Umm, no? What land did Sam inherit from his position? What titles would he pass down to his children? "Elected Mayor" just means that people liked him. It doesn't really imply becoming a Gentleman.
Hey, congratulations, you're head peon. You have no real power, are completely subservient to anyone who actually DOES have a title, and, when you are no longer mayor, for whatever reason, you're just a regular peon again.
I'm sorry, but, no, Tolkien most certainly does not hold with the idea of democracy or anything other than traditional English class systems.