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

DATE: SUNDAY, July 30, 1995                   TAG: 9507310069
SECTION: VIRGINIA                    PAGE: C-4   EDITION: METRO 
SOURCE: Associated Press
DATELINE:                                 LENGTH: Medium

PLAN CALLS FOR RAISING VA. TAXES

Business leaders and lawmakers in Northern Virginia are pushing a bipartisan plan called Virginia First to increase state spending on roads, the technology industry and public education by hundreds of millions of dollars.

The plan suggests a combination of new tolls, bonds, and gas or sales taxes to pay for highway construction to relieve the region's congested roads and accelerate economic development statewide.

But the platform's position on new tax revenue holds the potential of splitting GOP supporters and pitting some Republican legislators against their governor, who has promised not to raise taxes.

Led by Northern Virginia developer John T. ``Til'' Hazel Jr., the group is circulating its proposal to all 34 members of the Northern Virginia legislative delegation, as well as their challengers in this fall's elections. So far, 16 incumbents have signed on.

``We're not advocating a tax increase; we're talking about future growth in this state,'' said Del. Vince Callahan, R-McLean, co-chairman of the Northern Virginia delegation and one of six legislative authors of the plan. Callahan acknowledged that the plan's implementation requires the governor's cooperation, but he said: ``The legislature is an independent body. We're not required or obligated even remotely to follow the governor's program.''

A spokeswoman for Allen said the governor was reviewing the plan Friday. ``We agree on many of the broad objectives,'' Melissa Herring Dickie said. ``But the governor has indicated this is not the time to consider higher taxes.''

The plan calls for equalizing education spending between rich and poor public school districts. It advocates $500 million in bonds to update labs, libraries and technology at colleges and universities.

by CNB