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With crossover behind us, the next major event will be the release of the House and Senate budgets on Sunday, with the debate to occur next Thursday. In the last several days, the House considered two controversial measures: the so-called Government Nondiscrimination Act and a bill to extend the coal tax credit for another four years. WHEN NONDISCRIMINATION BECOMES DISCRIMINATION Under the misnamed Government Nondiscrimination Act, the Commonwealth of Virginia would be prohibited from taking any action against any person who discriminates against another person so long as the discriminator believes that the other person is gay, transgendered, or has engaged in sex outside of marriage. Although it was presented as a cure for recent celebrated news stories, such as the two Oregon bakery owners who declined to bake a wedding cake for a gay couple, the bill is far reaching and probably unconstitutional. It nonetheless passed the House 56-41. Interestingly, a number of younger Republicans crossed the aisle to vote with every Democrat against the bill. We are seeing a generational shift in the House of Delegates, and the younger Republican members are showing more tolerance on social issues than their elders. Nonetheless, the fact that this bill passed by such a large majority, should give us all pause. It now heads to the Senate, where it faces an unpredictable future. The Governor will likely veto the bill, and given the strong “no” vote by the House, that veto would likely be sustained. The Coal Tax Credit has been on the books since 1988, and it has cost Virginia taxpayers more than $630 million. The monies go primarily to coal mine operators and electricity generators. Since the credits were enacted, coal production has dropped precipitously and industry employment has gone from 11,000 workers to about 2,800 today. A JLARC report published five years ago indicated that the coal tax credit had outlived its initial purpose, which was to provide jobs and maintain coal production. Since then, the market has changed dramatically, and natural gas has largely replaced coal as an energy source. Some coal is still exported overseas, but prices for other fossil fuels have dropped so low that it is hard for coal, especially Virginia coal, to compete. Those of us who argued against extending the Coal Tax Credit suggested that it is inefficient to use taxpayer monies to prop up an industry that is in steep decline. When there are critical needs for public safety, education and job creation in Virginia, millions of dollars that we send to a few large companies could be better spent elsewhere. Southwest Virginia is in serious economic decline, but it would be better off if we invest monies in the region to grow educational credentials and support new businesses. The extension of the credit was passed on a 75 to 23 vote; I voted no. The Governor may veto the bill; if that happens, there will be another vote as to whether to sustain his veto. UPDATE ON BILLS Among the bills that failed in the first half of the session were:
Items that passed the House included:
Please remember that for all of the above passed bills, it is necessary for it to clear the other house and be signed by the Governor before they become law. THE BUDGET AWAITS On Sunday, both chambers will release their respective budgets and I will write to let you know what is in them (electronic mail, February 19, 2016)
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