ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: MONDAY, July 19, 1993                   TAG: 9307190070
SECTION: VIRGINIA                    PAGE: C-3   EDITION: METRO 
SOURCE: By JAY TAYLOR CORRESPONDENT
DATELINE:                                 LENGTH: Medium


TRANSPORT NEEDS EXPLODE AS REVENUES GET SCARCE

To sell legislators and the public on the biggest tax increase in state history, then-Gov. Gerald Baliles described it in 1986 as the solution to Virginia's transportation needs through the end of the century.

The $422 million increase was not as much as Baliles wanted, but enough to launch an ambitious building program at airports, on highways, bridges and rail routes.

Virginians still are paying the bills through higher sales and gasoline taxes, but the promises of better roads carry a hollow ring. According to the Virginia Department of Transportation:

In 1991, the state spent less on transportation than it did in 1986, in adjusted dollars.

About $50 billion in needs are forecast through the year 2010, and only half of that money will be collected at current tax levels.

Maintenance needs are rising quickly, and by 1995 the state will have to dip into its construction fund to keep up with repairs. The shortfall will grow to $80 million a year by 1998.

Bridges are quickly falling into disrepair, and money is getting scarce to fix them. In the Salem transportation district, which includes the Roanoke and New River Valley areas, there are $4 billion worth of needs through the year 2010.

More than 90 percent of rail needs will be unmet, and 36 percent of mass transit needs are in jeopardy.

Congestion on urban interstates has increased more than 50 percent.

Analysts blame lower-than-expected tax revenues, a proposed transportation bond sale that was declared unconstitutional by the state Supreme Court, exploding needs and costs, and a 1990 General Assembly raid on the transit coffers that diverted $195 million to help balance the budget.

The Virginia Association of Counties is backing a 5-cent-per-gallon gasoline tax increase - Virginians now pay about 18 cents in state tax for each gallon - but with the general election just three months away, few others are speaking openly about new levies.

Each penny-per-gallon increase would raise about $35 million per year.

Asked if they would support a gas-tax increase, gubernatorial candidates George Allen and Mary Sue Terry left themselves room to maneuver.

Republican Allen said he was not "inalterably opposed" to gas-tax increases; Democrat Terry would not, through a spokesman, answer the question yes or no, but said she opposes tax increases.

Allen also called for a more efficient Transportation Department and said he suspects that some of the stated needs are not necessarily proven needs.

In the Roanoke area, Dels. Victor Thomas and Clifton Woodrum, both Roanoke Democrats, say they oppose tax increases. Del. Richard Crawnell, D-Vinton; state Sens. Brandon Bell, R-Roanoke County; and Malfourd "Bo" Trumbo, R-Fincastle, said they were wary of a tax increase.

One alternative, floated by Del. David Brickley, D-Woodbridge, would back bonds with real estate transaction fees. New taxing authority for cities, counties and regional authorities also could be considered.



 by CNB