ROANOKE TIMES

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

DATE: SATURDAY, January 21, 1995                   TAG: 9501240044
SECTION: CURRENT                    PAGE: NRV-3   EDITION: NEW RIVER VALLEY 
SOURCE: JIM SHULER
DATELINE:                                 LENGTH: Medium


BUDGET PROPOSAL HURTS TECH

Our colleges and universities are once again targets of budget cuts for an unprecedented fifth year in a row.

Southwest Virginia, especially Virginia Tech, has taken a particularly hard hit. The governor's proposed budget not only cuts Virginia Tech in areas such as instruction, but it devastates the Cooperative Extension/Agriculture Experiment Station budget. The loss of funds from this division will have the following impacts:

1. Loss of support for the state's agricultural industry, including food and fiber processing, storage and distribution, which generated more than $34 billion in 1992 and employs 15 percent of the state's work force.

2. Elimination of the fish and shellfish technology program, which addresses the critical needs of the commercial seafood and aqua-culture industries.

3. Loss of return on investment of public funds in agriculture, forestry, extension and research, which scientific studies show an annual return of $1.50 for every $1 invested.

4. Loss of funding for 36,000 of the 120,000 Virginia youth enrolled in the 4-H program (about half from urban areas). If 1 percent of those lost entered a juvenile facility, the cost to taxpayers would exceed $10 million in a single year.

5. Closing of one-third to one-half of local extension offices, up to one-half of the Agricultural Research and Extension Centers or farms, and two 4-H Educational Centers.

It is obvious that such cuts to Extension will have long-lasting effects and jeopardize the state's economy, especially in Southwest Virginia. It is imperative that the General Assembly restore this funding. I have drafted a budget and will include last year's shortfall and this year's budget reduction.

Virginia has a reputation of being a fiscally conservative, well-managed state. Gov. Allen has proposed tax cuts to almost every agency, except his secretariats, to fund his $2.1 billion prison construction program. In addition, he has caught the swell of the national tide and would like to reduce individuals' income taxes. Even though he has slashed almost every budget item, his budget still has a $400 million shortfall.

I am proud of our national recognition as a conservative, well-managed state. I do not think we should jeopardize our future. We have always practiced a "pay-as-you-go" philosophy.

In the past, Virginia has maintained a careful balance between high quality services and low tax burdens

A reduction in income taxes sounds good, and I support it in principle. However, we must face the reality that we cannot continue to provide a wide variety of services without the tax base to support them.

Virginia's total tax burden is 45th in the nation. In addition, Virginia has the lowest sales tax in the nation, the third lowest corporate income tax rate and is among the lowest in taxes for tobacco.

Under the governor's proposed income tax cut, each family of four in Giles and Montgomery counties would save $33 per year.

This is a critical time for Virginia, and we may be at one of our most important turning points. Let us take a look at what we might lose if we take this tax cut of $33 per year or 64 cents a week.

That $33 would pay for 250 more police officers on our streets to fight crime; or 32,000 Meals on Wheels for elderly citizens; or additional support to elementary schools, high schools and universities.

We must ask ourselves, will the proposed cuts in funds for school drop-out prevention and for mental health produce more unemployment and crime? Does it make sense to pour millions of dollars into new prisons while at the same time hurting our rural areas with the greatest need by cutting Cooperative Extension? Will ending home-delivered meals send more of our elderly citizens to nursing homes already financed by the expensive Medicaid (state-funded) system?

Do you think that you get enough out of your tax dollar? Do you think that your tax dollar is going to the right place?

If you think that Virginians deserve a tax cut, what programs would you cut? We face some hard choices.

To contact Del. Shuler, write him at P.O. Box 406, Richmond, Va. 23203 or call (804) 786-8425. To register an opinion, call constituent services at (800) 889-0229.

Keywords:
GENERAL ASSEMBLY 1995



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