Session Wrap Up Part 2: Taxes and Fees

New taxes were not seriously considered this session.  One that was pushed but was defeated would have taxed the “vapor” electronic cigarettes.  Some believed it unfair that these former smokers were getting away with not having to pay any tax.  The proponents do not like smoking.  They look down on smokers and, therefore, felt they should pay for their actions – smoke or no smoke.

The Governor did include a number of fees and taxes that would end up indirectly being paid by Virginians in his proposed budget.  Our Finance Committee struck those out of the budget that was sent to him for his signature.

Transportation 

A major bill that passed changed the formula of how transportation dollars will be spent.  Currently, the dollars are divided into multiple pots.  New construction gets a portion, primary roads and interstates get a portion, and secondary roads get a portion.  Traditionally, using this formula, each locality would then get their shares based on miles of secondary roads and traffic volume.  Over the last number of years the problem has arisen that some localities do not receive enough funds to do any projects.  The money simply sits on the sideline waiting for another year’s funds to be added or to do small projects that are not the most needed.

This year’s changes call for the funds to be allocated by transportation districts instead.  Rather than each locality getting some money each year, the district will receive that money.  The district office, in cooperation with the localities, will rank the projects based on need district wide.  This will allow projects of higher priority to be completed more efficiently and faster.  Each district is holding meetings to determine how those priorities should be set.

I voted against the legislation because of my concerns of how those priorities will relate to rural Virginia.  The Fifteenth District is a very rural district.  While the Secretary of Transportation assured me that the system would be fair, it did not relieve me of my doubts.  When I questioned him in the Rural Caucus about how safety and economic development would relate to congestion, Secretary Layne responded that each district would come up with its own formula.

The concern that I have is that each district is generally represented by the more populated portion of that district.  For example, the Richmond district extends from Hanover in the north to Mecklenburg in the south.  The board member that will have the final say with the staff is from the Richmond area.  Likewise, the Lynchburg district is represented by someone from the City of Lynchburg while the district stretches down to Pittsylvania and Charlotte.

Therefore, the question must be asked:  Will rural voices be heard?  Will the roads in these counties reach the level of need and importance that funds will reach past the media centers to our part of Virginia?

It is important that each county and municipality keep the pressure on as this process develops.  If it is not done correctly from the start, it will handicap us forever.

In the rush to go through all the summaries of bills that passed this session, I erroneously reported last week on a bill that would allow direct sell of some agriculture products without state inspection.  That bill did not pass.

We love to hear from you!  We can be reached at Sen.Ruff@verizon.net, 434-374-5129, or P. O. Box 332, Clarksville, VA  23927