The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Wednesday, October 23, 1996           TAG: 9610230523
SECTION: LOCAL                   PAGE: B3   EDITION: FINAL 
SERIES: DECISION 96
        AT ISSUE: PRIORITIES
        As Virginians look forward to the Nov. 5 election, they're thinking a
        lot about issues that are important in their lives. This week we
        examine the qualities citizens want in their leaders, and how a few
        Hampton Roads residents view those qualities.
SOURCE: BY ELIZABETH THIEL, STAFF WRITER 
DATELINE: VIRGINIA BEACH                    LENGTH:  135 lines

VOTER THINKS GOVERNMENT SHOULD LEARN TO SPEND LESS

Carolyn H. Knehans knows she's made a tough tradeoff.

She's in a job she loves at Sofas Etc. in Virginia Beach, selling furniture to customers who also avail themselves of her natural creativity and design expertise. She's chosen that over a faster-paced sales job that might pay better but would exhaust her.

Although Knehans says she's happy and her company is very good to its workers, the job doesn't come with a high salary. The chunk of taxes taken out of her pay leaves her with little to spend on herself. Of the $25,000 she'll make this year, Knehans estimates she'll take home only about $15,000.

For a 53-year-old divorced woman, who still has big dreams of other vocations she'd like to try if she could afford the schooling, living on such a tight budget can sometimes be frightening.

``If the car breaks down, if I need a new washing machine, I just run scared, like, what am I going to do?'' she said.

``I'm careful when I eat out, if I eat out, which is something I've never had to do before. I count on my bonuses, because if I just had my regular salary, I wouldn't be able to live.

``It's not that I'm a spendthrift, because I'm not.''

She has just enough money to cover her necessities, including a small mortgage for a condo she owns in Chesapeake. She avoids going into debt whenever she can.

She wishes she could say the same thing for the federal government.

She thinks the government spends money it doesn't have on programs it doesn't need. The result is that average people are taxed so much that their standards of living are in jeopardy.

``I'm not an economist,'' she said, ``but I know when people are overtaxed, and when taxes are inequitable.''

She blames politicians who don't know or don't reveal the truth about the nation's fiscal situation, and a public that refuses to make tough choices about expensive programs.

``My dad said something very wise to me a long time ago,'' she said. ``He said, `Carolyn, the moment you spend more than you're making, you're in trouble.' This country is in serious, serious trouble. We're spending far more than we should spend.'' KNEHANS' QUESTIONS FOR THE CANDIDATES

When will you decrease taxes and government spending? How soon can we expect results? SENATE Virginia

John W. Warner (R)

``Tax relief must come in the following manner: No. 1, we've got to stay on course toward our goal of a balanced budget by 2002. That's essential. No. 2, the nation cannot allow interest rates to rise as they did under President Carter, when they topped 15 percent. No. 3, the nation cannot allow a significant increase in the deficit. Within that framework, I will work with President Dole to achieve his tax reduction goals.''

Mark R. Warner (D)

``As soon as I'm elected. I believe we should end a variety of corporate welfare programs and cut back on spending in most areas. A budget plan put forward by a bipartisan group known as the Blue Dogs called for about $28 billion in cuts to corporate welfare. I could support cuts at that level. I also support cutting spending on welfare, cutting out spending on B-2 bombers beyond the 20 requested by the Pentagon, and cutting Medicare spending to the extent necessary to save the program. Meanwhile, I support a tax deduction for middle-class families to help offset the cost of college of vocational education. However, I cannot support a massive tax scheme like the Dole plan until we get our fiscal house in order.'' HOUSE 2ND District

Owen B. Pickett (D)

``The first objective in improving our nation's financial condition is to achieve and maintain a balanced annual federal budget. Inefficiency, waste and duplication should be ruthlessly pursued and immediately eliminated from federal government spending. Citizens should be taxed only to the extent absolutely necessary to carry out the essential functions of government.''

John F. Tate (R)

``I will begin voting to decrease taxes and spending immediately. If Republicans keep control of Congress and we defeat Bill Clinton, you can expect results right away. If, on the other hand, the Democrats retake control of Congress and Bill Clinton stays in power, taxes and spending are certain to go up, not down.'' 3RD DISTRICT

Robert C. "Bobby" Scott (D)

``We have significantly reduced the deficit, and as we continue the course we'll have less spending. If we continue on this path, the budget, clearly, will be balanced in seven years. Had we not taken action in 1993, the deficit would be $300 billion by now and not $120 billion. If we insist on significant tax cuts, that will place Social Security, Medicare, education and environmental protection in jeopardy.''

Elsie Goodwyn Holland (R) ``Immediately.'' 4TH DISTRICT

Norman Sisisky (D)

``I think we can reduce taxes when we're on the way to balancing the budget. I'm all for a tax decrease, but not if it raises the deficit. Basically, we're on the glide path now. The deficit, instead of being the $290 billion it was supposed to be this year, will be somewhere around $109 billion to $110 billion. I am in favor of targeted tax cuts, especially a tax credit for two-year colleges, and a tax deduction for college tuition. And I believe this could be passed fairly early in the next Congress.''

Anthony J. Zevgolis (R)

``One of my first priorities would be repeal of the Clinton budget plan that placed a higher tax burden on Social Security earners and our retirees. Send me to Washington with a larger majority Republican Congress and, to put icing on the cake, a Republican president, and I can promise you immediate results on getting this economy going with more and better jobs and a higher standard of living for all Americans. ILLUSTRATION: MORT FRYMAN

The Virginian-Pilot

Carolyn H. Knehans is very careful about how she spends her money

and wishes the government would do the same. [Appeared on page B1.]

MORT FRYMAN

The Virginian-Pilot

"I'm not an economist," says Carolyn H. Knehans, "but I know when

people are overtaxed, and when taxes are inequitable."

KEYWORDS: U.S. SENATE RACE 1996 U.S. HOUSE OF REPRESENTATIVES

RACE 1996 ISSUE by CNB