The approval of a constitutional amendment by Virginia voters in 2020 provided a local tax exemption for one vehicle owned by a 100% disabled veteran whose disability is connected to their service. The state also provides real estate tax exemption for veterans and their surviving spouses.
But veteran tax relief programs have left some localities feeling the impact of lost revenue.
King George County Commissioner of the Revenue Regina Puckett requested during a board of supervisors meeting Tuesday night that the board include in its legislative agenda a proposed bill requiring the state to provide funding to make up for the loss of revenue as a result of real estate and personal property exemptions for veterans.
“We lose quite a bit of revenue for the veterans for real estate and for the personal property for one vehicle,” Puckett said. “We’re all for the veterans, and we don’t want to cut anything from them. But the state has mandated it for our localities to issue this exemption. So, I was wondering if maybe on the legislative agenda, the state gives back a portion to each locality.”
The supervisors are set to forward the county’s legislative agenda to state representatives, including State Sen. Richard Stuart (R-Westmoreland), who also serves as King George’s county attorney.
Stuart said the loss of county revenue is a topic he’s repeatedly attempted to address in the General Assembly.
“I know it is a hole in the budget,” Stuart said. “We look at it every year. We try to find the money. That’s as honest as I can be.”
Stuart also plans to introduce a bill in the upcoming General Assembly session that would require data centers “to progressively get on recycled water, purple water, starting in a couple of years.” Several data center projects in the Fredericksburg area are already slated to use recycled water.
“I’m trying to be reasonable and give them some time to get on it,” said Stuart, “but, ultimately, they would have to all be on recycled water.”
The county’s legislative agenda includes several other topics, including: alternative water supplies that rely on surface water, securing funding for conservation initiatives, promoting U.S. 301 as a viable alternative to Interstate 95, allowing smaller localities to opt out of a Regional Transportation Authority, granting localities more authority over Virginia Department of Transportation land use regulations, and adjusting K-12 funding methods.
The board will also ask the state to empower local governments to determine siting and construction of solar energy facilities in their areas, with Supervisor Cathy Binder of the Shiloh District asking to add data centers and battery storage facilities to that request as well.
Democrats, who will have a super majority in the House of Delegates once it reconvenes on Jan. 14, are seeking to end Virginia’s status as a “right-to-work state,” but King George officials will request no changes in that designation.
A “right-to-work” state has laws preventing mandatory union membership or dues as a condition of employment. But opponents contend that it also leads to lower wages, fewer benefits and weakens the power of employees.
Supervisors are also asking the state to remove the limitation of boards to meet and review the criteria for grants awarded to localities.
“This review should ensure that median income is not the sole determining factor, considering different areas’ distinct demographics and requirements,” the county’s draft resolution states about grants.
Supervisor David Sullins (at-large) asked to add a line to the legislative agenda requesting that Stuart introduce a bill to allow for the taxes collected on liquid nicotine, such as vape products, to be retained by the localities where the product is sold.
Supervisor Ken Stroud of the James Madison District expressed concern about the state’s affordable housing initiatives being pushed down to the local level. He said the county needs to have a plan to “push back,” but Stuart cautioned that, with the makeup of the General Assembly, that will be a difficult fight. Affordable housing is one of the Democratic majority’s top priorities.
“If they push, then make them fund it,” Stroud said. “We don’t want it, just because they fund it, but the thing is the impact it has on us locally with the schools, the services.”
