The House Committee on Finance convened at 3:30 on Tuesday, Feb. 19 in 460-M to continue taking up their posted agenda. House Finance had a consideration of three bills during this committee meeting, one of which being a bill to eliminate the state tax on soft drinks.
House Bill 2574 would eliminate the 1% sales tax on soft drinks in the state of West Virginia. Since 1951, sodas, juices, flavored waters, and other sugary drinks have come with an extra price in the state of West Virginia. The $14,700,000 generated by the soft drink tax goes directly to West Virginia University’s medical and health science facilities.
Rob Alsop, the Vice President of Strategic Initiatives at West Virginia University, stressed the importance of the tax to the university.
“This money helps fund the education, training, and maintenance of our school,” Alsop said. “The removal of this tax would be devastating to the dental and nursing industry in West Virginia.”
Alsop stated that the majority of WVU students studying dentistry, nursing, and pharmacy stay in the state of WV and help their local communities.
“We’d have to make a cut of nearly $14 million to this institution,” Alsop said. “You’d be losing resources for this state’s doctors, nurses, and dentists.”
Many delegates voiced concern over the bill passing because of what it would do to WVU’s medical and health facilities, which see around 11,000 graduates practicing in-state.
“This tax is ultimately a good investment for health outcomes across the state,” Delegate Daryl Cowles, R-Morgan, said while speaking in opposition to the bill.
Other delegates were in support of the bill, arguing that the subsidization of WVU is unfair and unneeded.
Delegate Dianna Graves, R-Kanawha, argued that if other successful state medical school programs can persist without state subsidization, WVU can too.
After a lengthy discussion, House Bill 2574 was defeated unanimously by the committee in favor of funding the state’s higher education system.
“We just cannot take $14 million out of state education,” Delegate Larry Rowe, D-Kanawha said.
The Finance Committee also advanced House Bill 2830. This bill would begin the process of implementing Next Generation 911 Services in the state of West Virginia. This technology would allow West Virginians to communicate with 911 operators through text message, photos, and videos. 46 other states have made moves to implement similar programs.
House Bill 2830 was advanced to the House floor unanimously.
House Bill 2828 was also unanimously passed by the House Finance Committee after little discussion. This bill would allow new West Virginia businesses to receive a tax exemption if they establish a business within a Qualified Opportunity Zone. These entrepreneurs would be eligible under certain standards to have all income derived from the opportunity zone business exempt from state taxable income for a ten-year period.
The House Finance Committee will convene at 9 a.m. tomorrow, Feb. 20, in 460-M.
