Small businesses in Boone, Clay, Hampshire, Monroe, and Preston counties are now eligible for financial help through a federal program.
Small businesses in Boone, Clay, Hampshire, Monroe, and Preston counties are now eligible for financial help through a federal program.
The counties are now designated as Historically Underutilized Business Zones, or HUBZones. Small businesses located in these areas are given exclusive federal contracting opportunities and preferential price evaluations for those contracts.
The program’s goal is to give three percent of federal contract dollars to businesses certified with the program.
Department of Commerce Secretary James Bailey says the program is meant to help businesses in these designated, underserved areas compete.
“It gives a tremendous opportunity to small businesses throughout the state to get into the game,” Bailey said. “It’ll help small businesses in West Virginia compete against huge federal vendors in other parts of the country.”
Gov. Jim Justice requested the counties be granted the designation by the U.S. Small Business Administration last month. In 2022, 59 West Virginia businesses located in areas automatically designated as HUBZones federally received almost $100 million in total funding.
The SBA will update its HUBZone map July 1, which shows where designated HUBZone areas are located nationwide. Bailey says once the map is updated, they’ll be able to identify additional HUBZones and add more areas designated by the governor’s office.
House of Delegates members said on Monday there is no rush in offering the people of West Virginia well deserved, and well thought out tax relief.
House of Delegates members said on Monday there is no rush in offering the people of West Virginia well deserved, and well thought out tax relief.
The Senate and Gov. Jim Justice now agree on the amended House Bill 2526, the estimated $750 million Senate plan that includes an initial personal income tax cut, a personal property tax credit for vehicles and a property tax break on equipment and inventory aimed at small businesses.
The 20.25 percent personal income tax cut – higher than the Senate’s initial proposal of 15 percent but lower than the House’s proposal of 30 percent – would be effective retroactively to January 1, 2023.
A provision to trigger future income tax reductions, similar to the one in the Senate’s original proposal, is included with changes. The new formula is based on a comparison of general revenue collections in a fiscal year minus severance tax collection as compared to the base year of 2019.
Adjusted for inflation, if the general revenue collections minus the severance tax collections exceed the adjusted base year, a reduction would be triggered.
The amendment also includes a refundable tax credit for personal property paid on automobiles and 100 percent refundable tax credit for disabled veterans against personal income taxes paid on homesteads, both remaining unchanged from the original Senate proposal.
Small businesses with an appraised value of $1 million or less would be given a tax credit allowing a 50 percent refund against personal and corporate net income tax for personal property.
The removal of the so-called “marriage tax penalty” was not included as part of the compromise.
The bill was received by the house on Monday.
However, House Majority Whip and Finance Committee member Marty Gearheart, R-Mercer, said there needs to be a close examination of the Senate tax proposal before any final decisions are made.
“There have been a lot of negotiations and a lot of conversation, and a bill is coming to us. There is a lot of detail in that bill. And we want to be certain to go through it to make sure it is correct and something that we can work with,” Gearheart said. “The House members overall are interested in cutting taxes for West Virginians. This is a vessel to do that and we’re going to examine it closely to make sure it’s right and proper and deal with it at that point.”
Gearhart said there are no rubber stamps, by the House of Delegates or the Senate.
The U.S. House Committee on Ways and Means, the oldest committee of the U.S. Congress held its first field hearing at Allegheny Wood Products in Petersburg, West Virginia to give citizens the chance to voice their small business’ needs to the federal government.
The U.S. House Committee on Ways and Means, the oldest committee of the U.S. Congress held its first field hearing at Allegheny Wood Products in Petersburg, West Virginia to give citizens the chance to voice their small business’ needs to the federal government.
Representatives from across the U.S. heard from West Virginia small business owners, workers, and families about how they have been affected by inflation, supply chain problems and high energy costs. The event was also referred to as the “State of the American Economy: Appalachia.”
West Virginia Rep. Carol Miller, a Republican member of the committee, said she was excited to have her colleagues with her in her home state.
“I am really excited for the opportunity today to be able to highlight some of the stories of hard-working West Virginians, and the unnecessary struggles that they face because of an overreaching federal government,” Miller said. “From unelected bureaucrats and uninformed lawmakers, which have caused untold damage to all of our communities in southern West Virginia in particular, the effects of bad policies have been devastating.”
Members from the community were called to testify about issues they’ve faced in each of their industries. Members were: Tom Plaugher, vice president of operations at Allegheny Wood Products; Ashley Bachman owner of Cheetah B’s Restaurant; Wylie McDade, co-owner of Devil’s Due Distillery; Jamie Ward, preparation plant manager at Consol Energy Inc.
The committee plans to travel across the nation to hold field hearings with community members over the next two years to hear firsthand from citizens about the challenges facing their families and small businesses, and how they think Congress can help.
“I really appreciate the effort this committee made, it’s quite unique. I don’t know that I’ve come to a field hearing before, so it’s really an honor to be with you,” said West Virginia Rep. Alex Mooney. “I’m grateful that this hearing is in my district, and I hope today’s discussion focuses on issues in rural America that Washington often overlooks West Virginia, families are being forced to make tough, tough economic decisions.”
Southern West Virginians are invited to pitch their business ideas for a chance to earn cash and technical assistance.
Southern West Virginians are invited to pitch their business ideas for a chance to earn cash and technical assistance.
The Pitch Southern West Virginia business idea competition is for start-ups or new businesses in operation for no more than three years. Students at WVU Tech are also eligible to pitch ideas.
It’s an initiative by the newly announced partnership between WVU Tech, the West Virginia Hive and the WVU Tech Launch Lab.
“We have lots of needs for new products,” Diana Woods, the lab’s director, said. “And innovation can be incremental changes to existing ideas as times change and things change, we need to make them a little bit better.”
Clients of the West Virginia Hive are also eligible. New businesses in 12 counties – Raleigh, Fayette, Nicholas, Summers, Braxton, Webster, Pocahontas, Greenbrier, Monroe, Mercer, Wyoming, and McDowell – can also pitch ideas.
Applications are due by midnight on Monday, Aug. 15. Top winners will be asked to attend a live competition on Sept. 13, 2022, from 6-8 p.m. at the WVU Tech campus in Beckley.
Speaking to the legislative Joint Commission on Economic Development, Steve Johnson, director of West Virginia’s Small Business Development Center spoke of the success of three CARES Act funded programs that may end if the state doesn’t step in.
CARES Act funding will soon end for three programs helping West Virginia’s small businesses.
Speaking to the legislative Joint Commision on Economic Development, Steve Johnson, director of West Virginia’s Small Business Development Center spoke of the success of three CARES Act funded programs that may end if the state doesn’t step in.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act (2020) provided fast and direct economic assistance for American workers, families, small businesses, and industries. Funding from the act ends in September.
First, Johnson said hiring 15 subject matter experts like CPAs, attorneys and tech innovators has led to 67 rolling projects helping create and sustain small businesses. Johnson said this is helping West Virginia gain traction in the growing cybersecurity field. The experts are also helping with succession planning, since many family owned businesses are aging out in the state.
“It’s been a huge help to the businesses,” Johnson said. “Unfortunately I’ve got to start narrowing down and get them done because I’ve got to have all the money spent by September 30.”
Second, Johnson spoke of a research and development program that has developed federal and state matching funds and is keeping bright young minds in-state.
“It’s definitely an incentive for people from WVU and Marshall to do the research and stay here when they’re spinning out companies,” Johnson said. “We want to become more technology savvy and more technology friendly in this state. They’re just going across the border because there’s more money to get for free.”
Third, a first time endeavor for the SBDC is the West Virginia Business Link, a one stop resource shop connecting 130 public and private resource partners to the state’s 113,000 small businesses.
“If you’re out there in a small business world trying to figure out where you can get help, either to start or to grow, or whatever it may be, it’s a daunting task,” Johnson said.
At the end of his presentation, Johnson asked that the legislature consider continued funding for these programs.
“There’s no denying small businesses are a huge part of what we do in West Virginia and our economy,” Johnson said. “This can really be a linchpin for stability and diversity in the economy in West Virginia.”
In 2006, Mercer Street in Princeton was not a place you wanted to take children. It’s the ‘old downtown’ or ‘Main Street’ of the city. West Virginians have seen the story over and over again. And visitors found boarded up storefronts and dilapidated buildings, remnants of a bustling and more prosperous time.
But in the last 15 years, 1,433 new businesses have opened in Mercer County, according to the Secretary of State’s website. The majority of those businesses were based in Princeton.
“It’s definitely been a fun process to enjoy,” said small business co-owner Holley Odle. ‘When I was in high school — I graduated from Princeton — this street was a very unsavory place to be. A lot of trouble, a lot of things that, you know, we’ve pushed out of here.”
Jessica Lilly
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Hammer and Stain DIY Workshop co-owner Holley Odle operates a chop saw to create pieces of wood ready for crafts.
Odle’s business is called Hammer and Stain DIY Workshop. The business model is based on hosting events and providing a space with supplies for people to create crafty projects with a little guidance.
“We thrive on people coming in here and doing projects with us to create an experience,” Odle said. “The fact that you got to get out of your house and be with your friends and your family and come in and actually put your hands on and get away from your phone or get away from your TV and have an experience was really something.”
Co-Owner Lisa Christian said she was inspired and motivated by how successful the workshop had become.
“One evening we would have close to 100 people in and out of here doing projects, and it was just fun,” Christian said. “The Golden Girls Workshops, we had about 40 people in here singing, eating cheesecake and singing (the show’s theme song) ‘Thank You For Being a Friend.’”
Christian refused to just let go of that community togetherness during lockdown. Instead of hosting people on location for guided crafting workshops using the supplies on site, she and Odle created kits with instructions and supplies to take home.
“And I think it kept some sanity in the community,” Christian said. “You know, it gave us things to do. It gave our customers things to do to occupy their time.”
She says the kits kept the business going during lockdown and also helped maintain a sense of belonging.
Jessica Lilly
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Lisa Christian, co-owner of Hammer and Stain DIY Workshop, adjusts her mask.
“It felt really good,” Christian said. “It felt like we were able to contribute to the community. You know, a community that we love so much and we love to give back. And you know, we’ve enjoyed watching Mercer Street come to life and see the different businesses flourish. So it was an experience.”
Jessica Lilly
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Hammer and Stain DIY Workshop co-owner Lisa Christian (left) assists Bernadette Dragich (right) with her project.
These owners said they’re willing to try just about anything to keep their business open. They also hosted instructional Zoom meetings, switched up the timing of the workshop,s and of course, began an intense cleaning regimen while wearing masks.
New guidelines don’t allow as many people in the workshop but that creates opportunities for immune-compromised community members like Bernadette Dragich. On this day, the empty studio is a valuable way for Dragich to engage in a little art therapy. Less people means it’s safer for her.
“I’ve had cancer and treatment for cancer,” Dragich said. “I’m on the upside of that. So it just keeps me busy and gives me a chance to have creativity and these ladies are really nice.”
Dragich is sitting at a table in the studio. Finished projects speckle the walls, framing two rows of large tables holding pencils, pens and other crafting utensils. She dabs black paint over a stencilled wooden round.
“I think it helps individuals and some of them do some really beautiful work,” Dragich said. “Sometimes things are more meaningful when it’s something homemade.”
Jessica Lilly
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Hammer and Stain DIY Workshop co-owner Lisa Christian (right) talks with Bernadette Dragich (left) about her project.
After finishing the paint, co-owner Lisa Christian walks across the workshop to help Dragich reveal an image of a dog on the wooden circle.
“Actually, this dog is from one of my co-workers who gave me this dog, when I just found out I had cancer,” Dragich said. “He used to show her and she’s been really meaningful and helpful to me.” Now, she has a handmade wall hanging that’s meaningful as well — a project marking a wellness milestone that allowed her creativity to flourish.
Just across the workshop and closer to the door sits a wooden cabinet. Inside is another silver lining to the COVID business model. Hammer and Stain co-owner Holley Odle says when it was nearly impossible to find cleaning supplies and they needed to meet more stringent standards, she turned to new technology that’s faster and better for the environment, ultraviolet sanitization.
“So after every workshop, we take everything that anybody’s touched, and we put them in the closet, and we cut the UV on and get it through a 10-minute cycle,” Odle said. “That way, so many harsh chemicals aren’t being used. It gets everything clean for the next person and we don’t miss anything.”
Jessica Lilly
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Hammer and Stain DIY Workshop co-owner Holley Odle shares their solution to stringent cleaning guidelines when supplies were hard to find, ultraviolet sanitation.
There are still some projects that just don’t fit into the “take home” model but Odle says they plan to adopt all of these changes, even after COVID.
“I believe that a lot of this is going to be our new normal for now,” Odle says. “As far as keeping workshop attendance low, making sure everything is extra clean, I don’t think we’ll ever go back to the way that it was.”
Odle says she’s thankful for what she’s learned through the pandemic, especially just how much the community appreciates the business and the DIY project opportunities. As things continue to evolve, she hopes the community won’t forget them.
“If there is a business that you love, and that you want to see it survive and be able to patronize that business after COVID, we really encourage you to go take time and visit that business now,” Odle said. “Whatever they’re doing, find their Facebook page, call and say ‘what are you guys doing?’ Give them a little bit of what you’ve got right now. So that they will be here when our new normal settles.”
Jessica Lilly
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Hammer and Stain DIY Workshop co-owner Lisa Christian (left) assists Bernadette Dragich (right) with her project.
