OK, here we go.....

Gov. is honoring Elizabeth Beisel. Nice feel good moment before the dark clouds. Nice smile!

He also honors a couple RI heroes from the RI Air and Army National Guard.

Onto the meat....

Repeats that he warned about a "tipping point" last year. It's time to act boldly. Three major actions:

1) What to get thru downturn
2) Position for future
3) What has been done.

Lists three priorities in Economic Recovery Plan still sitting in the GA. Strengthen the safety net w/the Medicaid waiver, strengthen and modify pension plans and slow rise of local spending.

He was pretty clear: cities and towns and unions need to get serious and realize this is a tough time. We're not the only state going through this. It's not about picking on anyone, it's about dealing with fiscal reality.

Praises the state employee unions for working with his administration last year. Thanks them for their hard work and service. Encourages the unions to sit with local officials and help their communities get through this.

Stresses that any federal stimulus money should be spent wisely, ie, not for one time fixes. There is an opportunity to do things right for the future generations. We must have courage.

Shows a chart explaining our jobs crisis.

137,000 manuf. jobs, 34% of all jobs. Now, 46,000 (10%). All the mills and factories across the state employed thousands of RIers.

Additionally, over last 20 years,

21,300 to 15,800 state employees (down 25%) but cities and towns have gone up 38%.

That's why property taxes are high!

Dramatically changing the tax structure will produce jobs. Time to be bold. No more Tax Hell RI.

RI needs more taxpayers, not more taxes.

Need to send a loud signal that businesses will hear.

Governor is explaining that the groundwork continues to be laid...reform, education (test scores going up). And other new innovations in education at URI and other centers.

Also talked about protecting the environment and green tech. (Sewer overflow, open space, wind project).

Pumping up job growth at Quonset. Over 8,000 jobs, etc.

Also touched on I-way, intermodal project at TF Greene, 403 extension, etc. All key infrastructure projects needed for economic development.

Wants to submit a new tax plan. Tax relief to all, phase out corporate income tax and eliminate estate tax. This will stimulate economy, grow jobs and keep people here (and attract business).

Basically, if we make the right choices, RI will be in good shape when the economy bounces back. Rhode Island will have a "new story" to tell.

Reaches out to the Democrats to work together like they did before. If we do it together, we will succeed.

Explains that, as a native Rhode Islander, his only agenda is to see Rhode Island do well. Everything he does is for the sake of the state he loves, for now and the future.

Sums up...It's time to work together for the sake of the future.

I couldn't help but notice the way the municipal employment jumped up in the eighties and then continued on a slow climb.

The reason is simple...more teachers and teacher assistants due to special education mandates (federal and state)resulting in smaller class sizes, the creation of teacher assistant positions, and the general push by unions to shrink the size of non-sped classrooms.

>>I couldn't help but notice the way the municipal employment jumped up in the eighties and then continued on a slow climb. The reason is simple...more teachers and teacher assistants due to special education mandates (federal and state)resulting in smaller class sizes, the creation of teacher assistant positions, and the general push by unions to shrink the size of non-sped classrooms.

And stagnant to declining educational results demonstrate what a great "investment" it all has been.

I just finished watching the speech on the DVR, since I was at the East Providence School Committee meeting, and due to the laws of physics, was unable to be in two places at once.

I think the best part of his presentation tonight, was the explanation with the chart, a la Ross Perot. Good use of props. I also liked when he alluded back to why he ran for governor, and stated very matter-of-factly, that he has no agenda other than well-being of this state. Overall, I think this was one of his more effective State of the State addresses.

I noticed at one point, when he was talking about his SoS speech last year, he stopped just short of saying "I told you so." Wouldn't it have been nice if he actually had? ;)