House Finance Committee takes up tax plan

PROVIDENCE, R.I. – Governor Lincoln Chafee's controversial plan to raise tax revenue will come under review Wednesday by the House Finance Committee.

Chafee's tax proposals would generate more than $160 million in new revenue for the fiscal year starting July first. The governor calls his approach balanced, since it would make a similar amount of cuts to state spending.

Critics say Chafee's tax increases would hurt businesses and working families. The groups criticizing Chafee's plan include the Providence Journal and the Newport County Chamber of Commerce.

Governor Lincoln Chafee isn't going to take up House Republicans on their suggestion that he scrap his budget and start over. That's according to Chafee spokesman Michael Trainor.

"The governor has said on several occasions he has no intention of withdrawing any portion of his budget," says Trainor. "At the same time, he has indicated on many occasions that he is listening carefully to comments, open to credible suggestions for alternatives."

Wednesday's Finance Committee meeting is slated to begin at 11 am. The General Assembly traditionally makes changes to a governor's budget before passing a version of it later in the session.

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