MORGANTOWN – Senate President Craig Blair and Finance chair Eric Tarr called on Gov. Jim Justice on Tuesday to include them in his public forums on Amendment 2, the Property Tax Modernization Amendment. Justice said during his COVID briefing that won’t happen.
Justice has so far held two “Community Conversations” where he and Revenue Secretary Dave Hardy spell out their opposition to the amendment – on in Wheeling, one in Beckley.
Blair, R-Berkeley, and Tarr, R-Putnam, issued their call – they called it a challenge – in a joint press release.
“In just two stops on this literal dog and pony show, there have been countless misrepresentations and inaccuracies presented by both the governor and Secretary Hardy, and the handful of people who have shown up are only getting one side of the issue,” Blair said. “We believe that open, honest debate is the best way to make sure voters are educated on this issue, and would challenge the Governor and Secretary Hardy to include us on these stops going forward.”
Critics have said the the Senate plan unveiled in July isn’t really a plan. Tarr said the Senate’s plan is clearly outlined, easily available, and offers detailed information about all 55 of West Virginia’s counties.
“We keep hearing the governor say ‘there is no plan’ and then it’s ‘it’s not a plan the Legislature has agreed to,’ but if he would look at the plan we’ve provided, he would see that’s just not true,” Tarr said.
“It’s fundamentally unfair to West Virginians who genuinely want to learn more about how this amendment could affect their finances to be fed a constant stream of fear mongering and bad information,” Tarr said. “Let’s be completely transparent, ask questions back and forth, and have a discussion together on the merits in public, unless there’s a reason the Governor is afraid to have those discussions in the open.”
The state Constitution puts property taxation in the hands of the 55 counties. Amendment 2 would enable the Legislature to govern taxation of the personal property tax for business inventory, equipment and machinery, and for motor vehicles. Voter approval of the amendment wouldn’t immediately change the tax structure – that would require subsequent legislative action.
The West Virginia Manufacturers Association and the West Virginia Chamber of Commerce both support the amendment.
Justice took a question on the release during his briefing.
He said again, “The last thing in the world I am wanting to do is start a food fight,” adding Blair and Tarr have been promoting the tax cut for a year and have held a lot of meetings and never invited him.
His Community Conversations, he said, are educational. “Literally our voters do not know what they’re voting for. … I’m going to continue without any kind of hoopla to try to present to the voters what I think is something they should be very concerned with.”
He continued, “I’m a real believer in local control.” Local folks will get it right better than the people in Charleston and Charleston will get it better than those in D.C.
The Senate plan to reimburse the counties above and beyond what they will lose from the terminated taxes, Justice said, is the equivalent of a politician saying, “Give me your wallet. I’m going to promise you as a politician I’m going to give it back. … At the end of the day that’s a heck of a risk.”
Severance taxes are high now, he said, and make up about a third or a fourth of the budget surplus, but those taxes are boom and bust. The plan requires – according to his revenue people – $700 million of base building to support the counties. “I think the people deserve to know that.”
While Justice has previously supported eliminating the business taxes, he now prefers his plan – also supported by the House – to cut the personal income tax by 10% and then gradually phase it out. Passing Amendment 2 would preclude the income tax cut, he said Tuesday.
Of Amendment 2, Justice said, “At the end of the day, this would benefit my companies more than you could ever imagine and I’m saying don’t do it.” It won’t help regular working folks, he added.
But he will bow to the will of the voters, he said. “Whatever they decide, I’ll be all in.”
Tweet David Beard @dbeardtdp Email dbeard@dominionpost.com
