Following the transportation deal reached by the Virginia
General Assembly, Gov. Bob McDonnell remarked, “This vote is an important moment
for Virginia’s economy, Virginian’s quality of life, and our political system.”[1]
What McDonnell was really saying is, “Look America, I can get bipartisan
legislation passed even in these toxic political times.”
The transportation package will now be headed to the
governor for his signature after the Virginia Senate passed the transportation
bill on a 25-15 vote on Saturday. The
Virginia House of Delegates passed the transportation bill on a 60-40 vote on
Friday.
The transportation package will shake a number of revenue-builders
up in Virginia. First, Virginia’s sales tax rate will increase from 5 percent
to 5.3 percent. Secondly, the package will increase regional taxes in Northern
Virginia and Hampton Roads for road projects to be constructed in those areas.
Third, the transportation deal will replace Virginia’s 17.5-cents-per-gallon
gas tax with a wholesale tax on gas and diesel. These are just three of the
revenue-increasing measures contained in the transportation package.
Democratic Senators in particular were quick to point out
that the transportation bill isn’t “perfect” but compromise is still warranted.[2]
It’s not a stretch to say that no matter where the final transportation deal
landed, no one on the political spectrum was going to be entirely pleased.
Yet Sen. Chap Petersen[3]
(he’s so hardcore, he wears a bowtie!) made a number of convincing arguments in
his opposition to the new transportation bill. Dividing Virginia up in terms of
taxation (i.e., residents of Northern Virginia will pay higher taxes on certain
things) is indeed a recipe for increased regional tensions among Virginia’s
diverse segments. Furthermore, the complexity of the bill alone is enough to
make anyone with any degree of legislative knowledge wary of how it will be managed
in the long run.
Some Republicans in the General Assembly also made sense in
their opposition. Sen. Ralph Smith (Bedford County) stated, “In a time when
their dollar is not going as far as it once did, in a time when unemployment is
higher than we would like it to be, the General Assembly is saying: ‘Well, you
make out the best way you can but we’re going to take a bigger chunk of your
wages.’”[4]
Indeed, I didn’t see it talked about much (not at all by the
mainstream media), but many of the taxes that will be increased amount to
regressive taxes that will hamper the economically disadvantaged more than
Virginia’s affluent. Once again, the little guy, so to speak, gets the biggest
shaft!
Moreover, Virginia can’t continue taxing its way out of management
ineffectiveness. Virginia’s transportation system isn’t degrading due to a lack
of funds.[5]
It’s debilitated due to ineffectiveness in properly managing existing and new
transportation projects.
Virginia needs more than just money. It needs a short term
and long term plan for transportation. Otherwise, we might as well go ahead and
raise taxes again. We’ll be needing them soon.
[1] http://hamptonroads.com/2013/02/general-assembly-passes-sweeping-roads-legislation
[2] http://bluevirginia.us/diary/8783/breaking-virginia-senate-about-to-pass-transportation-deal
[3] http://fairfaxsenator.com/
[4] http://hamptonroads.com/2013/02/general-assembly-passes-sweeping-roads-legislation
[5] http://www.washingtonpost.com/blogs/dr-gridlock/wp/2013/02/21/is-any-increase-in-transportation-spending-a-good-thing/
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