'A Fiscal Policy Report Card on America's Governors: 1998' by Stephen Moore and Dean Stansel

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Page 61

Ohio

George Voinovich, Republican

Legislature: Republican

Took Office: 1/91

Grade: D

From his first day in office eight years ago, George

Voinovich has engaged in nonstop fiscal combat with conser-

vatives and taxpayer advocates in his own party. In 1993 he

passed a giant $1 billion tax hike, increasing Ohio's al-

ready excessive 7 percent income tax rate to 7.5 percent.

In 1996 liberal Democrats in the legislature teamed up with

conservative Republicans and taxpayer groups to pass a tax

cut to be funded out of the state's $1.1 billion surplus,

but Voinovich blasted it as "fiscally irresponsible." He

finally and begrudgingly signed a shaved-down version into

law. His latest tax scheme came earlier this year when he

sponsored a $1.2 billion tax hike to fund a massive new edu-

cation spending campaign. The Voinovich plan called for a

20 percent increase in the state sales tax and a 50 percent

cigarette tax hike. The tax proposal was placed on the Ohio

ballot in May. In an embarrassing rebuke to Voinovich, vot-

ers trounced the measure by an 80-20 margin. On the expen-

diture side of the budget, Voinovich has been a spendthrift

in recent years. His fiscal 1998 budget, for example, was 8

percent higher than the 1997 budget--with 13 percent more

for schools, 10 percent more for higher education, and 20

percent more for corrections. One of the few constructive

features of Voinovich's agenda has been his support for

school vouchers in inner-city Cleveland and for expanded

charter schools. Voinovich is retiring from the governor-

ship to make a run for the U.S. Senate this year. If he

wins that race, his anti-tax-cut and pro-spending inclina-

tions will unfortunately fit right in with those of many of

the current Republicans in the Senate.

Score

Grade

Rank

Overall Fiscal Policy Score

Spending Score

Revenue and Tax Rate Score

Amount

1.5%

Average Annual Change in Real Per Capita Direct General Spending through 1996

-0.1%

Average Annual Change in Direct General Spending Per $1,000 Personal Income through 1996

2.0%

Average Annual Recommended Change in Real Per Capita General Fund Spending through 1999

-0.9%

Average Annual Change in General Fund Spending Per $1,000 Personal Income 1996-98

2.8%

Average Annual Change in Real Per Capita Tax Revenue through 1997

1.1%

Average Annual Change in Tax Revenue Per $1,000 Personal Income through 1997

0.0%

Average Annual Recommended Change in General Fund Revenue Per $1,000 Personal Income through 1999

0.9%

Average Annual Change in Real Per Capita General Fund Revenue 1996-98

0.8%

Average Annual Recommended Tax Changes as % of Prior Year's Spending through 1999

0.301

Change in Top Personal Income Tax Rate, proposed and/or enacted (% points)

0.0

Change in Top Corporate Income Tax Rate, proposed and/or enacted (% points)

16.1

1998 Combined Top Income Tax Rates (Personal plus Corporate) (*0.5)

1.0

Change in Sales Tax Rate, proposed and/or enacted (% points)

2.0

Change in Gas Tax Rate, proposed and/or enacted (cents per gallon) (*0.5)