This bill amends the Code of West Virginia to ensure that all coal severance tax proceeds are allocated directly to the county that produced the coal. Specifically, it introduces new legal language stating that, as of July 1, 2026, all coal severance tax proceeds shall be provided in an apportioned manner to the respective county that produced the coal. This change aims to enhance the financial benefits for coal-producing counties by ensuring they receive the full amount of the severance tax generated from coal mined within their borders.

The bill also outlines the existing framework for the distribution of coal severance tax revenues, which includes a phased increase in the percentage of tax dedicated to coal-producing counties, starting from one percent in 2012 and reaching five percent by 2016. It establishes the Coal County Reallocated Severance Tax Fund, detailing how funds are to be distributed and used for economic development and infrastructure projects within the counties. The bill emphasizes that these funds cannot be used for personal services or bond-related expenses, ensuring that the money is directed towards projects that foster growth and improvement in coal-producing areas.

Statutes affected:
Introduced Version: 11-13A-6a