ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, January 9, 1992                   TAG: 9201090575
SECTION: VIRGINIA                    PAGE: A-1   EDITION: METRO 
SOURCE: THOMAS BOYER STAFF WRITER
DATELINE: RICHMOND                                LENGTH: Medium


GOVERNOR DEFENDS TERM, PLEDGES REFORM

Stung by criticism that he wasn't committed to Virginia, Gov. Douglas Wilder turned his State of the Commonwealth address Wednesday night into a spirited defense of his administration and a call for sacrifice and reform during the recession.

In a 50-minute speech capped by his surprise withdrawal from the race for president, Wilder said, "I understand the concerns of those who question my role in national politics, but I stand firm before you tonight on the pledge I have taken - to serve the people of this commonwealth. I invite you to study my tenure and look at what we have achieved."

For education, which he called his highest priority, Wilder called for a $350 million increase in state aid, about half of it restoring previous budget cuts and the rest to handle expected growth in student enrollments. But there won't be teacher salary increases.

For state colleges and universities, he proposed further budget cuts that will prompt further sharp tuition increases - up to 25 percent over two years. But for lower-income families Wilder proposed a doubling of state student aid.

To state employees who haven't had a pay raise in two years - and won't get one next year - Wilder pointed out that 99 percent of them have escaped layoffs. And he budgeted $55 million to shield them from increased health-insurance premiums.

Wilder sparked applause when he said state employment has shrunk by 2,690 jobs, and non-essential spending by many agencies has dropped 25 percent during the recession.

In a speech that was unusually full of specific policy recommendations, Wilder called for:

A voter referendum on $200 million in state bond issues to finance public works programs at state universities. The bond issue would help jump-start the state's depressed construction industry. Moreover, building the projects now - amid keen competition among builders - would save Virginia taxpayers millions of dollars, he said.

A re-examination of the Dillon Rule, which sharply limits the powers of local government in Virginia. The rule, under which local governments may do only what the General Assembly lets them, has long been criticized by advocates of strong local government.

Consolidation of four state agencies into a single Department of Environmental Quality. The move would affect the state Water Control Board, Air Pollution Control Board, the Department of Waste Management and the Council on the Environment.

Wilder also promised to produce a plan this week to lessen the gap between Virginia's poor and wealthy school systems.

Despite plans to cut or eliminate a wide range of state services - from agricultural extension to meat and mine inspections - Wilder said that if the economy improves and tax revenues are greater than expected, he would plow the money into state employee salaries, teacher and college professor raises, and extend health insurance for poor Virginians.

"Over the last 12 months, I have worked with members of the revenue committees to end the `Era of Excess' and begin the `Era of Responsibility,' " he said. `As you well recall, I have taken some unpopular stands. As leaders we must continue to make the difficult choices."

Keywords:
GENERAL ASSEMBLY



by Archana Subramaniam by CNB