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The Senate Economic Development Committee approved House Bill 2014 on Tuesday after a three and a half hour meeting with testimony from several witnesses.
The bill would expand the number of microgrids in the state to support AI and data centers. It’s one of Gov. Patrick Morrisey’s top priorities.
Multiple county officials came before the committee on Tuesday to oppose the diversion of local property tax revenue to state coffers in House Bill 2014.
The objections came from two Eastern Panhandle counties, Jefferson and Berkeley, as well as Greenbrier and Putnam Counties.
Eddie Gochenour, president of the Berkeley County Commission, called it “overreaching.”
“When the governor was the former Attorney General, he fought back against over regulating from the federal government and on the local level. We feel we’re doing the same thing,” he said. “But the truth is, we want to be a partner. We want to be a partner in the growth of West Virginia.”
Morganne Tenney, executive director of the Putnam County Economic Development Authority, said the legislation would discourage communities from seeking data center projects.
“Our sole purpose as a local development authority is to create jobs and increase the tax base,” she said. “What incentive do you have as a local development authority or a local county leadership to bring in a data center if you don’t see the tax benefits from that?”
Pasha Madji, president of the Jefferson County Commission, said the reallocation of tax revenues would strain county services.
“These commercial property tax revenues are a key tool used by county commissions to balance the budget and pay for our emergency services, such as ambulances, police and first responders,” he said. “This leaves counties with fewer resources and limited options to fill the resulting gap and making it harder to maintain county services.”
The committee amended the bill so that 30% of property tax revenue stays with the county. Most of the balance of that revenue will go to the state for further reductions in the state income tax.
The committee then approved HB 2014 and sent it to the Senate floor.
