SB461 HFA ARMSTEAD, ET AL 3-7 #1

    Delegates Armstead, Lane, Nelson and Shott move to amend the amendment on page 4 on immediately following line 1 by inserting the following new section:

Ҥ11-13A-5c. Tax Reduction Fund

    (a) Notwithstanding any other provision of this code to the contrary, beginning July 1, 2015, and in each succeeding fiscal year, the revenue received during the fiscal year, attributable to the tax imposed on the severance of natural gas in section three-a of this article in excess of $68 million and which is not dedicated for the specific purposes as provided in sections five-a and five-b of this article, shall be deposited into a special fund known as the Tax Reduction Fund which is hereby established in the State Treasury. Other funds may be deposited in the fund from any other source, including funds appropriated by the Legislature.

    (b) Funds in the Tax Reduction Fund are hereby dedicated to be appropriated or distributed as follows:

    (1) Beginning with the fiscal year after June 30, 2016, and for each succeeding fiscal year until the fiscal year, if any, in which an amendment to the Constitution of the State of West Virginia is ratified which permits elimination or reduction of the ad valorem personal property tax on inventory and equipment held for commercial or industrial use, the distributions from the fund shall be made as appropriated by the Legislature for the purpose of tax reduction for the benefit of the citizens of the State of West Virginia as it considers appropriate: Provided, That no more than fifty percent of each fiscal year’s revenue deposited in the Tax Reduction Fund may be so appropriated.

    (2) Within sixty days of the beginning of the first fiscal year following the ratification of an amendment to the Constitution of the State of West Virginia which permits the elimination or reduction of the ad valorem personal property tax on inventory and equipment held for commercial or industrial use, and in each fiscal year thereafter, the Treasurer shall annually distribute from the balance of the Tax Reduction Fund on a proportionate basis to each county and county school board of the state an amount of moneys which shall be apportioned among the levying units of the state in proportion to the levy laid upon the Class III and Class IV personal property held for ongoing commercial use within each levying unit as reported on the certificate of valuation filed by each county with the Department of Tax and Revenue for the preceding year.”