Motor vehicle fuels; definitions, sales tax in certain transportation districts, price floor. (SB1456)

Introduced By

Sen. Frank Wagner (R-Virginia Beach) with support from co-patron Sen. Lynwood Lewis (D-Accomac)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Motor vehicle fuels sales tax in certain transportation districts; price floor. Places a floor on the 2.1 percent tax imposed on motor vehicle fuels sold in Northern Virginia and Hampton Roads by ensuring that the tax is not imposed on a sales price less than the statewide average sales price on February 20, 2013, which is the date used as a floor on the statewide motor vehicle fuels sales tax. Amends § 58.1-2295, of the Code of Virginia. Read the Bill »

Outcome

Bill Has Failed

History

DateAction
01/16/2017Presented and ordered printed 17103949D
01/16/2017Referred to Committee on Finance
01/25/2017Impact statement from DPB (SB1456)
01/31/2017Reported from Finance with substitute (11-Y 5-N) (see vote tally)
01/31/2017Committee substitute printed 17104935D-S1
01/31/2017Incorporates SB1092 (Petersen)
02/01/2017Constitutional reading dispensed (40-Y 0-N) (see vote tally)
02/02/2017Impact statement from DPB (SB1456S1)
02/02/2017Read second time
02/02/2017Reading of substitute waived
02/02/2017Committee substitute agreed to 17104935D-S1
02/02/2017Engrossed by Senate - committee substitute SB1456S1
02/03/2017Read third time and passed Senate (26-Y 12-N) (see vote tally)
02/08/2017Placed on Calendar
02/08/2017Read first time
02/08/2017Referred to Committee on Finance
02/13/2017Tabled in Finance

Video

This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 1 clip in all, totaling 10 minutes.

Transcript

This is a transcript of the video clips in which this bill is discussed.

EVALUATE THAT, BUT GIVES AN OPPORTUNITY FOR THOSE IN THE AGRICULTURE BUSINESS TO ACTUALLY START THAT OWN NEW SOURCE OF INCOME FOR FARMS IN TERMS OF PROVIDING SOLAR POWER AND SELLING IT BACK TO THE GRID. WITH THAT EXPLANATION, MR. PRESIDENT. I MOVE THE BILL PASS.

Sen. Frank Wagner (R-Virginia Beach): THANK YOU, SENATOR. THE QUESTION IS, SHALL SENATE BILL 1394 PASS. ALL IN FAVOR OF THE MOTION WILL RECORD THEIR VOTES AYE; THOSE OPPOSED, NO. ARE THE SENATORS READY TO VOTE? HAVE ALL THE SENATORS VOTED? DO ANY SENATORS DESIRE TO CHANGE THEIR VOTE? THE CLERK WILL CLOSE THE ROLL.

[Unknown]: AYES 38, NOS 3, RULE 36.1. AYES 36, NOS 3, RULE 36.1. THE BILL PASSES. SENATE BILL 1428, A BILL RELATING TO EDUCATION IMPROVEMENT SCHOLARSHIPS TAX CREDITS; ELIGIBILITY REQUIREMENTS. THE SENATOR FROM FRANKLIN COUNTY, SENATOR STANLEY.

Sen. Bill Stanley (R-Moneta): THANK YOU, MR. PRESIDENT. I NOW MOVE THAT SENATE BILL 1428 PASS, AND SPEAKING TO MY MOTION.

[Unknown]: THE SENATOR HAS THE FLOOR.

Sen. Bill Stanley (R-Moneta): THANK YOU, MR. PRESIDENT. MEMBERS OF THE BODY, SENATE BILL 1428 IS A SIMPLE BILL THAT MAKES SOME EXPANSIONS ON THE EDUCATION IMPROVEMENT SCHOLARSHIP TAX CREDIT THAT WE CURRENTLY HAVE IN THE COMMONWEALTH OF VIRGINIA, WHICH ALLOWS CHILDREN THAT ARE 300% ABOVE ALL THE WAY DOWN TO THE POVERTY LEVEL AND BELOW TO ATTEND PRIVATE SCHOOLS BY USE OF SCHOLARSHIPS. THOSE PERSONS AND CORPORATIONS THAT DONATE TO THESE SCHOLARSHIP FUNDS RECEIVE A 65% TAX CREDIT. IT'S ALLOWED THOUSANDS OF CHILDREN WHO OTHERWISE MAY NOT HAVE HAD THAT OPPORTUNITY AND THOSE PARENTS TO MAKE THOSE DECISIONS TO ATTEND THE SCHOOL OF THEIR CHOICE. IT HAS BEEN A ROUSING SUCCESS. WELL, THIS, MR. PRESIDENT, EXPANDS THE EDUCATION IMPROVEMENT AND SCHOLARSHIP TAX CREDIT PROGRAM BY MODIFYING THE DEFINITION OF AN ELIGIBLE STUDENT TO BE ALSO A STUDENT WITH A DISABILITY. SO THEREFORE, MORE CHILDREN WITH DISABILITIES WOULD BE ELIGIBLE TO RECEIVE THE TAX CREDIT TO GET IT REDUCES THE PENALTY IF THE SCHOLARSHIPS. FOUNDATION DOES NOT TAKE THE SCHOLARSHIP MONEY AND IMMEDIATELY WITHIN THAT FIRST YEAR OR THE YEAR IT RECEIVED IT GIVE IT IN THE FORM AFTER SCHOLARSHIP. THE PENALTY FROM 200% TO 100% OF THAT AMOUNT. AND A ALSO IN MY AMENDMENT ELIMINATES THAT THE SCHOLARSHIP AMOUNT AVAILABLE FOR THE ELIGIBLE CHILD WITH THE DISABILITY WOULD BE 100%, NOT 400%. MR. PRESIDENT, A LOT OF OUR PUBLIC SCHOOLS ARE NOT EQUIPPED, UNFORTUNATELY BECAUSE OF THE LIMITATIONS IN THAT YOUR BUDGET TO, HANDLE CHILDREN WITH DISABILITIES. THIS ENABLES PARENTS TO FIND THOSE SCHOOLS THAT CAN TAKE CARE OF THEIR CHILDREN WHO SUFFER FROM THESE DISABILITIES. IT HAS BEEN SAID FROM A VERY GOOD SENATOR WHO ONCE WAS IN THESE SEATS, THE FORMER SENATOR FROM CHESTERFIELD, SENATOR STOSCH, WHO SAID TO ME, HE SAID, THIS WOULD ALLOW PUBLIC SCHOOLS TO ACTUALLY SAVE MONEY THROUGH THE SCHOLARSHIP PROGRAM BECAUSE PARENTS ARE NOW ENCOURAGED TO REMOVE THEIR DISABILITY CHILD FROM PUBLIC SCHOOL BECAUSE THE COST OF EDUCATING IS FOUR TIMES THE STATE'S SHARE OF SOQ. SO FOR THOSE REASONS, IT'S A VERY BENEFICIAL PROGRAM FOR BOTH THE STUDENT AND THE PARENT AND ALSO THOSE SCHOOLS SYSTEMS THAT ARE DEALING WITH LIMITED FUNDS. FOR THOSE REASONS, I RENEW ANY MOTION THAT THE BILL PASS.

Sen. Walter Stosch (R-Glen Allen): SENATOR FROM ARLINGTON, SENATOR FAVOLA.

Sen. Barbara Favola (D-Arlington): THANK YOU, MR. PRESIDENT. WOULD THE SENATOR FROM FRANKLIN COUNTY RISE FOR A QUESTION.

Sen. Walter Stosch (R-Glen Allen): WOULD THE SENATOR YIELD.

Sen. Barbara Favola (D-Arlington): GLADLY.

[Unknown]: THANK YOU. I'M JUST CURIOUS, IS THERE IS FISCAL IMPACT STATEMENT FOR THIS SINCE YOU'RE BROADENING THE STUDENTS ELIGIBLE TO ACCEPT THE SCHOLARSHIPS AND THEREFORE, THE TAX CREDIT NUMBER I WOULD EXPECT WOULD GO UP OR DO YOU NOT KNOW? THE SENATOR FROM FRANKLIN COUNTY. THANK YOU, MR. PRESIDENT, I'D ANSWER THE GENTLE LADY BY SAYING ACTUALLY I DO KNOW. WHAT WE'VE HAD IS THE STOP SCHOLARSHIP AMOUNT, THE TOTAL AMOUNT OF TAX CREDITS GIVEN TO INDIVIDUALS OR CORPORATIONS THAT GIVE TO THESE SCHOLARSHIP PROGRAMS IS 25 MILLION. WHAT WE'RE TRYING TO INCREASE IS THE POOL OF ELIGIBILITY. IT WOULD NOT INCREASE ANYTHING ON OUR BUDGET THAT IS NOT ALREADY BUDGETED FOR. SO WHAT IT'S TRYING TO DO IS EXPAND THE POOL OF ELIGIBLE STUDENTS TO INCLUDE THOSE WITH DISABILITIES AND WON'T CHANGE THE DOLLAR AMOUNT. THANK YOU. THE SENATOR FROM WESTERN FAIRFAX COUNTY, SENATOR MORRISON. THANK YOU, MR. PRESIDENT. I SURELY APPRECIATE THE GENTLEMAN'S INTENT TO HELP KIDS. I JUST WANTED TO REMIND THE BODY THAT VERY OFTEN EDUCATION COSTS DON'T ATTACH TO A CHILD. THEY ATTACH TO THE INFRASTRUCTURE OF THE FACILITY OR COST CENTER THAT IS EDUCATING THEM, TAKING ONE CHILD OUT OF THAT PROGRAM. THE TEACHER IS STILL THERE, LIGHTS ARE STILL ON. THE PRINCIPAL IS STILL THERE. THE SCHOOL BUS DRIVERS, THE COOKS, EVERYBODY. THAT'S WHERE THE COST IS FROM, NOT WITH THE INDIVIDUAL STUDENT, AND, JUST WANTED TO REMIND THE BODY THAT'S THE WAY THIS KIND OF FINANCING WORKS.

Del. Bill Howell (R-Fredericksburg): THANK YOU. THE QUESTION IS SHALL SENATE BILL 1428 PASS. ALL IN FAVOR OF THE MOTION WILL RECORD THEIR VOTES AYE; THOSE OPPOSED, NO. ARE THE SENATORS READY TO VOTE? HAVE ALL THE SENATORS VOTED? DO ANY SENATORS DESIRE TO CHANGE THEIR VOTE? THE CLERK WILL CLOSE THE ROLL.

[Unknown]: AYES 23, NOS 17. AYES 23, NOS 17. THE BILL PASSES. SENATE BILL 1431, A BILL RELATING TO THE ADMINISTRATIVE PROCESS ACT, ECONOMIC IMPACT ANALYSIS, OPPORTUNITY FOR COMMENT BY AFFECTED BUSINESSES OR OTHER ENTITIES. THE SENATOR FROM SPOTSYLVANIA, SENATOR REEVES.

Sen. Bryce Reeves (R-Spotsylvania): THANK YOU, MR. PRESIDENT. SPEAKING TO THE BILL.

[Unknown]: THE SENATOR HAS THE FLOOR.

Sen. Bryce Reeves (R-Spotsylvania): MR. PRESIDENT, THIS IS A GOOD GOVERNMENT BILL, AND I WISH TO LEND MY REMARKS TO THANK THE SENATOR FROM FAIRFAX FOR HELPING WITH THIS LEGISLATION. WHAT IT DOES IS IT REQUIRES WHEN THE DEPARTMENT OF PLANNING AND BUDGET DOES THEIR ECONOMIC IMPACT ANALYSIS FOR ANY REGULATIONS THEY'RE TRYING TO PUT OUT THERE, IT'S JUST REQUIRING THEM TO TAKE THE INPUT FOR PUBLIC COMMENTS THAT OTHERWISE THEY WEREN'T TAKING BEFORE SO THOSE COMMENTS CAN HELP RETRACT OR CALIBRATE THE ANALYSIS OF WHAT THAT ECONOMIC OUT LOOK LOOKS LIKE. THAT'S WHAT THIS LEGISLATION IS DESIGNED TO DO. IT'S SUPPORTED BY NUMEROUS CHAMBER OF COMMERCE AND A BUDGE OF OTHER FOLKS -- THAT'S THE BILL, MR. PRESIDENT.

Del. Bill Howell (R-Fredericksburg): THANK YOU, SENATOR. THE QUESTION IS, SHALL SENATE BILL 1431 PASS. ALL IN FAVOR OF THE MOTION WILL RECORD THEIR VOTES AYE; THOSE OPPOSED, NO. ARE THE SENATORS READY TO VOTE? HAVE ALL THE SENATORS VOTED? DO ANY SENATORS DESIRE TO CHANGE THEIR VOTE? THE CLERK WILL CLOSE THE ROLL.

[Unknown]: AYES 37, NOS 2. AYES 37, NOS 2. THE BILL PASSES. SENATE BILL 1456. MR. PRESIDENT. THE SENATOR FROM. NEVER MIND. THANK YOU, SENATOR. SENATE BILL 1456, A BILL RELATING TO THE MOTOR VEHICLE FUELS SALES TAX IN CERTAIN TRANSPORTATION DISTRICTS; PRICE FLOOR. THE SENIOR SENATOR FROM VIRGINIA BEACH, SENATOR WAGNER.

Sen. Frank Wagner (R-Virginia Beach): THANK YOU, MR. PRESIDENT. I MOVE THE BILL PASS AND SPEAKING TO THAT MEASURE.

[Unknown]: THE SENATOR HAS THE FLOOR.

Sen. Frank Wagner (R-Virginia Beach): MR.MENT, LADIES AND GENTLEMEN OF THE SENATE, THREE YEARS AGO, WE PASSED SOME HISTORIC TRANSPORTATION LEGISLATION IN THIS BODY AND ULTIMATELY SIGNED BY THEN GOVERNOR MCDO MCDONALD T FOR THE FIRST TIME ADDRESSED OUR CRITICAL FUNDING FOR TRANSPORT NATION NEEDS THROUGHOUT THE COMMONWEALTH OF VIRGINIA. THIS MEASURE RAISED A NEW BILLION DOLLARS WITH A B FOR TRANSPORTATION PROJECTS STATEWIDE AND ALSO ESTABLISHED A REGIONAL ACCOUNT FOR OUR REGIONS TO RECOGNIZE THAT THERE ARE REGIONS OF THE STATE, MINE IN HAMPTON ROADS, AS WELL AS NORTHERN VIRGINIA, THAT NEEDS ADDITIONAL MONEY, BUT WOULDN'T FIT IN TO THE PATTERN OF ACTUALLY RAISING TAXES AROUND THE STATE, BECAUSE THE NEEDS OF THE REST OF THE STATE WERE NOT AS GREAT AS THE NEEDS IN OUR PARTICULAR TWO REGIONS. SO IN THE COURSE OF DOING THAT, WE ESTABLISHED THESE TWO REGIONS. WELL, THEY HAD BEEN PREVIOUSLY ESTABLISHED, BUT PROVIDED ADDITIONAL FUNDING. ONE OF THE SHIFTS THAT WAS MADE DURING THAT WHOLE DISSERTATION ON HOUSE BILL 2313 WAS THE MOVE AWAY FROM A PER GALLON TAX TO A SALES TAX ON THE COST OF GASOLINE. WHEN YOU MOVE FROM A PER GALLON TAX TO A SALES TAX, ONE OF THE RISKS THAT YOU RUN INTO IS WHAT IF THE PRICE OF GASOLINE GOES DOWN. THEN YOU TILLLY GUESS LESS REVENUE THAN YOU ANTICIPATED. NOW, AT THE TIME THE BILL WAS DEBATED, IT HAPPENED THAT THE GASOLINE PRICES WERE SOME OF THE HIGHEST, OR AS THE SENIOR SENATOR OF FAIRFAX TELLS US THE DAY BEFORE WAS THE HIGHEST THAT WE HAD EVER SEEN. IN THE COURSE OF THOSE DISCUSSIONS, THAT SUBJECT CAME UP, AND IT WAS NEGOTIATED INTO THE BILL THAT WE WOULD PUT A FLOOR IN AT THAT PARTICULAR SPOT, SALES PRICE OF GAL LIEN FOR THAT PARTICULAR DAY, WHICH HAPPENED TO BE FORTUITOUS IF YOU THINK WE HAVE ENOUGH MONEY FOR TRANSPORTATION AND NEED THOSE FUNDING. IN THE COURSE OF DOING THOSE NEGOTIATIONS AND FINALLY SETTLING ON IT, WE OMITTED TO REMEMBER THE REGIONAL AREAS. HAD WE REMEMBERED AT THAT POINT, I'M QUITE CERTAIN IN NEGOTIATIONS THAT WE WOULD HAVE SAID SURE, GO AHEAD, AND LET'S DO THE REGIONAL TAXES. WELL, AS WE ALL KNOW, FROM THAT DAY THAT WE HAD A FEW YEARS AGO IN FEBRUARY, WHAT HAS ACTUALLY HAPPENED IS THE PRICE OF GASOLINE HAS PLUMMETED, TO THE BENEFIT OF EVERY CONSUMER IN THIS ROOM AND INDEED EVERY CITIZEN IN THE COMMONWEALTH OF VIRGINIA, A REAL DROP IN THE COST OF GASOLINE, WHICH HAS PUT LITERALLY HUNDREDS OF MILLIONS OF DOLLARS BACK INTO THE TAXPAYERS' POCKETS IN VIRGINIA.

Comments

frank papcin writes:

this is a correction of an oversight-- it should have been included in the first place
knowing it will draw opposition from others-- I feel it is a BETTER WAY OF GETTING THE MONEY NEEDED FOR OUR TRANSPORTATION NEEDS--
now if only you would get rid of tolls which hurt the poor the most, regardless of the ridiculous claims of tricky down effects,.