Sunday, January 07, 2007

Tim Kaine's transportation plan; VA Republicans propose a tax increase

Kaine to House: OK new road funds or tell voters why not

RICHMOND, Va. - Bolstered by growing Democratic electoral might, new Republican Party leadership and powerful resentments over worsening traffic gridlock, Gov. Timothy M. Kaine is seeking new taxes and fees for new roads and rails for the second year in a row.

With all 100 House seats and 40 Senate seats up for grabs, the Democratic governor confronts conservative tax hawks, particularly in the House of Delegates, with a dilemma: approve a new stream of money to ease traffic congestion or answer to restive voters this fall.

On Thursday, Governor Kaine asked for nearly $1 billion a year in new taxes and fees to be earmarked for the transportation backlog which is currently estimated at about $100 billion. Kaine also DEMANDED a source of permanent revenue increase.

At the center of Kaine's proposal is a two percent increase on the sales tax on new cars in Virginia. The increase would put the car sales tax at five percent, the SAME amount Virginians pay on other merchandise, and would generate about $360 million in its first year. The Virginia Automobile Dealers Association says the new tax would increase the price of a new car by about $500 (depending on the price of the car, of course). That number can be trusted too, coming from a group which would have an obvious bias against the new revenue. WRONG. That $500 mark is based on a buyer PAYING MORE THAN THE NATIONAL RETAIL AVERAGE FOR A NEW CAR.

As many of us remember, the GA spent nine months arguing back and forth (almost shutting down the Virginia government), before rejecting Kaine's long term plan. Things may be a bit different this time around, though:

Kaine calculates it's still an issue so potent in the state's fastest-growing areas that, facing November's elections, it will either force Republicans to go along or force those who don't out of office.

The Democrats only need to pickup four seats in the state Senate to have their first majority since 1995. The Dems have already gotten challengers in place for three GOP state Senate seats in Northern Virginia. The AP article which appeared on the Richmond Times Dispatch website also points out that control of the state Senate is extremely important to both Democrats and Republicans because whichever party wins a majority will be able to protect and/or expand it's dominance when state congressional and legislative districts are redrawn in 2011.

Republican state Senator Jay O'Brien of Fairfax (who won't have a job come 2008) said the following (and even though no one cares what a doomed state Senator thinks, I'll post it anyway):

"I was a little surprised he's going back to what failed before. It makes you wonder if he's looking for a success this year or looking for something to blame Republicans for at the end of the day."

Nope, Mr. O'Brien, actually Governor Kaine just wanted to watch you cry, and he succeeded.

Apparently, state GOP leaders including new state party chairman Ed Gillespie, Attorney General Robert F. McDonnell, Lt. Gov. Bill Bolling and U.S. Rep. Thomas M. Davis are urging senior Republicans in the state House, and Senate to reconcile their differences in private discussions WITH those state leaders. Of course, because as we're all well aware, the Republican party has proven time and time again that a difference of opinion within the party is unacceptable.

Last month you may remember I wrote about the ineffective and worthless proposals made by Republicans, but I failed to mention the fact that they're already proposing what amounts to a tax increase. One of their proposals to increase revenue is to replace the per-gallon state tax on fuel (a dwindling source of revenue), with a SALES TAX ON GASOLINE THAT WOULD KEEP PACE WITH PRICES. Fine by me, but to all you Republicans still buying into the scum bags' LIES, please remember this next time they start harping on how they never raise taxes.

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