State Senate Minority Leader Mike Woelfel, D-Cabell, asks questions Monday about a compromise between Republican legislative leaders and Gov. Jim Justice for a personal income tax cut.
CHARLESTON — Gov. Jim Justice and the West Virginia Legislature appear to be moving toward a reduced version of the governor’s proposed personal income tax cut.
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The House Finance Committee recommended House Bill 237, relating to the personal income tax, for passage to the full House Monday afternoon. The state Senate passed its version, Senate Bill 2033, in a 31-0 vote Monday afternoon, setting up a possible final vote today.
“Regardless of what the percentage is, we recognize that we have got funds available to give back to the citizens of West Virginia,” said House Finance Committee Chairman Vernon Criss, R-Wood, following Monday’s House floor session.
“I thank the governor’s staff for working with us to make sure we had room in future budgets to be able to offset where these tax cuts come from in a responsible manner,” said Senate Finance Committee Chairman Eric Tarr, R-Putnam.
Justice issued an amended proclamation earlier Monday with eight new bills, a concurrent resolution, and a change his proposal for a 5% personal income tax cut to a 2% cut.
Justice first called for a 5% personal income tax cut in July following the end of fiscal year 2024.However, some lawmakers expressed concerns over the last several weeks about the state general revenue budget being able to afford the loss of tax revenue beginning in fiscal year 2026 next July 2025.
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During his weekly administration briefing last week, Justice signaled that he would be willing to accept less than the 5% personal income tax cut he proposed.
A 2% cut in personal income tax rates would return approximately $46 million to taxpayers when fully implemented. The tax cut would go into effect in January at the start of the 2025 tax year along with a 4% personal income tax cut due to the state meeting the requirements of a trigger mechanism and formula allowing for personal income tax cuts up to 10% every year. The 4% personal income tax will return approximately $92 million to taxpayers when fully implemented.
“I think our taxpayers are hurting,” said Department of Revenue Secretary Larry Pack to the House Finance Committee during testimony when asked why the tax cut is needed now. “Inflation has been absolutely crushing people, so we’re doing everything we can to help people and our taxpayers as quick as we can as long as we can do it in a prudent fashion.”
With the passage of House Bill 225, that will take the total percentage of personal income tax cuts since 2023 during Justice’s administration to 27.25% and return more than $626 million to taxpayers by fiscal year 2026. Personal income tax collections of more than $2.2 billion made up nearly 40% of the state’s $5.7 billion in general revenue collections in fiscal year 2024.
HB 237 would also delay the effective date of the next personal income tax trigger put in place by the 2023 tax reform package. When the Department of Revenue determines the next personal income tax cut in August based on the trigger and formula, instead of that tax cut going into effect in tax year 2026, it would go into effect in tax year 2027.
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In order to pay for the $46 million loss in personal income tax revenue from the 2% cut, $19 million will come when a revenue bond is paid off soon. The remaining $27 million will come from cost savings ongoing from the reorganization of the Department of Health and Human Resources into the departments of Health, Human Services, and Health Facilities.
While the three-member Senate Democratic caucus voted for the bill, Senate Minority Leader Mike Woelfel, D-Cabell, raised concerns about passing a tax cut in an election year when a new governor and new legislature will take their seats next year. Justice is the Republican candidate for U.S. Senate, facing Democratic former Wheeling mayor Glenn Elliott.
“At the 11th hour, we’re going to find this money, we’re going to cut a tax, and we’re going to hamstring, it seems to me, the new governor…(Justice) won’t even be here,” Woelfel said. “There are a fair number of people in this room who are not going to be here in January…Why are we making the decision in October when we will reconvene in January?”
Other items on Justice’s second amended special session proclamation included: allowing funding for certain federally funded broadband expansion programs to come from the state Economic Development Authority; providing supplemental appropriations for West Virginia University, Marshall University, Concord University, Shepherd University, and New River Community and Technical College; providing $5 million for the Department of Health for statewide EMS program support; and providing $175,000 for the West Virginia State Police for repairs and refurbishment of helicopters.
Other added bills included: legislation transferring the powers and duties of the state Municipal Bond Commission to the State Treasurer’s Office; rules dealing with the issuing of refunding bonds and general obligation bonds; relating to fees and charges for municipality provided fire services; and a bill transferring funds from the State Treasurer’s Office to the Governor’s Civil Contingency Fund for additional funding for deferred maintenance at state colleges and universities.
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One concurrent resolution added to the amended special session calls for honoring the late U.S. Marine Corps veteran and Gold Star Family advocate Hershel “Woody” Williams as one of two West Virginia statues in the National Statuary Hall collection at the U.S. Capitol Building.
Three bills completed legislative action Monday: appropriating $15.7 million to the Adjutant General’s office of the West Virginia National Guard for capital outlay, repairs, and equipment, the state Military Authority, and the Recruit WV employment program; appropriating $87 million to the Public Employees insurance Agency for its reserve fund to abide by State Code that requires PEIA to maintain a reserve of 10% of the projected plan expenses; and appropriating $13.7 million to the West Virginia School of Osteopathic Medicine for building renovations.
CHARLESTON, W.Va. (WCHS) — West Virginians who receive Supplemental Nutrition Assistance Program benefits can once again use them to purchase soda after a federal judge blocked the state’s restriction, though the ruling could still face an appeal.
U.S. District Judge Amy Berman Jackson ruled that the U.S. Department of Agriculture exceeded its authority and failed to follow required public notice procedures before approving waivers allowing five states, including West Virginia, to restrict certain SNAP purchases. The ruling vacates those waivers, effectively restoring previous purchasing rules unless a higher court intervenes.
Gov. Patrick Morrisey said the state is consulting with the U.S. Department of Justice and the other states involved in the lawsuit before deciding whether to appeal the decision.
“We do think it’s lawful,” Morrisey said. “We think that the way that SNAP was designed, it’s trying to focus on nutrition, and I think our decisions are consistent with that. We want nutritious foods for people.”
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Morrisey said discussions are ongoing about the state’s legal strategy.
“We’re conferring with the other states. We’re conferring with the Department of Justice on that, and we’re going to be developing our litigation plan,” he said.
The lawsuit was filed by the National Center for Law and Economic Justice on behalf of plaintiffs challenging the USDA’s approval of the restrictions.
Katherine Deabler-Meadows, an attorney with NCLEJ, said the ruling provides immediate relief for SNAP recipients and retailers.
“For our clients it means a lot that they’re going to be able to buy the food products that they need to buy to manage their lives and their health conditions,” she said.
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Deabler-Meadows said the restrictions created confusion for grocery stores and made it more difficult for recipients to use their benefits.
“Legally, this is very clear,” she said. “The district court vacated the five waivers. USDA’s approval of those restrictions has been vacated. Legally, people should be able to just walk in and use their SNAP benefits the exact same way they could before the restrictions went into effect.”
Supporters of the restrictions argued they would encourage healthier food choices. However, Deabler-Meadows said the limits placed an unnecessary burden on families relying on SNAP benefits.
“It might seem like a small thing to not be able to drink a soda,” she said. “If your day is that long and you have that many things to juggle, sometimes that is something that you need in order to meet all of those responsibilities.”
Although the restriction has been struck down, it may take time for retailers across West Virginia to update their systems. The federal government may also appeal the ruling, but unless a court issues a stay, attorneys say the restrictions are no longer legally in effect.
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They say the definition of insanity is doing the same thing over and over again and expecting a different result.
At this point, Paul Hardesty, President of the West Virginia Board of Education, must be on the precipice of losing his mind. During a recent call with reporters, Hardesty again emphasized the dire financial outlook for the state’s public schools. Enrollment continues to decline, and more school closures and consolidations may be coming next year.
It’s not the first time Hardesty has sounded the alarm.
Hardesty has repeatedly pointed out that public schools are withering under the current school-aid formula and burdensome regulations.
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Some state lawmakers have received the message but during the 2026 60-day legislative session, while there was more discussion that legislative action is needed to address growing financial strains, ultimately, there was not enough political will for state lawmakers to take any action.
Senator Amy Nicole Grady, R-Mason, chairs the Senate Education Committee and is a public school teacher. She has spent the last three years trying to educate her fellow legislators about the frustrations teachers and school officials deal with on a daily basis.
“We know it’s nothing new. It’s something we have discussed for at least three years now, knowing that we need to move forward and change that formula in some way. But how we change it, that’s the challenge,” Grady said during an appearance on Metronews Talkline.
Grady recognizes the “how” is the major stumbling block for legislators who must make difficult decisions and must then face unhappy constituents.
“It’s very, very difficult, and this is something that’s big that really takes a lot of thinking, and it can require a lot of hard, difficult decisions, and you also have that model of self-preservation.
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“A lot of people are thinking, this is hard for me to make this decision. I don’t want to make this decision because it could mean my seat. But when it’s the right thing, it’s the right thing regardless.”
House Education Committee Chairman Joe Statler, R-Monongalia, has also been on the front line trying to build a case for legislators to support major changes. Statler has repeatedly emphasized the gap in special education funding, where costs continue to outpace revenues.
The number of special education students continues to grow, now making up nearly 21 percent of the student population.
It is not only the legislature that has not found the political fortitude to address public education. It has not been a priority for the executive branch either.
Gov. Morrisey focused his political capital on accelerating the elimination of the personal income tax and preventing changes to the Hope Scholarship.
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You can’t help but question whether the lack of action is due to a lack of political will or indifference to public schools’ failure. There’s no doubt that outside interest groups, many of which have supported legislative campaigns, have indicated a preference for alternative education choices.
Either way, if lawmakers continue to ignore the tidal wave of financial failures in the public education system, they will have abdicated their constitutional duty to provide West Virginia students with a “free and efficient” education system.