Holden holds to 'bright future' at his term's halfway point

JEFFERSON CITY, Mo. -- On a huge banner strung from the Capitol's columns and in blue-and-white neon lights above the Rotunda's grand staircase, Gov. Bob Holden proclaimed a vision of "one bright future" for Missouri as he took office two years ago.

Now, halfway through Holden's term, it seems the freezing temperatures and brisk winds of that day might have been better indicators of the immediate future.

The budget troubles of which he was warned shortly before taking office have snowballed -- part of a national trend precipitated by a poor economy.

Yet Holden has no intention of renouncing his inaugural theme.

"I still hold to that," Holden said in an interview. "Out of these challenges come opportunities."

Holden explains it like this: "Those states that make the right decisions and make the right investments now are going to be the winners five, 10, 15, 20 years from now as this economy changes."

A tight budget forces politicians to choose priorities, "and that's the reason I talk about education and health care," Holden said, "because without those two things, you don't have a viable society."

Indeed, Holden and Missouri legislators have accomplished two things many states and the federal government have not:

First, they enacted a state-funded prescription drug benefit for low-income senior citizens while Congress failed to agree on a way to provide prescription medicines for Medicare recipients. Holden called lawmakers into a special session in September 2001 to pass Missouri's SenioRx program.

Second, Missouri increased funding for elementary and secondary schools by 6.6 percent this year while many other parts of the budget were cut and some states reduced their funding for public schools.

Holden's campaign stump speech, starting to take shape well before the 2004 election season, also notes enactment of new initiatives for women's health; renewal of a children's Medicaid program; and creation of the first state-level position of homeland security adviser.

But there are holes in Holden's resume too.

Most glaring is the state's failure to fix its potholed roads and improve its transportation system. The state transportation department has presented the problem as too little money.

Holden unsuccessfully proposed a tax increase for transportation in the 2001 legislative session, then backed a tax initiative rejected in August 2002. He then said the transportation department's poor credibility was to blame.

He has also had public image problems -- starting with the $1 million inaugural celebration that he later acknowledged as a costly mistake.

Republicans already are jockeying for the chance to challenge Holden in 2004, although they hope to avoid a contentious party primary that could damage their candidates.

Secretary of State Matt Blunt has publicly said only that he is considering a run for governor but has been lining up support from legislators.

Also considering the race is U.S. Rep. Kenny Hulshof, a Republican from Columbia, although the recent death of his father and birth of his second daughter have added more family considerations to his decision.

Senate President Pro Tem Peter Kinder of Cape Girardeau and House Speaker-nominee Catherine Hanaway of Warson Woods have both said they will not challenge Holden in 2004.

Yet the cooperation of those two Republicans during the second half of Holden's term could play a significant role in his re-election chances.

Both have sparred with Holden in the past but -- at least for now -- are promising to try to work with him.

Kinder declined to rate the governor's performance at the midpoint of his term. Hanaway said circumstances have not helped Holden.

"It's been a very difficult first two years for the governor and the state and really the whole country," she said. "He's trying very hard to be governor, and I think we have to work with him to get things done."

Holden's biggest challenge -- both administratively and politically -- is the state's tight budget and, ultimately, the sluggish economy in which Missouri has lost 77,700 jobs in approximately 18 months.

November's elections saw Republicans win full control of the Missouri Legislature for the first time in more than 50 years and four incumbent governors ousted in other states.

Holden said those political changes had more to do with the economy than with the popularity of individual politicians.

And he said Missouri voters would be wrong to compare him to fellow Democratic Gov. Mel Carnahan, who presided over the generally flush economy of the mid-to-late 1990s. A better measure, Holden said, is how Missouri has handled its recent budget cuts compared to other states.

In that regard, Holden points again to this year's boost in public school funding and the creation of a prescription drug benefit for the elderly, which was fully funded in the budget.

"If you step back and take a look at where we are and what we've done in comparison to the other states and how they've managed the problems of today, I think we've done very well," Holden said.