Patrick McSweeney


 

Think We Could Arrange a Trade?

 

Virginia's John Chichester wants to raise taxes. North Carolina's Marc Basnight prefers to cut spending. Who would you want on your team?


 

In a recent column, I compared politics in Virginia and Maryland and concluded that the Old Dominion is beginning to look less fiscally disciplined than our neighbor across the Potomac. Now, I’d like to look across our border to the south to see how Virginia stacks up against North Carolina when it comes to taxes and spending.

 

The comparison quickly focused on two key legislators: Virginia’s John Chichester and North Carolina’s Marc Basnight. Chichester is the President Pro Tempore of the Virginia Senate. Basnight holds a similar position in the North Carolina Senate.

 

A year ago, Chichester led the effort in the Virginia General Assembly to raise state taxes. His proposed tax hike was several times greater than what Virginia Gov. Mark R. Warner proposed and what is actually generated by the tax legislation enacted last year.

 

As Virginia’s tax increase was being enacted last spring, Chichester announced that he would push for an additional tax hike for transportation. Warner disagreed, saying that another tax increase wasn’t warranted. Chichester continues to argue for higher taxes and says he will introduce legislation in 2006 to raise taxes for transportation.

 

North Carolina Senator Basnight, on the other hand, wrote to his constituents earlier this year to advise them that his first priority would be to cut all waste in government spending. “Until we have made our government as efficient as possible ... we should not raise revenue of any kind.” Basnight went on to say that if the elimination of waste and other spending cuts left the state short of funding absolutely critical state needs, he would look for additional state revenues.

 

The difference in the approach and priorities of these two legislative leaders helps to explain why Virginia is becoming fiscally lax. Unlike Basnight, who must undertake an investigation to identify waste, inefficiency and low-priority programs, Chichester was handed a report prepared for Warner in 2002 by a commission headed by former Gov. L. Douglas Wilder. The report concluded that the Commonwealth can reduce spending by $1.3 billion a year through increased efficiency and the elimination of waste. Chichester ignored that report in his single-minded pursuit of a massive tax hike.

 

Basnight may not pursue spending reductions as aggressively as I would, but at least he acknowledges that true fiscal responsibility compels elected officials to attempt to eliminate waste before raising taxes. For Chichester, fiscal responsibility means raising taxes without trying to make state government more efficient and focused.

 

Last year’s huge tax hike can’t be attributed to a single legislator. Even Warner and Chichester together could not have assured the enactment of the 2004 tax increase. The House of Delegates could have blocked it.

 

The House recognized the opportunity to eliminate wasteful and unnecessary spending rather than enact the massive tax increase proposed by the Senate, but it failed to act on it. More than a year after the House formally requested a report from Warner on his progress toward implementing the Wilder Commission recommendations, it has heard nothing.

 

This prompts another unfavorable comparison with Maryland. The Democrats who control the Maryland General Assembly, unlike the GOP majority of the Virginia House of Delegates, have confronted the governor and acted as a truly coordinate branch of government.

 

But doesn’t Virginia enjoy the highest ranking for fiscal management among the states? That’s true. Such a ranking comes from decades of discipline. Virginia won’t maintain its superior ranking if it continues on its current course.

 

-- February 28, 2005

 

 

 
 

 

 

 

 

 

 

 

 

 

 

 

Contact Information

 

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