Committee backs bill to give development authority discretion over high‑impact project financing

The Senate Economic Development Committee voted to report Senate Bill 907 to the full Senate with the recommendation that it pass after committee consideration.

Committee counsel explained that the bill would amend the West Virginia Economic Development Authority’s loan provisions to provide the board greater flexibility in financing high‑impact development projects. Current statute defines a high‑impact development project as one with both a loan approved by the authority and capital investment of at least $50,000,000 and limits annual money available for such projects to $300,000,000. Counsel said SB 907 removes the fixed $50,000,000 minimum loan and investment thresholds and the $300,000,000 annual cap, replacing those numeric limits with language that allows the authority’s board, in consultation with Commerce and the Department of Economic Development, to determine loan amounts and capital investment criteria and to set loan‑per‑job ratios for converting loans to grants based on regional and local economic factors.

Counsel also explained a related set of amendments to the Economic Development Fund. "Traditional loans are for formation and expansion, and retention loans are for development expansion of existing businesses in the state," counsel said, and the bill would give the authority discretion to determine annual amounts available for traditional loans (currently limited by statute to $250,000,000) and for retention loans (currently limited to $50,000,000). The transcript records no amendments; the vice chair moved to report the bill and the committee approved the motion by voice vote with the ayes carrying the motion. A numeric roll call was not recorded in the hearing transcript.

The measure now proceeds to the full Senate for further consideration.