Some senators are now talking about censuring Blackburn, a freshman from
Nashville's wealthiest suburb, for instigating the rowdy protest, which never
got violent but damaged state property.
The two radio hosts say they're sorry about the three windows that got smashed.
Steve Gill is a 44-year-old trade lawyer, a former White House fellow and an
aspiring Republican politico who came within 900 votes of winning a
congressional seat in 1994. He does the morning drive, 5 to 9, on Nashville's
WWTN SuperTalk.
Phil Valentine, 42, is a sometime actor, sometime singer and a guy who likes to
dress up like Elvis and pass out doughnuts on the streets of Nashville. His
afternoon talk show on WLAC is ranked No. 1 in the market.
The two use unorthodox methods--like steering protesters to lawmakers' homes and
telling listeners to mail their legislators used tea bags. (The Boston Tea
Party, get it?) They see themselves as a conservative counterweight to a
typically liberal media.
"At least we're up front about our bias," Valentine said.
They're well schooled in tax policy, the hot issue right now in Tennessee.
One of the state's problems is that it is so dependent on the sales tax, which
targets goods, not services. As the state has shifted from manufacturing to
service industries, such as health care and distribution (Federal Express is
headquartered in Memphis), tax revenues have declined as a percentage of the
economy.
Meanwhile, Tennessee is spending more money than ever, undertaking ambitious
social programs like TennCare, a subsidized health care plan, and building more
prisons and schools. That has pushed the state budget up 87% in the last 10
years, an increase far exceeding population growth and inflation.
Enter the downturn. As in most other places, business has been a little off in
Tennessee the last six months, and unemployment has risen from 3.9% to 4.3%. The
tax receipts the state was counting on never materialized.
For example, sales tax revenues have come up $230 million short of projections,
a 5% shortfall.
"It may not sound like a lot," said Gerald Adams, one of the governor's budget
advisors. "But it's a big deal when you're on the margin."
Making Ends Meet
Economists say there's a simple solution: a state income tax. Revenue generated
by income tax tends to keep pace with the economy. Just look at the federal
budget.
Most of the states without an income tax have other revenue generators that make
up for it: oil in Texas and Alaska, tourism in Florida, slots in Nevada.
The most recent state to add an income tax was Connecticut in 1991, and it drew
huge protests.