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July 8, 2009

Swampscott's Baker enters gov race

BOSTON (AP) — Swampscott resident and Harvard Pilgrim Health Care President Charlie Baker, a favored son by many state Republicans, is stepping down from his private-sector job to enter next year's campaign for Massachusetts governor.

The former Weld administration finance and human services aide previously weighed both gubernatorial and U.S. Senate races. He will now join convenience store magnate Christy Mihos in a primary campaign for the 2010 GOP nomination.

"Leaving the company is not an easy decision for me, but there is no middle ground," Baker said in a statement issued Wednesday. "I am either the CEO of Harvard Pilgrim — or I'm building a campaign organization. I cannot do both."

Baker and Mihos are seeking to unseat incumbent Democratic Gov. Deval Patrick, who last week signed the first increase in the state's sales tax in 33 years as he tried to balance the state's budget during the worst recession since the Great Depression.

Democrats, who also control the House and Senate, also have been plagued by a series of ethics and pension scandals, prompting the Legislature to pass reform bills in recent weeks.

Patrick was elected the state's first black governor in November 2006 and ended a 16-year run of Republican control over the Corner Office, a reign that started in 1991 with Baker's former boss, William F. Weld.

Treasurer Timothy Cahill may also be a candidate in the suddenly mushrooming gubernatorial race. The Quincy Democrat announced Monday he was leaving his party and weighing an independent candidacy for governor. He said he planned to announce a decision after Labor Day, but Cahill's move put immediate pressure on Baker.

Cahill has been espousing a fiscal conservatism usually voiced by Republicans, threatening to split anti-Patrick voter sentiment.

By declaring his candidacy now, Baker will not only be able to raise campaign donations both in 2009 and 2010, but he could solidify his stature among the Republican base and establish himself as the leading opposition voice to the governor.

Mihos alienated many Republican Party faithful in 2006, when he challenged the GOP's gubernatorial nominee, then-Lt. Gov. Kerry Healey, with his own independent campaign for governor.

He garnered only 7 percent of the general election vote.

Baker, 52, was raised in Needham and graduated from Harvard College. He received a masters degree from Northwestern University's Kellogg School of Management.

He served eight years in state government, including a stint as finance secretary in the administrations of Weld and his successor, former Gov. Paul Cellucci.

Described by friends and colleagues as brilliant, he also could become quickly agitated when criticized.

Baker joined Harvard Pilgrim in May 1999 as president and CEO. He has been receiving a reported $1.5 million annually in salary and bonus. He and his wife, Lauren, have three children and live in Swampscott.

Baker's departure from Harvard Pilgrim is effective July 17. Bruce Bullen, Harvard Pilgrim's current chief operating officer, will become interim chief executive officer.

Harvard Pilgrim is consistently rated among the nation's top health care providers. It has over 1 million members.

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