Virginia's Transportation Package

Mar 27, 2013

Governor McDonnell has proposed amendments to the transportation-funding package that was hammered out by conferees and passed by the General Assembly last month. 

One major change was in response to an opinion by Attorney General Ken Cuccinelli that questioned the constitutionality of imposing additional sales, recordation, and transient occupancy taxes on Northern Virginia and Hampton Roads …but not on other regions.  
The Governor explained on Washington’s WTOP Radio that his amendment was necessary since the bill was not approved as a “special law” that requires a two-thirds majority for passage under the state Constitution.  He added that his proposal would allow the extension of regional taxing authorities across the state as each planning district commission met empirical criteria.
 McDonnell’s amendments also reduced some of the bill’s proposed fees and taxes, including the yearly fee on hybrid and alternative fuel vehicles, the transient occupancy tax for lodging, and the congestion-relief fee on real estate.  The General Assembly will vote on the Governor’s amendments next week during its one-day Reconvened Session.