U.S. Sen. Shelley Moore Capito (R-WV) and U.S. Rep. Evan Jenkins (R-WV) reintroduced bicameral legislation on Tuesday that aims to kick-start and diversify rural economies.
The Creating Opportunities for Rural Economies (CORE) Act would target a portion of New Markets Tax Credits to support development in rural economies that have been impacted by the downturn of the coal industry.
“States like West Virginia have suffered from severe job loss in the coal and other industries,” Capito said. “These distressed regions of the country need a pathway that will create new jobs, spur business investment, and strengthen struggling economies.”
The CORE Act would designate $525 million in tax credits over a three-year period to help communities that were largely supported by the coal industry rebuild.
The Mine Safety and Health Administration reports that between 2011 and the first quarter of 2016, the U.S. economy lost 67,190 coal jobs — not counting equipment suppliers, mechanics, accountants, lawyers, gas stations and restaurants.
“I have teamed up with economic development experts to conduct a thorough analysis of our state’s economy, including how West Virginia is utilizing federal incentives for economic and community development,” Capito added. “With my CORE Act, there is a tremendous opportunity to generate new funding that will open doors for these communities, prompt much-needed economic development and diversify our state’s economy.”
Coal communities deserve support and investment as they work to diversify their economies and create good-paying jobs, Jenkins said.
“The CORE Act will provide incentives for new businesses and industries to move to coal communities in West Virginia and invest in our people,” Jenkins said. “By diversifying our economy and supporting our coalfields, we will create new opportunities for West Virginians here in West Virginia.”
More than $40 billion has been invested across the country through new market tax credits since 2000. In that time period, only 17 projects totaling $97 million have been invested in West Virginia, far less than other states.