April 28, 2005

"So do the discussions with the Department of Education cease now that we have taken action legislatively? Absolutely not. We will continue fairly rigorously with the Department of Education in determining what our growth model should look like." -Gov. Huntsman

Reporters (in order of appearance):

KEN VERDOIA, KUED
TOM JORDAN, METRO NETWORKS
RICHARD PIATT, KSL-TV
DAM BAMMES, KUER
INGRID QUIROZ, LA PRENZA
CRAIG HISLOP, UTAH PUBLIC RADIO
MATT CANHAM, SALT LAKE TRIBUNE
JONATHAN BROWN, KCPW

Transcript:

KEN VERDOIA, KUED: Governor Huntsman, thanks for joining us today. Many in Utah are waiting for the other shoe to drop from the Nuclear Regulatory Commission on a decision on the Skull Valley Reservation. You've been busy with a round of what almost appears to be diplomacy, speaking to anyone that might be involved with this process, carrying the message of opposition forward. Where do we stand in this late hour?

GOVERNOR HUNTSMAN: I think- - I wouldn't describe it as a late hour. I think we have a lengthy process yet to play out. And I think some of that will include the role that the Department of Interior plays through a BIA appeals process, through a BLM appeals process, through a regular Department of Interior appeals process through the solicitor's office there. Not to mention the fact that I think we've heightened awareness as it relates to the security concerns from a homeland security standpoint. It was thought in the pre-9/11 world in terms of safety as opposed to security. Well the world has changed post 9/11, and I hope that we've been able to raise some awareness about the homeland security-related concerns, which means I think we're going to get some people looking into this from a different standpoint altogether, from a homeland security standpoint.

So I think we've still got some very important phases yet to pass through that will take some time. And through it all, I'm encouraged that Harry Reid, for example, seems to be making some good progress with his legislation. I heard a report most recently that there are some members of the senate who are looking anew at on-site storage, and I think, over time, that could very well be what a solution could look like. Not to mention the Department of Interior ultimately not extending a formal lease. So I see these two really as long-term, ultimately long-term solutions that I'm going to continue to work toward. Some would say that, you know, we're working hard and the writing is already on the wall. I don't see it that way. I see this as something we ought to be fighting, fighting very vigorously. An issue, moreover that I think does stand a fighting chance within the executive branch specifically, within the Department of Interior and legislatively with respect to the work that Senator Harry Reid is doing.

TOM JORDAN, METRO NETWORKS: Sounds very much bipartisan. Is that the way you characterize it?

GOVERNOR HUNTSMAN: I wouldn't characterize it. I think it's more of a regional issue right now. I think you're going to see bipartisan alliances in this region of the United States, that are looking, that are working more and more in harmony. Perhaps that wasn't the case during the Yucca vote years ago, but I think increasingly you're going to see some convergence of regional interests above political interests, and I think that's probably a pretty healthy outcome.

RICH PIATT, KSL-TV: Governor, yesterday the Committee for Consumer Services voted to accept your nominee, Leslie Reberg to head up that department. Along the way there was some politics that played a part in it, but I'm wondering if you could enlighten us on how personalities played into your decision to go in that direction, and if you had any concern about what was brought up about her past, working for U.S. West.

GOVERNOR HUNTSMAN: Well, I think Leslie Reberg is a good candidate, and I think there are plenty of people in this community will attest to the fact that she has, one, good experience in an industry that is relevant here, and number two, she has worked within the community on the political side, which means she's got a lot of good relationships. I think she understands the sensitivity of many of the issues that she'll be working with, and I think she'll be an aggressive advocate for the consumer, which I think is the most important feature, here. And so I think we need to give her a little bit of time to get immersed in the issues. She takes over the job today, and I look forward to her doing good things in this position. But we need to give her time.

I think the debate that we've had the last couple of months is not unhealthy. I think it's an extension of who we are, an extension of our democracy. We debate the issues, and I don't shy away from that. I think it's probably a healthy aspect of our community. Leslie is has now been voted in, 4-2, and I think we need to give her a chance to get in and work, defending the interests of consumers. And I do think that she'll do a good job. Now, you can look at anyone as they start a position and say, well, they don't have the requisite criteria, they don't have the experience that we're looking for. I guess people could have said that about me when I started as governor. People can say that about anyone as they assume a position.

All I'm saying is we've gone through the process, here, we did the analysis in choosing her, and I've got to say both Republican and Democrats alike were very, very supportive of Leslie, and remain very, very supportive. She is a Democrat, and I think that does add some diversity to the process. I think a very important aspect of diversity. She then was passed on to the committee, which deliberated about her, and ultimately came to a vote. And that vote, of course, being 4-2 allows her now to proceed in that position, and I'm looking forward to her performance in that capacity.

RICH PIATT, KSL-TV: Two of your nominees also, Yvette Diaz, also a woman, for Community and Culture, your nominee confirmed by the senate last week, both embroiled in some pretty antagonistic politics, I think, along the way, that worked against them for a time. Both of them, it worked out for both of them, but were you surprised at the antagonism that went along with both of those people?

GOVERNOR HUNTSMAN: I guess having been around politics a little bit, not completely. I guess I was a little bit surprised at the sharpness of the attacks, and the force of the attacks, but this has happened in politics, of course it happens in politics. Do I have two outstanding people in Leslie and Yvette? Yes, I believe I have two outstanding people, and I think over time that will be fully on display.

DAM BAMMES, KUER: Governor, the special session of the legislature just concluded, passed a bill that substitutes Utah's state education standards for the standards imposed by the No Child Left Behind act. You were ready to sign the bill the day it was passed, but put off doing that until next week. Has that given you any additional time to talk with the Department of Education about the implementation of No Child Left Behind, and is there any chance at all you're not going to sign the bill?

GOVERNOR HUNTSMAN: I will be signing the bill on Monday. I think, in keeping with my statement earlier about these things being good, healthy debates for the community, I think similarly, in this context, it's been a very important debate for our community. On the one hand, we've had the message sent through this legislation about primacy of local officials in driving education policy, which I think is important. Secondly, we've received, I think, a lot of good input on the performance gap that exists. And that is something that we do need to work on as a state. There is an achievement gap. I'm not sure that everyone was fully aware of the extent to which we have an achievement gap, but it does exist. And going forward, we as policy makers, the executive branch and the legislative branch, need to figure out ways to better address the achievement gap. For example, reading. For me, a certain level of fluency by third or fourth grade I think is going to be extremely important as we go forward, as a public policy tool in addressing the achievement gap. That's just one example of perhaps many other tools that we can look to.

But I will tell you this, No Child Left Behind, I think, is an iterative process, which is to say that it is evolving in terms of the growth model that they are working toward. They've already shared with us two or three different possible growth models that we could look to. Our U-pass process is also, I think, an iterative process. I think that it will be fine-tuned and perfected as we go forward.

So do the discussions with the Department of Education cease now that we have taken action legislatively? Absolutely not. We will continue fairly rigorously with the Department of Education in determining what our growth model should look like. So we will, the Department of Education will give a little bit, as they have since the beginning of these discussions. We've picked up a lot of important ground in terms of the way in which teachers are recognized and evaluated, in dealing with English as a second language concern, in dealing with students who struggle with different learning disorders and how they happen to be quantified in terms of the final results for schools under No Child Left Behind. So there's been a very rigorous debate, and yes, we've made some good progress but we're also learning as a state, and I think it's the learning part that we all need to be mindful of here. We now begin a new phase of work on the education policy front, and a good part of that I believe is going to be working to close the achievement gap.

TOM JORDAN, METRO NETWORKS: You've been I think aiming at a number of fairly controversial issues and trying to deal with them right away. This issue of achievement gap, are you happy with the dialogue you're having with the various ethnic affairs groups that you've been dealing with?

GOVERNOR HUNTSMAN: I am. In fact I had a round table consisting of leaders from the Hispanic Community, and some from the Pacific Island Community, and we talked about some of the issues that are most important for them, and the achievement gap did loom large in those conversations. And we have now impaneled a subcommittee, if you will, of this round table group, to look at the achievement gap. And I'm going, I think maybe next week or the week after, we're going to have our first meeting with some of these minority leaders to talk about the achievement gap and what we need to do as a community to recognize that it does exist, but moreover to work toward closing that gap. And I fully expect that Patty Harrington will be a participant in those discussions, and others who are important stake holders here. So I'm pleased that these discussions are going on, but I'll be truly happy when we start making some progress.

INGRID QUIROZ, LE PRENSA: Mr. Governor, they say that the president Vicente Fox is coming to Utah. What issue will you highlight with regards the Mexicans in Utah, and specifically so far how is the relationship between Mexico and Utah?

GOVERNOR HUNTSMAN: Well, thank you for the question, and welcome to the news conference. We don't know yet the exact dates of a Vicente Fox visit. We're working towards those dates. We hope that it happens in the next couple of months, I think it would be very good. He is looking at possibly a trip to Colorado, and a trip to Washington state. I think it speaks well of our state that he has made it one stop of three. And clearly the relationship is strong. There are trade and economic links that are important today, and will be increasingly important as Mexico is and will continue to be one of our most important trading partners. We have other issues, cultural exchange issues, immigration issues, all of which I think will be important to discuss. And I compliment Vicente Fox for taking the time and having the interest in visiting some of the interior states in the west, where we do have some shared interests. And I look forward to the visit if it does, in fact, take place, and we'll welcome him warmly.

DAN BAMMES, KUER: Do you expect the driving privilege card to be one of the items on that agenda?

GOVERNOR HUNTSMAN: I don't think so. Because it's through the driving privilege card that we're allowing many who are not fully documented to maintain mobility in an economy where we need to maintain mobility in order to succeed. We could have done what Colorado did, or what California did, which is to revoke that privilege altogether. I think we found a very good compromise, and that's how you maintain mobility while at the same time having a privilege card that isn't necessarily useable when it comes to identification. Or accepted by federal agencies for identification purposes. And when you look at the numbers, we've issued about 2100 driver privilege cards over the last several weeks, which is about consistent with the number of driver licenses that we would have issued during this same period of time a year ago. So I think the transition is being made with respect to the driver privilege card, and my hope is that we're able to work through some of those transitional issues seamlessly.

KEN VERDOIA, KUED: Governor, we're going to turn our attention now to our microwave location in Logan for a question from Craig Hislop, Utah Public Radio. Craig.

CRAIG HISLOP, UTAH PUBLIC RADIO: Governor, recently Utah State University officials considered extending benefits to same-sex couples on the staff and faculty here at Utah State. But the attorney on campus advised maybe that's not such a good idea, it might run afoul of Amendment 3. At the same time the attorney general is not at this time issuing any opinion on that. If the legislature asked for it, apparently he will. What's next, do you think, with Amendment 3?

GOVERNOR HUNTSMAN: Well, thanks, Craig, for the question. I think it really is more what is next with the board of trustees at Utah State University. You look at University of Utah, and I think they've already got a policy on the books. Utah State does not have a policy on the books. It is being now deliberated by their board of trustees, and the board of trustees has said there will be more to come. I think they're trying to work through it to the best of their ability, and we'll all stay tuned to see what ultimately they choose to do as a board.

RICH PIATT, KSL-TV: The opponents of Amendment 3 predicted that this kind of process would happen, and eventually lead to a legal challenge, the attorney general may end up defending Amendment 3, it could get expensive. Do you think that that fight is worth it, worth the cost, when we knew ahead of time that there was probably going to be a challenge like this?

GOVERNOR HUNTSMAN: Well, the challenges may come, and I think the attorney general is in a strong position to be able to do what he needs to do from a legal standpoint. But I don't necessarily fear the legal challenges that might come our way. I don't know that we'll have many of them. We'll just have to wait and see.

MATT CANHAM, SALT LAKE TRIBUNE: Governor, on tax reform, the task force the legislature created was supposed to start in March but has not yet got under way. This is a big proposal that you want done for next legislative session. Are you at all concerned that this is not possible now with the shorter time frame?

GOVERNOR HUNTSMAN: No, I think it's perfectly doable. You have to remember that many in the tax profession had a lot going on in their lives through April 15th. And many wanted to wait until the post-April 15th period before really getting engaged in this task force, and I have to respect that. I mean you bring in the tax experts and of course there's a period of their life that is extraordinarily busy, and now we're just beyond that. We have a couple of people that we'll be appointing to this task force, probably announcing that tomorrow. I think the task force work will pick up in earnest very, very quickly, and I do believe that by November we're going to have something to show the citizens of this state. And therefore something to present to the next legislative session. And if you were to ask me, I think it will resemble somewhat the good work that was done already by the tax review commission under Governor Walker. I think that is a very good place to start. So it isn't like we need to reinvent the wheel. I think we've got a solid foundation from which to work forward on tax policy. It's getting the task force together, it's getting all of the stake holders who are going to be part of this together. And I do believe that within the next couple of weeks that will happen.

LISA RILEY ROCHE, DESERET MORNING NEWS: Governor, your predecessor, Governor Walker as you just said, did come up with a specific proposal for restructuring the state tax system. You've come out in favor of one of those elements, phasing out the income tax on corporations. But you really haven't let the public know where you stand on some of the other proposals, doing the sales tax and individual income tax, for example. Do you anticipate coming out with your own proposal before the work of this task force is done, or do you want to see what they do first?

GOVERNOR HUNTSMAN: Well, a couple of things on that, Lisa. One, I think the very fact that we're putting forth this package as a foundation from which to begin should telegraph to many where I am leaning in terms of what I think is good tax policy. Second, I do think we need to let this process play out a little bit with the stakeholders involved to see what the market will bear from a public policy standpoint. There may be some changes, in fact I'm sure there will be some changes and some tweaks to our fundamental assumptions as we go forward. And we'll be able to talk more about that later. But the fact that we are putting this on the table as something that we want to work from, I think, is a pretty good suggestion in terms of what we think is good, what I think is good tax policy to begin with.

LISA RILEY ROCHE, DESERET MORNING NEWS: Is there anything you don't like in that package? For example, extending sales tax to consumer services like health care. Is that something you can support at this point?

GOVERNOR HUNTSMAN: This is going to have to be part of the debate. I will tell you this, that as we begin the process, the fact that we are a much different economy today than we were when my grandfather grew up and we were all agriculture, mining, and manufacturing. Today we're two thirds services based. And I think we need to have a tax regime that somehow is in line with that reality. Now I know not a lot of states have moved forward in terms of recognizing maybe where they are today as an economy versus a generation or two ago. But we're growing at such a rapid clip, with so many needs in education and transportation, that we have to have a tax regime that will support our future needs that is in line with what we are and who we are as an economy. So without getting into what sectors of the economy might or might not be affected, I think we'll let that discussion play out over the next several months, and we'll, of course, have a lot to say over time.

DAN BAMMES, KUER: Governor, members of your family and your family business reportedly contributed $20,000 late last year to the defense fund for Tom Delay, the majority leader in the U.S. House of Representatives. How closely do you communicate with members of your family on political issues such as this, and do you personally support Mr. Delay in his ongoing battles?

GOVERNOR HUNTSMAN: Well, I don't talk to my family about these matters. I didn't know that the contribution had been, but that shouldn't surprise anyone because they probably don't know where I make contributions either. Each is an individual, and they're able to do what they think is best. So I don't get involved in their personal political matters, and I would hope that they wouldn't get involved in mine. As for Tom Delay, I think the ethics process needs to work out, and render a judgment. And I'm sure in time we will know if there is anything nefarious that went on for which he should pay a price.

KEN VERDOIA, KUED: Governor, representatives of Utah's low-income groups have contacted reporters raising concerns about the impacts of proposed Bush Administration cuts on a wide range of programs over the next five years. Medicaid, earned income tax credits, housing, supplemental security income. And they say the human cost of these cuts will fall to the states, and it will have a profound impact on state budgets and plans for the future. Do you share those concerns, and what might you be doing to mitigate this initiative on the federal level?

GOVERNOR HUNTSMAN: I do share those concerns. And we, as governors, are taking this message back to Washington, as we did with the White House most recently on Medicaid. I think governors are largely together on the need to work collaboratively with federal government in financing some of these needs. And when you're looking at a $60 billion cut over ten years in Medicaid alone and expect that burden to fall on the states, I think that's absolutely unfair. So it is going to be a function of governors individually and collectively working with the Department of Housing and Urban Development, working with the Department of Health and Human Services, and indeed working with the White House in ensuring that they understand that these burdens are not easily assumed in a short period of time by states, many of whom are already strapped in terms of what they can afford.

JONATHAN BROWN, KCPW: Governor, Utah Democrats have raised the issue of a living wage and minimum wage. Can you clarify your position on these two issues?

GOVERNOR HUNTSMAN: Well, I don't know that anything needs to be clarified other than the fact that I'd like to look into it. A living wage. When you look at the rates that are paid around the country, they do differ. And the minimum wage has not been looked at in probably nine to ten years. Should we be looking at the minimum wage federally? I'll leave that to our federal authorities to decide. But each year we continue to fall behind. And so what is happening in our region? Well, there are 123 different cities and counties that have looked at a living wage, some with health care benefits, some without health care benefits. There are 31 states that have either done something about it, or are looking at doing something about it. You run anywhere from $5.15, which is where we are, Colorado's at $5.15, Nevada's at $5.15, Arizona's at $5.15, Idaho's at $5.15, Washington at $7.35, Oregon is at $7.25. So you do have, depending on the region of the United States, you have a differing rate.

I have said, and I continue to say that I'm willing to look into a living wage. In fact next week we have some interested parties who are going to come in and discuss the situation. I think it's worth discussing. Where that will take us I don't know, but I'm looking to be educated on what it means to embrace a living wage. I believe that we ought to be doing it, if we do something state wide, as opposed to a patchwork of city and county rates, that make it from an economic development standpoint maybe a little bit cumbersome. But it's not an issue that I'm shying away from.

RICH PIATT, KSL-TV: I want to try to squeeze in one more thing. The weather is rainy once more over a large part of the state, spring runoff is starting, flooding is starting. Is the state prepared to deal with catastrophic damage that some are expecting, in your opinion?

GOVERNOR HUNTSMAN: We are indeed prepared. And much of that is the fine tuning that took place in January of this year in Washington County. We are ever-vigilant. We have ordered hundreds of thousands of sand bags. We have local and state authorities who are working diligently in their respective fields on emergency response action, on preparedness, on ensuring that we stay ahead as opposed to behind of these incidents.

Right now we're looking at the Virgin, the Santa Clara Rivers as being potential points of vulnerability. We have two or three days of weather ahead. Not I'm not much of a meteorologist, I just listen to what I hear on the news. But the next two to three days could be challenging from a precipitation standpoint, and for the first time yet we're hearing up north from Box Elder, for example, Brigham City is experiencing even this morning some high water and basement flooding that may continue to get worse through the course of the day, and throughout the weekend. So we're going to monitor this very, very carefully so we'll be prepared.

KEN VERDOIA, KUED: We have 30 seconds left. Venture capital raised by Utah businesses up 400 percent in the first quarter of this year over the same period last year. It's not the go-go year of 2000, but still it's the best year in four years. What does this mean to the state?

GOVERNOR HUNTSMAN: It means that we have more seed corn for the entrepreneurs who exist in the state of which there are many. We have an entreprenurial zeal that is second to none in this state.The one thing they've lacked traditionally is the capital with which to make their dreams come true, and in some cases bringing talent and advisory services together as well. And we're doing everything we can to make sure that we have the full array of support services and funding for entrepreneurs so that they can start here and they can end here.

KEN VERDOIA, KUED: Governor, thanks for your time. A reminder that a transcript of this and every news conference is available on line at www.uen.org. Until next time, good evening.

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