
West Virginia House of Delegates members in session this week at the Capitol. House Bill 4177 was sent to the West Virginia State Senate from the House of Delegates late last week. Photo courtesy of Max Hunt.
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Update:
A long-anticipated bill that would have benefited the taxpayers of Boone County probably will not be enacted this year, even though it was passed by WV legislators.
Early last week, both houses passed a bill which would dedicate an additional 5% of coal severance tax monies to a number of counties, including Boone. The bill would gradually phase in the additional tax revenues from coal produced in these counties over a five-year period. The bill stipulated that these funds be used only for economic development, job creation and educational opportunities.
Boone County Senator Ron. D. Stollings said last week that he was excited about the passage and hoped Gov. Joe Manchin would sign it. Unfortunately, due to a technical error in the drafting of the bill, it will not make the trip across the grounds of the state capitol to the Governor’s desk.
Senator Stollings informed CVN that late Tuesday evening he was informed by legislative service officials that an essential paragraph was left out of the final bill. "Somehow, a couple of sentences were left out of it, and consequently, the bill, at least in this form, won’t become law," he said.
"Of course I’m disappointed," Stollings added. "I had hoped that the bill would help us finish a number of very worthwhile projects in the county. We worked hard on this bill and pushed it for over two years. Now that it is passed, a simple mistake puts us back at the starting line."
This legislative session was recently extended to complete the new state budget, and officials suggested lawmakers might possibly be able to correct the bill in time for it to be voted on again.
Original story:
If West Virginia Governor Joe Manchin agrees to sign it, a bill designed to help with infrastructure in counties such as Boone will become law.
House Bill 4177 was sent to the West Virginia State Senate from the House of Delegates late last week and this past weekend, senators passed it and sent it along to the governor.
The bill allocates an additional amount of coal severance tax funding, the tax levied upon producers in each county, to county commissions.
Senator Ron Stollings told the Coal Valley News that if the governor signs it, the bill will allocate an additional 1% in severance taxes gradually over the next five years for a total of 5% It has been estimated that coal producing counties could share in at least $18 million if production continues at current levels.
The bill stipulates that the additional funds could only be used for economic development, infrastructure, job creation and road repair, according to the language of H B 4177.
"We have been working on this for a couple of years now," Stollings said. "I was especially excited when we were able to adopt the Senate Conference Report last weekend."
A number of projects could benefit from the funds, which are estimated to be at least $500,000 for Boone County. "It could be used for money to help with Boone Memorial Hospital, or to assist in bringing new jobs to the county or infrastructure plans such as water and sewer."
County Administrator Jim Gore said the members of the Boone County Commission are excited about the possible extra on their quarterly severance checks. "We try our best to use these checks wisely," Gore told CVN. "It has been the long-standing policy of our commission to be smart with these funds. We use them provide water and sewer service, which enhances the health and safety of residents, as well as helping entice businesses that need reliable utility service to migrate to our county."
He continued, "Our water projects are nearly done, but a few more remain and the extra money will come in handy to add to the federal grant funds we receive for these projects. One thing I can tell you is, we won’t waste a dime of this money." Previously, the county received an average of just over $3 million per year in severance taxes levied upon the coal that originated in Boone County mines.
Gore expressed his thanks to Senator Stollings, Senate President Earl Ray Tomblin, House of Delegates member Larry Barker and the rest of the delegates who helped pass the bill.
If Governor Manchin signs the bill, it will go into effect on July 1st of this year. The counties involved should see additions to their tax checks next fall.