Block · one region of the page, as the scanner read it. It may hold a whole story, part of one, several, or an advertisement; stitching blocks into articles is the next step. Text is supplied OCR.
Page 3 · column 1 of 6 · from the scan, no model involved
By MARY K. BLEWITT
Arundel Newspaper* Richmond Bureau
_ RICHMOND — Gov. L. Douglas Wilder’s budget recommendations were largely successful in the General Assembly money committees Sunday, despite his additional cuts and adjustments to accomodate an added $267 million ^lortfall announced last week.
But differences between the House and Senate committee amendments to the $26 billion bud'get pit higher state employee and 1 teacher salary increases against recordation tax returns to localities.
The House Appropriations Committee approved budget amendments, recommended by Wilder, -granting state employees and teachers a 4V2-percent raise in 1991.
Under the proposal adopted by the Senate Finance Committee, Virginia employees and teachers would receive a five percent raise next year. The Senate’s call for a half percent higher increase would cost the state nearly $60 million more than the House version.
Another area in which the House and Senate differ is in the deferral of money scheduled to be returned to local governments over the next two years, beginning July 1.
The Senate plan defers giving $80 million in state recordation taxes to localities for two years. The House, on the other hand, has attempted to return a portion of the tax on real estate transactions this biennium, deferring the return only three months.
Under the House proposal, the ‘ state would save $10 million each year and return a total of $60 million to localities starting Oct. 1, according the Del. Richard Cranwell, DRoanoke.
' Republican and Northern Virginia legislators have said they want the recordation tax returned to the localities. Under the legislation passed last year, Northern Virginia would receive nearly half of the $80 million. Fairfax County would’re;.ceive $11 million and Loudoun County $3 million in fiscal year 199091.
The House and Senate were scheduled to vote on their respective budget plans on Wednesday. However, the fate of the recordation tax will inevitably be decided in a conference committee of both houses in the final days of the session.
In addition, both committees approved a revenue reserve fund of more than $201 million, which was requested by Wilder in his State of
94.0%