill for the Tanyard Springs Connection Walkway Project. The Tanyard Springs Connection Walkway Project includes the construction of a ten foot wide, 230 linear feet long elevated walkway that will connect at the Spring Hill Thompsons Station boundary to a Safe Routes to School project being completed by the town of Thompsons Station. New signs, trash receptacles, and landscaping will also be installed. The Tanyard Springs Connection Walkway will provide a much needed link between schools, residential areas and commercial developments, Haslam said. These improvements will help keep pedestrians safe and encourage more residents to walk to their destinations. Im pleased we could make this investment in Spring Hill. The grant is made possible through a federally funded program administered by the Tennessee Department of Transportation (TDOT). http://www.springhillinformer.com/?p=10344

Haslam Links South's High Unemployment to College Graduation Rates (TN Report)
Tennessee may not sport the worst record in the country for high unemployment, but the Volunteer State and its neighbors make up a regional pocket where lots of people are having a hard time finding work. Five of 10 states with the highest unemployment rates in the U.S. touch Tennessees borders. Of other nearby states, Virginia, home to many federal employees who work in and around the nations capital, is the only one among those states with the lowest jobless rates in the country. Gov. Bill Haslam reasons that the high level of joblessness is related to low college graduation rates. If you look at this recession, its hit particularly hard on those folks with lower education attainment. Even in Tennessee, if you have a college degree, unemployment is 5 percent or less. If you dont have a high school degree, its over 20, he said, citing figures from the Bureau of Labor Statistics. http://www.tnreport.com/2011/07/haslam-links-souths-high-unemployment-to-college-graduation-rates/

Law requiring photo ID puts some Tennessee voters in a tizzy (Comm. App./Lollar)
The Republican-backed campaign to require photo IDs for Tennessee voters ended in June, but passage of the photo ID bill still angers Memphian Michael Blanner, who invites legislators to "pucker up and kiss my grits." Blanner, 63, says he can be "a crank sometimes." But he says legislators who voted to require photo IDs disenfranchised a large number of voters, including a growing segment of older voters like him. "I think there ought to be a class-action lawsuit," he says, to overturn the law as a violation of the constitutional rights of affected voters. W hen he last renewed his driver's license, Blanner chose an option for 60-plus drivers who are not required to have new photos shot. He chose the photo-less renewal option because, "I could do it online and not have to go and spend hours standing in line," he says. His other photo ID, a passport issued in the 1970s, expired long ago. The Tennessee Secretary of State's office announced this week that it is launching a campaign to educate voters about the photo IDs and alternatives to photo IDs that can apply in special cases. Administrator Richard Holden said his office also is trying to alert voters to the need for valid photo IDs. A spokesman for the Tennessee Department of Safety said Thursday that there are 126,262 registered voters in Tennessee who have opted for nonphoto driver's licenses. More than 26,000 of those voters are in Shelby County, Holden said. http://www.commercialappeal.com/news/2011/jul/29/identity-crisis/

Business issues, taxes take center stage at Knoxville mayoral debate (Knox News/Vines)
Four candidates to become Knoxville's next mayor mostly focused their ideas on economic development and gave differing views on whether they would raise city taxes during a debate Thursday night. With the Knoxville Chamber hosting the televised event at the Knoxville Civic Auditorium before some 350 3

people, business-related questions were very much at the forefront, although one question also was asked on transparency in government with a reference to "Black Wednesday" in county government in 2007. Candidates taking part were Joe Hultquist, HarmonMark Padgett Ivan , and Madeline Rogeroall of whom have , served as elected officials except Padgett. However, he worked for several years in the administration of former Gov. Phil Bredesen he referenced that experience when it was appropriate. and http://www.knoxnews.com/news/2011/jul/28/knoxville-mayoral-candidates-debate-tonight/

Corker, Cooper respond to short-term debt limit extension (City Paper/Woods)

Sen. Bob Corker called Thursday for a short-term extension of the U.S. debt limit to prevent a downgrading of the countrys credit rating. In a speech on the Senate floor, Corker, R-Tenn., said the proposals offered by House Speaker John Boehner and Senate Democratic Leader Harry Reid both are probably too weak to avert a downgrade. Corker said Congress should pass a short-term extension and at least take a week to try to agree on a plan that would produce enough savings to satisfy the credit ratings agencies. He called on Republicans and Democrats to work together to send a signal to the world that our future is not the future that Greece is seeing today. Relatedly, Congressman Jim Cooper, D-Tenn., issued a statement Thursday regarding his decision to vote no on Boehners Budget Control Act of 2011. We need a comprehensive, bipartisan proposal that raises our debt ceiling and lowers the debt in the long-term, and we need one in the next 5 days, Cooper said in the statement. The Boehner bill doesnt meet any of these criteria and it wont have my support. Cooper has introduced legislation (H.R. 2653) that would stop congressional pay if the United States defaults on the national debt. The bill would prohibit members from receiving pay during a default, and would not allow for that pay to be recouped retroactively. Cooper is also the only member of Congress to vote for every proposal available to raise the debt ceiling before Aug. 2. http://nashvillecitypaper.com/content/city-news/corker-cooperrespond-short-term-debt-limit-extension

Debt deal or not, weak economy is likely to suffer (AP/Wiseman & Rugaber)
No matter how the debt crisis ends, the economy will probably take a hit. The question is how big. Failing to raise the federal borrowing limit would force the government to slash spending immediately and possibly cause a default, frightening financial markets and sending interest rates up. If Washington reaches a deal and does raise the limit, it will probably include long-term spending cuts. The cuts would withdraw government stimulus at a time of weak economic growth and damage the already feeble recovery, at least in the short term. Pick your poison, says Ben Herzon, senior economist at Macroeconomic Advisers, an economic forecasting firm. Macroeconomic Advisers studied the impact of the $2.2 trillion in spending cuts proposed by Senate Majority Leader Harry Reid, D-Nev., and $916 billion in cuts proposed by House Speaker John Boehner, R-Ohio. Both would be spread over a decade. It estimates Reids plan would cut annual economic growth by one-fourth of a percentage point through September 2015. It estimates Boehners would shave annual growth by a tenth of a point over the same period. Neither of those is huge. But economic growth has already slowed to its weakest since the recession ended two years ago. http://timesfreepress.com/news/2011/jul/29/debt-deal-or-not-weak-economy-likely-suffer/? breakingnews

Republicans put off vote on debt limit (Ass. Press)

An intensive endgame at hand, Republican leaders abruptly postponed a vote Thursday night on legislation to avert a threatened government default and slice federal spending by nearly $1 trillion. "The votes obviously were not there," conceded Rep. David Dreier, R-Calif., after Speaker John Boehner and the leadership had spent hours trying to corral the support of rebellious conservatives. The decision created fresh turmoil as divided government struggled to head off an unprecedented default that would leave the Treasury without the funds needed to pay all its bills. Administration officials say Tuesday is the deadline for Congress to act. President Barack Obama has threatened to veto the House bill, and the W hite House taunted Republicans as they struggled. "Another day wasted while the clock ticks, now is the time to compromise so we can solve this problem and reduce the deficit," tweeted communications director Dan Pfeiffer. Senate Democrats stood by to scuttle the bill if it ever got them as a way of forcing Republicans to accept changes sought by Obama. The first sign of trouble for the House's supporters occurred after hours of routine debate, when the GOP leadership suddenly halted work on the measure. http://www.theleafchronicle.com/article/20110729/NEWS01/110728021/Republicans-put-off-vote-debt-limit? odyssey=tab|topnews|text|FRONTPAGE 4

TN House members split on debt decision (Tennessean W ash. Bureau)

Middle Tennessees U.S. House members mostly agree on what a debt deal should do: cut spending, rein in long-term deficits and raise the debt limit to avoid default. But they disagree on the best way to get there. Republican Reps. Diane Black of Gallatin, Marsha Blackburn of Brentwood and Stephen Fincher of Frog Jump support sending a constitutional balanced-budget amendment to the states for ratification, although they didnt specifically rule out supporting a deal that would merely require a vote on such an amendment. Democratic Rep. Jim Cooper of Nashville says the best deal would resemble the bipartisan Gang of Six proposal that fizzled last week. It would have cut $3.7 trillion over the next 10 years and required tax and entitlement reforms. But Cooper also voted for a clean debt-ceiling extension that would raise the ceiling but do nothing else, and for last weeks cut-cap-and-balance proposal championed by conservatives. That proposal, which the Senate rejected, would have made severe budget cuts and included a provision approving a balanced-budget amendment to the Constitution. http://www.tennessean.com/article/20110729/NEWS02/307290065/TN-House-members-split-debt-decision? odyssey=mod|newswell|text|FRONTPAGE|p

TVA wants to improve tornado response (Times Daily)

Tennessee Valley Authority officials are refining plans on how to better respond to the next twister outbreak. The April 27 tornadoes caused major damage to TVAs power transmission system and knocked out several power plants. Doug Bailey, manager of transmission operations for TVA, said more than 150 tornadoes were reported across the Tennessee Valley region on April 27. The twisters knocked down power lines from Mississippi to southern Virginia. More than 850,000 homes and businesses were left in the dark at the peak of the power outages It was the worst damage to our power grid in the history of TVA, Bailey said during a news conference at Wheeler Dam on Thursday. W e had significant damage during a tornado outbreak in 1974, but this years damage was much worse. Among the hardest hit areas in Alabama were around Decatur and Huntsville where numerous towers supporting high-voltage power lines were toppled, including lines leading from Browns Ferry Nuclear Plant. W hen the Browns Ferry lines were damaged, all three reactors automatically shut down. The nuclear plant near Athens did not return to full power production until May 31. Many homes in north Alabama were left without electrical power for more than a week as TVA repaired its transmission lines, and local utilities made repairs to power lines leading to homes and businesses. http://www.timesdaily.com/article/20110729/NEW S/110729807/1011/NEW S?Title=TVA-wants-to-improvetornado-response

Jobless rate shoots back up (Tennessean/W adhwani)

The jobless rate increased in all except four of Tennessees 95 counties in June, and unemployment in the Nashville-Murfreesboro area hit 9 percent up 0.6 percentage points from Mays revised numbers. Statewide, more than 309,000 people are estimated to be unemployed based on seasonally adjusted data from the Tennessee Labor and Workforce Development Commission. Here are the numbers for area counties, released Thursday: Davidson, 9.1 percent, up from 8.5 percent in May; Rutherford: 9.2 percent, up from 8.6 percent in May; W illiamson, 7.2 percent, up from 6.6 percent a month earlier; W ilson, 8.6 percent, up from 8.1 percent in May; and Sumner, 8.7 percent in June, up from 8.4 percent. The weaker reports from many Middle Tennessee counties were in contrast to a more upbeat national report Thursday, showing that the number of people seeking new unemployment benefits dropped last week to the lowest level since early April, a sign the U.S. job market may be healing somewhat. http://www.tennessean.com/article/20110729/BUSINESS01/307290052/Jobless-rateshoots-back-up?odyssey=mod|newswell|text|FRONTPAGE|s

Lebanon lands Amazon.com center (Tennessean/Wadhwani)

Amazon.com announced plans Thursday to open a 500,000-square-foot fulfillment center in Lebanon, promising to create hundreds of full-time and seasonal jobs before the end of this year. Its one of three sites the company has announced it will open in Tennessee that are expected to create 1,200 new full-time jobs for the state. The other two sites are planned for Chattanooga and Cleveland. The firm has said it plans to open at least one more facility. Obviously, were pleased somebody is going to grow jobs in Tennessee, Gov. Bill Haslam said at a stop in Spring Hill. This is something theyve been working on for a while. But the arrival of the worlds largest online retailer to Middle Tennessee has not been without controversy over a deal to excuse it from a state sales tax. The deal continues to divide lawmakers, anger business owners and vex Haslam, who inherited a deal that was largely cut in private by his predecessor, ex-Gov. Phil Bredesen. Haslam has said in the past that his 5

administration is committed to the deal made by his Democratic predecessor that would not require Amazon to collect sales taxes from its online customers. He subsequently has said that the federal government should resolve the question of whether online retailers must pay sales taxes. http://www.tennessean.com/article/20110729/BUSINESS01/307290076/2275/RSS05

Amazon Confirms Lebanon Fulfillment Center (Tennessean/Farmer)

Amazon.com now confirms plans to build a 500,000 square-foot distribution center in Lebanon. The company estimates it will create hundreds of full-time and seasonal jobs as soon as this year. This would be Amazons third facility in Tennessee, with two being built near Chattanooga. The online retailer has already begun recruiting for jobs in the state, including warehouse positions and management roles. State lawmakers are still debating whether companies like Amazon should be forced to collect Tennessee sales tax now that it will have a physical presence here. http://wpln.org/?p=29287

Amazon.com opening third Tennessee distribution center (Times Free Press)

Amazon today announced plans to open a 500,000-square-foot fulfillment center in Lebanon, Tenn., outside Nashville. The online retailer said it will create hundreds of full-time and seasonal jobs at the facility this year. The Lebanon facility will be Amazon's third fulfillment center in Tennessee, bringing its total footprint in the state to more than 2 million square feet. As part of this footprint, Amazon will open two additional facilities in Chattanooga and Cleveland, Tenn., this fall, creating 1,200 new full-time jobs in the state. http://timesfreepress.com/news/2011/jul/28/amazon-opening-third-tennessee-center/?breakingnews

Restart of foundry will bring 250 jobs to Etowah (WATE.com Knoxville)

An iron foundry that has been closed since January 2010 will reopen early next year, bringing 250 new jobs to Etowah. ThyssenKrupp Waupaca, Inc. announced Thursday its Etowah facility will restart production in the first quarter of 2012. "Everybody is excited about it," said plant manager Sam Greene. "It's not just great for me personally, but for all of the former employees and the city. It is great for our customers. The industry is very busy right now, and there is a lack of casting capacity. Our customers are having difficulty obtaining casting." Additionally, the company will add capacity with new melt, core and mill room equipment in the foundry. Approximately 20,000-square-feet of manufacturing space will be added for the new equipment. ThyssenKrupp Waupaca shut down the plant in January 2010 when orders for automotive and truck parts dropped. "No body wants to go through closing the plant again," said Greene. "W e waited to make sure the business is available, and that there is plenty business to fill the plant back up." The foundry will return to the production of disc brake rotors and brake drums some time after the first of the year, and expects to reach full production by mid- to latethird quarter. Production of castings for differential cases and crankshafts will resume in the second quarter of 2012, with full production reached by the first quarter of 2013. http://www.wate.com/story/15164927/restart-offoundry-will-bring-250-jobs-to-etowah

Auto industry comeback reopens Etowah foundry (Times Free Press/Pare)

Jimmie Lewis says her granddaughter moved from McMinn County, Tenn., over a year ago when her husband's job at Waupaca foundry was shifted to Indiana in the shutdown of the local operation. Now, with plans by Waupaca to restart the Etowah foundry and bring back 250 jobs, Lewis hopes her granddaughter and her family will return as well. "There may be an opportunity for them to come back home," she said, adding she has two great-grandchildren she'd like to see more often. On Thursday, ThyssenKrupp Waupaca said that early next year it will bring back the foundry that was shuttered as a result of the auto industry meltdown in 2009. Gary Gigante, the company's chief executive, said the facility is one of the most technologically advanced in the iron castings industry. "The reopening of our Etowah foundry is good news for our customers and for the state of Tennessee, but also for the men and women we will be able to put back to work," he said. Later this year, the company will begin adding 20,000 square feet of manufacturing space to the 270,000-square-foot facility for ductile iron production, said company spokesman Matt Rhodes. http://timesfreepress.com/news/2011/jul/29/auto-industrycomeback-reopens-etowah-foundry/

Study finds Tenn. ranks last when it comes to women leaders (WKRN-TN Nashville)
A new study conducted by Lipscomb University has found that the state of Tennessee comes in last with the number of women sitting on corporate boards. Allison Duke is an assistant professor of management at 6

Lipscomb's College of Business. She told Nashville's News 2 the glass ceiling, which refers to an unseen barrier that keeps women and often minorities from rising to top of the corporate ladder, regardless of qualifications and achievements, is still apparent in the state of Tennessee. "There's this perception that the glass ceiling is breaking down, that it doesn't exist anymore, but it really still exists," she said. Lipscomb's study found that compared to other states, there is still a major gender gap when it comes to women sitting on the boards of public companies. "Women make up about 48% of the workforce in the state of Tennessee and so when you compare that to only eight percent of these leadership positions, you kind of ask the question, what happened?" Duke said. According to Duke the gender gap in the state is not due to a shortage of qualified and educated women. Duke told Nashville's News 2 in an attempt to close the gender gap the university is featuring an interactive display which features women in leadership and high ranking positions, as well as pinpoints local companies that have two or more women in director positions. http://www.wkrn.com/story/15171089/study-findstenn-ranks-last-when-it-comes-to-women-leaders

Hall of Fame kicks off $75M capital campaign (Nashville Post/Duncan)

Some of the rumors and speculation concerning the proposed expansion of the Country Music Hall of Fame and Museum were ironed out into specifics at an event Thursday morning. In the museums Ford Theater, Hall of Fame Director Kyle Young along with board Chairman Steve Turner and Mayor Karl Dean announced a threeyear, $75 million capital campaign to nearly triple the size of the museum and connect it to the Omni hotel. Bluegrass legend Ricky Skaggs opened the event doing a rendition of the Carter Family and Bill Monroe classic, W orking on a Building, which is serving as the primary title of the campaign. Of the $75 million that needs to be raised, $56.8 million already has been committed. Leading the charge is Turner, who has donated $6.5 million. Including Turners donation, $48 million of the already committed capital comes from donors who have given $1 million or more. That group includes the Frist Foundation, the Ingram Charitable Fund Inc. and the Andrea Waitt Carlton Family Foundation. The expansion will increase the museums size from 140,000 square feet to more than 350,000. Additionally, the new space will include such amenities as an 800-seat theater, expanded classroom and educational space, a 10,000-square-foot, fifth-floor event space and a 6000-square-foot terrace overlooking the citys skyline. (Here's a full rundown of the numbers involved in the project and here are additional renderings. http://nashvillepost.com/news/2011/7/28/hall_of_fame_kicks_off_75m_capital_campaign

Lambuth acquisition is costly (Memphis Commercial Appeal)

The University of Memphis faces $3.5 million in near-term costs for safety repairs and access for the disabled, and $15 million in longer-term maintenance at the Lambuth University campus, a state report issued Thursday concludes. That money is above and beyond funding already pledged by the state and other sources. Despite that and other financial concerns, the Tennessee Higher Education Commission approved the states acquisition of the campus for a University of Memphis branch in Jackson. The state Board of Regents is expected to follow suit in a teleconference meeting this morning. THECs professional staff presented its analysis of the acquisition before the commissions vote. The study cites several major challenges facing University of Memphis and state officials, both at the campus and in the context of the states public higher education system, whose annual state funding has dropped $277 million, or 20 percent, over the last five years. But it concludes that the creation of a public university in Jackson is good for the region. http://www.tennessean.com/article/20110729/NEWS04/307290056/Lambuth-acquisition-costly?odyssey=mod| newswell|text|FRONTPAGE|s

JEA gives $2.2M toward campus purchase (Jackson Sun)

Jackson Energy Authority will give $2.2 million to the Industrial Board of Jackson to help purchase the former Lambuth University campus for the University of Memphis. JEA board members voted to give the money to the industrial board at the JEA boards monthly meeting on Thursday. The money will be paid in five annual installments, with the first to be made this year. The utility is giving $2 million toward the purchase of Lambuth. The other $200,000 is being given to the industrial board to cover annual administrative costs for accepting the payment in installments. The utility is giving the money so the campus can be turned over to the University of Memphis debt free. Jim Ferrell, president and chief executive officer of JEA, said reviving the former Eagle campus was essential to the energy authoritys future. It provides about $700,000 in annual revenue just for JEA itself, he said during the meeting. The employees provide another $300,000 for the system. So, we look at it as a $1 million (annual) investment. Ferrell said turning the campus over to the university would save the property. Memphis has said it will come into the campus and make repairs as needed if they receive it as a debt-free campus, he said. (And) it will be anywhere from $10 million to $20 million to make the repairs. 7

http://www.jacksonsun.com/article/20110729/NEWS01/110728034/1002/rss

Pathways to Crisis (Memphis Flyer)

One of the subtexts of the 2008 decision by the Memphis City Council to cut back on its annual financial commitment to Memphis City Schools was what was generally perceived as a perceived lack of accountability in MCS' expenditures. That was spoken to by several council members in the debate over whether or not to fund the schools. Another subtext of that decision was the simple desire to get the city and its taxpayers out from under the burden of dual taxation. Talks between representatives of city and county government and the two school systems toward the goal of what was hopefully called "single-source funding" had been ongoing for some time and would continue, finally breaking down for good in 2009 when Shelby County Schools board chairman David Pickler said a final nix to a variety of plans then being proposed by a special task force on singlesource funding. At the time, Pickler averred frankly on behalf of SCS: "Our number-one goal for 10 years has been special districts. We know it is a legislative long shot at best, perhaps." After the Republican Party's sweep of the 2010 legislative races, the suburban-friendly GOP controlled both chambers of the Tennessee General Assembly and, with the election of Bill Haslam, the governor's office as well. No longer did the prospect of enabling a special school district for Shelby County Schools appear a "legislative long shot," and Pickler, in the wake of that election, was frank to admit as much. http://www.memphisflyer.com/memphis/pathways-tocrisis/Content?oid=3029127

State investigators joining review of problems at Lakeview Trailer Park (Tri-Cities)

A team of state building and fire safety officials plans to visit a Bluff City mobile home park next week so they can determine what caused a fire that killed an 18-month-old boy who lived there and whether any of his neighbors are at risk of succumbing to a similar fate. Theyre bringing the whole nine yards with them, said Dennis Vaughn, a licensed private home inspector in Northeast Tennessee who is contracted by the state government to handle building code enforcement services for Carter and Johnson counties. Its basically going to be an investigation into what caused the fire. Police and officers with the Sullivan County Sheriffs Office are trying to determine what sparked a Sunday morning mobile home fire at Bluff Citys Highways Lakeview Trailer Park that claimed the life of 18-month-old Jessie James W haley and left the infants family homeless. During a Thursday meeting, Vaughn told the Bluff City Board of Mayor and Aldermen the state fire marshals office would send a team of building code inspectors, arson investigators and other personnel to Lakeview next week so they can help local law enforcement agencies with the investigation. http://www2.tricities.com/news/2011/jul/29/stateinvestigators-joining-review-problems-lakevi-ar-1204382/

Sentencing changes reduce crack cocaine jail terms (TN/Haas)

Sixteen years ago, Errol Washington was sentenced to more than 20 years in prison on crack cocaine charges nearly double what it would have been if it were powder cocaine. But W ashington, 43, may be among hundreds of Middle Tennessee offenders eligible for early release from federal prison after a significant change in federal sentencing policy. Earlier this month, the U.S. Sentencing Commission drastically reduced sentences for federal inmates convicted of crack cocaine charges. After years of sentencing disparities it took 100 times as much powder cocaine to receive similar penalties as for crack cocaine the commission is set to release some 12,000 inmates an average of three years earlier. Tennessee is estimated to have 360 offenders eligible for the sentence reduction, 41 of them in the Middle Tennessee District. Not all crack cocaine offenders will be eligible, particularly those deemed by the courts to have been involved in a violent crime. A convict must file a motion in court for a resentencing, which will be decided by a federal judge. http://www.tennessean.com/article/20110728/NEWS03/307280065/Sentencing-changes-reduce-crack-cocainejail-terms?odyssey=mod|newswell|text|FRONTPAGE|s

Kingsport police report meth arrest (Kingsport Times News)

Police report a Kingsport man has been arrested after a meth manufacturing operation was discovered in his mobile home. The arrest occurred Tuesday night at 417 Barnett Drive, Lot 83. Kingsport police say they were led to the residence following complaints of drug activity. Inside the home officers allegedly located two active onepot meth manufacturing operations. Derek Bowman, 24, was arrested at the scene and booked into the city jail. He is charged with manufacturing methamphetamine, maintaining a dwelling where narcotics are used, stored or sold and possession of more than one-half gram of Schedule I drugs for resale. http://www.timesnews.net/article/9034295/kingsport-police-report-meth-arrest 8

GA: $60.9 billion, 30-year transportation plan approved for region (Atl. Jour./Hart)
The Atlanta Regional Commission on W ednesday approved the region's 30-year plan to spend $60.9 billion on transportation projects and manage growth.Chip Rogers: "The state of Georgia is near the bottom among states for SAT scores and graduation rates." That transportation list is unrelated to the list being drawn up for a sales tax referendum next year. ARC updates the plan every three or four years and last did so in 2007. Since then it has had to cut $7 billion from the plan as revenue continued to shrink. Those cuts included road and highway projects. The region is expected to be home to 8.3 million people by the year 2040, according to ARC. The new plan, called Plan 2040, spends billions of local, state and federal dollars on road widening and mass transit, and it aims to manage the expected population growth by choosing those projects in a coordinated way. ARC called it "a blueprint for improving mobility, protecting natural resources, promoting balanced and sustainable development and growing the economy." Programs include the "Livable Communities Initiative," which awards planning grants and transportation funding for sustainable town plans. The plan passed overwhelmingly. Atlanta Mayor Kasim Reed voted against the plan, saying it didn't spend enough on mass transit. The spending choices in the plan are not made only by ARC, but also by local agencies and governments, and often are dictated by law. For example, state gas taxes cannot be spent on mass transit. http://www.ajc.com/news/georgia-politicselections/60-9-billion-30-1052433.html

KS: Kansas finished year with $107 million more in revenue than expected (AP)
A new report says Kansas finished its latest fiscal year with $107 million more in revenue than anticipated. The 2011 fiscal year ended June 30. A final report from the Kansas Legislative Research Department says revenue for the year totaled almost $5.9 billion nearly 2 percent higher than the $5.8 billion forecasters had predicted in April. It also tops the $5.2 billion collected in fiscal 2010, but the state increased its sales tax last year. For fiscal 2011, individual income tax collections totaled $2.7 billion, nearly $115 million more than expected. But sales tax revenue fell $25 million short of the $2 billion that state forecasters had predicted. http://www2.ljworld.com/news/2011/jul/27/state-kansas-finished-year-107-million-more-revenu/? kansas_legislature

IL: Illinois 50 out of 50 in 2010 for state deficit (Ill. Statehouse News)
Illinois owed $37.9 billion more than all of its assets combined, including cash, investments and property, as of July 1, 2010, according to a recent statewide financial audit by the Illinois Auditor General William Holland and Illinois Comptroller Judy Baar Topinka. Illinois even shorted unknowing taxpayers of $1.4 billion. An examination of the Income Tax Refund Fund by auditors revealed a $1.4 billion deficit, because the state didnt put enough income tax revenue into the fund, causing a delay in getting the taxes returned to individuals and businesses. The deficit would have been worse without a $3 billion cash infusion of federal stimulus money. Illinois was one of four states with a deficit when comparing all its debts to assets in fiscal 2010, and of those four, it was in a hole of about $10 billion more that its nearest cousin New Jersey, which ranked second. A combination of mismanagement and a global recession are the largest factors in Illinois monetary woes. Former Gov. Rod Blagojevich, who was convicted on corruption charges in federal court recently, came into office in 2003 during a small recession. He immediately promised he wouldnt raise taxes, but he and the Legislature did not cut spending, resulting in a full-blown fiscal crisis. http://illinois.statehousenewsonline.com/6646/illinois-50-out-of-50in-2010-for-state-deficit-2/

MORE

OPINION Editorial: DOE must do better job overseeing cleanup at K-25 site (Knox News
The demolition of the two largest buildings on the massive site of the former K-25 uranium enrichment facility in Oak Ridge grew so unwieldy and costly that the agency's independent watchdog issued a highly critical report on the project. The new cost estimate for tearing down the K-25 and K-27 buildings is $1.2 billion, close to three times the original estimate of $460 million and, given the project's history, a figure that might move even higher. The Department of Energy's inspector general placed the responsibility squarely where it deserves to lie on the shoulders of DOE management in Oak Ridge. The K-25 plant dates back to the Manhattan Project during World War II. The plant enriched uranium via a process called gaseous diffusion that required miles and miles of specially engineering piping. DOE's contractor for tearing down the K-25 and K-27 buildings and processing the radioactive equipment inside was Bechtel Jacobs. Work began in 2004, but budgets and timelines were smashed almost from the beginning. DOE spent $717 million on the project by the end of fiscal year 2010.http://www.knoxnews.com/news/2011/jul/26/doe-must-do-better-job-overseeing-cleanup-at-k/

Rep. Mike Turner: Jobs should be legislators' main focus, not guns (Tennessean)
Recently, House Majority Leader Gerald McCormick issued a statement announcing that he was forming a task force to support the Second Amendment rights of Tennesseans to bear arms. The simple fact of the matter is: The General Assembly in Tennessee has been extremely progressive over the last decade or so in broadening the rights of gun owners in this state. Before a bipartisan law passed in 1996 to allow for gun-carry permits, a Tennessean could carry a gun in public only by obtaining a status of special deputy. These were mostly obtained by knowing someone. Gun owners with permits, due to legislation passed last year, may now carry guns into restaurants and bars. Due to chamber of commerce and business concerns, the new law allows that an establishment may restrict guns from its property if a sign saying so is posted in clear view at the door. Big businesses and educational institutions such as the University of Tennessee have adamantly opposed having guns on their premises. As a result, bills to do so have failed. http://www.tennessean.com/article/20110729/OPINION01/307280098/Jobs-should-legislators-main-focus-notguns?odyssey=mod|newswell|text|FRONTPAGE|s

Guest Columnist: A Public Mess (Memphis Flyer)

10

As more than a few Memphians have noticed, there are uncanny resemblances between the game of brinkmanship being practiced in the current confrontation between Memphis City Schools and the city of Memphis and the one going on in Washington between the W hite House and congressional Republicans concerning raising the nation's debt limit. The deadline for the latter is August 2nd coincidentally the same date that the council may have the opportunity to finish off the tense process of negotiation with MCS by formally approving the school system's operating budget for 2011-12. Maybe it's the case with other countries including the nine or 10 or so whose standard of living has grown to exceed that of the United States in the last decade that they have their own foibles and when they see ours on such embarrassing public display they hazard a smile, not of sardonic amusement but of sympathetic fellow feeling. W e'd like to think that's the case, but we doubt it especially in the case of the rating agencies that, even when operating on our own shore, take a distinctly unsentimental attitude toward default on public debts. http://www.memphisflyer.com/memphis/apublic-mess/Content?oid=3029141

Editorial: The Main Highway of Commerce (New York Times)

There is a lot of talk right now about whether states should levy sales taxes on online purchases. The real question is: Do we want large, profitable online players, like Amazon, spending large amounts of time and money trying to shield their customers (and thus, their own top lines) from sales taxes, when virtually every state in the United States is starved for revenue? Would you rather see public programs slashed in your state, or pay a few percent more on your purchase online? .With online retailing becoming the fastest-growing distribution channel in the country, it is both legitimate and important that states treat it as a main highway of commerce and that means collecting sales tax. If Amazon obtains the signatures it needs to hold a referendum on overturning this new legislation and if the referendum passes early next year California could lose out on hundred of millions in annual tax revenue. And that may be a conservative estimate. The fairest way to collect tax online is at the point of purchase with the full knowledge of the customer and seller. Yes, it it likely to entail some new administrative burdens and perhaps some costs for Amazon and other similar players. But ultimately it will be consumers choice as to whether to buy a product online that has an extra 5 percent or 8 percent tax tacked on. http://www.nytimes.com/roomfordebate/2011/07/28/should-california-tax-sales-on-amazon/the-main-highway-ofcommerce

###

11