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Gov. Chris Gregoire gives her state of the state address Tuesday to the state Legislature under the Rotunda in Olympia.

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Gregoire upbeat as she looks to the future

Tuesday, January 9, 2007 11:28 PM PST

By Don Jenkins

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OLYMPIA --- Gov. Chris Gregoire on Tuesday delivered an upbeat and a forward-looking State of the State Address, peppering her 42-minute speech with nine references to the "21st century."

"In too many cases we are using 20th century tools to solve 21st century problems, and nothing short of change will allow us to produce a better future for Washington families," she said at a joint session of the Legislature.

Afterward, Republicans credited the Democratic governor with enthusiasm and sincerity, but charged that she wants to expand government too rapidly and at too great a cost.

"A classic speech from a big-government liberal," said Rep. Doug Ericksen, R-Ferndale.

Gregoire, at the midpoint of a four-year term, entered the House chambers shortly before 5 p.m. and was greeted by prolonged applause, particularly from Democratic lawmakers who outnumber Republican legislators by nearly 2-1.

Gregoire said that since she took office, more people are working, more people have health care and more money is being spent on education. She also cited tax cuts for farmers and the timber industry, civil rights legislation protecting gays and tougher laws against drug and sex offenders as accomplishments of her administration.

On top of that, an improving economy has given the state a projected $1.9 billion budget surplus.

"In the past, we saw a state without a clear vision for the future. Today, we see hope, opportunity and steady progress toward a secure future," Gregoire said. "But just in case anyone here thinks we can rest on our laurels, I have one message for you. You ain't seen nothing yet."

Improving the state's education system will solve "21st century problems," said Gregoire, who touched on many of the new programs she would fund in her $30 billion, two-year budget proposal, which is $4 billion more than the $26 billion budget adopted two years ago.

The governor said about half of the state's 10th-graders failed the math part of the Washington Assessment of Student Learning last year because "our math education system failed them."

Gregoire said math and science education should be pursued with the determination that America showed in putting a man on the moon in the 1960s. "Let's attack this challenge with the same zeal and success that we did the moon challenge."

Gregoire spoke of "21st century jobs" in high-tech fields and "21st century industries" manufacturing alternative fuels.

She mentioned that her jobs plan includes three new small business development centers in Kelso, Pullman and Grays Harbor County.

Operated in cooperation with colleges, the centers office advice to small businesses. The governor's budget proposes $750,000 for the three new centers.

The governor also restated her goals to clean up Puget Sound and Hood Canal, work toward seeing that all 72,000 uninsured children in Washington have health coverage by 2010 and establish a constitutional rainy day fund.

Rep. Ed Orcutt, R-Kalama, said he was unimpressed by Gregoire's call to leave $600 million in reserve funds. That's less than 1 percent of the budget, he said. "Let's actually save, but her budget doesn't do that."

Orcutt and other Republicans advocate leaving at least $1 billion in reserves this year to hedge against a slowdown in the economy, which would shrink tax revenue and make sustaining programs impossible without increasing taxes.

The idea of scaling back Gregoire's budget request appeals to some Democrats, too.

"I think she wants to take a lot of giant steps and maybe she should take a few baby steps first," said Rep. Dean Takko, D-Longview.

Rep. Brian Blake, D-Aberdeen, said "a billion dollars (in reserve) would be nice if we could do it."

Nevertheless, Blake said the surplus gives lawmakers an opportunity to improve the state's education system. "We cannot continue going along like we have in the past, neglecting these things."

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