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McDonnell doesn't want any tax hikes
No new taxes, McDonnell says
Date published: 12/9/2009

BY CHELYEN DAVIS

RICHMOND--

Gov.-elect Bob McDonnell and a leading House Republican budget writer both told reporters yesterday that any tax increases Gov. Tim Kaine puts in his outgoing budget are dead on arrival.

Speaking separately to a group of journalists, McDonnell and Del. Kirk Cox, R-Colonial Heights, said they hope Kaine does not follow through on hints that his budget may roll back the car-tax cut or eliminate the "dealer discount," a portion of sales tax that merchants keep.

Kaine is writing a two-year budget with steep cuts to offset a budget shortfall. He has proposed eliminating the dealer discount before. But Kaine will be out of office shortly after presenting the budget, and McDonnell and legislators will be the ones to finalize it.

McDonnell said he considers eliminating the car-tax cut, especially, to be tantamount to a tax increase and that he will not raise taxes.

He said he has talked with Kaine, about the budget and other matters, and has "asked him to balance the budget through the right amount of spending cuts."

"We can't sustain tax increases," McDonnell added. "A cap or limitations on the car-tax cut, if that was to roll back, I consider that a tax increase."

Earlier Cox had said the best thing Kaine can leave the legislature is a budget without tax increases.

If lawmakers want to eliminate any tax increases in the budget, they'd have to offset that with even steeper, unpopular budget cuts.

"I do not see [elimination of the car-tax cut] going anywhere," Cox said. "That's why I think it's counterproductive to put it in the budget."

Sen. Janet Howell, D-Fairfax, also a budget writer and on a panel yesterday with Cox, said she'd like to see the state look at the roster of tax credits that are given to businesses.

The state puts them in the books, she said, "then we never analyze whether they're working or not."

Asked about that, McDonnell said if legislators show him a tax credit that isn't producing the results it was intended to, he's willing to listen, but he did not sound like he plans to pursue the issue.

McDonnell did say he's still committed to reopening recently closed highway rest stops within three months of taking office.

He said he's looking at a combination of renegotiating contracts, using nonviolent offenders as labor and other things to get the money to reopen the rest stops.

"I fully intend to keep my campaign pledge to have them open in 90 days," he said.

McDonnell also said he still wants to pursue adding tolls to interstates 95 and 85 at the North Carolina border, and improving U.S. 460 in the Hampton Roads area.

McDonnell said he hopes to have "a wholesale improvement in transportation funding" within his first year in office. He currently has people studying other states that have privatized state-owned alcohol sales, a proposal that McDonnell made during the campaign.

McDonnell also indicated he might revive the HOT lanes project on I-95, something Kaine stopped earlier this year.

Chelyen Davis: 540/368-5028
Email: cdavis@freelancestar.com



Date published: 12/9/2009



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Jobs 2 (posted by Duncil , Dec. 10, 2009 6:39 pm)    0 likes
There are ways to segregate non-smokers so they can have their "pristine" air. Let the private sector handle this. They are far more capable than the gang in Richmond. Here's an idea...how about a tax credit for business owners who upgrade their restaurants? If it's good enough for the global warming hoaxers, why not?

Jobs (posted by Duncil , Dec. 10, 2009 6:35 pm)    0 likes
If he does not rollback that unConstitutional restaurant smoking ban, he will have to raise taxes to pay for the unemployment caused by closed restaurants and restaurant suppliers.

Can't wait (posted by GaryShorts , Dec. 10, 2009 1:09 pm)    0 likes
Once Mac takes office we can finally use the restroom while driving on the Interstate. We will not have Obama's cronies keeping up from using the rest stops and making up sit in congestion on I-95 while paying higher taxes.

Is it possible for a politician (posted by ColBatGuano , Dec. 9, 2009 10:33 am)    0 likes
to keep campaign promises...looks as if the answer is ..yes? We'll see...it would be a first in recent memory...

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