Committee gives due-pass recommendation on HB1279, leaving coal severance/conversion tax level to conference

The Appropriations - Government Operations Division voted to give House Bill 1279 a do-pass recommendation, advancing language dealing with coal severance and coal conversion tax treatment to the conference committee. Committee members said the bill was negotiated with fossil-fuel stakeholders and legislative leadership and that conference negotiations are the appropriate forum to resolve exact exemption levels.

Senator Dwyer described the item as “a major policy tax revenue issue” and recommended passing the bill as presented and letting a conference committee determine the final level of any exemption. Dwyer said that, if passed as-is, the bill could be taken up in policy committee or decided in conference depending on revenue conditions later in the session.

Committee discussion noted differences between the House and Senate versions; the transcript records that the House version provides a percentage-based state share treatment and that the approach under consideration would exempt half of the state share for the next three years. The committee briefly discussed scheduling and public notice; members said many stakeholders who testified earlier supported the Senate's position but preferred the House position and that conference is the venue to resolve remaining differences.

A roll-call recorded votes for the do-pass motion. The clerk recorded affirmative responses from Chairman Wojcick, Senator Burkhart and Senator Dwyer; Senator Herberly and Senator Seclerc were also recorded as voting aye. The chair declared the motion carried. Committee members said the item will be one of the issues decided late in the session by the conference committee as general-fund and revenue forecasts become clear.