Virginia state lawmakers on Thursday offered ideas on how to raise money for transportation, but also acknowledged that significant movement on the never ending problem in the state isn’t likely to happen anytime soon.
Del. Vivian Watts, D-Fairfax, said she plans to file a bill in the General Assembly that would generate about $460 million a year for transportation in Northern Virginia.
The plan would include a regional increase in the tax charged for real estate sales from 10 cents per $100 to 40 cents and a half-cent increase in the retail sales tax, except food, in Northern Virginia. The revenue generated would be returned to the Northern Virginia Transportation Authority and portions would be distributed to localities that impose a 12.5-cent local real estate tax on all commercial and industrial property.
Del. Tom Rust, R-Loudoun, complimented the plan, but said that “the reality is…it’s probably not going to happen this year.”
He ticked off a number of other proposals, such as selling bonds, putting a larger percentage of the general fund into transportation and instituting tolls.
There was also talk of increasing the statewide gas tax — likely a non-starter for Gov. Bob McDonnell, who campaigned on a platform of not raising taxes.
Senate Majority Leader Richard Saslaw, D-Fairfax, noted that an annual 2 cent raise in the gas tax over 5 years would generate $500 million.
“But when you got people running for public office saying that, ‘I’m never going to raise taxes, ever,’ you pretty much know what you’re [going to] get — nothing,” he said.
