Kaine says Va. emerged as a leader among states

Virginia's 70th governor, Timothy M. Kaine, bid farewell tonight to four years of leading the commonwealth in turbulent times, proclaiming that it has emerged from the national recession as a leader among states.

"No state in America has enjoyed the success we have seen in recent years," Kaine in his final state of the Commonwealth Address at the Capitol in Richmond.

"Virginia is well positioned going forward because of our economic, educational, and political leadership."

Kaine's 23-minute message to a joint session of the General Assembly included a number of personal passages.

"While the quick passage of four years has its bittersweet aspects, the most significant feelings I have are gratitude for those who have supported me during my time in public life and pride in what we have accomplished during this administration," Kaine said.

The valedictory featured Kaine's greatest hits -- more than $13 billion in new business investment, more than 400,000 acres of preserved open space, expansion of pre-kindergarten programs and the passage of a ban on smoking in restaurants.

Kaine also highlighted administration successes in cutting the state's infant-mortality rate by 15 percent and in reforming Virginia's foster care and mental-health systems.

He spoke of investing $1.1 billion toward restoration of the Chesapeake Bay and of restoring voting rights to more than 4,400 former felons.

"All in all, the last four years have seen amazing advances, especially given the tough circumstances we have all faced."

Kaine also acknowledged the greatest hits that he took during his term.

The governor acknowledged the "decades-old gridlock in transportation investments.

"No state or nation can maintain its economic edge with a declining infrastructure," he said, telling delegates and senators that "Virginia needs leadership in this collective body to find a path toward responsible advances in road investments."

Kaine also made the case to lawmakers to preserve Virginia's well-regarded higher education system and to promote a greater attainment of college degrees, now at about 40 percent in the commonwealth.

"While still good by Amercian standards, we need to realize that the leading nations in the world are educating nearly 60 percent of their population with higher-education degrees today," Kaine said.

"We have a huge gap that we need to overcome to maintain our strength in this important area."

Finally, the governor acknowledged the impact of tough times on the state's 100,000 employees and the 7.7 million people he served over the last four years. He also recognized the lawmakers with whom he agreed and disagreed. And he thanked them all.

"To Virginia's public employees, who do the hard, unglamorous work of serving your fellow citizens; I offer my deepest respect," said Kaine, who was forced to trim the state workforce by hundreds and has proposed having employees pay a portion of their salaries toward their retirement benefits.

"The last years have been tough on you, but I see your optimism and concern everywhere I travel," he added.

He thanked Virginians for the opportunity to lead and said their "resilience and creativity" made the state strong.

Kaine's wife, first lady Anne Holton, sat in the gallery watching the speech. Both became emotional when he thanked his family. Kaine also paid thanks to his extended family -- the city of Richmond.

"You got me started when you saw my name on a ballot for City Council in 1994," he said. "Seven elections and 16 years later, you are still my strongest supporters."

On Saturday Republican Bob McDonnell assumes the governorship and the responsibility for tough budgetary decisions.

Virginia faces an estimated $4.2 billion revenue shortfall in its 2010-2012 budget, which will likely force additional deep cuts to state services, Medicaid and aid to local governments.

Kaine's outgoing proposed budget includes $2.3 billion in cuts and calls for eliminating the local car tax. He proposes filling the $1.9 billion gap left by the tax with a 1 percentage point increase in the state income tax. McDonnell has said he will not raise taxes.

Kaine said last night that if previous state leaders had espoused a philosophy that it is always wrong to raise taxes, "we would have no community college system, dirtier rivers, a lackluster school system and even fewer roads."

Yet Kaine said he was satisfied to be handing over the reins of government to McDonnell, whom he called "a friend."

Kaine said that he "rejoiced on the great days and prayed for strength on the hard days," a reference to April 16, 2007 massacre at Virginia Tech.

He said he was "humbled and honored to play my small role in the grand sweep of Virginia history."