2009 State Legislative Issues

Increasing your electricity bill

Who can afford to pay higher electricity bills? Apparently the state government feels like we all can. In addition to the 43% rate hike request already submitted by one local power provider, a bill is moving through the legislature that would add tens of millions of dollars in extra costs for West Virginia power users.

Alternative Energy Portfolio Bill – (S.B. 297/H.B. 2682)

This bill would require that a certain percentage of electricity being used by West Virginia consumers would come from “alternative energy” sources. Given that we have more coal than almost anywhere in the world, does it make much sense for us to import “alternative energy” from out of state at a higher price.

Causing more unemployment by increased unemployment compensation taxes

Only in West Virginia would a tax hike that some say could be as high as $100 million per year even be discussed in the middle of such a severe recession. Thousands of West Virginians are losing their jobs, so more people are receiving payments from the unemployment compensation fund. Instead of trying to create more jobs, the state would like to tax those who still do have jobs. The increases are so large though that it will probably cause even more unemployment, only adding to the number of people receiving payments from the already depleting fund.

Unemployment Compensation Assessments Bill – (S.B. 246/H.B. 2336)

This bill would dramatically increase unemployment compensation taxes for both employers and employees.

Paying too much for your insurance? Of course you are. Here is a tax increase on top of it.

If increasing your utility costs and the tax you pay for unemployment compensation isn’t enough, the state of West Virginia may create new programs this year to bailout underfunded municipal pensions and fund them by raising the taxes you pay on your insurance premiums.

Some insurance industries have said that the increase would make the taxes on insurance premiums the highest in the nation if these bailout passes.

HB 3158 would increase state taxes on all insurance premiums (except for health plans) $7.50 per $1,000 worth of insurance. It would also trigger cities to provide a match of $3.94 million per year. The total tax increase reported by our liberal newspaper was $15.5 million.

Senate Finance Chairman Walt Helmick (D-Pocahontas) told the liberal newspaper, “To put an additional $15 million tax burden on taxpayers at this particular time would be difficult,” he said, “You can’t raise taxes in the middle of a recession.”

http://www.wvgazette.com/News/200903170889