Economy becomes No. 1 issue in govs' races

'Piles of debt'
In Washington, GOP challenger Dino Rossi is criticizing Gov. Christine Gregoire as the state's projected budget deficit balloons to as much as $3.2 billion. The two are locked in a rematch of their razor-thin 2004 race, which Gregoire won by 133 votes after three recounts and a lawsuit.

The economy was a top issue at two debates this month, and both are scrambling to take advantage of the crisis.

"In the past four years of Gregoire's administration, she has left us with piles of debt, higher taxes and rising unemployment," Rossi said.

Responds Gregoire: "I saw this national economic crisis brewing and fought for the Rainy Day Fund and a budget surplus."

In Vermont, the economy was a top issue from the beginning. Fear of record heating oil prices was a growing concern for the state, known for its long, cold winters.

Last year, Gov. Douglas used estimates by investment bank Lehman Brothers to propose leasing the state lottery to a private entity for a one-time payment of about $50 million.

Lawmakers were cool to the idea, and now Lehman Brothers has filed for bankruptcy, a fact Douglas' opponent, outgoing Democratic House Speaker Gaye Symington, is quick to point out.

The result: The case Symington had been making about the state's economic troubles just got a whole lot easier to sell.

Economic plan
"Vermonters are making the connection that this guy basically has had that sort of 'trust corporations, trust Wall Street mentality," said Symington spokesman Michael Carrese.

Douglas brushes off criticism of his economic plan, arguing that the economy moves in cycles and he's the best person to take advantage of a recovery when it begins.

"My long experience and ability to provide the leadership necessary to get through a tough time makes it all the more important that I stay on the job," Douglas said.

The most recent poll last month had Douglas with 48 percent of the vote and Symington with 33 percent. Independent Anthony Pollina had 7 percent, and 12 percent were undecided.

Other states electing governors in races not expected to be as close are: Delaware, New Hampshire, Montana, North Dakota, Utah and West Virginia.

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