HOUSE CONCURRENT RESOLUTION 97

(By Delegate Barrett)

[Introduced April 6, 2021; Referred to Finance then Rules.]

Requesting the Joint Committee on Government and Finance study the ways to attract and keep existing distribution centers across the State of West Virginia.

Whereas, Now is the time to attract distribution centers (i.e. Amazon fulfillment centers, Wal-Mart/CostCo distribution centers, etc.) to the State of West Virginia, given the current economic climate and the resiliency of the West Virginia economy, even given the events of the pandemic; and

Whereas, The State of West Virginia can be a role model for other states through leading a comeback from the COVID-19 pandemic by attracting new business distribution centers to the state; and

Whereas, The best way to attract new business distribution centers to the State of West Virginia shall be to study the effects of creating a favorable business climate in order to attract those businesses considering relocating to West Virginia; and

Whereas, The study of how to attract new business distribution centers shall include examining all available avenues to create such a favorable business climate, including, but not limited to, potential tax breaks for businesses who open in West Virginia with the explicit purpose of opening a distribution center and hiring West Virginians to work there; and

Whereas, The State of West Virginia will also be well served by considering a proposed “Business Retention Task Force” as laid out in a separate study resolution, which will incorporate the following to retain existing native businesses:

Founders House: Establishing 'Entrepreneur in Residence’ program to allow entrepreneurs to have housing and an environment to found startup businesses;

Student Loan Forgiveness: Granting student loan forgiveness for state school graduates who start a new business in the state within five years of graduation;

CRA Tax Credit: Extending tax credits for CRA eligible activity;

State guaranteed loans: Loans targeted at sole proprietorships and LLCs;

West Virginia Produced Bidding Credit: Tighten regulations to actual West Virginia produced or value-added products and add points for bidding contracts;

Business & Inventory Tax: Defer capital investments from BIT tax for one year to allow generation of income before taxation; and

Business and Operating Tax: Assess B&O tax on net income through startup years to establish new businesses; and

Whereas, All of the proposed initiatives for attracting new distribution centers, as well as the proposed initiatives to keep and retain existing distribution centers, may establish new centers and keep the old centers in place; therefore, be it

Resolved by the Legislature of West Virginia:

Requesting the Joint Committee on Government and Finance study the ways to attract and keep existing distribution centers across the State of West Virginia; and, be it

Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2022, on its findings, conclusions, and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; 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 the legislative appropriations to the Joint Committee on Government and Finance.