Former state Comptroller John Sharp, who'd been informally exploring a run for governor, won't run. Instead, he'll head a blue ribbon committee for Gov. Rick Perry, looking for a better tax system for the state. The two men were college pals. Sharp won a House seat in 1978, moved to the Senate in 1982, and then won a spot on the Texas Railroad Commission in 1986. He won races for comptroller in 1990 and 1994, then lost in his 1998 and 2002 efforts at lieutenant governor. Perry started later and went higher, winning a House seat in 1984, agriculture commissioner in 1990 (beating incumbent Democrat Jim Hightower in an upset) in his first race as a Republican, and reelection in 1994. He and Sharp collided in that 1998 race for Lite Guv, and Perry won the 2002 governor's race after succeeding George W. Bush in 2001. Sharp joined a tax consulting firm -- Dallas-based Ryan & Co. -- and made another run for Lite Guv in 2002, when Perry was running for a full term as governor. Sharp lost to another Republican, David Dewhurst, and by a bigger margin than his first run.
For all the shock waves it sent across the political, lobby and government bubble in Austin, Perry's Sharp announcement fell in the middle of the news run-up to Hurricane Rita, and if you'd been out of town for a couple of days, you could've missed it. Perry didn't announce the deal in a press release, either from the governor's office or from his political office. None of the groups that ordinarily follow his announcements with faxed and emailed "atta-boys" to the press did anything, either. And there weren't any welcoming words from House Speaker Tom Craddick or Lt. Gov. David Dewhurst, who've been tinkering unsuccessfully with school finance for well over a year. But the quiet probably won't last. Sharp is already lining up speaking engagements to talk about state tax reform and lower property taxes, and said in his appearance with Perry that he expects the committee to travel around the state holding hearings. Both men all but killed talk of an income tax as a solution to state finances. "I would check the weather in the lower extremities before we would look at that," Sharp said. Both men ducked other specifics about what the panel might produce. Sharp let his clients and others know about the assignment in an email shortly after it was announced to the press: * * * * *As you know, my entire public service career has been built on solving problems few thought possible to solve. Whether it was the performance reviews, Lone Star card, Lottery start-up, welfare reform or whatever, I get no greater satisfaction than from solving problems in government.

Suddenly, a new opportunity has arisen. The single biggest problem facing our State in the last two decades is school finance. Governor Perry has asked me to chair a select commission to present the solution to that problem to the Legislature. It is not a challenge I can refuse. I realize it is a tough issue, but it is one I believe has a solution. Had I chose to run for office again, it would have been to solve this problem.

The tax system and school funding is too important a problem for me to say no, and I hope you understand and will give me your blessings. I will forever appreciate your words of encouragement and your friendship. I view this as possibly my last chance to do something historic for my state and I ask for your continued friendship and support in this endeavor and your blessing.

Thank you for everything and I'll talk to you soon.

Your friend, John Sharp * * * * *The top execs at Ryan & Co. are among the biggest financial backers to the current comptroller, Carole Keeton Strayhorn, who is challenging Perry for the Republican nomination for governor next year. Many of those execs have contributed individually to Strayhorn's campaign, but they've also given through the Ryan & Company Texas PAC, a political action committee that has spent most of its money over the last couple of years supporting Strayhorn, giving $308,500 between September 2003 and this past summer. Sharp hasn't given directly to Strayhorn, but contributed $14,423 to the company PAC during that same period. And the firm is almost certain to be a subject of argument during the coming gubernatorial primary campaign. A recent State Auditor's report detailed campaign contributions to Strayhorn from tax consulting firms that also do business with the comptroller's office. They didn't accuse anyone of any wrongdoing, but laid out the information in a way that makes it easy for Perry and other political opponents of Strayhorn to draw conclusions for the benefit of voters. Ryan & Co. led the list of contributors. 

Sorting out the Perry-Sharp handshake Chris Bell of Houston, who's been actively campaigning and trying to raise money for a run for the Democratic nomination for governor, is now relieved of the biggest obstacle: John Sharp isn't running. Felix Alvarado, a Fort Worth teacher who says he'll run, hasn't been pushing as hard as Bell, but gets the same sort of boost in not having to share votes with a rival who has already run statewide. Carole Keeton Strayhorn, who's hoping Democrats and moderates vote in the Republican primary, ought to be happy as well. Sharp won't be on the opposite side of the ballot trying to get some of those same people to vote in the Democratic primary. That's one less experienced candidate who's competing to be the alternative to the incumbent. On the other hand, Sharp works for a tax firm that is one of Strayhorn's biggest supporters, and she might see him as joining with her enemy. Writer and musician Kinky Friedman, running as an independent, has one less big name on the list of competitors. Independents get on the ballot by collecting signatures from registered voters who don't vote in primaries. This situation could certainly change, but there's a chance right now that Democrats won't be treated to much excitement on the statewide ballot in the March primaries. Bigger races increase turnout; quiet ones don't. Sharp's exit might lower the number of Democrats voting in March, increasing the number available to sign Friedman's petitions. After that, Friedman's chances improve if he's seen by voters as the best alternative to Perry, assuming they're looking for alternatives at that point in this election drill. But that depends on the primary results, and on whether a Democratic candidate can seriously challenge Perry in next year's general election. Gov. Rick Perry gets rid of the only remaining candidate whose poll numbers seriously rivaled his own. Most handicappers would say at this point that the Democrats are at a serious disadvantage in a statewide race in Texas. But Perry has been wobbly -- particularly before his widely praised efforts to help Hurricane Katrina evacuees -- and it doesn't do him any good to have a relatively well-known Democrat available as an alternative. Sharp didn't endorse Perry for reelection, but conservative Democrats will take his assistance as a cue, another bonus for the Guv. Lt. Gov. David Dewhurst, who beat Sharp in the 2002 election, didn't say anything publicly. But he and Sharp never patched things up after fighting for the state job, and Dewhurst has to be wondering whether he and his rival can work together on school finance. For House Speaker Tom Craddick, it's a wash. He and Sharp haven't been direct rivals though they're from different parties. They served together when Sharp was in the House. And it's possible that the tax committee will actually produce something lawmakers can stomach. That's something Craddick and Dewhurst and Perry haven't been able to do. What about the man in the middle? Sharp has lost his last two statewide races, and it's very difficult for a Democrat to raise enough money for a serious campaign; just look at Bell's campaign finance reports. Sharp's numbers in some polls were better than other Democrats, and in some surveys even rival Perry's numbers. Losing a third big race would probably put the last nail in Sharp's political coffin, and the absence of solid financing increases that risk. Since leaving office eight years ago, he's been financially successful. The firm that employs him, Ryan & Co., has chosen to oppose Perry in the governor's race against Comptroller Carole Keeton Strayhorn. This new deal puts Sharp on Perry's side, effectively covering the other side of the bet. He's probably giving up his political future, but the business move seems to make sense. 

Gov. Rick Perry appointed Rolando Olvera Jr. to wear the robes in the 138th Judicial District Court in Cameron and Willacy Counties. Olvera, a member of the Texas Lottery Commission, is a name partner in a Brownsville law firm. He'll replace Robert Garza, who's leaving the court to return to private practice. Olvera's a Republican and a previous Perry appointee to the bench. He was appointed to a court spot in 2001 but lost it in the 2002 elections. He'll be defending the new spot next year, and the Democrats already have a candidate putting a campaign together. John Hildreth, who has chaired the board of the Center for Public Policy Priorities since 1992, is stepping aside; Joe Rubio, a Catholic deacon and vice president of Catholic Charities in Houston, will take that spot. And CPPP is adding a new board member: Catherine Mosbacher of Houston, who served on the board of the Texas Department of Family and Protective Services as an appointee of Govs. George W. Bush and Rick Perry. John Pitts Sr. is leaving the Akin Gump law firm to hang out his own shingle doing law and lobbying. He's also signed on as a consultant to Washington, D.C.-based Arnold & Porter. His twin -- Jim Pitts, R-Waxahachie -- is the chairman of the House Appropriations Committee. Brett Findley is the new chief of staff to Sen. Florence Shapiro, R-Plano. He's worked on policy issues there for almost three years and gets the spot opened when Luke Bellsnyder left state employment for the lobby. Marisa Martin leaves the offices of Sen. Kyle Janek, R-Houston, to become associate director of the Scott & White Center of Health Policy.