It won't be a merry Christmas week in Frankfort

On Monday, the Consensus Forecasting Group will release its latest projection of the state's deficit for the next two-year budget cycle. While a deficit of $1.4 billion has been widely speculated, expect it to be much more than that. I suspect a number higher than even that daunting figure is why House Speaker Greg Stumbo told the media following a budget briefing meeting last week that he was now open to tax increases to offset possible drastic cuts to education.

It's shaping up to be a Frankfort Christmas week that only a Grinch could enjoy. Legislators will return to Frankfort on January 5th for a General Assembly that will likely give a whole new meaning to long session. Crafting a new two-year budget always dwarfs nearly every other topic in the even-numbered years. Throw the prospect of tax increases vs. painful education cuts into the equation and it becomes rare theatre; it's the type of situation that is surely to give lawmakers and their thirst for re-election nightmares.

Kentucky is nearing a situation where a few "insignificant" taxes increases are not nearly enough. Indeed, the one "low hanging fruit" I hear most often mentioned now is to possibly raise the state's current 6% sales tax to 7% or more. Each 1% increase raises approximately $500 million. It's considered low hanging fruit because Indiana's sales tax is 7% and Tennessee's is more than 9%.

The last time lawmakers raised the state sales tax was in 1990 when a court ruling led to the KERA education reforms and the need to raise significant revenues for more equitable school funding statewide. Speaker Stumbo went on to tell the media last week that very few legislators were defeated in their re-election bids after the 1990 sales tax increase. What he didn't mention was that most legislators also funded many capital projects back in their home district during the 1990 session to "ease the pain" of that sales tax increase in voters' minds. It apparently worked.

In 2010, however, there might not be enough revenues for schools' operating budgets and projects. It's going to be a long session.

What's happening to the middle?

Independents. Middle ground. Compromise. These concepts are lost in national politics today. Why is most of the political "energy" we're seeing today go to the extremes? On the far right, Tea party types are causing fits for the traditional Republican party. On the left, extreme ideas on display in Congress today like environmentalism/cap and trade, increased regulation on business and more government involvement in healthcare leave a lot of us wishing for more middle ground.

Other than about a six-month window from about May to November each presidential election year, those middle ground ideas are forgotten. Most of us live in the "middle" every day. We know that a little "give-n-take" with our spouse, with our families and in the workplace makes the world go around. The middle is the grease of our lives. The middle gets things done.

How about some middle on the environment? If we accept that we need to move away from coal-fired electricity, let's find the middle on nuclear power. The environmentalists need to quit using the courts and other measures to stop progress on nuclear power plants. Incentivize more "green" power production and technology but let's not criminalize coal and double the midwest's electric rates in the process.

How about some middle ground on healthcare? Force health insurance companies to cover some of the unhealthy population with reasonable rates but let them compete across state lines. Let's curtail unnecessary tests and related costs and cap medical malpractice awards.

The middle is where politics and a whole lot more gets accomplished.

Environmental bulls eye squarely on Kentucky

Wow, just when you think there might be enough U.S. senators to realize that the proposed cap and trade issue is a bad idea, the EPA declares carbon dioxide a health hazard and says it will regulate its emissions. That thud you hear is a collective groan from economic development leaders in Kentucky.

Earlier this year, the U.S. House barely passed the controversial cap and trade legislation that would have the effect of raising electric rates for states like Kentucky, where more than 90% of electricity is generated by the Commonwealth's abundance of coal. We've enjoyed electric rates that are about half of most of the U.S. and that clearly has been our state's biggest asset to luring and keeping manufacturing. Today, smelters in the Owensboro area produce nearly 20% of the world's aluminum. Aluminum jobs are high-paying with good benefits and also have a high job multiplier effect. If electric rates go up dramatically, those plants are in jeopardy.

At the same time, the EPA is starting to clamp down on sewer agencies like that in Owensboro where sewage and storm water are in the same pipes. Many communities around the country have decades-old combined systems, and the EPA wants sewage and storm water separated. That's another idea—like clean air—that sounds good but costs millions and millions to accomplish. Owensboro's sewer agency has been working with the EPA for a long time on a plan to mitigate this, and I'm told that EPA officials have essentially told the agency that because local sewer rates are much less than the national average, there is "room for rates to grow."

Room for rates to grow? Try telling that to a citizenry that is struggling to pay their current bills, perhaps scared of a losing their job or facing the expense of sending a child to college. Growing utility bills are also no solution for struggling business and industry slowed by the economy. Kentucky stands to be a big overall loser in the name of environmental stewardship.

Voodoo Donuts

My family returned on Saturday from probably my best vacation ever—five days in Portland, OR with my wife, Pam, and my sons, Reid and Griffin. Oregon is Pam's stomping grounds and I've been there numerous times, but this was the first time for Reid and Griffin which made it very special for me (and them, of course).

Oregon is beautiful with its natural wonders, lush greenery, Pacific Ocean coast and snowy mountains all within a few hours. We toured the Tillamook cheese factory, walked the sand in Pacific City, ate at the Spirit Mountain casino, took in the Oregon Museum of Science & Industry and enjoyed a Thanksgiving meal with Pam's family. Reid and Griffin also snow boarded near Mt. Hood.

We also tried to sample a very unique downtown Portland business called Voodoo Donuts. I say "tried" because we went there on Friday afternoon at 3 p.m. only to find a crowd of 35 people standing in line outside waiting to get in. Yes, a Friday afternoon at 3 p.m! We had somewhere else to be and couldn't wait so I instead got the photo of Griffin in line. He had seen Voodoo Donuts on Man vs. Food and wanted to try its maple bar complete with fried bacon on top. The business has become famous in Portland and beyond for its very large donuts with unusual toppings and fillings. For example, the "Tex-Ass" is glazed and the size of six regular donuts. Anyone who can eat it in 140 seconds or less gets it free. The signature Voodoo is gingerbread man-shaped with a pretzel stick stabbed through its abdomen and red jelly "blood" filling.

Voodoo Donuts is not a chain. It's a six-year-old business that has made food fun and is probably making a "blood" filling killing in profits. With their success downtown, the owners have opened a second store on Portland's east side. They must be on to something. How many business owners would like to have 35 people lined up to get in on a Friday afternoon at 3 p.m.?

Parkways to Interstate spurs

As the leader of the organization that has led the charge the past four years to see the Audubon and Natcher parkways become Interstate spurs, it's encouraging to see local candidates for political office talk about the issue. Both Bruce Kunze, Daviess County judge executive candidate and Paul Haire, who's running for Daviess County commissioner, west district, told the Messenger-Inquirer they support those upgrades. I suspect (hope?) other candidates do as well, but it's nice to see it highlighted.

For the record, both parkways were officially designated as future Interstate spurs as part of a larger transportation bill passed by Congress and signed by President Bush in June of 2008. That happened in large part because of then Congressman Ron Lewis' work at the urging of the Chamber of Commerce. Signs indicating its Interstate 69 spur status went up on the Audubon Parkway last September. At this time, the Natcher Parkway is officially a future I-66 spur. After the Natcher becomes part of the new 100-mile, four-lane connector from I-64 to I-65, I'd like to see the Natcher become part of an I-64/I-65 spur. Confused yet?

The bottom line is that there's some serious transportation progress coming together in the Owensboro region. Taking advantage of the near-Interstate condition of the parkways to finally bring Interstate spurs to the community's front door just makes sense. This won't happen overnight, but I'm finding that a steady drum beat of support with good facts is getting politicians' attention on these projects.

Good for Kunze and Haire to realize the importance of good surface transportation to the region. Certainly, Interstates carry commerce in the U.S. This is true today and will be true in the future.

New school - old school

Last weekend my son, Griffin, pulled a Rubik's Cube out of a bag and proceeded to ask me to scramble it for him and "time him on it." Yes, I'm talking about that Rubik's Cube, the same 3-D mechanical puzzle that became popular when I was a kid. That same toy that people would spend hours trying to get the colors to line up on the same side.

I hated the Rubik's Cube when I was a kid. I don't have a mechanical mind and always thought it was a waste of time. I knew people who could solve them quickly but I wanted nothing to do with them. Now, all these years later and my 12-year-old son is intrigued by it. I, of course, obliged and Griffin "solved" it in about six minutes.

During the week, he decided the traditional "3 x 3" cube wasn't enough of a challenge so he purchased a "4 x 4" cube with 16 squares on each side instead of nine. I came home yesterday and found him and a friend watching an instructional video on YouTube showing how to solve the 4 x 4 version. I smiled and considered the irony of my son using the "new school" YouTube to learn how to solve the "old school" Rubik's Cube.

Wikipedia—one of my favorite online spots, by the way—says that more than 350 million cubes have been sold since 1980 when Ideal Toys first marketed Erno Rubik's invention. Good for them and good for him. Good for Griffin, too, as he works to solve the cube and learns the skill of solving a mechanical problem. That makes me smile too.

Businesses collaborating in this economy

My last blog post was about how groups are starting to collaborate more to accomplish similar tasks and goals. This morning a local small business owner told me the same thing: her company is now working closely with other businesses that a year ago she considered more as competition than partners.

She went on to explain how her company specializes in one function while her "business partner" specializes in a different aspect of the same function. She's reached out to that "partner" and asked for help in creating a total solution for her clients and that "partner" has reciprocated by asking for assistance with his clients. Both business' clients are getting their needs filled and both are gaining new business. She went on to explain that her business is busier than ever, including pre-recession.

This discussion brought to my mind one of the secrets I've discovered in my business career. I'd rather be an organization/business that does a few things very well instead of trying to be all things to everybody and doing a poor job at all of it. I saw this firsthand in a previous job with a manufacturer that strived to be a "one stop shop" and, frankly, fumbled the ball a lot. This idea of finding a niche and working like crazy to be the best at it makes a lot of sense to me. There's numerous examples of successful businesses big and small that are very profitable with this mission in mind.

Collaborating with others just makes sense. I'm not talking about "giving away the profit" and certainly it won't work for everyone. Keeping your eyes open to the possibilities, though, can be a very good idea.

Collaborating is good

In a world of diminishing resources, it's good to see organizations more prone to work in their own "silos," busy building their own "deal" starting to work together. Collaborating is good. Two years ago, for example, 12 chambers of commerce in ten northwest Kentucky counties came together to form the Chamber Leadership Initiatives for Northwestern Kentucky (C-LINK). It's not a merger of these business groups but rather a board of representatives from each chamber that has made some nice headway in the campaign to bring I-69 alive in western Kentucky. Twelve chambers in southwestern Kentucky this year have formed the West Kentucky Regional Chamber Alliance. The Greater Owensboro chamber will be announcing some more partnerships in the coming months.

Recently, officials with Owensboro Community & Technical College and Western Kentucky University-Owensboro announced a joint admission arrangement to make it easier for students gaining their Associate's Degree from OCTC to work towards a Bachelor's Degree at WKU-O. The issue of class credits transferring from Kentucky community colleges to four-year public universities has long been a thorn in some students' side and it's good to see OCTC and WKU-O collaborating to help rectify it.

Owensboro and Bowling Green have long been considered rivals—rivals in population growth, economic development and opportunities. Recently, officials of Owensboro's RiverPark Center said they are working with leaders of Bowling Green's new SKyPAC Center to help both performing arts facilities with programming and other needs. I don't remember the last time these two cities collaborated on much of anything. Good for Owensboro and Bowling Green.

There's an old phrase that I've tried to put to use every time I've asked buddies to help me move households: Many hands make light work. It works for more than moving, however. Collaborating in many endeavors breaks down walls and opens opportunities. Hopefully, more organizations will realize the benefits far outweigh the downside in strong collaborations.

The plight of the local small business

"I can't get in to see the right person at ______ to talk with them about doing business." I've heard that comment dozens of times from local small business managers as they try to make a sale to purchasing decision-makers at local larger businesses/industry/organizations. Hopefully, we at the Greater Owensboro Chamber of Commerce put a small but mighty dent in that plight last Thursday with the first "Owensboro Buys It!" expo.

An offshoot of the six-year-old "Owensboro Has It!" buy-local campaign, this event started early last summer when more than 100 small business Chamber members learned how to build their own two-minute "elevator pitch." They were then required to attend at least two Chamber focused-networking events to practice their pitch. About 80 businesses qualified to attend Thursday's expo and meet in five-minute, one-on-one meetings with purchasing personnel from nearly 30 large local businesses/industries/organizations that agreed to participate.

From most accounts, the small businesses appreciated the opportunity and many told me after their meetings that they expected to gain business from it. While that was music to my ears, comments I heard from the purchasers were more telling. "This went better than I expected," "I guess I didn't realize what we had here," "Next year we're going to bring more people," was what I heard. Put another way, many large companies with purchasing power to help local small businesses simply don't know what's under their nose. It's not just companies; many residents fall into the same category.

As the chamber of commerce guy, that fact of life makes me frown. Why do many people not look locally when they need a box of paper clips or an electrical contractor or a guitar? I realize this isn't just an Owensboro issue, but I do believe it's prevalent here. For those of you do think local when you buy, thank you. For those of you who don't, remember the plight of the small local business.

Cap'n'trade a business buster in several ways

Some in the media have reported in recent days about a handful of large utilities and the Mac and iphone maker Apple announcing they will drop their membership in the U.S. Chamber over the chamber's determined ways to derail the federal cap'n'trade regulation. Boiled down to its simplest form, cap'n'trade would tax high emission states like Kentucky and Indiana (see graphic) in a noble but misleading gesture to help the environment. Kentucky and Indiana get most of their electricity form burning coal in power plants; various studies draw different conclusions, but one says Kentucky will lose 21,000 jobs if cap'n'trade becomes law. Electric rates in Kentucky are expected to increase by at least one-third and possibly much more.

Business associations like chambers of commerce try to get their members "on the same page" over common issues. The problem is that what can be good for the "mom'n'pop" store may not be positive for a large corporation or vice versa. Indeed, while increased electricity rates would no doubt harm nearly all business—including the concentration of aluminum smelters in Western Kentucky—through higher power bills, some large utilities are shrewd and large enough to cut their own deals in the legislation; some utilities will make more money with cap'n'trade by selling emissions credits; hence, they have much to gain with cap'n'trade. And now, a company like Apple that likes to think of itself as "environmentally conscious" publicly distances itself from the U.S. Chamber. I don't believe Apple has any manufacturing facilities in Kentucky or Indiana.

Business interests are often diverse and cap'n'trade has become a good example of the difficult nature of getting all of them coordinated behind the same goal. My opinion is decidedly pro-business and pro-Kentucky on cap'n'trade. I'm all for "saving" the environment, but the legislation is in no way binding on other countries. Much of the developing world has shown no interest in enacting similar emissions limits. In other words, the U.S. could curtail its emissions while the rest of the world does not. I doubt "the environment" separates what the U.S. does vs. the rest of the world.

Secondly, electric rates will no doubt rise under cap'n'trade, especially in coal country such as Kentucky. Low power costs have been the state's one true competitive advantage in economic development for many years. Take that away and high energy consumers like manufacturers will have one big reason to locate elsewhere, perhaps overseas.

Trunnell's Farm Market(ing)

Tonight, the Chamber held its annual Agri-Business Tour and visited Kentuckiana Livestock near Moseleyville, the Big Independent tobacco warehouse—the last standing tobacco warehouse in Daviess County—and Trunnell's Farm Market near Utica. I enjoyed and learned at all three stops but must admit I enjoyed the Kevin Trunnell and family farm market most of all.

What's not to like at Trunnell's? Fresh vegetables, unique Kentucky-made food items, beautiful mums, pumpkins, gourds, whole milk with cream and friendly people. The Trunnells were long-time tobacco farmers who diversified into fruits and veggies through the years. They grew into their quaint road-side store a few years ago and are open seven days a week. Ironically, Kevin said Sunday is one of their busiest days but—in true family fashion—he doesn't require employees to work Sundays if they'd rather not. Behind the store is a beautiful scene of rolling Daviess County countryside.

Kevin has participated in Kentucky's farm diversification funding program to help build his store. As was explained during the tour, Kentucky is one of the few states that took the large tobacco industry lawsuit and set aside half of it to help farmers across the state diversify and market Kentucky-made products at the same time. If Trunnell's Farm Market is any indication, it's been a good investment on the state's part.

I bought three items at the store. I first picked up a small jar of old fashion peach preserves. After sampling some honey apple salsa, I couldn't resist a 14-ounce jar of it. Finally, I bagged some vidalia onion honey mustard dressing—with only six grams of sugar per serving! I passed on the homemade fudge, pies and breads not to mention the thick cut pepper bacon and countless other items that made my mouth water. Trunnell's Farm Market is just a few miles south of Owensboro on U.S. 431 before you get to Utica. It's worth the drive.

This Hoosier goes home (for a few days)

Most people know I'm from southern Indiana and a graduate of Indiana University in Bloomington. I spent four great years—yes, I graduated in four years—in that town of 25,000 that expands to about 60,000 when school is in session. It's a great small town with lots of culture, residents from around the world and more.

The joint conference of the Kentucky and Indiana Chamber of Commerce executives groups was held on the IU campus for three days this week. I was closing out my year as the president of the board of the Kentucky chambers group in my college town and the memories flooded back as I drove through campus on my way to the student union building on Wednesday morning.

It turned into a great experience. Not only did I have the pleasure of thanking IU basketball coach Tom Crean and meeting him after he spoke to our group, I had a chance encounter with IU Athletics Director Fred Glass and met the director of the renowned Kelley School of Business—Jerry Conover—after he also presented to our group. To top it off, we got a tour of the IU basketball and football athletics facilities and I stood at center court at Assembly Hall. It doesn't get much better than that for an IU grad!

I've lived in Kentucky for more than 20 years now and have come to enjoy and appreciate the Bluegrass, but there will always be a large part of me in Bloomington. I grew up there in four short years. My time there this week was special.

"This was a bean field two years ago"

Up Highway 231 about an hour's drive from Owensboro into southern Indiana lies the small community known simply as Crane. It's anything but simple. Since 1941 when it was first established, the Naval Surface Warfare Center Crane Division has grown into the third largest naval installation in the world by geographic area and employs about 5,000 people. It sits mainly in Martin County but also lies in portions of Lawrence and Greene counties.

Last week, I joined a group advocating the four-laning of U.S. 231 north to Crane for a tour of the new Westgate technology park that sits just outside the Crane installation. "This was a bean field two years ago," said our tour guide, Mike Burch, CEO of the Crane Federal Credit Union, which has a spectacular new facility in the park. That's Mike in the dark suit talking to us outside the SAIC building, one of the jewels of the park, in the photo.

Crane, we were told, was originally expected to lose about 700 jobs when the infamous BRACC report came out in 2005. Ironically, jobs have grown instead and, today, private contractors that work with Crane and occupy the tech park employ about 750 people. We toured a building occupied by SAIC—a building with different levels of top secret security. SAIC's website says it's a "scientific, engineering and technology applications company that uses its deep domain knowledge to solve problems of vital importance to the nation, and the world, in national security, energy and the environment, critical infrastructure and health." Whatever that means, it's mighty impressive. SAIC also has operations in the nearby small towns of Bloomfield, Bedford and Odon as well as Indianapolis. We were told the company plans to build another facility next to its current one in the Crane tech park.

Those of us on the tour came away surprised at the irony of Crane. Here's a community in the middle of rural southern Indiana where the average non-military worker is making $57,000 per year. Ten-percent of SAIC's employees drive 70 miles one way from Indianapolis every day. At least one drives from Terre Haute. It's a community that's thriving thanks to military needs and advanced technology that helps keep our country safe. We were told Crane has plans to become a "center of excellence" for alternative energy in the future.

That will certainly lead to more private jobs—many of them in the middle of a technology park that was a bean field two years ago.

I-69: The Future is Now

This Thursday, the Chamber of Commerce of Southwestern Indiana will host its annual dinner with John Calipari, UK basketball coach, serving as keynote speaker. He will obviously be the big story, but Interstate 69 will also take center stage with Hoosier Voices for I-69 and 24 chambers of commerce in Kentucky unveiling a new exhibit to promote the long-awaited highway that includes a new Ohio River bridge between the two states.

The cover story in Sunday's Courier-Press highlights I-69 progress in both Indiana and Kentucky and the ongoing effort north of the river to build the new-terrain route while also saving money to extend it as far north as possible with limited funds. It's a well-written story by C-P Indy bureau writer Eric Bradner.

In Kentucky, highway funds are much more limited and I-69 has fierce competition including new Ohio River bridges in Louisville, a new bridge in northern Kentucky and I-66. The chambers of commerce have picked up the torch for the project to keep its importance in front of state lawmakers, state transportation cabinet staffers and Kentucky's D.C. delegation. Bradner's story did not mention Governor Beshear's recent appointment of former highway engineer Ted Merryman as I-69 project manager.

Despite its long, winding journey, I-69 is moving forward. Indiana Governor Mitch Daniels is its biggest fan. Kentucky now has a funding mechanism to help fund and toll a new Ohio River bridge. Governor Beshear grew up in Hopkins County near the corridor and that can't hurt either. Indeed, the future for I-69 is now.

Extreme Everything this Week

It's one of those weeks in Owensboro-Daviess County that don't happen enough. Thousands of people and businesses have rallied around Thompson Homes to build the Mattingly family their dream courtesy of ABC's Extreme Makeover: Home Edition. This very deserving family will return from the Bahamas on Saturday to see their new home nestled in the rolling hills of eastern Daviess County.

Today, Governor Beshear visited the homebuilding site and then broke ground for the long-awaited U.S. 60 bypass extension at Meadow Lands School in front of hundreds of school children and community leaders. I was humbled to be included in the group that turned those first shovels of ceremonial dirt for a project that—combined with the new U.S. 231 in Spencer Co. IN, the Natcher Bridge and the Natcher Parkway—will become part of a new four-lane corridor from I-64 to I-65.

This evening, Pam and I returned to the Extreme Home site to take in what is truly an historic occasion. It's inspiring to see so many people work side-by-side to accomplish this big goal. It's rewarding to see rival businesses become partners on a community team for a week. Those that have come by to watch have smiles on their faces as they admire the collective spirit and hope to catch a glimpse of one of the show's stars.

On our drive home Pam said, "Did you notice how everyone was so friendly?" I had noticed it; everyone there knows they're a small part of something very special. Indeed, a good week for Owensboro-Daviess County.

The original "social media"

Here Comes Everybody is among the handful of social media books that I'm currently reading to bring myself up to speed on what tools like Facebook, Twitter and others mean to the landscape today. While some still shun these technologies, the growing numbers who are using them are doing some very creative things to reach out to their "friends" and build connections and followers. Likewise, chambers of commerce everywhere are tussling with social media and know they can't afford to ignore these new ways for people to connect without a formal organization.

As we at the Greater Owensboro Chamber released our annual legislative and local issues survey this past Friday, I couldn't help but smile thinking at how online surveys could be considered "old school" these days. We've done our survey for the past six years to gather input from our members, and we've always had at least a 20% response rate, which is good. We consider the collective thoughts of our members to be very important leading into the Kentucky General Assembly and the myriad issues that inevitably pop up along the way.

Yes, the new social media tools offer the ability for anyone to provide input. Everybody can be a writer, a blogger, post their thoughts and feelings. We've been doing that via online surveys well before Facebook and Twitter were conceived. That makes me smile too.

Airports offer the best, the worst

My wife, Pam, is from Oregon and I've spent a lot of time in airports the past eight years watching her come and go. She tries to get out there every three months or so, and her daughter, son and/or grandkids come see us occasionally. That was the case yesterday when Pam's daughter, Kayce, granddaughter three-year-old Madison and Kayce's boyfriend, Brandon, flew from Portland to the Nashville airport.

It was an emotional high when the kids rounded the corner coming up the A hallway and quickly approached us. The hugs flew from everyone and I thought of this as being one of those "best" moments that airports offer.

We'll make the most of it while they're here this week. Pam and I plan to take Madison to the zoo on Tuesday while Kayce and Brandon take a quick trip to Chicago to see friends. We'll take in the last Friday After Five of the season next Friday; on Saturday, we hope to take part in the march to the home of the family that will receive the new home courtesy of the Extreme Makeover, Home Edition show taping here in Owensboro.

Later next Saturday, they'll leave again out of the Nashville airport. That same place that was welcoming and full of anticipation yesterday will instead feel suddenly empty and lonely.

The cliff

The Advocacy Task Force of the Chamber of Commerce met today and one of the topics was the 2010 Kentucky General Assembly that begins in January. It will be the even-numbered year long session which means it's budget time. Law makers will craft a new two-year state spending plan, which in recent years has been difficult to reach.

This summer, the legislature came back into special session to plug the estimated $1 billion shortfall from the economic downturn that was staring the state in the face for the year that started July 1st. Thanks to $742 million in federal stimulus dollars, the hole was relatively easy to plug, and law makers even decided to take in less revenue by exempting military personnel from the state income tax.

Increasingly, though, I hear people talk about "the cliff." For years, legislators have been able to cobble together dimes and quarters from a wide array of state revenue pots, rainy day funds and other places to make end's meet. The stimulus dollars were "the solve" this year, but though we're hearing about economic recovery, the state's income continues to underperform. "The cliff" is the time Frankfort observers see as the day fast approaching when the cupboard is bare but the bills still need to be paid. "The cliff" was a topic today in an interim budget committee hearing. Read the C-J story here: http://tinyurl.com/nzlaw3

Which leads us back to the 2010 legislative session. Certainly, there will be those calling for raising taxes. I suspect the GOP-led Senate will decide a renewed "no tax increase" zest is their best route, particularly with Democrats having picked up two seats this year in special elections in that chamber. Just how tall is that cliff?

I appreciate BBQ more now

In my nearly 21 years in Owensboro, I've driven past many of the Saturday pit BBQ fundraisers and have occasionally stopped to buy a chicken. What I had never done was actually work in any capacity at one of them. That changed this past Saturday when my son, Reid, and I helped the OCHS band boosters with a BBQ chicken and rib sale at St. Joe & Paul Church on 4th Street in Owensboro.

Reid is an 8th grader and has taken to music like a duck to water; he's playing baritone and we're proud of him for working hard at it and actually practicing at home without having to be told to do so. He told me that if he gets good enough, perhaps he can get a scholarship to college so now I'm equally excited to play whatever part I can do. Last month, he sold soft drinks and water for what I'm told is a never-ending fundraising cycle. Saturday, it was BBQ time.

Reid and I arrived at 6 a.m. and along with about ten others were put to work dragging 150 rib slabs and 300 chickens to the pit. While others hosed the embers to keep them at the right temperature, I helped others turn the ribs over and over. The chickens went on and I helped turn them in the racks. It's not as easy as it looks, especially when thick smoke laps at your face and eyes. Eventually, the ribs were done and removed, placed on a long piece of aluminum foil where Reid dabbed them with a BBQ mop and I wrapped them in the foil to be placed back on the pit for their final broiling. As the morning wore on, more help arrived. A slab of ribs and a few chickens were declared samplers and we tasted our morning work. It was some of the finest meat I've ever tasted.

With plenty of workers now in place, Reid and I left shortly after the sales began. We had both worked our first ever Owensboro pit BBQ fundraiser and we enjoyed it. That's Reid in the photo learning how to spread the dip on the chickens. All in all, we had a good time and helped raise $2,300 for the band. I certainly have a new appreciation for what goes into an Owensboro pit BBQ fundraiser. I'll probably stop at more of them and enjoy the cuisine even more.

A more pleasant rebuild

I was sworn to secrecy awhile back, and the secret is finally out. Thompson Homes President Tommy Thompson announced today that his company is coordinating the construction for one of ABC-TV's Extreme Makeover: Home Editions starting September 5th, Labor Day Weekend. Tommy called it the "Super Bowl" for Owensboro.

One deserving family within a 20-mile radius of Owensboro will be the beneficiary of their dream home. Thompson has been busy gathering donated materials, building supplies and labor for the four-day build that will culminate with the family returning from a vacation on September 12th. The spotlight will be on Owensboro for that week and then again in late November or early December when the show airs to an audience of 14 million in the U.S. and abroad.

The coordination involved in the event is enormous. More than 1,000 volunteers are expected to help, the show itself will have 300 people in town, five meals per day will be served to people working on the home 24 hours per day. There will be a job for whoever wants to help. A rally will be held on Friday, August 28th at 8 a.m. to help explain the opportunities. Visit http://www.extremethompsonhomes.com/ to learn more.

In this community over the past nine years, we've rebuilt from two tornadoes, the mother of all ice storms, hurricane winds and more. This Extreme Makeover will be the best one yet.

A New Era of Bi-Partisanship?

Last week, Congressman Brett Guthrie spent considerable time in Owensboro. I was at a handful of his events, including a small business roundtable on Monday, the 10th, and at the GRADD board meeting on Wednesday when he spoke in the early afternoon. While he was wrapping up that meeting, I overheard him ask one of Governor Beshear's staffers who usually attends the meeting if it would OK for him to attend the governor's ceremonial signing of HB3 to be held about an hour later at RiverPark Center. Without thinking, I said something to the effect of, "Sure, you're welcome down there." It wasn't my place to give him "permission" but I was happy that Guthrie—a Republican—would want to attend a bill signing by Beshear—a Democrat.

Perhaps Congressman Guthrie has been listening to his constituents. They're the same people I hear all the time say they don't care about parties; they want the country's problems to get solved and most of them don't care if it's a Republican idea or a Democrat idea. Work together, whatever is required to lead progress. In my position, I work with both Democrats and Republicans and know neither party has a trademark on good ideas.

A week earlier, we saw another example of bi-partisanship. Governor Beshear and Indiana Governor Mitch Daniels—a Republican—shared the spotlight in Henderson for a ceremonial signing of the infrastructure authority portion of HB3, which should help Kentucky fund its share of the I-69 and Louisville bridges. The governors seemed very much at ease with one another and, for many I-69 advocates like myself, it was a rewarding sight.

Perhaps smart politicians are realizing that extending a hand across the political aisle is a smart move. The public wants to see it.

More Library Tax?

The Daviess County Public Library board is considering a small raise in the rate at which local residents support it. A tax payer who owns a $100,000 home and pays the annual $60 library tax under the current 6-cent rate would see that go to $61 with the proposed 6.1 cent rate. The board has advertised the higher rate and plans to discuss it at its August 19th meeting. Certainly, paying a $1 more per year is not a big expense for people in a $100,000 home. We have a very nice, new library at a great location on Frederica—a facility that is without doubt a community asset.

However, in these times of economic uncertainty, business closings/layoffs and decreased tax revenues at all government levels, I would suggest the library board make the necessary adjustments to avert a tax increase. I'm no Dewey Decimal System expert, but I would think some combination of reduced hours, fewer book and other material purchases might go a long way toward saving the 4% in new revenue the library apparently needs. After all, local and state governments are cutting more than 4%. Just because the board can raise the library tax doesn't mean it should. Certainly, tax payers are cutting back and business and industry are operating leaner than ever.

I found this story today http://www.jsonline.com/news/milwaukee/51360527.html from the Journal Sentinel in Milwaukee, WI. Faced with revenue shortfalls, their library board is taking entrepreneurial steps to look for alternatives to raising revenues. It's a different situation with several library locations in Milwaukee vs. one facility here, but the idea still applies: Instead of simply raising a tax, get creative like everyone else is doing.

Advocacy to Bill...

Yesterday's ceremonial bill signing by Gov. Beshear at RiverPark Center of HB3—the broad expansion of business incentives for Kentucky business/industry—was very rewarding to many of us who played a small role in its development.

In March of 2008, Gov. Beshear met with The Leadership Circle, a advocacy group of the Chamber of Commerce that sits down with elected leaders. In that meeting, the governor heard about "Hollywood" producers who were seriously looking at Daviess and Henderson counties for two film projects. He was told that while the state offered a variety of rural and urban settings that producers like, Kentucky's film incentives were woeful compared to other states. He was also told about the need for incentives for Broadway show production, which has found a home in recent years at the RiverPark Center. Though there had been similar discussion in past legislative sessions, the issue had not gained much traction in Frankfort.

The day after that meeting with the governor, I received a call from one of his aides telling me that Beshear had heard us "loud and clear" and that he would be working with Owensboro Representative Tommy Thompson and others to make it happen. Eventually, the First Lady promoted the issue and film and Broadway show incentives became part of the larger HB3 that passed during this summer's special session.

I was pleased yesterday when Gov. Beshear mentioned that March 2008 meeting in his remarks. Members of the Chamber's Leadership Circle had seen advocacy in action.

15 Years Later...

This evening, I took my bike for a spin and, for the first time, followed the greenbelt trail south and east across Fairview Drive alongside several neighborhoods through Lake Forrest all the way to Millers Mill Road. If you haven't been on this new Horse Fork section, I highly encourage it. Riding along seeing other bikers, walkers and runners practing their own version of healthcare reform—getting fit—was encouraging to me.

At the same time, I couldn't help but to think back to 15 years ago when the city landed the initial federal grant to build the first section of the greenbelt trail. "It's wasteful," "only a select few will use it," "what do we need that for?" were some of the nicer comments seen in the local newspaper and voiced around town. I must admit that I was a bit skeptical at the time. Would residents of the "fast food capital of the world" take the time to use such a trail?

Of course, today we know it's a big success. It's widely used—even by the guy I saw this evening smoking a cigarette while walking his dog. Developers have built and continue to build homes along it; young couples, families and empty nesters want to live near it. I'm proud that it runs through my east side neighborhood.

I also couldn't help but think that 15 years from now this community might look back and smile at the criticism about the redevelopment of downtown Owensboro. Yes, there's many differences but like the greenbelt, proponents and the politicians who approved it see the downtown plan as an investment in the future. If it turns out as well as the greenbelt, I think many will be smiling.

Horses and Kentucky

Growing up in southern Indiana, I was a fan of auto racing from an early age. Many people grow up in Kentucky with that same appreciation for horses. We've all read about the desire by some for expanded gaming in Kentucky. More recently during the June special session of the Kentucky General Assembly, adding slots to the horse tracks passed the House only to fail in a Senate committee. The issue is now expected to play a role in determining which party controls the state senate over the coming months.

I believe most people in the western part of the state (and probably eastern Kentucky too) appreciate the state's horse tradition even if they don't own horses. The popularity of the "Unbridled Spirit" state slogan speaks to this. Our Chamber of Commerce did not take a position on the idea of slots at race tracks. With there being no track in Daviess County, I believe most locals feel that Owensboro/Daviess County doesn't really "have a dog in that fight."

As the current president of the Kentucky Chamber of Commerce Executives, I recently took part in the interview process to hire a new director. The position is based in Frankfort, and we had about 50 applicants—most from the Lexington and Louisville areas. Four of the six people we interviewed had worked in a managerial position of some kind in the Kentucky horse business or with a company/association closely affiliated with horses. My eyes were opened to the fact that many people are touched by the equine industry in Kentucky. We see the jockeys, the trainers and hear about well-heeled horse owners, but there are many others we don't see.

I don't know where the debate about slots at the tracks will go. I highly doubt that I will ever own a horse. What I did learn one day, however, is that horses mean jobs and income for many people in Kentucky.