West Virginia House of Delegates Sends Jumpstart Savings Bill to Governor Jim Justice
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CHARLESTON -- The first introduced bill in the West Virginia House of Delegates and the first bill from State Treasurer Riley Moore is on its way to Gov. Jim Justice for his approval or veto.
The House concurred with changes made by the Senate to House Bill 2001, the Jumpstart Savings Program Thursday in a nearly unanimous vote. Only Del. George Miller, R-Morgan, voted against the bill with two members not voting or absent.
Moore was in the House gallery Thursday watching from above as the House approved HB 2001. The Senate passed the Jumpstart Savings Program in a unanimous vote Wednesday.
Not only was HB 2001 the first bill introduced in the House during the 2021 legislative session, the bill's lead sponsor was House Speaker Roger Hanshaw, R-Clay.
"West Virginia is one step closer to being the first state in the country to implement this innovative program that will truly help us build up our blue-collar workforce and rebuild our middle class," Moore said in a prepared statement. "This is critically important because our citizens have to compete in a global economy, and we can't let countries like China pass us in workforce development."
The Jumpstart Savings Plan, similar to the State Treasurer's Office SMART529 college savings program and the WVABLE program for West Virginians with disabilities, would allow residents planning to enter a vocational program or trade to save money.
The Jumpstart plan would allow a person to use their money saved through the program to cover the costs of work equipment, occupational licensing, certifications and startup costs.
To open a Jumpstart Savings account, a person must prepare an application, make a minimum deposit of $25 and name a single person as the designated beneficiary. The State Treasurer's Office would deposit $100 from an expense fund into the account as long as the beneficiary is a state resident, the account was opened before the beneficiary turned 18 or the account is opened within 180 days following the date of the beneficiary's enrollment in an apprenticeship or educational program.
Money from a Jumpstart Savings account can be used for purchasing tools, equipment and supplies for an apprenticeship, a certificate program at a career center or a certification or degree program from a community and technical college. The account can also be used to pay for fees for certification and licensure, as well as business licensing costs.
"This bill simply starts a program that allows individuals and families to save money for future costs, like tools, equipment, and business start-up expenses in the State of West Virginia," Senate Education Committee Chairwoman Patricia Rucker, R-Jefferson, said from the floor of the Senate Wednesday.
The bill also includes state tax benefits for contributions, distributions and employer matching contributions for a Jumpstart Savings account. A seven-member Jumpstart Savings Board will help administrator the program in the State Treasurer's Office.
Moore, a former Republican House member representing Jefferson County from 2017 to 2019, defeated six-term Treasurer John Perdue in the November election. A former welder in his earlier career, creating the Jumpstart program was a part of Moore's campaign platform and would be the first program of its kind in the country.
"I found out very quickly how expensive it can be to start your own business and pay for your own equipment and tools," Moore said. "It didn't make sense to me that we can have so many options available to help people pay for community college or vocational school, only for them to run into a barrier when they find out they need to pay for their licenses, tools and equipment after graduating. The Jumpstart Savings Act is designed to help remove that barrier and empower our blue-collar workers to enter these trades."