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

DATE: TUESDAY, February 1, 1994                   TAG: 9402020254
SECTION: CURRENT                    PAGE: NRV5   EDITION: NEW RIVER VALLEY 
SOURCE: Thomas G. Baker, Jr.
DATELINE:                                 LENGTH: Medium

CREATING INDUSTRY INCENTIVES

The state has recently lost several industrial prospects to neighboring states. Incentives from these states seem to be attracting companies to locate there rather than in Virginia.

Last week, I co-sponsored legislation that should create very effective incentives to attract new industries. The two measures proposed should reduce the corporate tax rate to 3 percent from 6 percent by the year 2000 and provide, by constitutional amendment, that any tax increase would require a two-thirds vote of the General Assembly. Now, only a simple majority vote is needed.

New industry locates in states that can provide good schools, recreation, transportation and a positive corporate climate.

A substantially lower tax rate will, I think, attract new industry and keep it here. The increase in revenue from income taxes through new employment will more than offset the reduction in the corporate tax rate. In short, we would all benefit.

I am a co-patron of a bill to repeal the state tax on Social Security. This tax inflicts an undue hardship on senior citizens and retirees on fixed incomes. I hope that we will be able to repeal that law this year.

I met with Gov. Allen last Tuesday and discussed several matters involving Pulaski, Radford and Giles. I will also be carrying a bill for the governor this year on the rights of crime victims. This bill provides for greater protection of crime victims and their families from invasion of privacy and helps give them more confidentiality.

Also this week. I co-sponsored a bill with Del. Clinton Miller of Woodstock to allow voluntary prayer in schools. The bill provides that the Board of Education, in cooperation with the attorney general, is to establish guidelines for voluntary school prayer. A great many of you have expressed concern about this issue. I agree there is a place for prayer in our schools.

Committees began taking up the huge volume of bills this week. I always appreciate your input. You can reach me by phone at (804) 786-6605 or 674-4081 at my Dublin office. To send a letter, mail to Room 446, General Assembly Building, Capital Square, P.O. Box 406, Richmond, Va. 23203.

Keywords:
GENERAL ASSEMBLY 1994