HOUSE CONCURRENT RESOLUTION 17
(By Mr. Speaker, Mr. Kiss, and Delegate Ashley)
(By Request of the Executive)
Directing the Joint Committee on Government and Finance to create
a Tax Study Commission to review and consider all phases of
state and local taxation, to develop recommendations for
improvements, and to report back to the Legislature.
Whereas, The final report of the Tax Study Commission
established in the year one thousand nine hundred eighty-four,
recommended numerous changes in the tax laws of this State many
of which were enacted more than ten years ago; and
Whereas, Since then, numerous other changes have been made in
the tax laws of this State resulting in enactment of new taxes,
changes in rates of taxation, repeal or modification of
exemptions, addition of new exemptions, and creation of new tax
credits; and
Whereas, Changes in economic conditions of industry, labor
and commerce, such as those resulting from deregulation, changes
in technology, and changes in the global economy all warrant a
new look and review of our presently constituted state and local
tax structure; and
Whereas, Our schools, road system and programs for the
health, safety and welfare of our citizens are supported largely
by state taxation; and
Whereas, Much criticism has been and is continuing to be
directed at our tax structure as being inequitable, regressive
and as not providing a business climate conducive to attracting
new businesses or the retention of existing businesses, to the
generation, development, employment and creation of payroll and
to a fair sharing and distribution of the tax burden by all our
people; and
Whereas, Counties and municipalities, under our
constitutional provisions permitting state taxes to be levied and
dedicated for their use and benefit, have sought revenue aid from
state taxation and such dedication of a portion or all of such
tax, creating a much closer tax relationship between the State
and such political subdivisions; and
Whereas, Counties and municipalities have only such taxing
authority as is delegated to them by the Legislature, which
authority has not significantly changed during the last twenty
years; and
Whereas, Much of West Virginia's population is proximately
located to other states, in counties and municipalities which
directly compete with counties and municipalities located in
those other states, which have different tax structures; and
Whereas, Much criticism has been and is continuing to be
directed at local tax structures as being archaic, inequitable
and not providing a proper economic climate conducive to attract
new businesses or retain existing businesses, to the generation,
development, employment and creation of payroll, or to attract
new citizens or retain existing citizens; therefore, be it
Resolved by the Legislature of West Virginia:
That the Joint Committee on Government and Finance create a
Tax Study Commission; and, be it
Further Resolved, That such commission shall consist of
twenty-one members; seven members to be appointed by the
President of the Senate, not more than three members so appointed
to be members of the Senate, with no more than two of such
members to be of the same political party, two members to be
representative of county and municipal governments, not of the
same political party, and two members to be representative,
private citizens, not of the same political party; seven members
to be appointed by the Speaker of the House of Delegates, not
more than three members so appointed to be members of the House
of Delegates, with no more than two of such members to be of the
same political party, two members to be representative of county
and municipal government, not of the same political party, and
two members to be representative, private citizens, not of the same political party; and seven members to be appointed by the
Governor, with two members to be representative of counties and
municipalities, with at least two members to be representative,
private citizens, and not more than five members so appointed to
be members of the same political party. The representative
private citizens may include persons with background, knowledge
or experience in taxation, economics, current conditions of
business, industry, labor, commerce, agriculture, or other
activities fundamental to our business environment; and such
other persons found eligible by the appointing authority because
of sound judgment and deep interest may be appointed as
representative citizens; and, be it
Further Resolved, That the President of the Senate, the
Speaker of the House of Delegates and the Governor shall confer
together on their respective appointments prior to the same being
made in order to ensure that the membership of the Tax Study
Commission is reasonably diverse as to experience, knowledge,
interest and representation; and, be it
Further Resolved, That the Governor shall designate one of
the commission members so appointed as chairperson and one as
vice chairperson; and, be it
Further Resolved, That vacancies on the commission shall be
promptly filled by the original appointing authority; and, be it Further Resolved, That the commission may select other
officers as it considers appropriate and may employ such
professional, clerical and technical assistants as it considers
necessary in order to perform its duties and may request
information from any state, county or municipal officer or agency
in order to assist the commission in the performance of its
duties; and, be it
Further Resolved, That the commission shall meet in
Charleston or elsewhere, as it may consider necessary or
appropriate, and it shall convene at least bimonthly and at such
other times as its duties may require; and, be it
Further Resolved, That the interim findings of the Tax Study
Commission shall be reported to the Legislature at the Regular
Session of the Legislature, one thousand nine hundred ninety- eight, in respect to the progress of activities, programs and
plans of the commission toward the development of recommendations
in establishing an equitable, improved and sound tax structure
for the State and geared to the needs of the State in light of
changing economic conditions, the deregulation of certain
industries, the state's natural resources, its economy, its
attraction and retention of manufacturing industry, its gainful
employment of its citizens and its provision for the education,
health and welfare of its citizens; and final report of the commission shall be submitted to the Legislature at its Regular
Session, one thousand nine hundred ninety-nine, unless the
existence of the Tax Study Commission is continued by resolution
or other action of the Joint Committee on Government and Finance;
and, be it
Further Resolved, That the expenses necessary to conduct
this study, to prepare a report and to draft necessary
legislation be paid from legislative appropriations to the Joint
Committee on Government and Finance.