The regular session of the 2001 Tennessee General Assembly is now history,
in more senses than one. For the first time ever, a session of the legislature
went overtime, with no budget ready in time for the next fiscal year.
For the first time, also, the Assembly finally emerged with a
budget that everyone knows is only temporary (“stopgap” is the going
term) and will most likely need to be repaired in some kind of reconvening
later this year.
For the first time in memory, vital services are likely to be cut
rather than held even or expanded. And — almost certainly for the first time
since the Civil War — the process by which law was made in Tennessee was
directly influenced by a mass of aroused individuals standing watch over
proceedings and basically dictating the outcome.
Perhaps we should count ourselves lucky that the crowd that
overwhelmed the Capitol grounds, laid siege to the building itself, and
essentially held the members of the state Senate and House hostage in their
chambers did not, so far as we know, possess weapons. But they smashed
windows, roughed up legislators, and kept up a torrent of abuse that
effectively prevented negotiators on both sides of the political spectrum from
reaching a mutually satisfactory agreement.
Last week’s mob outburst may provide some explanation for why the
men and women whom Tennesseans elected to send to Nashville behaved so
fecklessly and fearfully for so long — wasting not only the six months of the
super-elongated 2001 legislative session but spending most of the previous two
years dodging the fiscal realities that Governor Don Sundquist and a few
legislative leaders in both parties have pleaded with them to deal with.
The problems remain, however. And they will worsen with time. The
basic reason why Tennessee is in the fix it is in, having to restrict services
— basic medical and educational ones among them — while trying to fend off
enormous deficits is that, as Sundquist and his advisers have said, time has
passed the state’s tax structure by.
No longer will the sales tax — a revenue device designed for the
retail-oriented 1920s — serve Tennessee’s purposes. Even during the recent
economic boom, the sales tax, though pegged to abnormally high levels, did not
generate enough revenue to enable the state, now dominated by a largely tax-
free service economy, to hold its own. Most legislators had the good sense to
resist the lure of another sales-tax increase.
A poll sponsored by the boosters of a proposed state income tax
seems to show that a majority of Tennesseans would welcome — and profit from
— a shift to an income tax as a basic revenue device. But, whether it
represented the feelings of a minority or not, the anti-income tax sentiment
which culminated in last week’s disturbances is quite real.
Faced with unpalatable choices, the legislature this year put off
the issue by looting the entire $560 million which was the state’s share of
national tobacco-settlement money. It was an act equivalent to raiding one’s
personal savings just to pay the rent.
We urge Governor Sundquist to veto the budget enacted last week
and, if overridden, to call the legislature back into special session and keep
it there until it decides, come what may, to deal with the specter of an
economically threatened future that will soon be upon us.