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Gov.-elect: Volkswagen plans show 'Tennessee is a good place to invest'

Chattanooga Times Free Press - 1/16/2019

Jan. 15--NASHVILLE -- Calling Volkswagen's decision to build a new Chattanooga-based $800 million electric vehicle plant with 1,000 jobs "very important," Gov.-elect Bill Lee said it also invites new suppliers to the state, introduces the "technology of the future" here and "signals" to companies world-wide "that Tennessee is a good place to invest."

"The 1,000 jobs are very important," the Republican businessman said in a Times Free Press interview on Tuesday as he prepares to take his oath of office Saturday as the state's 50th governor. "But with that significant investment comes a number of suppliers that will be associated with the new technology of electric vehicles."

And, Lee added, "that's exciting. That's even more jobs and more companies locating here."

On Monday, Lee traveled with Republican Gov. Bill Haslam to the North American International Auto Show in Detroit where the announcement was made.

"You know, one of the other important things about this announcement is not just what it says about the automobile industry in Tennessee -- and we're unique in that we have three global manufacturers here," Lee said of VW, Nissan and General Motors. "As a state, we're very fortunate. But when an announcement like this comes, it signals to every industry across the world that Tennessee is a good place to invest."

It's not immediately clear what economic commitments Haslam made to land the new plant.

Asked about the size of the incentives package on which he will need to win approval for from the Republican-led General Assembly, Lee smiled and noted "as they say, one governor at a time." He said he doesn't know the full details yet but doesn't anticipate problems gaining approval.

"I think the General Assembly is pleased with 1,000 jobs coming to the Chattanooga region and all that comes with that," he noted.

Lee said it also factors into his campaign pledge to place new emphasis on vocational and technical education in public middle and high schools. Lee, who owns a heating, cooling, plumbing and electric business that generates $225 million a year, highlighted the need to get young Tennesseans engaged in well-paying trades.

Last week, he put his Franklin-based company, which has some state contracts, in a blind trust, ceding control of the family-owned firm.

A political newcomer who emerged as victor in a crowded GOP primary field in August and who went on to win handily in November against former Nashville mayor and Democrat Karl Dean in November, Lee said he has been preparing to hit the ground running.

He's named much of his cabinet -- the three latest commissioners announced on Tuesday -- and has been working with previously announced staffers, including his finance commissioner-designee Stuart McWhorter.

Among his cabinet-level staff is Chris Devaney of Lookout Mountain, a former Tennessee Republican Party chairman who had served as Lee's campaign manager. Devaney is special assistant to the governor.

He said he's pleased that his appointments include a "pretty strong representation" from each of the state's three grand divisions, although acknowledges a number come from Middle Tennessee.

"I'm an outsider who has looked for the most highly competent folks in every region of the state to join this team," said Lee, who has never held previous elected office. "People who understand my vision for the state and who are committed to fulfilling my vision and my values and my commitment of those things I think are most important. I feel real encouraged about where we are."

He, McWhorter and others are already working on the budget and the budget office "and getting a real understanding around that so we can present the budget," Lee said of the state's annual spending plan, currently pegged at $37.8 billion. "I feel really good about that process and our understanding of where we are on the budget."

The job now is "aligning that budget with the priorities I talked about on the campaign trail and will follow through with legislatively going forward," he said.

Lee doesn't have to submit his proposed budget until March 4 when he delivers his first State of the State address to state lawmakers.

He said his "biggest priorities" remain those he talked about on the campaign trail.

"Over and over again, I said a good job, good school for your kids, safe neighborhood. That's what matters most," Lee said.

Besides his emphasis on technical and vocational education, Lee said, "you know I've long talked about re-entry programs, how important they are to reducing recidivism or reducing the rate of return to prison."

That also includes "alternative sentencing on the front side. Strengthening our drug courts and mental health courts and veterans courts. So we're looking for ways to do that."

During his campaign, Lee repeatedly ruled out expanding the state's Medicaid program with funds available under the federal Affordable Care Act. The problem is high costs, he said, pledging to address them. He provided few details during the campaign.

"There are a number of ideas around that," he said Tuesday. "We're going to look at anything that we can do to work with the federal government to reduce costs. I think every Tennessean deserves access to quality health care that they can afford. And the key word in that is afford."

Soaring health care costs are "unsustainable," he added. "And so we have to address those escalating costs in order for folks to have access."

His plan is to work with the Trump administration on "whatever waivers we can to construct a system that works for Tennessee. It's not federally constructed, it's constructed by Tennesseans, that will work for Tennesseans."

Lee heads into office with high approval ratings, with 57 percent having a positive view of him, according to a poll conducted last month by Vanderbilt University.

"Overall, we see support for an agenda that could work for our incoming governor," said John Geer, Gertrude Conaway Vanderbilt Professor of Political Science and co-director of the Vanderbilt Poll. "Education and the economy are strong priorities, as well as immigration and infrastructure."

Asked what he expects from Saturday's inauguration, Lee quipped "rain."

"It'll be an opportunity to reflect on history and to talk about the future and what we want to do going forward," Lee said more seriously. "I said in my acceptance speech and I'll reiterate that I want to communicate that I want to be the governor for every Tennessean.

"There's more that unites us than divides us," Lee said. "And I want to move forward in a positive way with positive results that benefit the lives of every single Tennessean. That's what I hope to convey Saturday."

Contact Andy Sher at asher@timesfreepress.com or 615-255-0550. Follow him on Twitter @AndySher1.

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