TUESDAY, JUNE 5, 2012 Haslam Signs Measure to Lower Food Tax (TN Report)

Tennessee Gov. Bill Haslam today traveled to Marion County to sign legislation to reduce the state portion of the sales tax on groceries from 5.5 percent to 5.25 percent. Haslam held a ceremonial bill signing at the locally- and independently-owned Smith Bros. Grocery in W hitwell, Tenn. Were focused on making state government more efficient and more effective while reducing the cost to taxpayers, Haslam said. The sales tax on food touches all Tennesseans, and this is an effort to lower the burden. I applaud the General Assembly for passing this important piece of legislation this year. The bill, SB 3763/HB 3761, was introduced by the governor and was one of three tax cuts passed by the legislature and signed by Haslam this year as the state continues its work toward providing the best customer service at the lowest possible cost to taxpayers. http://tnreport.com/blog/2012/06/04/haslam-signs-measure-to-lower-food-tax/

Gov. Bill Haslam signs bill cutting grocery tax (Times Free-Press/Sher)
Republican Gov. Bill Haslam held a ceremonial signing of legislation Monday that cut Tennessee's state sales tax on groceries by one-quarter cent on July 1, even as Democrats continued to argue that the reductions should be deeper and occur more quickly. "This is a significant day for Tennessee," Haslam said during a presentation at Smith Brothers Grocery in Whitwell. "This is one tax that almost every Tennessean pays." He acknowledged that, while cutting the tax from 5.5 percent to 5.25 percent -- as well as plans in 2013 to take it down to 5 percent -- "won't help everybody a lot, it will help everyone some, and that's an important first step." The quarter-cent reduction will save a consumer 25 cents on a $100 grocery bill, affecting millions of consumers across the state. Each quarter-cent reduction costs the state about $21.3 million in annual revenue and, when it goes to a half cent, the revenue reduction rises to $42.6 million. Ultimately, the cut will shave 10 percent off the tax. However, some consumers weren't highly impressed with the cut on Monday. http://www.timesfreepress.com/news/2012/jun/05/haslam-signs-bill-cutting-grocery-tax/?local

Governor Haslam signs grocery tax reduction bill (WRCB-TV Chattanooga)

You'll soon be spending a little less at the grocery store. Monday afternoon, Governor Bill Haslam signed into law the grocery tax reduction bill. But before you start spending your savings, Channel 3 takes a look at just how much you'll bank. Lifetime Whitwell resident Stella Morrison won't mind spending less at the grocery store. "I think it's a great idea," Morrison says. "W e've heard about it in other states." Monday, Governor Bill Haslam signed into law the grocery tax reduction bill outside Smith Brothers Grocery in Marion County. Store owner Billy Joe Smith says any little bit helps. "Seventy-five percent of these people are probably on some type of a check, whether it be social security or unemployment," Smith says. "Anything will help these people in this little, small community." The bill decreases the state sales tax rate on sale of food and food ingredients from 5.5 percent to 5.25 percent. On average, it will save shoppers 75 cents a week, and cost the State of Tennessee $18 million a year. http://www.wrcbtv.com/story/18698122/governor-haslam-signs

Haslam Touts Food-Tax Reduction (WPLN-Radio Nashville)

The state sales tax on food is set to drop a little bit next month. On Monday Governor Bill Haslam held a ceremonial signing for the new law, which lowers the current 5.5 percent tax on groceries. The new law will save Tennesseans $0.25 in taxes on every hundred dollars worth of groceries. At the Kroger in Nashvilles Bordeaux neighborhood, Linda Phillips says its better than nothing. REPORTER: How much of a difference does that make to you? PHILLIPS: Well, very little, but any decrease is an increase for my household, so it definitely helps. But Shaterial Starnes figures the savings could add up. STARNES: Collectively, I guess over a period of

time, it can make a difference. My preference would be there not be any sales tax on food. In other states theres no sales tax on food, so The quarter-percent tax cut amounts to about $21 million in next years state budget. http://wpln.org/?p=37895

By the numbers: The ROI of Tennessee's incentives (Nashville Business Journal)

Republican Gov. Bill Haslam recently expanded a state program that provides cash grants for companies looking to move to or grow in Tennessee. It's all part of an effort on behalf of Tennessee officials to save taxpayers money, be more transparent about economic development spending and keep the state competitive. Meanwhile, the move has reinvigorated a decades-old conversation about the effectiveness of business incentives. Economic development officials, as well as some business leaders, agree that incentives are a must if Tennessee wants to compete globally for jobs. But just how effective those programs are in maintaining and growing the state's workforce is still up for debate. Like any business, the return on investment for those programs is measured by a myriad of factors. But we wanted to look at it strictly by the numbers. As excerpted from the current print edition of the Nashville Business Journal, here is what we found: http://www.bizjournals.com/nashville/blog/2012/06/a-closer-look-at-tennessees-incentive.html

2 groups authorized to open Tenn. charter schools (Jackson Sun)

Two of the nations leading charter management organizations have been authorized to open new charter schools in Memphis and Nashville. The Achievement School District has allowed Aspire Public Schools and Rocketship Education to open 26 schools by the 2019-2020 school year, district head Chris Barbic announced Monday. Aspire will oversee 10 schools in Memphis. It currently operates 34 schools across California with about 12,000 students. Rocketship has about 2,400 students in five charter schools in San Jose. It will operate eight schools each in Memphis and Nashville. The other charter organizations selected by the Achievement School District include Capstone Education Group, Gestalt Community Schools, KIPP Nashville, KIPP Memphis Collegiate Schools and LEAD Public schools. The charter groups will open nine schools in Memphis and Nashville next year, with plans to open a total of 41 by 2020. The nine schools will serve as many as 3,000 students. Tennessee is an exciting place to be, said Aspire CEO James Willcox. The environment for change here is one that has built up over a long period of time. http://www.jacksonsun.com/viewart/20120605/NEWS01/306050005/2-groups-authorized-open-Tenn-charterschools(SUBSCRIPTION)

TN to convert 10 failing schools in Nashville to charters (Tennessean/Rau)

State will convert Metro campuses to new charters The state plans to convert 10 failing Nashville schools into charter schools that will serve about 5,000 students by 2020, the Tennessee Achievement School District announced Monday. The move marks a dramatic expansion of the Achievement School District in Davidson County. This fall, about 100 Davidson students will be enrolled in an Achievement School District school when LEAD Academy takes over fifth grade at Brick Church Middle School. The Achievement School District, created as part of Tennessees response to the federal Race to the Top initiative, authorizes charter schools and also directly runs low-performing schools. LEAD Academy was tabbed by the Achievement School District to gradually take control of an existing middle school, beginning in 2013. California-based Rocketship Education will take control of eight elementary schools in Nashville, with its first school also opening in 2013. KIPP Academy, which had its application to open a charter school in Nashville rejected last week by the school board, was also selected by the ASD to take over a middle school starting in 2013. http://www.tennessean.com/article/20120605/NEWS04/306050030/TN-convert-10-failing-schools-Nashvillecharters?odyssey=tab%7Ctopnews%7Ctext%7CNews&nclick_check=1 (SUBSCRIPTION)

State taps three charter groups to operate schools in Nashville (CP/Garrison)

A state governance body that oversees Tennessees lowest-performing schools has authorized three organizations to open publicly financed, privately led charter schools in Nashville. Tennessees Achievement School District, comprised of 85 schools statewide, announced Monday it has contracted with Nashville-based LEAD Public Schools, California-based Rocketship Education and KIPP Nashville to serve Metro students who attend some of the districts historically struggling schools. Were incredibly excited that these local and national charter leaders have stepped up to join the Achievement School District and serve our communities, ASD superintendent Chris Barbic said in a statement. Tennessee is becoming the epicenter of educational 2

transformation. LEAD is authorized to convert one of nine traditional Metro schools that fall under the ASD into a new charter school beginning in the 2013-14 school year. It is still unclear which Metro school LEAD will take over. http://nashvillecitypaper.com/content/city-news/state-taps-three-charter-groups-operate-schools-nashville

State approves charter school groups to run more Memphis schools (CA/Roberts)
Five charter organizations Monday got the green light to expand their brands in Memphis City Schools, including two West Coast operators moving for the first time outside California. The local operators are Gestalt Community Schools, KIPP Memphis and Capstone Education Group. Each started with one school in Memphis. Based on the strength of their balance sheets and improved test scores, they are now being given charge of lowperforming schools in the Achievement School District. Aspire Public Schools and Rocketship Education were also approved. Both are high-achieving, fast-growing charter operations in California. "W e're incredibly excited that these local and national charter leaders have stepped up to join the Achievement School District and serve our communities," said ASD Supt. Chris Barbic. "Tennessee is becoming the epicenter of educational transformation." KIPP Nashville, LEAD Academy and Rocketship will also take over public schools in Nashville. Between the five operators approved in Memphis and three in Nashville, the charters expect to be running 41 ASD public schools by 2019. http://www.commercialappeal.com/news/2012/jun/04/state-approves-five-charter-school-groups-run-more/ (SUB)

Can Schools Fail their Way to Success? (Memphis Daily News)

Tennessee's Achievement School District is in the news today. In Nashville, there was a press conference Monday to announce that seven charter school organizations plan to open nine new schools in the ASD in Memphis and Nashville in 2013, the year of the big change. Is the Achievement School District like the NBA Lottery? Can you fail your way to success? In the NBA, if a team is mediocre it winds up with a low-to-middling draft pick, but if it is really bad, it is rewarded by making the lottery and has a chance (but not a certainty) for the number-one pick that can turn the team around in a year or two. In schools, it seems that if a public school is mediocre it stays that way and remains part of the parent system (let's say Memphis City Schools). But if it is deemed a failure year after year by state standards, then it becomes part of the charterized Achievement School District and gets an infusion of special attention and new leadership. And some of the individual teachers and principals at the failing school can also get new life in what purports to be a "worst to first (top 25 percent)" program. http://www.memphisflyer.com/CityBeatBlog/archives/2012/06/04/can-schools-fail-their-way-to-success

SCORE Tardy Turning in Teacher Evaluations System Review (TN Report)

The education reform group charged with grading the states new teacher evaluation process is turning in its homework late. No, the dog didnt eat their research paper. But the State Collaborative on Reforming Education, SCORE, wanted to take a more time collecting data, officials said. Frankly, its that we had some additional inputs from people across the state over the last few weeks, said David Mansouri, SCOREs spokesman. W e feel like this is a really important document, and we wanted to make sure all those inputs were included. The report was originally due out June 1, but Mansouri and the governors administration say to expect it June 11. The report is the result of feedback from some 27,000 educators, parents and experts from the business community along with state and national education groups through online questionnaires, roundtable discussions and sit-down interviews, said Mansouri. The results of the study touch the future of job evaluations for some 64,000 teachers and thousands of principals and education staff as state officials expect the report will drive revisions to the system going into the 2012-13 school year. http://tnreport.com/blog/2012/06/04/score-tardy-turning-in-teacher-evaluations-system-review/

City Cafe reopens in Murfreesboro (Gannett)

A week and a half after the Tennessee Department of Revenue seized City Cafe, the iconic restaurant reopened Monday amid a dispute over how much it owes in state sales taxes. I made it a point to come down here after they opened it back up, said Brad Lamb, a local bank employee who considers himself a third- or fourthgeneration City Cafe diner. Lamb said he was completely shocked by the states move to shut down the restaurant, but added, W ith the way things are, you dont know what to think. For more than 100 years at different locations on the Public Square, City Cafe has served an eclectic collection of customers, ranging from 3

bankers, lawyers and judges to blue-collar workers, MTSU students and families with small children. Open for business Megan Finley was glad to see the East Main Street restaurant reopen as she occupied a booth by herself Monday afternoon. She eats there regularly because its a Murfreesboro institution. Building co-owner Cindy Perkins, whose son, Scott, is sole proprietor, said Monday the restaurant remains in a dispute with the state Department of Revenue over sales tax. http://www.tennessean.com/article/20120605/NEWS01/306050036/City-Cafe-reopens-Murfreesboro? odyssey=tab%7Ctopnews%7Ctext%7CNews&nclick_check=1 (SUBSCRIPTION)

Greene Co. woman charged with TennCare fraud (Herald-Courier)

A Greene County woman is charged in nearby Carter County with TennCare fraud for selling prescription drugs paid for by TennCare. The Office of Inspector General (OIG) today announced the arrest of Phyllis Hamm, 55, of Chuckey, after a joint investigation with the 1st Judicial Drug Task Force, the Johnson City Police Department Vice Unit, the Carter County Sheriffs Department and the Elizabethton Police Department. Hamm is charged with one count of TennCare fraud and one count of sale of a Schedule III controlled substance. Shes accused of using TennCare benefits to obtain a prescription for Suboxone, a painkiller used to treat addiction to drugs such as morphine, later selling a portion of the prescription. We are working closely with local law enforcement officers in an aggressive effort to go after anyone who misusing their TennCare benefits, Inspector General Deborah Y. Faulkner said. Were intent on stopping illegal drug activity in TennCare. TennCare fraud is a Class E felony carrying a sentence of up to two years in prison, and sale a Schedule III controlled substance by fraud is a Class D felony, punishable by two to four years in prison. District Attorney General Anthony Clark is prosecuting. http://www2.tricities.com/news/2012/jun/04/greene-co-woman-charged-tenncare-fraud-ar-1964915/

Emails show special judge sought to block public scrutiny (N-S/Satterfield)

Special Judge Jon Kerry Blackwood removed motions from a court file, ordered prosecutors to make no public mention of them, used email communication in lieu of orders and hearings and favored meetings in chambers over public hearings all to avoid public scrutiny of his handling of the Christian-Newsom torture-slaying cases, documents show. Blackwood's displeasure at media coverage of his decision-making in the cases of four defendants in the January 2007 killings of Channon Christian, 21, and Christopher Newsom, 23, is detailed in emails made public as part of an effort by Knox County District Attorney General Randy Nichols' office to request that Blackwood step down from the case. Late Friday afternoon, Assistant District Attorney General Leland Price filed in his boss's name a motion asking Blackwood to recuse himself, after Blackwood stated in an email that he intended to order, without a public hearing, new trials again for the murder defendants. Blackwood's intended ruling came after the Tennessee Supreme Court opined that Blackwood's legal reasoning for granting new trials was legally flawed and ordered him to revisit the decision. http://www.knoxnews.com/news/2012/jun/05/emails-show-special-judge-sought-to-block-public/

Voter ID Opponents Shift Focus to Education, Rallying Democratic Voters (TNR)

Liberal critics of Tennessees voter identification requirements passed in 2011 by the state Legislature say theyre presently focused more on education, outreach and fanning outrage in the court of public opinion than a direct legal challenge. Clearly, litigation-focused groups like the American Civil Liberties Union still despise the new law, which requires voters to show a form of government-issued photo ID in order to cast their ballot, says Hedy Weinberg, executive director of the Tennessee ACLU. But plans for a lawsuit are on the back burner, she says. No matter what, this law exists, and we have to figure out how those individuals who want to vote can get the documentation to get the free voter ID if they dont have the money or the resources to pay for a photo ID, she said after a town hall meeting on voter suppression hosted by the United Steelworkers at the Fithteenth Avenue Baptist Church in Nashville Thursday. http://tnreport.com/blog/2012/06/04/voter-id-opponents-shift-focus-to-education-rallying-democratic-voters/

Tea party influence in TN may be limited (Tennessean/Sisk)

Buoyed by the fruits of redistricting, which came on the heels of the Republican Partys big win in the 2010 midterm elections, tea party groups see new opportunities to nudge the state in a more conservative direction. But unlike in Indiana, Texas and many other states where their clout has resounded loudly, Tennessees tea 4

party groups have not yet rallied around a slate of candidates, lowering the likelihood that they will be able to tip the balance in races this fall. Canny positioning by the states GOP politicians and a long tradition of electing moderates appear to have taken steam out of the tea party movement. Fractured and leaderless, tea party groups in Tennessee are largely pursuing their own priorities in the August Republican primary and Novembers general election. That makes it difficult for any to mount the sort of upset bid that has already claimed U.S. Sen. Dick Lugar in Indiana and carried former Texas Solicitor General Ted Cruz into a runoff for a U.S. Senate seat from that state. Tennessees tea parties have made their presence felt at the local level. Last week, a tea party rally at the Limelight nightclub in Nashville drew scores of activists eager to mobilize against plans for a Metro property tax increase. http://www.tennessean.com/article/20120605/NEWS02/306050010/TN-tea-parties-influence-may-limited? odyssey=tab%7Ctopnews%7Ctext%7CNews&nclick_check=1 (SUBSCRIPTION)

Dean proposes $2.5M for "zombie" neighborhoods (Nashville Business Journal)

Mayor Karl Dean is proposing $2.5 million to pay for unfinished infrastructure as Metro government works to clean up the last of a series of "zombie" neighborhoods in the Antioch area. Dean set aside the money in his proposed $300 million capital spending plan, though administration officials say they hope to only spend a fraction of that as they complete negotiations on a few final subdivisions. Successful negotiations would resolve an issue that sprang up in the economic downturn as developers went broke or walked away from projects, leaving many neighborhoods with unfinished infrastructure. Dean said Friday Metro was "left with this issue" that poses health and safety risks and hurts property values as people live in unfinished neighborhoods. The administration says the $2.5 million should more than cover any remaining infrastructure Metro could envision paying for. That would be just a fraction of the more than $30 million some argued Metro was responsible for following a debacle that has evolved from contentious in both political and business circles to collaborative. http://www.bizjournals.com/nashville/news/2012/06/04/dean-duvall-antioch-zombie-bonds.html

Nashville property tax hike supporters may get drowned out (Tennessean/Cass)
Some of the people offering a helping hand to Mayor Karl Dean this spring would benefit from the property tax increase hes seeking. After receiving a May 4 email blast from the mayors office, which wanted help making the case to Metro Council members, Tom Cigarran wrote back: W ill do. You have my full support. Cigarran is chairman of the Nashville Predators ownership group, which gets millions of dollars of taxpayer support each year. Records obtained by The Tennessean under the states open records law show that the mayors office got a similar response from Buck Dozier, director of the Metro-owned Tennessee State Fairgrounds, which would get a $200,000 subsidy from the city: Please tell the Mayor that I agree, and I will do what I can. Voices like those could be in the minority at 6:30 tonight, when the council will hold a public hearing on Deans proposal for a 53cent tax increase to raise about $100 million, undergirding a $1.71 billion operating budget. An estimated 200 to 250 people turned out for a tea party rally to protest the tax hike Thursday, organizer Ben Cunningham said. And most of the nearly 300 emails the mayors office had received through May 29 expressed opposition. http://www.tennessean.com/article/20120605/NEWS0202/306050033/Nashville-property-tax-hike-supportersmay-get-drowned-out?odyssey=tab%7Ctopnews%7Ctext%7CFRONTPAGE&nclick_check=1 (SUBSCRIPTION)

Budget battle: $7 million more for schools (Knoxville News-Sentinel/Donila)

The Knox County Commission on Monday approved Mayor Tim Burchett's proposed budget for the upcoming fiscal year, albeit with a twist. In a 7-4 vote, commissioners agreed to give the school system an additional $7 million but not the $35 million it initially requested for next year to pay for an ambitious educational plan that supporters said would increase test scores and lead to better schools. "This would not require a tax increase," said Commission Chairman Mike Hammond, who offered the modified plan. "And, let's face it, we've heard from our people . . . and this is something that's become a lightning rod. "W e will be able to measure the results, and we will be able to track this and this would be for one year." Superintendent Dr. Jim McIntyre, who had pushed for a much larger, $35 million increase, said he approved of the counter plan. He, school board chairman Thomas Deakins and Hammond worked on it earlier Monday. "I think it was actually a really good night for the children of Knox County," said McIntyre, adding that the money will fund a number of key initiatives. http://www.knoxnews.com/news/2012/jun/05/budget-battle-7-million-more-for-schools/

School board members pleased with commission vote (News-Sentinel/McCoy)

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Knox County school board members said Monday night's Knox County Commission budget vote was a good compromise. Board chairman Thomas Deakins, who helped come up with the last-minute proposal that passed, said the 7-4 decision made a statement. "What it does is it allows us to say that education is very important and it allows us to fund those classroom initiatives," he said. "The good thing is that it allows us to continue that dialogue and put education in the forefront. So I'm very excited about it." Deakins said he was disappointed officials aren't addressing capital needs. But that's a topic for future discussion. "What we can do now is work with Commission to understand the capital needs and come up with a plan to address those," he said. "So I'm hopeful that next year we pull the Commission and the mayor into this, and we say, 'These are our needs going forward,' and we come up with a way to fund them." Some school board members said they were disappointed Knox County Schools won't get all that it asked for. Still, they're glad for what they got. http://www.knoxnews.com/news/2012/jun/05/school-board-members-pleased-with-commission/

Memphis city budget battle looming (Commercial Appeal/Maki)

Dueling tax rates among proposals before council Memphis City Council members say one outcome is certain when they debate today on a budget for the fiscal year that begins July 1: Memphis Mayor AC Wharton's request for a 47-cent property tax increase will be turned down. "Dead" is how councilman Jim Strickland, chairman of the council's budget committee, described the tax hike Wharton is seeking. Council members -- who control the city's finances -- will sift through at least three council-generated budget proposals that aim to lower the city's current property-tax rate of $3.19 per $100 of assessed value. W harton requested the 47-cent increase to cover the cost of the last year of state-mandated funding for Memphis City Schools. He says he stands by his plan. "Let me make it clear," he said in a letter sent to council members Monday, "I am still of the sincere conviction that my original proposal is the best." The budget Wharton presented to the council calls for a combined tax rate of $3.66, with $3.01 for city operations and the rest for schools. http://www.commercialappeal.com/news/2012/jun/05/budget-battle-looming/ (SUBSCRIPTION)

Council Looks to End Budget Season (Memphis Daily News)

Memphis City Council members are likely to end their budget season Tuesday, June 5, with final votes on an operating budget ordinance as well as a tax rate ordinance. But going into the week there was no single budget proposal or tax rate proposal that had the formal endorsement of a majority on the council. The council meets at 3:30 p.m. at 125 N. Main St. The council budget committee will meet one final time Tuesday at 8:30 a.m. with an attempt to come up with a committee recommendation for the full 13-member council. At a session last week, three council members rolled out their individual budget proposals in a committee meeting that included a majority of council members. Each one of the plans by council members Edmund Ford Jr., Harold Collins and budget committee chairman Jim Strickland proposed lowering the existing $3.19 city property tax rate. Each also proposed using one-time-only funding to pay, in part, the last year of the citys obligation to fund Memphis City Schools, which they now put at $64 million instead of an earlier figure of $68 million. http://www.memphisdailynews.com/news/2012/jun/5/council-looks-to-end-budget-season/

Border status could be 'game-changer' for East Ridge (TFP/Harrison)

East Ridge officials are heralding a special state-granted tax designation as an "economic game-changer." On Monday the city learned that several areas within the city had been approved as a "border region retail tourism development district" by the Tennessee's commissioner of Revenue and the commissioner of Economic and Community Development. "It's hard to quantify the impact this could have, and we probably won't be able to quantify it till about 20 years down the road," explained Mayor Brent Lambert, who said the designation could be "the single most significant event to occur in East Ridge" during his lifetime. "This provides us with the tools to really see a makeover of the city. It allows us to really go after some big-time economic development." Legislation passed in 2011 by the Tennessee General Assembly allows for Border Region districts to be created under several conditions: Cities must border other states and have an interstate highway running through them. http://www.timesfreepress.com/news/2012/jun/05/border-status-could-be-game-changer/?local

Move to change Memphis development rules sparks sharp criticism (CA/Bailey)

New development rules that encourage walkable neighborhoods and discourage sprawl face a threat in coming weeks, say proponents of sustainable communities. Memphis and Shelby County's planning department 6

proposes to weaken the 17-month-old Unified Development Code (UDC), say spokesmen for a group of planners, preservationists, architects, attorneys and others who've been poring over the dense details for five months. Planning Director Josh Whitehead countered that the existing code makes it too difficult to develop within the city. The issue may set up a classic battle between developers seeking lower barriers to economic growth and neighborhood activists fighting for the kind of growth they can live with. "W e all agree we need a code that does two things: Discourages suburban sprawl ... and at the same time promotes reinvestment in the existing part of the city," W hitehead said. "The way the UDC is written now, it sets the bar to the level that it really does, in my opinion, make reinvestment in this area very difficult.'' http://www.commercialappeal.com/news/2012/jun/04/move-change-memphis-development-rules-sparks-sharp/ (SUBSCRIPTION)

Cohen Plans Rollout of Endorsements (Memphis Daily News)

There will be a Cohen ballot of political endorsements for the Aug. 2 and Nov. 6 elections. U.S. Rep. Steve Cohen, D-Memphis, opened his campaign headquarters Saturday, June 2, with a pledge to not only campaign hard for re-election but to campaign on behalf of President Barack Obama and several local Democrats in county general election and state legislative races. We are going to run a full complete campaign looking for every single vote, Cohen told a group of more than 100 on the parking lot of his Midtown campaign headquarters. This is the take-no-prisoners campaign. Cohen never mentioned Democratic primary challenger and school board member Tomeka Hart by name. But he referred indirectly to Republican Primary contender and former Shelby County Commission member George Flinn. Cohen said he is taking neither lightly. W eve got a primary, but the enemy is the Republicans, he said. Weve got a self- funder who is going to be running against us in the fall. Hes going to spend a lot of money so were going to have to spend some money too. And were going to do everything we can to see that this is his worst defeat that hes ever suffered. http://www.memphisdailynews.com/news/2012/jun/5/cohen-plans-rollout-of-endorsements/

Scottie Mayfield rebuffs term limit critics (Chattanooga Times Free-Press/Carroll)

Scottie Mayfield's self-imposed term-limit pledge is attracting criticism from both sides of the political aisle, but the dairy executive appears to be standing firm. Mark Caldwell, a conservative blogger from Lookout Mountain, said Mayfield missed the point of term limits when the dairy executive promised to serve no more than 10 years if he unseats U.S. Rep. Chuck Fleischmann in Tennessee's 3rd Congressional District Republican primary. In a newsletter emailed Friday to mostly Republican activists, Caldwell skewered Mayfield's belief that a term-limit pledge "creates the opportunity to vote for what the member believes is right" on controversial issues that might otherwise jeopardize re-election. "Limiting congressional terms," Caldwell wrote, "has nothing to do with how a member of Congress votes." Caldwell said term limits are important for a different reason -- to limit "power and money which ensures their perpetual re-election and undermines the democratic process." He called Mayfield "clueless" and advised Republican primary voters to "stay vigilant against this menace." A Mayfield campaign spokesman did not respond to requests for comment, but Paul K. Brock Jr., Mayfield's finance chairman, praised the candidate's pledge. http://www.timesfreepress.com/news/2012/jun/05/mayfield-rebuffs-term-limit-critics/?local

Filmmakers Shoot for Breaks (Wall Street Journal)

California Gives $100 Million in Rebates as Other States Poach From Hollywood In a conference room high above Hollywood Boulevard, California Highway Patrol Officer Miguel Luevano reached into a glass bowl holding 310 blue paper tickets representing proposed film and television projects. He selected one at random. That ticket, and the next 27 pulled by Officer Luevano last Friday afternoon, made those projects eligible for some of the $100 million in tax rebates awarded by the California Film Commission. The annual exercise is part of California's effort to cope with "runaway production"the flight of movie and TV producers to other states and nations that offer filmmakers generous subsidies to shoot on their turf. A total of 44 states, plus Puerto Rico and Washington, D.C., now offer filmmakers incentives of some kind, according to the Motion Picture Association of America. A low-budget romantic comedy, "Walk of Shame," was one of the lucky few in the lottery. Richard Wright, head of production at Lakeshore Entertainment, got the news over the weekend. Without the rebate, he said, "either we wouldn't have shot it at all, or we would have shot it elsewhere." Declining theater attendance and crumbling DVD sales have squeezed profit margins in the movie business, making tax breaks an essential part of producers' calculations about where to film. http://online.wsj.com/article/SB10001424052702303506404577446773703322492.html?mod=ITP_pageone_1 (SUBSCRIPTION) 7

BlueCross Tests Bundling Payments to Doctors (WPLN-Radio Nashville)

BlueCross BlueShield of Tennessee is testing a different way of paying doctors. Instead of a piecemeal series of bills following a medical procedure, BlueCross is experimenting with bundling those bills into one. The reason you get all those separate bills is because each provider bills your insurance separately. But with bundling, the insurance company cuts a single check to cover everyone. Supporters say bundling will reduce costs and improve care, since it forces different health providers to coordinate with one another. BlueCross is testing out bundled payments with some orthopedic practices in Tennessee. Medicare has a pilot program of its own, funded by the health reform law. But in terms of reducing costs Vanderbilt health economist Larry Van Horn says bundling is just window dressing. For it to be successful, it has to change the process of care and also hopefully reduce the costs of care. http://wpln.org/?p=37891

75 jobs lost in Dalphis America closure (Memphis Business Journal)

Dalphis America LLC has laid off 75 employees as the company which recently came out of Chapter 11 bankruptcy and its assets are reportedly being put up for sale. According to the Tennessee Department of Labor and Workforce Development , the layoffs were effective May 18. A story by The Commercial Appeal indicated the company was unable to compete against foreign competitors in Canada and Mexico despite having received financial backing from an Atlanta-based group of investors. In late 2010, Memphis Business Journal reported Dalphis had received approval for a three-year payment-in-lieu-of-taxes application that the company planned to use to consolidate its operations and expand its work force. The company did relocate to industrial space in Southeast Memphis in early 2011, but plans to expand sputtered as a halted line of credit forced the company into Chapter 11 bankruptcy reorganization. http://www.bizjournals.com/memphis/news/2012/06/04/75-jobs-lost-in-dalphis-america-closure.html

Customer service called key to Chattanooga's tourism industry (TFP/ONeil)

Persuading a stranger's 7-year-old kid not to touch museum artwork can be a difficult task. Pulling that off without ruffling any feathers and promoting a family friendly atmosphere is even harder, but the Hunter Museum of American Art's security manager can't stress enough the importance of overcoming that challenge. "It's so hard to get the families in," Lynn Hicks said. "If they have a good experience, they're going to come back or tell somebody about it. So Hicks and several other Hunter Museum staffers attended a Monday morning hospitality training session to hone their customer service skills and ensure today's tourists are tomorrow's Chattanooga promoters. Tourism is a more than $800 million-a-year industry in Chattanooga employing about 8,000 people. Dan Nausley, who led two Monday training sessions and will lead a third this morning, said being receptive to customer needs and friendly to the occasional cranky visitor can be the difference between a positive or negative experience. "You never get a second chance to make a first impression," Nausley said to a room full of local hospitality workers. "Well, for those 3 million visitors who come to our area, you are that first impression." http://www.timesfreepress.com/news/2012/jun/05/customer-service-called-key-to-tourism/?businesstnvalley

Great Hearts Must Soon Decide On Charter Appeal (WPLN-Radio Nashville)

A controversial charter-school operator could soon announce whether it will try again for permission to launch in Nashville. Last week the Metro school board rejected an application from Phoenix-based Great Hearts, prompting calls for an appeal, and criticism from the mayor. Great Hearts application ran into trouble amid questions over location, as well as the racially-charged issue of student transportation. Some had speculated Great Hearts would use public money to teach students from rich families who would otherwise turn to private schools. Megan Proctor heads the PTA at Maxwell Elementary south of downtown. She says her family was thinking of moving to the suburbs for better schools, but put those plans on hold at the prospect of Great Hearts coming in. Our house has been on the market, and we had plans to move to Williamson County solely for education purposes and had, since hearing about Great Hearts, decided to take the house off the market and stay, in hopes that it would be the right fit for http://wpln.org/?p=37865 us.

Commissioners say schools are getting raw deal in land swap (TFP/Haman, Hardy)
A proposed three-way land swap among the city of Chattanooga, Hamilton County Schools and Chattanooga 8

Housing Authority has county commissioners fuming and feeling as if they've been "hoodwinked." The proposed deal involving cash and three properties -- East Brainerd Elementary School, the old Maurice Poss Homes site and Dogwood Manor Apartments -- appears to short the schools, according to seven of nine county commissioners. The other two commissioners, Warren Mackey and Greg Beck, are said to have helped broker the deal and did not return calls for comment Monday. Though School Superintendent Rick Smith submitted a written proposal to CHA and the city March 28, most county commissioners only learned about the swap in the last few days. Although the commission doesn't own any of the property involved, commissioners say they don't like the apparent secrecy surrounding the deal, noting that during a May 2 commission meeting in which the East Brainerd property was discussed, the three-way swap was not mentioned at all. http://www.timesfreepress.com/news/2012/jun/05/commissioners-say-schools-are-getting/?local

OPINION Tre Hargett: Summer reading can help (Jackson Sun)

We all know how important school is to a childs development, but learning outside the classroom is extremely important, too. In fact, students who dont continue to learn after school lets out for the summer run the risk of falling behind their classmates. Studies show that students who dont read over the summer lose up to a month of the instruction time they received during the previous academic year. Students who fall behind during the summer often dont catch up after the school year resumes. Its particularly a problem with students from economically-disadvantaged backgrounds. In a 2003 Education Digest article, University of Florida education professors Richard L. Allington and Anne McGill-Franzen wrote that less-affluent students without access to summer reading opportunities may fall as much as a year and a half behind students from more-affluent backgrounds by the end of the fifth grade. By ninth grade, researchers believe up to two-thirds of the difference in reading skills among students is attributable to the types of learning activities the students were exposed to during the summer months while they were in elementary school. Thats the bad news. The good news is there is a remedy that is as close as the local public library. http://www.jacksonsun.com/article/20120605/OPINION/306050001/Hargett-column-Summer-reading-can-help? nclick_check=1 (SUBSCRIPTION)

Editorial: Metro Council should be resolute in support of mayor's budget plan (TN)
When members of the Metro Council prepare to vote tonight on the second of two readings on Mayor Karl Deans $1.71 billion budget for 2012-13, some of them undoubtedly will be sweating it. After all, the outcry over the proposal to increase property taxes by 13 percent has often been angry and emotional, and its easy to see how an elected official could feel singed by the heat of the response. So it will be a test for Davidson Countys legislative body to see if they can calmly consider all the pros and cons and then vote in favor of the mayors plan. The city of Nashville needs the revenue that would be generated under this budget, because the consequences of rejecting it would make it difficult for Metro to ensure adequate public safety and to keep the school system on track to improve educational outcomes for its 80,000 students. Without question, many property owners are nervous and upset. They continue to struggle with high prices and a slowly recovering economy, and a tax increase feels difficult to absorb. But we urge property owners and their council members to consider the higher costs they will incur in the near future if this very pragmatic budget were to be rejected. A tax 9

increase of a few dollars a month now will cost much more if police and fire units are understaffed, resulting in more property crimes and more insurance claims. It costs more to a community as a whole if too many of its children dont receive a good education, which in turn qualifies them for better-paying jobs. http://www.tennessean.com/article/20120605/OPINION01/306050012/Metro-Council-should-resolute-supportmayor-s-budget-plan?odyssey=mod%7Cnewswell%7Ctext%7COpinion%7Cp&nclick_check=1 (SUB)

Guest columnist: Keep, reward local teachers in Metro (Tennessean)

When I talk to our best and brightest new teachers, I am impressed by their strong desire to serve where they are truly needed. For them, its all about outcomes, not income. In fact for many, the tougher the challenge, the more they want to dive in and meet it! To borrow an oft-used phrase, Teaching isnt for sissies! Unfortunately, some of the toughest teaching challenges in Nashville are also among the lowest-paid. Teachers are already candidates for burnout and turnover based on the work they do, but when they see how their work is valued by our city vis--vis other options, it is doubly discouraging. An excellent teacher willing to take on any challenge in Nashville has plenty of higher-paying opportunities in other school systems. As dean of Lipscomb Universitys College of Education, I have been closely following the proposal to raise teachers starting salaries in Metro Schools. Many of our graduates want to teach in Metro Nashville schools after graduation, because they see the potential for impacting students lives and our community. But in return for their willingness to do this hard and meaningful work that ultimately affects quality of life in our city, they have to accept thousands of dollars less than they can earn in another city. http://www.tennessean.com/article/20120605/OPINION03/306050013/Keepreward-local-teachers-Metro?odyssey=mod%7Cnewswell%7Ctext%7COpinion%7Cp&nclick_check=1 (SUBSCRIPTION)

Editorial: Filling open jobs crucial to success in schools (Daily News Journal)
Weve said it before. Were pleased with the selection of Don Odom as director of Rutherford County Schools. He is phasing into the job this month as Harry Gill phases into retirement. He has a huge task ahead. But often the most important part of the job for any CEO, or schools director, is surrounding himself or herself with the best staff. And Odom has already had plenty of opportunity to start on that as the retirements of principals such as Siegel Highs Ken Nolan and Andra Helton at Thurman Francis Arts Academy put into motion a game of musical chairs. Odom participated with Gill in placing Richard Zago in his own current job as assistant superintendent over curriculum and instruction at the central office. Zago will be leaving Stewarts Creek Elementary, where his job as principal is still open. And at Holloway High School, a principal is needed to replace Jason Bridgeman, whos been named Siegel principal. Jeff Duke, Thurman Francis assistant principal for the past six years, was a natural choice to replace Helton, but the search is still on to fill his former spot. In City Schools, Catherine Stephens is leaving for a job with another schools system, and so Scales Elementary will have its top spot open. http://www.dnj.com/article/20120605/OPINION01/306040038/EDITORIAL-Filling-open-jobs-crucial-successschools?odyssey=tab%7Ctopnews%7Ctext%7CFRONTPAGE&nclick_check=1 (SUBSCRIPTION)

Sam Stockard: Technicality a veil for religious battle (Daily News Journal)
Mosque foes finally got the technical ruling they were looking for to derail construction of the Islamic Center on Veals Road. Too bad it wont do them any good. Chancellor Robert Corlews ruling last week did little more than show the county failed to provide enough notice of a Regional Planning Commission meeting in May 2010. Corlews decision stated that the planning commission needs only to re-advertise the meeting, provide more notice and take another vote on the matter. The county doesnt even have to hold a public hearing since the mosque site plan didnt require rezoning, he determined. Mosque opponents knew two years ago that a technicality was their best option in stopping construction. Plaintiff Kevin Fisher said as much in an interview with The Daily News Journal. Yet, even though Fisher told The DNJ he didnt want to step on anyones freedom to worship, this thing has been about religion from the outset. When he went before the County Commission two years ago to speak about the matter, he wore a tie with John 3:16 on it. No problem here, but it does send a religious message. As further proof, plaintiffs attorney Joe Brandon told The DNJ last week, This is the Lords battle, and thats God, not Allah, as he sat at his desk with a Bible open to Exodus in the Old Testament. http://www.dnj.com/article/20120605/OPINION02/306050001/STOCKARD-Technicality-veil-religious-battle? odyssey=tab%7Ctopnews%7Ctext%7CFRONTPAGE&nclick_check=1 (SUBSCRIPTION)

Editorial: Putting off work on infrastructure is not an option (News-Sentinel)

The nation's infrastructure the roads, bridges, water lines and sewer systems that make modern life possible 10

 is crumbling. Tennessee is in better shape than most other states in keeping bridges in good repair, but still there are nearly 1,000 bridges in the 23-county area around Knox County that either are functionally obsolete or functionally deficient. On the national level, Republicans and Democrats trying to hammer out a long-term transportation and infrastructure compromise remain far apart. Keeping infrastructure in good repair should be just as high a priority in Washington as it is in Nashville. As the Interstate 35 bridge collapse in Minneapolis in 2007 showed, ignoring needed work can be deadly. Tennessee Department of Transportation officials cite a study published in November 2011 in Better Roads Magazine that ranks the state No. 10 among all states in bridge condition. TDOT spokesman BJ Doughty told the News Sentinel that state officials began addressing aging bridges in the late 1980s and the state Legislature typically appropriates $30 million to $40 million in state dollars each year on bridge repair. One of TDOT's major initiatives is repairing the Henley Bridge in Knoxville, which will cost about $25 million by the time it is completed next year. http://www.knoxnews.com/news/2012/jun/05/editorial-putting-off-work-on-infrastructure-is/

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