Thursday, February 7, 2013

Republican Road Kill





Virginia’s Republicans are in denial.

Or call it plausible deniability.

While they refuse to vote for a tax hike in the gasoline tax they are certainly willing to vote for an increase in the sales tax to offset the elimination of the gas tax as proposed by Gov. Bob McDonnell.

They insist the proposed hike in the sales tax isn’t a tax increase.
They say this is a revenue neutral initiative, not a tax hike.

Of course it's a tax hike.

Agreed, there is something to be said for finding other revenue besides the gas tax as more fuel efficient vehicles will become more prevalent in the future.

But “green” cars still use roads, still contribute to congestion and the wear and tear of highways and tunnels and involved in accidents, all of which costs.

But I digress.

Should the governor’s plan be approved, will the additional sales revenue be put in the General fund from which every lawmaker will extract his or her own pork for the hometown?

Or will the money be dedicated for transportation? 



When I view these issues, I repeatedly ask, who benefits.

Of course, frequent drivers will benefit because they will pay lower gasoline prices, theoretically.

In practice, the hike in the sales tax means the burden of pay to play will shift disproportionately to low-income folks who drive less frequently.

The equity issue is what concerns Democrats, naturally. But is this a social issue or a financial issue?

What concerns me is the motivation behind this tsunami change in collecting taxes to pay for a transportation system ignored by lawmakers for more than a decade.

gain, who would benefit? 

Where do most Virginians go on a Saturday morning or at night to shop?

Wal-Mart, where prices are cheap, and where you can also fill your tank.

This is a no-brainer, really. Consumers will be drawn even more to Wal-Mart if the legislation passes.

Go to the Big Box, gas up and take advantage of lower prices at the same, despite a hike in the sales tax.

Suburbia will be back in style again. More shopping centers will sprout. Why pay for parking when you can drive to your office and park for free? Take your lunch, so you avoid spending money and paying a higher sales tax.

Mass transit will wither and die. Downtowns will again become ghost towns. Retailers, chasing customers, will chase them into the suburbs.

The implications of McDonnell’s measure go way beyond just finding an alternative source of revenue to replace the gas tax.

10 comments:

  1. Eliminating a 17.5% gasoline tax and replacing it with a 0.8% increase in a general sales tax more than likely be revenue neutral. Let me guess: you majored in English?

    ReplyDelete
  2. Frankly, whether we pay a sales tax or a gas tax is not particularly relevant, but why make a bill so tepid and complicated and why poke democrats in the eye by taking funds from K-12 and public safety?

    Frankly, the Governor simply does not want a solution; he just wants to say he wanted one but bash democrates to opposing it.

    This is what passes for leadership in Richmond these days. MJB sends!

    ReplyDelete
  3. If it's revenue neutral as claimed, then what's the point of doing it? Something's going on.

    ReplyDelete
  4. "Mass transit will wither and die. Downtowns will again become ghost towns." Really? All because of a .8% increase in general sales tax? I would be willing to bet 85%+ of Virginian's don't even know what the sales tax is (and there is more than one).

    Government killed Mass Transit with the Interstate Highway System. Used to be one would take a street car or bus to a train station, take the train to another bus station and arrive at your desitnation. The federal government made land owners millionaires overnight by putting highway extis in the middle of corn fields (compliments of the taxpayers) which eventually cause the problems we have now. The Government is the casue of almost all of our problems.

    Privatize our highway systems. GPS technology exists such that we can a 100% accurate usage tax on Va Roads regardless of fuel efficiency. The free market will find a way to make it work easily. Costs will drop, quality and service will go up, but someone will be making a "profit" which is why it will never happen. Liberals feel better when we have incompetent politicians handling everything rather than have a cost effective solution if it means a "corporation" makes a "profit".

    ReplyDelete
  5. Everyone in Norfolk knows what the damn sales tax is. We can't afford to eat out anymore.

    ReplyDelete
  6. Use GPS technology to get a 100% accurate usage tax on virginia roads? I don't know any law abiding citizen that would be comfortable with the government tracking their movement.

    I think it's because law abiding citizens still have a sense of humanity and care about maintaining their privacy. Criminals probably wouldn't care. One of the ironies of life, I'd say.

    ReplyDelete
  7. Funny you don't think the government tracks what you do. Keep your head in the sand over your ideals of privacy.

    ReplyDelete
  8. Many people have devices from their insurance company in their cars to EXACTLY track their driving behavior. This isn't Big Brother - it's capitalism. A "sense of humanity" doesn't fix roads, it just means that someone with that attitude wants someone else to pay for it.

    ReplyDelete
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