DATE: Thursday, November 6, 1997            TAG: 9711060481

SECTION: FRONT                   PAGE: A1   EDITION: FINAL 

SOURCE: BY WARREN FISKE, STAFF WRITER 

DATELINE: RICHMOND                          LENGTH:  150 lines

NOW ... FOR THE TAX CUT DEMOCRATS MUST CALCULATE THE REAL COSTS OF FIGHTING GILMORE'S CAMPAIGN MANDATE

On his first full day as governor-elect, Republican James S. Gilmore III began making small overtures to hostile General Assembly Democrats whose approval still will be needed to enact his promised repeal of the car tax.

Gilmore said he would be willing to meet with Democrats and discuss ways of ``improving'' his campaign pledge to phase out the personal property tax on most privately owned vehicles over five years.

But in another breath, the Republican made it clear that he viewed his election as a mandate to ax the unpopular tax and that he would not agree to wholesale compromise to accommodate Democrats.

``I'm happy to be open to new ideas, but not ideas that would thwart the will of the people under the guise of politics,'' Gilmore said at a news conference at the Richmond Marriott Hotel less than 24 hours after handily defeating Democrat Donald S. Beyer Jr.

But House Speaker Thomas W. Moss Jr., D-Norfolk, said in a written statement that House Democrats would defeat any tax cut that could come at the expense of education, law enforcement or other essential state programs.

``Today we are sending a message to our Republican counterparts in the House of Delegates and Gov.-elect Gilmore . . . '' he said. ``It is time to work together. But any attempt to impede our progress in reducing class sizes and improving education will be resoundingly defeated in our chamber.''

Gilmore said he is ``optimistic'' that Republican Gov. George F. Allen will appropriate money for the first two years of the tax repeal in a budget he will propose before leaving office in January.

``It's obviously something the governor is strongly supportive of,'' said Ken Stroupe, a spokesman for Allen.

Meanwhile, Democratic legislative leaders seemed split on just how far they would go to help Gilmore repeal the car tax. Gilmore has estimated the plan would cost $625 million a year when fully phased in; the Virginia Municipal League has warned it would cost almost $1.4 billion.

Many Democrats denounced the plan this fall as an irresponsible gimmick that would drain needed funds from education and road building. But faced with the reality of Tuesday's election - which saw an unprecedented Republican sweep for governor, lieutenant governor and attorney general - at least one key Democrat showed signs of relenting.

House Majority Leader C. Richard Cranwell, D-Roanoke County, said there is a ``significant opportunity for dialogue'' on the personal property tax. The 25-year veteran, who was sharply critical of the tax cut, barely won re-election Tuesday night. It was the personal property tax that nearly toppled Cranwell, who said last week that Gilmore's plan would pass only if ``every member of the General Assembly dies and Jim Gilmore gets to sign the bill by himself.''

On Wednesday, Cranwell said he still opposes the idea but left the door open to compromise. ``Right now, I'm not in the business of looking for alternatives,'' he said. ``They're the ones that need to make some proposals.''

But others saw the issue differently. ``I'll bet my bottom dollar by the time he gets to Richmond he will have an alternative plan for eliminating the car tax,'' Scott Leake, executive director of the Joint Republican Caucus, said. ``By the time it's over, he'll be calling it the Dick Cranwell Car Tax Cut,'' predicted Del. Morgan Griffith, R-Salem.

Cranwell seemed to be thinking along those lines Wednesday.

``I'm not going to vote for anything that's not fair to Southwest Virginia,'' he said. ``If I think Jim Gilmore is right, he's going to have the best support I can give him. If I think he's wrong, he's going to have the toughest fight I can give.''

But Cranwell's narrow win and Democratic losses statewide could mean he won't have the political muscle to put up much of a fight, GOP leaders said.

``It's going to set a new dynamic for the next two years,'' Leake said.

Vincent Callahan of Fairfax County, a member of the House Appropriations Committee, said he does expect Gilmore's plan to be modified.

``We have an awful lot of needs out there that have to be addressed before we start reducing revenues,'' he said.

But Callahan conceded that there is a mandate for some type of property tax cut.

``There's no question about that,'' he said. ``I've never seen such a mandate for anything in this state before.''

Robert Holsworth, a political scientist at Virginia Commonwealth University, wondered whether many Democrats would have the will to defeat the car tax and then face voters again in 1999 with the majority of both chambers up for grabs.

``I think Jim Gilmore won on a message of tax reduction and the Assembly opposes that at its own peril,'' he said.

Several key national Republican officials and consultants predicted Gilmore's successful campaign would become a model for GOP candidates across the country next year. They applauded Gilmore's platform to repeal the car tax and also his ability to halt the education debate with Democrats by pledging to reduce class sizes.

``The message is study Virginia, and emulate it and successfully develop your ideas on cutting taxes and improving education,'' said Jim Nicholson, chairman of the National Republican Party.

Nicholson noted that Democrats traditionally have been perceived as being stronger on education than Republicans. But in Virginia, he added, ``We took the Democrats head on in education and we beat 'em.''

Gilmore appeared relaxed at the news conference, even once letting lose an uncharacteristic laugh.

He announced that M. Boyd Marcus, his chief consultant during the campaign who is widely credited for developing the tax-cut plan, would serve as his administration's chief of staff.

Marcus, a Richmond-area native, has long been involved in Republican politics. He has run an assortment of statewide campaigns over the years and has been a key adviser to U.S. Rep. Thomas J. Bliley of Richmond.

He also appointed two aides to head his gubernatorial transition team: Brian Slater, his campaign manager; and David Anderson, a close associate when Gilmore served as attorney general. MEMO: Roanoke Times staff writers Christina Nuckols and Holly Roberson

contributed to this story.

For related stories see: MORE ON THE ELECTION

TURNOUT TURNS DOWNWARD

It was a beautiful day. The fate of the car tax hung in the balance.

Voter registration - spurred by motor voter laws - was at an all-time

high. But voter turnout in South Hampton Roads, at 44 percent, was way

down from the 1993 governor's race. Fewer than half of registered voters

turned out in all five cities. ``I was just being lazy,'' said Marlene

Glenn, 33, who registered last year at the Department of Motor Vehicles

in Virginia Beach. Besides, ``I wasn't even interested in any one of the

issues.'' Story, A14

EVERY VOTE COUNTS

Some admirers of Republican Beverly Graeber might wish they had voted

Tuesday. Her loss by eight votes to Democrat Don Williams in the 86th

district was certified by the local Board of Elections Wednesday

morning. Meanwhile, Graeber and GOP officials have announced they'll

call for a recount when the results become official Nov. 24. State GOP

officials want a hand count of the ballots, which could be an

unprecedented event in Virginia. Story, A15

ANOTHER ELECTION?

It's not over yet. State Sen. Mark L. Earley of Chesapeake will soon

be Virginia's attorney general, which means someone has to fill his 14th

District seat. That chair wasn't even cold Wednesday before Chesapeake

Del. J. Randy Forbes, a Republican, and Chesapeake School Board member

James J. Wheaton, a Democrat, moved to fill it. State election officials

said a special election could be held as soon as Dec. 16. Story, A16

KIDS VOTING

Adults weren't the only ones making the tough choices Tuesday. More

than 18,000 children took part in the Kids Voting USA project. The

results of their votes will be announced soon.Story, A15

MILESTONES

The town of Castlewood, Va., is no more. Residents, tired of town

taxes, voted Tuesday to dissolve the town government for what may be the

first time in Virginia. A judge still must approve the vote. Story, A16

The House of Delegates seat once held by Thomas Jefferson will now go

to Paul Harris, the first black Republican to be elected to the General

Assembly this century. Story, A16 ILLUSTRATION: Color photo

BETH BERGMAN NAKAMURA/The Virginian-Pilot

Gov.-elect James S. Gilmore III names his chief of staff and some

key aides Wednesday. KEYWORDS: ELECTION RESULTS GUBERNATORIAL RACE

Send Suggestions or Comments to webmaster@scholar.lib.vt.edu