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Virginia Board Considers Hybrid Car Tax Break December 2004

Loudoun Virginia residents driving gasoline/electric hybrid vehicles may be up for a tax break soon. The public may speak on the item during the board's budget negotiations next year.

While most of the board Tuesday supported sending the initiative forward as part of the budget package, two issues arose during the discussion. One involved the amount of relief to be advertised and the other involved whether Loudoun drivers should be rewarded for driving hybrids.



Supervisor Lori Waters (R-Broad Run) pushed to advertise the tax on hybrids as 1 cent per $100 of assessed value, but relented as others pointed out that another hearing would have to be held if supervisors decide to tax hybrids at a higher rate. Currently, the tax rate on personal property, including vehicles, is $4.20 per $100 in value.

Supervisor Mick Staton (R-Sugarland Run) requested that the proposed 43-cent tax rate be advertised after verifying with members of the county staff that the rate could be dropped to 1 cent by supervisors without an additional public hearing.

I support this reduction, Waters said as the board discussed the item. I'm a supporter of completely eliminating the tax on all vehicles.

Supervisor Eugene Delgaudio (R-Sterling) said he opposed the tax break because he considers it unfair. During discussions in the board's Finance/General Services Committee, Delgaudio referred to the benefit as hybrid welfare.

As a nonhybrid person, I am opposing this nearly $400,000 tax subsidy for people who really dont need it. Theyre buying new cars, he said during the Dec. 21 board meeting. He called the tax break an environmentalist's dream and a perversity intended to dupe the public.

Delgaudio said the air quality in the region was improving without the incentive.

Supervisor Jim Burton (I-Blue Ridge) said the region has a long way to go before the air quality falls within an acceptable range.

It's true the air is getting better in the Washington region, but it's not getting good enough to meet the standards, he said, adding that he had already accepted an award on behalf of the county regarding the tax break that he would hate to return.

Staton said the majority of air quality issues in the region are caused by midwestern power plants. If they werent producing the pollution that is blowing over our neighborhoods and streets, then we would be well within the requirements, he said.

Burton shot back by saying people in the northeastern part of the country were blaming their air pollution on this region.

Supervisor Stephen J. Snow (R-Dulles) said the reduction would just mean higher taxes for others and that the good feeling people get from driving an environmentally friendly vehicles should be benefit enough for them.

Supervisor Jim Clem (R-Leesburg) said he believed some of the hybrid vehicles pose a greater risk to drivers and are unattractive. I'm not so sure Im willing to give people discounts on these God-awful cars going around town, he said.

Waters agreed to allow her motion to be amended to include advertisement of a 43-cent rate, adding that she would be looking to drop that down to 1 cent.

She also said that hybrid vehicles were improving all the time and not all are the funny looking vehicles seen on the road. The new Ford Escape, she said, is a hybrid and has a long waiting list for purchasers.

The board agreed to send the item to public hearing on a 6-2-1 vote with Delgaudio and Snow voting against and Vice Chairman Bruce E. Tulloch (R-Potomac) out of the room during the vote.

SOURCE: Leesburg Today
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