ROANOKE TIMES

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

DATE: TUESDAY, October 3, 1995                   TAG: 9510030061
SECTION: VIRGINIA                    PAGE: A6   EDITION: METRO 
SOURCE: 
DATELINE:                                 LENGTH: Long


WHERE THE CANDIDATES STAND ON TAXES AND SPENDING

Responses to the question: "What, if any, state taxes do you think should be cut? What, if any, state spending do you think should be cut or increased?"

For the Senate seat covering Roanoke and most of Roanoke County:

JOHN EDWARDS (D)

Taxes: Virginia is already a low-tax state, he says. To cut taxes "could jeopardize Virginia's outstanding credit rating. And it would shift the tax burden to localities, which must rely heavily ... on real estate and personal property taxes," which he calls "less fair."

Spending: He says the state's top priority should be increasing funding for public schools, higher education and continuing education.

STATE SEN. BRANDON BELL (R)

Taxes: Bell says the state's income tax "is much too high, especially for lower-income groups. A married couple with three children earning $15,000 per year will pay $191 in income taxes. That is seventh highest in the nation. At that [income] level, 30 states have no taxes, and nine states actually give rebates." He offers no specific proposal to cut taxes, however.

Spending: He only says the state must "control" the growth of government.

For the House of Delegates seat covering western Bedford County, a swath of Roanoke County from Clearbrook to Vinton to Hollins to Glenvar to Catawba, southern Botetourt County and Craig County:

DEL. RICHARD CRANWELL (D)

Taxes: "The most salient fact is that Virginia is an extremely low-tax state, ranking 49th," Cranwell says. "That means there is only one state with a lower state tax burden than Virginia and that is New Hampshire. So I really do not feel there is any particular state tax I would single out for cutting, particularly in light of the fact that state taxes actually took a smaller bite out of household income in 1994 than they did in 1984."

Spending: Cranwell also says the state should spend more money on education, especially restoring cuts to higher education that have been made over the past five years. He says this can be done without a tax increase because Virginia's economy is growing, therefore, tax collections are increasing.

For the complete version of Cranwell's answer, call Infoline at 981-0100 and press category 7811. In New River, call 382-0200.

TRIXIE AVERILL (R)

Taxes: "Contrary to claims that Virginia is a low-tax state, the commonwealth's total per capita tax burden in 1992 was the highest in the Southeast. Today, Virginia is among the third of states with the highest per capita individual income tax burden in the country. At the same time, the personal exemption allowed for working Virginians and their dependents ($800) is the second worst in the nation. Because the personal exemption has not been adjusted upward since the 1970s, inflation has caused a steady increase in the income tax burden of every working Virginian."

Averill also says the state should repeal the gross receipts tax - BPOL, for "business professional occupation license."

Spending: She says the state should look at ways to cut spending by seeking out waste. She singles out the upkeep of the state yacht and "double-digit pay increases to college presidents who already have six-figure incomes."

For the complete version of Averill's answer, call Infoline at 981-0100 and press category 7812. In New River, call 382-0200.

For the House of Delegates seat that covers Northwest Roanoke, South Roanoke, Southwest Roanoke and the Cave Spring-Hunting Hills section of Roanoke County:

DEL. CLIFTON "CHIP" WOODRUM (D)

Taxes: "Virginia has an enviable record of fiscal responsibility and low taxation. We were one of only two states that did not raise taxes during the past recession. Of the 45 states that levy a sales tax, we rank 45th - dead last. Only one state has a lower tax burden in relation to personal income than Virginia - we are next to the lowest."

Spending: He proposes cutting "the ever-expanding" staffs of state Cabinet secretaries, cutting ceremonial travel by state officials and "clarifying and streamlining government." He also proposes the state make more use of telecommunications "instead of expensive travel."

NEWELL FALKINBURG (R)

Taxes: He proposes to modify or phase out the gross-receipts tax. He also favors reduced unspecified taxes on "small, entrepreneurial businesses" and taxes on "expanding existing businesses."

Spending: He doesn't identify particular spending he'd like to cut or increase.

For the House of Delegates seat that covers Southeast Roanoke, Northeast Roanoke, part of Northwest Roanoke and the Peters Creek Road section of Roanoke County:

DEL. VIC THOMAS (D)

Taxes: "We were one of only two states not to raise taxes during the recession, and we have twice been named the best fiscally managed state in the nation. I am not willing to issue debt to finance a tax cut." [Democrats drew a connection during the last session between Gov. George Allen's proposal to cut taxes and his proposal to issue bonds to build new prisons. They opposed a tax cut, and favored paying for prisons with more cash up front.]

Spending: "Education has suffered in the leanest years of the recession, but it is time to regain our momentum for excellence in education."

JEFF ARTIS (R)

Taxes: He proposes to cut the gross receipts tax.

Spending: "We need to maintain current spending with a possible increase in spending in mental health because mental health is in the Dark Ages in this state."

For the House of Delegates seat that covers Blacksburg, part of Christiansburg, northern Montgomery County and eastern Giles County:

DEL. JIM SHULER (D)

Taxes: Doesn't cite any.

Spending: "The people I represent ... say 'Jim, we can afford it, let's get on with our educational needs. I would rather that you spend the money for that than send me back 10 cents a day.'''

LARRY LINKOUS (R)

"I'm not prepared to say that we need a tax cut or a tax increase or anything else until I can get in and see the budget and see where we stand."

For the state Senate seat that covers Montgomery County, part of Pulaski County, part of Carroll County, Galax, Grayson County and Smyth County:

STATE SEN. MADISON MARYE (D) ``With the present state of the commonwealth, with the needs of its learning institutions, its need for roads, its need for the environment, its cultural needs, and I'm talking about libraries, [and] I'm not sure if we're going to borrow money for prisons considering the prison need, no, I don't think we should cut any taxes."

PAT CUPP (R)

Taxes: "It is difficult to specifically address taxes and expenditures without reviewing a copy of the state budget, but I would like to see the state income tax on Social Security benefits abolished or at least reduced for individuals on fixed incomes. In addition, I think the General Assembly needs to raise the state income tax exemption for working families from $800 to the federal level of $2,400.

Spending: "My two priorities for increasing spending would be for both education and corrections. We need to focus on preventative measures, which is inherent in education, as well as making sure there is adequate prison space for violent criminals. I think we can do this without an increase in taxes. A growing economy will provide the necessary revenue to accomplish the above funding."

For the House of Delegates seat covering Floyd County, most of Franklin County, the Moneta precinct in Bedford County and part of Pittsylvania County:

CLAUDE WHITEHEAD (D)

Taxes: "I am always willing to consider cutting any taxes that can be shown to be an excessive burden on taxpayers or are stifling the economic well-being of our state and communities. Our tax system must always be under scrutiny and balanced against the state's obligations and what Virginians want and need in the way of state services."

However, Whitehead calls attention to four obligations he says "we have to look at before we talk about tax cuts." They are the $76 million the state owes federal retirees who opted not to take the settlement offered by the state, $160 million for projected increases in the Virginia Retirement System, $600 million for projected increases in Medicaid and the "many millions of dollars required to make good on incentives to Motorola, IBM and other large corporations to locate in Virginia."

Because of this, Whitehead says "broad, politically inspired tax cuts at this time would probably do irreparable damage to our state." He says eliminating the gross-receipts tax would have "forced local real estate rates up drastically" as localities attempt to make up for the funds.

Spending: Whitehead says the state should increase funding for education, with an eye toward lowering class sizes in kindergarten through third grade and adding computers in every classroom. He believes this can be paid for without a tax increase because the state's tax collections are increasing as the economy grows.

DEL. ALLEN DUDLEY (R)

Taxes: "I am very supportive of increasing the personal exemption for dependents of middle- and lower-income working families. In my opinion, the current deduction of $800 is way too low. I would also like to see lottery profits returned to localities where local decisions can be made on how best to use this money.

Spending: "I believe we have spent far too much money on welfare in this state. I feel we should be willing to give people in need a 'hand up' instead of a handout.

"I would like to see Virginia have the best educational system in the nation, and that requires increased funding. However, we must combine increased funding with real reforms and accountability."

For the Senate seat that covers Bedford, Bedford County, Lynchburg and Amherst County:

BARBARA COLEMAN (D)

"I haven't had a chance to scrutinize the budget at this point so I can't make a recommendation but I think we have really got to look at how we're spending the money and how effective it's going to be in the long term and not the short term."

DEL. STEVE NEWMAN (R)

Taxes: He says the gross receipts tax that some localities are allowed by the state to levy on businesses is a "job killer" because it discourages businesses from expanding. He says the income tax could be "more family-friendly, which means larger deductions per child."

Spending: He says the state's top priority should be law enforcement, although he doesn't propose any specific spending increase. Like Gov. George Allen, he believes the state should turn over the lottery proceeds to localities. He also proposes the state quit spending $70 million annually to promote the lottery - although he doesn't address whether lack of advertising would mean fewer players and thus less revenue to share.

He also proposes that the state turn over recordation fees, which property owners pay when they record land deals, to localities.

Staff writers Dan Casey, Richard Foster, Todd Jackson, Brian Kelley, Kimberly N. Martin, Leslie Taylor and Dwayne Yancey contributed to this report.

Keywords:
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