Governor Napolitano says Arizona has momentum.
Entering her fourth year in office, she prepares her State of the State speech and a new budget, both of which she says will deal with continued momentum toward improving education and dealing further with illegal immigration.
Ms. Napolitano’s fiscal 2007 budget will be sent to the Legislature Jan 17 — a Legislature with which she hopes to have better relations this year.
The governor and Arizona Capitol Times reviewed her administration through previous State of the State addresses in an interview in her office Jan. 3.
In the first minute of your first State of the State speech, Jan. 13, 2003, you addressed Arizona’s $300 million deficit and a projected 1 billion deficit. As you prepare your fourth State of the State address for Jan. 9 this year, there is an estimated $750 million surplus. But is there≠ Several Republicans say we still have a $500 million structural deficit. What is the financial state of the state≠
I anticipate the surplus will be in excess of $750 million. It is true that to get out of the $1 billion hole we swept $118 million from the vehicle license tax fund, which we use for roads. We did some other what I call fiscal bridges. We need to take care of some of those things. We still need to put substantially more into education and we need to be setting aside some funds for a rainy day.
[Speaker Jim Weiers said on Jan. 4 the surplus is $850 million.]
It has been said there tends to be more political in-fighting when there’s more money available. How much of a budget battle do you anticipate this year, and will tax reduction legislation be the focus of the debate≠
It might be, although the question is what kind of tax reduction, what amount — reduction versus rebate. I’ll be proposing my own tax measures; I’ll be outlining those in the State of the State. But I think we need to take care of these other things first before we get to taxes.
And how much of a budget battle do you expect this year≠
It’s more up to the Legislature than it’s up to me. If they want to fight tooth-and-nail on every issue, we’ll have a battle. If they’ll realize there’s going to be some things I need, and I’m going to realize there are some things they need, we’ll get it done pretty quickly.
But you are going to talk about some tax initiatives in your speech≠
Yes.
Let me read another portion of your 2003 State of the State address: “We have the benefit of new blood at the Capitol — and lots of it,” and then you add, “both chambers have new leaders . . . Speaker Flake and President Bennett extended their hands of partnership . . .” What has developed since then has been a very adversarial relationship between you and Republican leadership, including lawsuits and accusations that you lied about budget vetoes. Two questions: Despite your problems with the Legislature, polls continue to reflect your popularity. To what do you attribute that popularity, and how do you see your relationship with the 2006 Legislature≠
I’m focused on the issues that Arizonans want me to be focused on. I’ve tried to deal with issues in a common sense, forward thinking way and give people a sense of momentum. I think Arizonans appreciate that. The noise between me and the Legislature is just so much noise in people’s otherwise busy lives. We focus on it at the Capitol, but most people just assume there’s going to be differences between the governor and the Legislature. I talk to my fellow governors who have legislatures of their own party, and they have issues. Part of it is just the different challenges confronting each branch of government.
I wish it were easier with the leadership. I wish they would recognize there were misunderstandings on all sides, but, if not, it’s going to make negotiating going forward more difficult. But in the end, you represent Arizona and get the work done.
Your first address touched on doing more for the state’s 560,000 military veterans. Prior to Senator Jim Waring’s package of military bills he as pre-filed this year, what has been done for our military people≠
I have proposed, for example, constructing a veterans’ home in Tucson, a veterans’ cemetery in northern Arizona. You can anticipate there’ll be a veterans’ package in the budget this year.
In your second State of the State address, you stressed the need to better protect Arizona’s children. That speech closely followed a special session that adopted reforms for Child Protective Services and approved additional funding for the agency. And yet, problems, notably with investigations of child abuse, remain. Are Arizona’s children safer now than when you took office≠
They’re safer. Can they be safer still≠ Yes. Has progress been made≠ Yes. Are we where we need to be≠ We’re getting there. It takes a while to dig out of the hole that CPS was in. I believe very strongly in the director. I believe in the direction the agency is going, and I think they’re doing a much better job, overall.
Have you heard any scuttlebutt or rumors of legislation coming up this time regarding CPS from some of its —
Fans≠
Detractors.
No, I haven’t. CPS is often the focus of some very unfair attacks, actually. But I watch the agency, I know what [DES Director] David Berns is doing and the challenges he’s confronting, and they’re making progress.
That second address also discussed drought. Critics say your administration and the Legislature have failed to significantly deal with water supplies and conservation — that only patchwork has been done. What’s your response≠
I think more needs to be done. Last year was a missed opportunity because it rained, and the sense of urgency disappeared. We have a lot of planning with respect to water to do if we have the kind of growth we’re anticipating. I will be putting water back on the agenda, and there will be significant water budgetary items.
Which you will not reveal at this time.
Which I will not reveal at this time.
Toward the end of your third State of the State —
You went back and read all of these≠
Yes, I did.
(Governor laughs heartily) Okay.
You touched on three issues that have since grown more legs than they had at the time. How will you address this year — either in your State of the State speech, legislatively or otherwise — trust land reform, Arizonans without health insurance and illegal immigration≠
All three of those will be touched upon in the State of the State and will be touched on in the budget as well. It’s fair to say that the two largest segments of the State of the State involve education and immigration.
Final question, Governor: Are you confident you’ll end up making eight State of the State addresses≠
That certainly is my plan (laughs).