Stop Kaine's Car Tax Hike

Given the public outcry against last year's creation of sky-high abusive driver fees and un-elected taxing authorities, legislators in Richmond are frantic to "fix" those 2007 funding mistakes. However, the substitutions being proposed are arguably worse for Virginia taxpayers.

Essentially, Governor Tim Kaine and friendly legislators are looking to swap the fees for broad-based tax increases. Targets under discussion include the sales tax on vehicle purchases (currently at 3 percent) and the state gas tax (currently at 17.5 cents a gallon).

If Virginia politicians want to spend more on transportation projects, they should take a harder look at their own budget habits, not at our wallets. Making better use of existing funds or protecting the Commonwealth Transportation Fund from raids are both good alternatives to increasing taxes.

Governor Kaine needs to hear from us now -- tell him "no way" to higher taxes.

Sample Letter for Campaign

Subject: Please Reject Any Attempt to Raise Taxes

Dear [ Decision Maker ] ,

I urge you to oppose any plan that would raise Virginia's taxes, especially the car sales tax or the gas tax.

I agree that the abusive driver fees and un-elected regional taxing authorities created in 2007 were not good ideas. However, we don't want them replaced with higher taxes elsewhere. The state's budget has doubled in the past 10 years, and we were forced to swallow a $1 billion tax increase in 2004. Now is not the time to hit Virginians with bigger tax bills.

If our leaders want to spend more on transportation projects, they should look at their own budget habits, and not at our wallets. Making better use of existing spending or protecting the Commonwealth Transportation Fund from raids are both good alternatives to tax hikes.

Please don't increase our tax burden.

Sincerely,

Campaign Launched:
January 22, 2008

Background Information

It's true that last year's transportation revenue package was a disaster. The hodge-podge measure imposed a number of new taxes and fees worth $1 billion, and it conjured up new and un-elected "transportation authorities" in Northern Virginia and Hampton Roads to impose even more taxes on local residents.

However, the missteps of 2007 shouldn't be an excuse for making more mistakes in 2008. As we've all heard time and time again, replacing one wrong with another doesn't make a right.

Governor Tim Kaine and his friends are trying to pull a fast one on Virginia taxpayers by arguing that other taxes need to be raised if the driver fees are to be repealed. Kaine has asked legislators to consider moving the sales tax on car purchases from 3 percent up to 5 percent. Other Democratic leaders are calling for an increase in the state's gas tax.

This is an especially deceptive scheme because the Governor isn't planning on repealing the un-elected regional taxing authorities. In fact, some legislators have proposed adding a "Central Virginia Transportation Authority" that would plague the Richmond area. Keep in mind that the Northern Virginia Transportation Authority voted to hike local taxes by $300 million, and their recently issued list of "transportation" projects included trolleys, bike trails, sidewalks, landscaping, and similar "investments." If Kaine gets his way, many Virginia taxpayers would still be under the yoke of these tax-hungry bureaucracies AND have to pay the new statewide taxes.

The fact of the matter is that the state government doesn't need any more money -- it should re-apportion what it already has. Virginia's state budget has doubled in the past 10 years, and a $1 billion tax increase went into effect in 2004. The money for transportation is there, but the Commonwealth Transportation Fund is often raided for unrelated spending. The General Assembly needs to put a "firewall" around this fund and ensure it is only used for genuine transportation projects before it even considers another tax hike.