6:00: Morning News

Bill to increase cigarette tax gains traction

CHARLESTON, W.Va. — The state Senate Judiciary Committee made significant changes to a House of Delegates bill dealing with fireworks Wednesday, adding a $1 increase in the state cigarette tax to the legislation along with allowing smoking in casinos and VFWs.

The bill (HB2646) was approved by committee members after deciding on some ways to divide the expected $130 million in revenues the tax increase is expected to generate annually.

The committee decided to increase the tax 50-cents a year for two years to soften the blow on smokers. The measure says $20 million in the first year would be allocated toward the construction of a veterans nursing home in Beckley while $20 million the second year would go toward the construction of a drug treatment facility. Volunteer fire departments would get a total of $2 million a year, which would be approximately $5,000 per fire department.

The bill would also allow for designated smoking areas in the gambling casinos in the state under certain guidelines and VFWs. The original intent of the bill, when it came from the House, was to further regulate the sale of fireworks in the state by assessing a fireworks safety fee to the new West Virginia Veterans Program Fund.

Sen. Art Kirkendoll (D-Logan) spoke in favor of giving smokers a place to smoke in casinos and VFWs.

“They (cigarettes) are $5 a pack now and will go to $6. We’re taking that money for some very qualified (programs). We can’t on one end suck the money from the people that have it and then tell them you can’t smoke over here—we have to be sensible,” Kirkendoll said.

Senate leaders are concerned about the state’s revenues and have been discussing various ways to increase money coming into the state. The gambling industry blames part of its revenue reduction in recent years to smoking bans that have been approved by county health departments.

The 60-day regular session ends Saturday at midnight, a very short amount of time to try and get a tax increase through the Senate and House. Sen. Ron Miller (D-Greenbrier) predicted the bill’s possible defeat because it includes too many things.

“We have everything in here but a new barn for the State Fair,” Miller said.

The bill, which passed the committee on a voice vote, next goes to the full Senate for consideration.





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