We have lot of positions that have not been filled and the savings is kicking in. I think we can avoid layoffs or furloughs by reducing expenditures in state agencies..." He told us.

Larrañaga is only one legislator, but he is a member of House Appropriations and a respected voice in the Guv-elect's circle. Lawmakers will convene a 60 day session January 18 to approve a budget for the fiscal year that begins July 1.

There are signs that the long Bear Market may finally be on the ebb, improving state revenue collections ever so slightly. Also, state government employment is now down by several thousand from its peak, largely the result of unfilled vacancies, according to a recent news report filed by the New Mexican's Kate Nash.

Big Bill ordered five day furloughs of most state workers this past year to address the continuing budget dilemma.

The Martinez camp is circulating a memo to state agencies asking for theoretical budgets that trim 10 percent. They have not mentioned layoffs or furloughs as part of their budget remedy. She has pledged not to cut public education or Medicaid and will not support any tax increases.

Is Larrañaga's restrained analysis of the budget outlook a tone we can expect more of as the R's begin to take more responsibility in governing the state?

Veteran reporter Walt Rubel of the Las Cruces Sun-News analyzes the selection of GOP Roswell State Rep. Keith Gardner as chief of staff for Governor-elect Martinez:

Martinez's selection of former House Minority Whip Keith Gardner, R-Roswell, as chief of staff should pay dividends in her dealings with the Legislature in general and House in particular. When I was covering state government, Gardner, dubbed the "Gentle Giant" for his physical size and calm demeanor, had established a reputation as a problem solver who has a firm grasp of the issues, asks the right questions in committee meetings...

There's still some political life in Big Bill as witnessed by the confirmation that he will be going on a "private trip" to North Korea at the invitation of government officials there. The reclusive nation is atop the world's hot spots and his Dec. 16 trip will be closely watched. Richardson has been there many times before. This mission comes as he finishes his eight year run as Governor, raising the question of whether he may be in line for an envoy position with President Obama when he leaves the Guv's office.

Bill is still being hounded by legal issues surrounding the continued federal investigation into pay to play allegations involving state investment funds. He escaped an indictment in another pay to play case, but it appears the probes will follow him into private life and even on that "private trip" to reclusive North Korea.

CAMERA READY

The Peachtree state thinks all is peachy with its film incentive program, unlike some other state where the program has been called into question, including New Mexico where some legislators doubt its value--and its cost. But Georgia says Hollywood is all good:

The heart of the law is a 20% tax credit for companies that spend a minimum of $500,000 on production or post-production of films in Georgia. Companies can also get an additional 10% tax credit for including a Georgia logo on the finished project (subject to qualification). The credit is transferable in the case that the company has little or no tax liability in Georgia. In some cases, companies can also get a sales tax exemption for goods and services bought in Georgia, an incentive introduced in 2002.

New Mexico spent about $180 million in the last three years to lure Hollywood productions here. Efforts are expected at the next legislative session to cap the amount allowed under the incentive program.

DID YOU KNOW...

The $107,000 is for Monica Armenta, director of communications for the beleaguered ABQ Public Schools. This out of the ballpark paycheck has been criticized so much, we'll let it speak for itself.

And add to the highly overpaid list lawyer Lisa Torraco who is going to pull down $90,000 a year for answering reporters questions and providing legal advice at crime scenes at the Bernalillo County Sheriff's Department.

WHY OVERPAY?

Meanwhile, the PIO under ABQ Mayor Berry makes $73,000, a nice salary by any standard around here. So why is the county, the sheriff and APS overpaying, or even creating unneeded PIO positions in the middle of a devastating economic downturn?

The county is financed mainly by property taxes as opposed to the less reliable and more economically sensitive gross receipts tax. They treat it like play money.

There is a perverse angle as well. The ABQ Journal did a heckuva job the past year uncovering a wide range of screw-ups, wrongdoing and general incompetence at the county. Because of that press pummelling the county is also looking--incredibly--at approving $50,000 in outisde PR contracts in addition to their overpaid PIO's. This to buff up the county's sleazy image. Talk about unintended consequences.

LISA AND KARI
Torraco
More now on the $90,000 PIO salary for attorney Lisa Torraco with Republican Sheriff Dan Houston. This is happening while law enforcement complains of the budget squeeze. And it is from a Republican--the party that claims to be fiscally conservative. The sheriff makes $68,000 a year. Torraco will take home 33 percent more than her boss. Well, as we said at the top of the blog today, the politicos from both parties are drinking from the same punch bowl, spiked with taxpayer coins.

Republican Torraco ran against Democratic District Attorney Kari Brandenburg in 2008 and lost. Brandenburg is weighing another run in 2012. Will Torraco use her new position to build up name ID in the media and then make another run against Kari? Will taxpayers be indirectly subsidizing her campaign? Stay tuned.

OH, SUSANA!

One can only assume (and hope) that Governor-elect Martinez is watching this gold-plated playpen. With this kind of money being thrown around, she is going to have the high hand when it comes to cutting state money flowing to Bernalillo County, the sheriff's department as well as to the administrative section of APS.

Is someone saving all these news articles for her when she meets with APS Superintendent Brooks, the Bernalillo County commissioners and the county sheriff? Will she pull them out when they tell her with straight faces that there is nowhere for them to cut their budgets?

MONTY'S NUMBER

Numbers from the weekend GOP convention have been released showing fomer Hobbs Mayor Monty Newman won the GOP chairmanship with 64% of the vote to attorney Nina Martinez's 36 percent. Monty had 188 votes to Nina's 106. Mark Van Dyke, chairman of the Republican Party of Doña Ana County, released those numbers to the press.

After the state party did not release specific results, we blogged how the rumor mill went into action and pegged Newman's total at 58 percent. In the past, the party has released its election results.

Governor-elect Martinez backed Newman. She got a win, but not an overwhelming one.

BILL'S PLANS

Breaking: Richardson going to N. Korea.

Big Bill says he isn't interested in that big lobbying job for the motion picture association, so the speculation continues on his plans for his post-gubernatorial life. The latest taking a stab at that is the Washington Post:

We're hearing Richardson has signed up with the Washington Speakers Bureau, which will probably enable him to put some fine bread on the table. In addition, he's going to set up a center in Santa Fe to focus on ways to rescue people being held hostage by bad guys and on initiating dialogue with rogue regimes.

The paper also says Bill may be headed back to North Korea soon.

THE BOTTOM LINES

The latest from the Capitol wall-leaners is that ten year legislative veteran Rep. Don Bratton of Lea County is the heavy favorite to replace Rep. Keith Gardner as minority whip for the R's, but Bratton may have to give up his seat on House Appropriations--the most powerful committee--to get his colleagues to let him take on the whip chores. Others seeking to replace Gardner who has been named chief of staff for Gov-elect Martinez are Rep Jimmie Hall of ABQ and Rep. Dennis Roch of Texico. The GOP caucus meets Dec. 18 to make the choice.

THE GUESSING GAME

Meanwhile, the most popular guessing game in Santa Fe this December is not what Santa will leave under the Christmas trees, but whether there will be a coalition in the state House that will further empower the R's. With 33 members, they are at their strongest in that chamber in decades. If the R's were to somehow form a coalition, their minority whip would suddenly morph into majority whip.

The odds of there being a coalition change as often as the weather. Some of the 33 R's say they don't want to join with a handful of southern Dems to make Rep. Joe Cervantes the speaker and in the process topple Ben Lujan from the post.

If not all R's are brought aboard the coalition bandwagon by the time the final speaker vote is held January 18, it could be difficult indeed for any coalition to get off the ground, But there are 70 members of the state House and some of them could be absent on the Legislature's opening day. That could throw a monkey wrench into the nose counting. Only those present can vote. So if you are counting on 70 votes, but only 67 show, it can change everything.

A key question is how any coalition of R's and a small group of Dems would carve up the power. Would a Speaker Cervantes give committee chairmanships to the minority R's in exchange for their making him king of the House? That's how it was back in the early 80's when Dem Gene Samberson took the throne courtesy of R support. But the state Senate currently has a coalition of R's and conservative Dems, but the majority Dems retain all committee chairmanships.

As for the Guv-elect's camp, the vibe we get is that they would warmly welcome a coalition in the House. All the easier for them to advance their important first year agenda.

THE OTHER TEAM

Over in the Dem camp, Chairman Javier Gonzales appears in line to be re-elected next spring, but that doesn't mean there isn't grumbling about the lousy election results for the majority party. Gonzales has no major opposition yet--Santa Fe's Letitia Montoya says she will run--but he is taking the opportunity to reach out and mend any fences in need of repair. He launched a "listening tour" and continued it this weekend by making stops in the north.

But Gonzales and chums have a real problem--they seem like Republican Light. First, Big Bill slashes tax rates for the wealthy and now President Obama throws in the towel on taxing the rich. Dem Diane Denish meekly complied with Richardson's economics when she ran for Guv this year. Hey, how's that working out for you, Di?

Richardson's eagerness to cut the top tax rates to attract support for his presidential bid cost the state millions. He was joined in this acquiescence by a speaker of the state House who normally would have said no, but was indebted to the executive for advancing his son's congressional ambitions. And they did so without attracting the jobs they claimed the cuts would bring.

Denish's watered down Republicanomics left her indistinguishable from her Republican foe. Now Obama risks a similar fate because all of this takes place against a backdrop in which the richest Americans have more of the nation's wealth in their pockets than anytime in history. Surely, a breaking point is coming.

Even folks who disagree with you respect you when you fight for a belief. But the fight seems to have gone out of this White House while the congressional R's stand firm.

Dem US Senator Jeff Bingaman is now being watched closely as he prepares for his 2012 re-election bid. Here's a clip of him from the Senate floor last week talking about the economy so you can get a sense of where he's at. His demeanor remains largely the same--studious and low-key--although there are glimpses of the state's senior senator being a wee bit more animated. Bingaman, 67, does not seem off his game.

The WaPo recently ran a piece on the ten Senators most likely to retire in advance of 2012. Bingaman was not on it. He continues to publicly say he is undecided on running, but it's best to stay a non-candidate as long as possible.

He has been there a long time and has accumulated important power for the state as chairman of the Senate energy committee. He seeks a sixth, six year term. That's how many terms GOP Senator Domenici served before he retired in 2008. That 36 year run is the state record which Bingaman would tie if he wins re-election two years from now and serves the full six years.

PRESIDENT HARRIS

As expected, Republican Don Harris was elected to a one year term as president of the city council last night. It was done unanimously. The council breakdown is five Republicans and four Democrats. Harris is seen as a moderate R who has made overtures to the Dems on the panel. He takes over from Councilor Ken Sanchez. Councilor Rey Garduno was elected vice-president.

KEEP THEM ALL
Jerry Geist
Our posting on the troubled hierarchy of the University of New Mexico and how it is probably time for UNM President Schmidly, Athletic Director Krebs and football coach Locksley to head to the showers brought this retort from former PNM president and longtime civic activist Jerry Geist:

Dr. Schmidly has been quite ill but engaged. Lt’s cut a little slack until he is back. Paul Krebs has really brought all UNM athletic programs, graduation rates and grades up and has put in a process to keep them that way. His staff seems super. Coach Locksley has had a tough two years as has been covered a lot. No one has an easy answer and Locksley will have to be part of getting the answer.

I do not know Coach L but an acquaintance of mine related an observation. His daughter wanted to give back after getting a teaching certificate and so went to work in the DC area that Coach L came from. She is proud that from that sad and unsupported area he has become an example of “bootstrapping”oneself up. That is character we do not hear about. We are not a patient bunch but this is a good season to try again...

But the Susana camp has chosen not to invoke any symbolism--at least not yet--when it comes to big money in state politics. They have yet to comment on whether they will voluntarily apply the new state spending contribution limit of $5,000 to donations being made to fund Martinez's inaugural ceremonies. Since it is only weeks away, we assume not. They say they will release the names and amount of the contributions they receive, but that isn't going to be read as the "bold change" she pledged.

Couldn't some of her leftover campaign funds have been donated to the inaugural and then she could have voluntarily abided by the new limits?

Well, politicians of any party aren't about to give up any chance to raise a bucket load of cash until the law absolutely says they have to. Susana Martinez doesn't seem to be of a mind to break the mold, even after a campaign centered on pay-to-play allegations in the current administration.

THE PARTY

The Alligators came with a report here a while back that Martinez would not only have an inaugural party in Santa Fe, but also one in Las Cruces. We wondered how she would manage that in the same day. Well, it turns out the Las Cruces bash--a "send-off gala"--will take place Dec 30, not January 1. That means Susana won't have to worry about flying up and down the state on her big day.

COME FLY WITH ME

But the question of how this new Governor gets around is going to be front and center after a campaign in which she railed against use of the state jet and said she would sell it.

Martinez has now named a transition committee to assess the three state aircraft that includes the jet purchased under Big Bill. This comes after a TV news report that showed the two other state-owned aircraft used to ferry officials about to be in poor shape and questionable maintenance practices being used.

Will Martinez sell the jet and use some of the proceeds to fix up the two aging aircraft that are used for in-state flying? Not a bad guess.

But how is the Governor going to get to all those appearances around the country? She seems to relish them, and as the nation's first female Hispanic Governor the invitations will flow.

TV news asked her how she paid for a jet flight from Las Cruces to ABQ recently. The campaign said the plane was donated by Bode Aviation. There have been no news reports on how Martinez was flown to recent trips to San Diego or Washington D.C. or who paid.

How about something on that as well as a news story on whether donated jets will be taking off from Santa Fe to fly the Governor-elect around the USA? What are the latest rules on that for a sitting governor? When is the Governor a political candidate? When is plane travel counted as a campaign donation which the new law limits to $5,000 per person per campaign? Inquiring minds want to know.

MICROSCOPES OUT

A fishing trip that results in a fine from the game and fish department is not exactly front-page material, unless it involves a soon-to-be deputy chief of staff for Gov-elect Martinez. Brian Moore, welcome to the brightly lit stage of La Politica. We won't say you're going to like it. Just that you are now one of the actors on it.

BUILDING A CABINET

The Alligators called this one nearly the day after the election--Jon Barela would be tapped to be Secretary of Economic Development. And that's just what happened Friday with Governor-elect Martinez making the announcement.