When is a tax increase not a tax increase?

In the waning days of the 2010 Virginia General Assembly, talk of the budget is on the minds of everyone including our own Lt. Governor Bill Bolling. Today he put pen to paper (keyboard to monitor?) and shared his thoughts:

As I write this column, budget conferees from the Senate and House of Delegates are meeting to reconcile their differences and adopt a new state budget for the 2010-2012 biennium. While it may be a gross over simplification, their ultimate task really comes down to two things

First, they must agree on how much tax revenue the state will receive in the upcoming biennium. In other words, how much money do they have to spend? Then, they must agree on how they want to spend that money.

In recent days, much has been written about how many fee increases, or tax increases, are buried within the budgets adopted by the Senate and House of Delegates. So, I thought I would use this week’s column to try and shed some light on that question.

Go to the website and read his ideas.

RPV's 2008 Legislative Policy Agenda: State Budget / Rainy Day Fund

Looking ahead to an even better, safer, more prosperous and opportunity filled future, Virginia Republican leaders in the General Assembly are championing a forward-looking agenda for governing that builds upon their past accomplishments.

State Budget / Rainy Day Fund

· Maintaining a structurally balanced state budget by not inappropriately using the state’s “Rainy Day Fund” during a non-recessionary period to address a nearly $300 million forecasting error by the Kaine Administration, without which an announced $641 million budget shortfall by the Governor on October 1 would be too minimal to allow for such a withdrawal.

· Ensuring effective, long-term budget management practices are followed. Republicans believe it is ill advised to begin the practice of using the state’s “nest egg” when the economy is growing, albeit at a slower rate. Doing so runs the risk of establishing a bad and undesirable precedent that suggests the Commonwealth can overspend taxpayer resources without consequence. As national rating services have singled out the Rainy Day Fund as a key factor in preserving Virginia’s AAA bond rating, an imprudent or convenient use of these taxpayer dollars could unnecessarily endanger the Commonwealth’s hard-earned status.