Kentucky’s budget maestro prefers working behind the scenes

By ROGER ALFORD – Associated Press Writer

FRANKFORT — In her trademark pantsuit, a folder of papers tucked under her arm, Mary Lassiter dashes down a marbled corridor in the state Capitol, a rare sighting this time of year when she spends most of her time pouring over data she’ll use to develop the governor’s next budget proposal.

Lassiter has risen through the ranks of state government during the past 27 years from number cruncher to the governor’s chief adviser at a tumultuous time of sharp budget cuts totaling some $800 million this year alone. And she’s winning praise from Gov. Steve Beshear for her “clear-eyed leadership and guidance” at a time of financial crisis.

With a projected shortfall of some $900 million over the next two years, Beshear said he’s counting on Lassiter to help get Kentucky back to financial stability.

“Because of her efforts, we are in a stronger position than many other states despite the terrible economy,” Beshear said.

Lassiter, 48, a native of Sikeston, Mo., came to Kentucky after high school, attended Murray State University as a freshman before transferring to the University of Kentucky where she received bachelor’s and master’s degrees in business administration.

Though her dark suits speak of corporate America, Lassiter never worked in the private sector. She started working in the Finance Cabinet right after graduate school, going on to serve as acting budget director for former Gov. Paul Patton, deputy director of the Office for Policy Research in former Gov. Ernie Fletcher’s administration, and as budget director for Beshear.

In August, Beshear appointed Lassiter executive cabinet secretary, the equivalent to a chief operating officer in a private company. Lassiter, only the third woman to hold the post in Kentucky, also kept the position of budget director. She makes $150,000 a year.

State Auditor Crit Luallen, who held both jobs during the Patton administration, said either position is demanding by itself. Together, Luallen said, they can be grueling, especially in difficult financial times. But Luallen said Lassiter is a “consummate professional” who is up to the task.

“She is dedicated to public service and is willing to put in whatever hours are necessary, whatever commitment is necessary to be sure she does the work well,” Luallen said. “She is just a remarkable public servant.”

One who prefers to stay out of the limelight.

“I have no political ambitions whatsoever,” Lassiter said. “It suits me fine to be behind the scenes, to help make things happen, to provide good analysis and advice to governors.”

University of Louisville President James Ramsey, a former state budget director to whom Lassiter once answered, said what sets her apart is her straightforward manner. Budget directors have to be able to say no, and that often generates critics. Yet, Ramsey said, Lassiter remains one of the most respected people in the state.

“She’s a person of the highest integrity, and she’s a very hard worker,” Ramsey said. “The people of Kentucky are very fortunate to have her in these important positions. Mary’s the best. That’s all I can say.”

Lassiter retired in 2008 along with a flood of other state employees who accepted incentives aimed at trimming the state’s payroll. Beshear coaxed her back into service in January.

“Working at the highest levels of state government is a privilege and an honor, and when a governor asks you to take on additional responsibility, you have to have a really good reason not to,” Lassiter said.

Beshear said he felt he especially needed Lassiter’s financial expertise at a time of financial turmoil.

“Kentucky is a better place because of Mary Lassiter,” Beshear said. “I wish we had three or four carbon copies of her.”

Lassiter is spending all her time now working to draft the governor’s budget proposal for the next two fiscal years. She describes the financial outlook as bleak but improving.

“Unlike the federal government, we can’t print money, so we have to balance the budget,” she said. “We are, so far in this recession, better off than most states. We haven’t had to take the draconian measures that most states have. We haven’t had mass layoffs. We haven’t furloughed people. We’re not issuing IOUs to pay our bills. So from that perspective, we’re fortunate. But there are tough decisions ahead.”

Filed Under: State Budget • State Government • Steve Beshear