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No budget plan yet, but progress described after high-profile meeting

CHARLESTON, W.Va. — Legislative leaders and Gov. Jim Justice met for three hours Friday afternoon, with those who attended calling the session productive but also acknowledging that no budget deal was yet reached.

Some of those who attended said it was the first time the majority and minority leaders of both houses had been in the same room with the governor at the head of the table since budget discussions began weeks ago. House Minority Leader Tim Miley participated via telephone.

Last month, House Speaker Tim Armstead complained of being shut out of negotiations between Justice and the Senate. During the past 10 days, until Friday, Democrats have not been participants in discussions.

Legislators are to return to the Capitol on Monday to continue a special session the budget after a 10-day recess.

Those who attended Friday afternoon’s meeting said it’s unlikely a revenue bill will be ready for legislators by Monday because new concepts were floated and each legislative leader expressed the need to run the scenarios by their respective caucuses.

A potential framework could include an increase in the state sales tax from 6 percent to 6.5 percent.

That backs off from a previous negotiating point of 7 percent.

But one of the ideas discussed was taking the difference between 6.5 percent and 7 percent — the remaining half-cent — and applying it toward state roads.

That possibility would take the place of an increase in the fuel tax, which Governor Justice has advocated for an ambitious roads proposal. The Senate approved the fuel tax increase during the regular session, but the House has wanted a statewide bond vote before passing a tax increase.

Those gathered also discussed adopting a less dramatic first-year decrease in the personal income tax from what Republican leaders in the state Senate have been advocating.

An earlier compromise plan between Senate Republicans and Justice passed 32-1 two weeks ago. Another plan potentially could pass the Senate, even without Democratic support.

The House of Delegates voted down the same bill 59-34 a few minutes later, with most Republicans voting against it.

Any plan that includes a tax increase would likely need the support of most Democrats plus a solid group of Republicans to pass the House.





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