Democrats seek to bargain with Haslam as gas tax vote nears
NASHVILLE - In a rare position of power on the governor’s gas tax plan, House Democrats are trying to get Gov. Bill Haslam to move on their own education and policy issues in exchange for their support of the governor’s signature legislative proposal.
“From what we hear, there are not enough votes and we’re trying to get to where we can vote for the bill,” House Minority Leader Craig Fitzhugh, D-Ripley, said Thursday.
During a morning House calendar committee meeting, Fitzhugh was one of three Democrats — along with Reps. Mike Stewart and Rick Staples — to vote against the governor’s IMPROVE Act, which seeks to raise the tax on gasoline and diesel by 6 cents and 10 cents, respectively, and calls for various cuts to the state’s sales tax on groceries, as well as the franchise and excise tax.
Haslam is pushing the plan as a way to fund a $10 billion backlog in needed road projects.
The other Democrat on the committee, Rep. Harold Love, D-Nashville, was present at Thursday’s meeting but did not vote.
In addition to the Democrats who voted against the governor’s proposal in the committee, three Republicans — Reps. Jeremy Faison, Ron Gant and Timothy Hill — also cast “no” votes.
Typically, bills that go through the chamber’s calendar committee do not receive “no” votes, even if a member is against the legislation, given the fact that the committee is largely procedural in nature.
The House is set to vote on the gas tax bill during a Wednesday morning floor session. If the House approves the measure, the Senate could take it up on the chamber’s floor Wednesday afternoon or Thursday.
Explaining his vote in the calendar committee, Fitzhugh said although Democrats have been in discussions with Haslam about his gas tax plan, their talks have not been limited to the contents of the bill.
“The bill itself is probably convoluted enough as it is,” he said.
Fitzhugh, who is considering running for governor, said he has encouraged Haslam to support two efforts Democrats have been seeking to accomplish: an education block grant system that would appropriate money to local school districts to use at their discretion and expanding health insurance coverage in Tennessee.
Fitzhugh specifically pointed to a bill he’s sponsoring that calls for appropriating money to districts in addition to their Basic Education Program funding. The bill is currently in the finance committee of both the House and Senate.
He also said Democrats are continually encouraging Haslam to advance Medicaid expansion in light of federal lawmakers’ failure to repeal the Affordable Care Act.
When asked whether Democrats would vote against the governor’s gas tax plan if Haslam refused to take action or support Medicaid expansion and the education block grant idea, Fitzhugh said, “Our primary priorities all along have been education and health care, and these are two that are priorities for Tennesseans.”
“If we can bring along education and health care with an infrastructure bill, we think it’s a win-win for everybody. Not a political downside-upside but a literal win-win.”
Fitzhugh would not say where House Democrats fall overall on the gas tax plan.
“The jury is out. The end game looks like it is going to be on Wednesday. We’re going to have discussions up until then to see exactly where our members are.”
At Tennessee State University, where Haslam attended the inaugural board meeting Thursday, the governor declined to answer a question about whether he needed Democrats to ensure the passage of his bill in the House, saying, “Every day we feel more encouraged about the people who are calling us saying we’re for the bill now. Every day we get more optimistic about where we are.”
Haslam told the USA TODAY NETWORK - Tennessee, “We’re not going to be held hostage over something that’s the right thing to do.”
When specifically asked about the minority party’s latest push, Haslam said, “My question about Democrats is why would they not be for a plan that brings significant infrastructure improvements to their districts, cuts the food tax and raises the gas tax less than their grocery bill is going to go down. I understand interests in a lot of other issues, but at the end of the day, it comes back to this plan, which would not only do those things but also give their local cities the ability to address some long-term transit needs.”
Several House Republicans, including leadership, have worked on a proposal that uses general fund revenues instead of a gas tax increase to pay for the state’s $10 billion backlog in road projects. Although the alternate plan failed to gain enough support in the House finance committee, the measure is expected to be taken up when the IMPROVE Act appears on the chamber’s floor.
Haslam and Senate leadership have criticized any plans that mostly rely on using the state’s general fund, citing concerns about any future economic downturns.
Unlike the House leadership’s recent effort, Haslam said his proposal is the only plan that has made its way through eight legislative committees.
“In the end it really comes down to, I think, the choice that it’s either our plan or we’re not going to have a transportation plan because the Senate’s been really consistent,” he said.
On Thursday, House Speaker Beth Harwell briefly told reporters that she is “leaning” toward supporting Haslam’s proposal if the alternative plan does not receive adequate support on the floor.
The latest move by Fitzhugh and his colleagues is hardly new. House Democrats also initially tried to show displeasure with Haslam’s Insure Tennessee, saying they may not vote for the bill unless changes were made. However, it’s a common tactic for Democrats to attack Haslam legislation they actually support, in order to make the measure appear less appealing to Democrats or moderates.
The approach by House Democrats on the gas tax is markedly different than that of Nashville Mayor Megan Barry, who has frequently championed the legislation, largely due to the city’s infrastructure needs, as well as the inclusion of the local option.
Adam Tamburin and Dave Boucher contributed to this report.
Reach Joel Ebert at jebert@tennessean.com, 615-772-1681 and on Twitter @joelebert29.