State Budget Revenue Healthy, Officials Unsure About Tax Cut Trigger

State revenue is solid for the year, and over estimates, but down from last year because of personal income tax reductions and severance taxes.

West Virginia tax collections are higher than estimated, but it is unclear if another personal income tax cut will happen in 2025. 

Legislators heard Monday from Mark Muchow, the deputy secretary of the state Department of Revenue, about 2024 budget revenue numbers

“After nine months, the state has collected more than $4.07 billion. That’s $522.9 million above estimate,” Muchow said. “It’s down from last year by 11.6 percent, which is pretty good considering that we cut the income tax by 21.25 percent and some reductions occurred in the severance tax as well.” 

Muchow said personal income tax collections are $184.1 million above estimate for the year. He explained that it is down 9.4 percent year to date over last year. 

“Again, 9.4 percent is pretty good considering that we cut the tax rates by 21.25 and the income tax as a whole was over 40 percent of general revenue fund collections,” Muchow said. 

Severance taxes on coal, gas and oil were budgeted for just $22.1 million for this fiscal year to date. So far, the state has collected $48.129 million. That sounds promising, except the previous fiscal year brought in nearly $85 million at this point in 2023 and is off more than 43 percent. 

Since taking office, Gov. Jim Justice has maintained relatively flat budgets and kept budget estimates low as well. That has guaranteed annual budget surpluses. Over the last few years, they have topped $1 billion each fiscal year. 

Last year, when the West Virginia Legislature passed the personal income tax cut, the bill included triggers that would further reduce those taxes. The triggers are tied to budget surpluses. 

Del. Larry Rowe, D-Kanawha, asked about the trigger mechanism during Monday’s meeting. 

“Are you able to project whether the August trigger is going to come into play or not?” he said. 

“It’s too early for us to do that type of projection. There’s a lot of revenues outstanding. I do believe that the income tax is going to trend lower over the final, at least over the April, May period, [it] may bounce back in June,” Muchow said. “But there’s too many variables out there to make a good, firm analysis on the trigger.”

“When do you think you’ll comfortably be able to make that calculation?” Rowe asked. 

“We will not have a complete idea till the end of June,” Muchow said. “But we’ll have a better idea for the end of April. And even better at the end of May. So by the end of May, things will be a little bit better in focus than they are today.”

“So if we were to have a special session in May, and that has been discussed, then you may have the numbers you need to calculate whether the August trigger will come into play?” Rowe asked. 

“We’ll have a better idea, but not a perfect idea,” Muchow said. “Again, there’s a number of variables outstanding that we’d have to consider in that equation.”

The Legislature is expected to return to Charleston for a special session on the budget in mid-May following the election but before the end of the month. 

W.Va. Analysts Develop New Tech To Visualize Flood Risks

West Virginia geospatial officials are developing new technology to help visualize flood and landslide risk in the state. The project aims to create more accessible and updated community-level flood risk data.

April storms have caused flooding across West Virginia, from the Northern Panhandle to the state capital.

Flooding events like these are familiar territory for many residents. According to the West Virginia GIS Technical Center, 286 communities across the state are located directly on flood plains — areas adjacent to waterways that can become inundated by rising water levels.

The center has long worked to identify flood risks through digital mapping software. On Sunday, state analysts presented new developments in this effort to the West Virginia Legislature’s Joint Legislative Committee on Flooding.

Currently, the center is working to strengthen local flood risk data and to create data visualization tools more easily understood by members of the public, according to Co-Director Aaron Maxwell.

Often, emergency management data comes from the federal level, which limits the level of detail available on the local level.

The center is working to update structural and flood plain data across the state to “support the public and flood plain managers in flood-prone communities,” and to develop a “higher grain of detail than what’s available with federal tools,” Maxwell said.

Last year, the center began developing the West Virginia Flood Resiliency Framework through a grant from the National Science Foundation (NSF). This has allowed the center to develop mapping and modeling tools on flood risk and resiliency across the state, Maxwell said.

Beyond modeling how waterways and properties would be affected by rising water levels, Maxwell said the center is also conducting a statewide survey to assess how residents feel about flood risks and recovery efforts in their community.

The center will then flesh out additional reports on flood risk preparedness locally, Maxwell said.

By providing resources like new data visualization software and survey reports to the public, Maxwell said the center hopes to bolster “data-driven decision-making in the state,” like corroborating emergency relief grant requests with concrete data.

Maxwell also said that the center has been working with West Virginia’s State Resiliency Office to compile these resources into a “one-stop shop for people to go to, to investigate their flood risk.”

This furthers the center’s goals of providing more accessible data for the public. Pulling it all together in one location is easier for every-day residents, like how 3D visualization tools are more easily understood than convoluted or industry-specific information, Maxwell said.

Aaron Maxwell, co-director of the West Virginia GIS Technical Center, speaks to members of the West Virginia Legislature Sunday.

Photo Credit: Perry Bennett/WV Legislative Photography

The center is also working to develop tools that can assess risks associated with flooding, like landslides.

Kurt Donaldson, geographic information system (GIS) manager at the center, said that landslides are the second most costly form of natural disaster to West Virginia, second only to flooding.

“Just where West Virginia is, with the steep slopes, landslides are always an issue,” he said during the committee meeting Sunday. “Sometimes they get categorized as flood-damaged structures when it was associated with a mudslide.”

Donaldson said that the center is developing a state landslide susceptibility grid.

Like the flood risk visualization maps, these aim to convey to local officials and members of the public emergency risks present in their communities. “It can be useful for identifying areas that are susceptible to landslides,” he said.

While the center will continue to work on the project in the coming months, Maxwell said their NSF funding ends in October, requiring sustainable, long-term funding resources to keep data up to date.

Sen. Chandler Swope, R-Mercer, said that flood risk management is often overlooked in financial discussions within the Legislature, which he views as an oversight.

“Flooding has been, in budget terms at least, virtually ignored for 100 years,” he said during Sunday’s meeting. “We’ve got the other highways, water, sewer, broadband, et cetera infrastructure, but flooding is not on our agenda as a major infrastructure need for West Virginia.”

Swope said that he and members of the Legislature should prioritize flood risk mitigation funding in upcoming financial discussions.

“As money becomes available after other infrastructure needs are met, I think we should give serious consideration to doing what we can for flood mitigation, and we’ll choose the highest priority places first,” he said.

Swope also said that preventing damages associated with natural disasters like floods would ultimately limit state spending on emergency response efforts.

“It’s not an expense that wouldn’t pay for itself with the proper application,” he said. “If this information had been available 100 years ago, there might be a lot of towns and cities that have a lot less damages due to floods.”

To participate in the West Virginia GIS Technical Center’s flood resiliency survey, visit the center’s West Virginia Flood Resilience Framework website.

For more information on local flood risk in West Virginia, visit the West Virginia GIS Technical Center’s West Virginia Flood Tool.

This 3D model from the West Virginia GIS Technical Center shows how rising water levels would affect a West Virginia home.

Image Credit: West Virginia Flood Tool/West Virginia GIS Technical Center

Justice Calls On FEMA, Lawmakers To Supplement Storm Aid

After intense storms last week, Gov. Jim Justice is seeking federal aid from FEMA and the creation of an on-retainer state emergency fund by West Virginia lawmakers.

Updated on Wednesday, April 10 at 3:35 p.m.

Gov. Jim Justice is developing a disaster declaration request for the Federal Emergency Management Agency (FEMA) over severe weather events that occurred across West Virginia last week.

If approved, the request would grant federal relief funding to West Virginia residents affected by last week’s incidents, which included flooding, tornadoes, and destructive winds. The storms claimed the life of one Wood County resident and wrought structural and property damage statewide.

To qualify as a FEMA disaster, weather emergencies must reach a threshold of local damage that warrants federal intervention.

To strengthen the state’s case for a disaster declaration, Justice said during a virtual press briefing Wednesday that he would combine each of last week’s incidents into a single request.

“The problem with FEMA is they want a great number of people that are affected, or a great amount of property damage,” he said.

Justice has already declared ongoing states of emergency for 12 different counties in response to the incidents. These declarations facilitate state-level emergency response efforts, but do not secure the funding a FEMA disaster declaration provides on the federal level.

During the call, Justice also voiced disapproval of state lawmaker’s inaction on aspects of his budget proposal for the 2024 regular legislative session, which he said would have aided the state’s response to the emergencies so far.

Storms in West Virginia’s Northern Panhandle elevated the Ohio River’s water levels, causing severe flooding in nearby Wheeling last week.

Photo Credit: Wheeling Fire Department

Justice specifically pointed to a $50 million emergency fund that he requested to have on retainer for unexpected crises.

“The $50 million in regard to emergency funds, because of catastrophic events within our state, is something that is so important,” he said. “It’s unbelievable.”

But, in a statement following Wednesday’s briefing, Speaker of the West Virginia House of Delegates Roger Hanshaw, R-Clay, pushed back against Justice’s characterization of budget proceedings.

Hanshaw said that any funding set aside in this year’s budget would not yet have been accessible in response to last week’s storms.

Additionally, Hanshaw said that the state’s $85 million Civil Contingent Fund can be applied toward immediate disaster relief with the governor’s approval.

“If the governor wishes to respond to this tragedy in any way, he has the full capacity to do so, unfettered by the Legislature,” he said.

Justice has already declared that he will call lawmakers back to the Capitol before May 14 for a special session of the West Virginia Legislature, with expansions to the state’s budget at the top of his mind.

In pushing for these expansions, Justice said he will renew calls for the state to set aside an emergency relief fund. 

“I will surely put that back on the call,” he said.

**Editor’s note: This story was updated to include a comment from Speaker of the West Virginia House of Delegates Roger Hanshaw, R-Clay.

Foster Care Communication And An Iftar In Morgantown On This West Virginia Morning

On this West Virginia Morning, Tuesday marked the end of the holy month of Ramadan in the Islamic faith. Like millions across the world, Muslims in West Virginia fasted from sunup to sundown each day of the month. Their fast is traditionally broken with a meal called iftar. Chris Schulz takes us to an iftar in Morgantown.

On this West Virginia Morning, Tuesday marked the end of the holy month of Ramadan in the Islamic faith. Like millions across the world, Muslims in West Virginia fasted from sunup to sundown each day of the month. Their fast is traditionally broken with a meal called iftar. Chris Schulz takes us to an iftar in Morgantown.

Also, in this show, during the recent regular state legislative session, lawmakers passed a bill aimed at improving foster care communication and accountability. Emily Rice has more.

West Virginia Morning is a production of West Virginia Public Broadcasting which is solely responsible for its content.

Support for our news bureaus comes from Shepherd University.

Chris Schulz produced this episode.

Listen to West Virginia Morning weekdays at 7:43 a.m. on WVPB Radio or subscribe to the podcast and never miss an episode. #WVMorning

Student Discipline, Financial Literacy Discussed At State Board Of Education Meeting

For the past several years, educators have identified worsening classroom behavior and discipline as key issues in state school systems.

For the past several years, educators have identified worsening classroom behavior and discipline as key issues in state school systems. A recent Senate bill aimed to address discipline in elementary grades but failed to pass the House of Delegates during the recent regular legislative session.

Jim Brown, executive director of the West Virginia School Board Association, told the state Board of Education Tuesday the bill was focused on punishment and does not deal with typical discipline matters.

“Having served as an elementary principal and a school district superintendent, I can attest this punitive approach fails to address the underlying issues and provide these students with the supports they need to succeed,” he said.

Brown said elementary schools are ill-equipped to manage, let alone address, the mental health issues students are dealing with and that schools should “not attack the child, but attack the behavior.”

“Only a small percentage of school districts in our state have an established alternative learning environment for elementary age students,” he said. “We need to acknowledge the reality of mental health challenges faced by our school-aged children, and the varying degrees of crisis they experience. It is imperative that we conduct an honest review of the supports available across our state, from urban communities to the most rural settings. To have that effectively address this pressing issue.”

Brown finished his statement by calling for the establishment of a statewide task force that brings together educators, mental health professionals, community leaders, parents, and policymakers to develop a holistic strategy to tackle the mental health crisis in schools. 

His sentiments were echoed by others addressing the board, including West Virginia Education Association President Dale Lee, as well as West Virginia Professional Educators Executive Director David Gladkosky. They discussed the possibility the bill could be brought back up in a proposed special session this month or in May. 

Financial Literacy

Several West Virginia Board of Education policies were placed on public comment during the April meeting, including Policy 2520.4, relating to West Virginia College and Career Readiness Standards for Social Studies. The proposed changes would separate personal finance, which is currently taught as part of required civics courses, out to its own standalone requirement and course

Board member Debra Sullivan questioned the wisdom of splitting the two subjects. Joey Wiseman, director of West Virginia Department of Education (WVDE) Office of Student Enrichment, said the intent of the personal finance was always to have it be a separate course, and doing so allows educators and students to better focus on each subject.

“Now those standards look the same as a personal finance [course] they’re teaching in CTE (career and technical education), it’s the same all the way across,” Wiseman said. “It’s a very rigorous set of standards.“

He also pointed out that personal finance will not become a required credit for another two years, giving teachers and schools time to fit the new course into schedules.

WVDE Regional School Safety Meetings

During last month’s board meeting, the West Virginia Department of Education announced a series of school safety conferences across the state this spring. Dates have now been scheduled for the 2024 Regional School Safety meetings. The meetings will bring together county and school administrators as well as school safety personnel to share administrative updates that are important during a crisis event. Topics include updates on how to submit plans and code student data. Dates and locations include:

  • May 7, Embassy Suites, Charleston 
  • May 10, White Palace at Wheeling Park
  • May 13, West Virginia School of Osteopathic Medicine
  • May 16, West Virginia Schools for the Deaf and the Blind (WVSDB)

WVU Students Gather For Solar Eclipse And Grandson Of Woody Williams Weighs In On Failed Legislation, This West Virginia Morning

On this West Virginia Morning, across the country Monday, people took a moment out of their day to watch the solar eclipse. West Virginia was no exception, and at West Virginia University’s (WVU) Morgantown campus, a large crowd gathered to experience the celestial event. Chris Schulz has the story.

On this West Virginia Morning, across the country Monday, people took a moment out of their day to watch the solar eclipse. West Virginia was no exception, and at West Virginia University’s (WVU) Morgantown campus, a large crowd gathered to experience the celestial event. Chris Schulz has the story.

Also, in this show, the state Senate unanimously approved a resolution in February to place a statue of Hershel “Woody” Williams in the U.S. Capitol. Williams, who died in 2022 at age 98, was the last surviving Medal of Honor recipient from World War II. The measure, though, did not get a vote in the House of Delegates before the regular session ended. Curtis Tate spoke with Chad Graham, Williams’ grandson, about what happens next.

West Virginia Morning is a production of West Virginia Public Broadcasting which is solely responsible for its content.

Support for our news bureaus comes from Shepherd University.

Chris Schulz produced this episode.

Listen to West Virginia Morning weekdays at 7:43 a.m. on WVPB Radio or subscribe to the podcast and never miss an episode. #WVMorning

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