For Immediate Release
March 31, 2004                                                                                                 

W.Va. Chamber Launches Statewide Initiative
To Restore Balance To State Laws, Grow Jobs

CHARLESTON, WV -- The West Virginia Chamber of Commerce today launched a statewide public education campaign designed to restore balance to West Virginia’s laws and policies so our state can compete for jobs and investment.  “We need to educate the public about where our state’s laws and policies are so out of step with the rest of the nation and work to develop local support for changing these and restoring us to a more balanced and competitive environment for job retention and growth.  The West Virginia Chamber of Commerce will be leading this initiative,” said Steve Roberts, Chamber President.

The Restore Balance initiative will include both a high-tech interactive strategy, which will focus on the initiative’s new web site – www.restorebalancewv.org, and a traditional local activism strategy, which will involve the local chambers of commerce across the state.  “We will be leveraging these strategies in an effort to communicate, reach and educate citizens in communities throughout our state,” Roberts said “We then will be asking concerned individuals to join this initiative and to speak out on the changes that are needed to restore balance and grow jobs.”

West Virginia’s considerable potential for growth of its economy continues to be obstructed by out of step policies and anti-competitive burdens, Roberts added.  These include:

• West Virginia’s Workers’ Compensation costs are highest in the United States. Only California comes close, and their costs are about half of what the average West Virginia employer faces.

• West Virginia is in dire need of civil justice reform. There are three things our state has not done in that regard, that 47 other states have done. They include our failure to limit punitive damages, and our lack of limitations on joint and several liability. Additionally, West Virginia is one of only three states that still elect its highest court in partisan political elections with no opportunity for recall.

• Compared to other states, getting environmental permits in West Virginia takes about twice as long. These are lawful permits – we simply have a reputation for taking too long to review applications and issue essential operating permits for business.

• West Virginia is one of only a small handful of states that allow lawsuits against insurers from “third parties” not related to the insurer. Almost half of all such suits in the nation are filed in West Virginia. The result is that only one insurance company currently writes commercial lines of insurance for employers in our state. There is no competition and therefore a crisis of availability and affordability.

• Our state puts so much of a tax burden on businesses, it’s as though we’re asking for less jobs. West Virginia’s corporate net income tax is one of the highest in the country. Add that to an additional business franchise tax. Most states have one of these two taxes, but certainly not both.

This “out of step” situation in West Virginia has cost our state dearly:

• 50,000 job lost in the past three years, which is a higher percentage than most other states;

• $2 billion in lost household income, which translates in a loss of spending for goods and services at local small businesses;

• $100 million in lost state personal income taxes, which further compounds our state’s worsening fiscal crisis;

• Dramatic increases in insurance rates for homeowner and automobile policies.

• Continued high levels of poverty, substandard housing and poor health conditions.

Even sadder is the fact that West Virginia has lost one generation to places like Charlotte, D.C., South Carolina, Columbus, and Pittsburgh.  The loss of this generation has meant some of the best and brightest have departed for good. 

We are in a crisis, and we must correct our course.  While some progress has been made on addressing these issues, much more needs to be done right now, Roberts added.  “We need to educate our elected representatives, government officials, the business community, media and the general public about how state laws/policies, court decisions and court mandates are undermining job stability and curtailing employment growth.  Through our Restore Balance initiative, we will highlight the need for specific legislative reforms on ‘out of step’ laws and issues and focus public scrutiny on the state’s judicial makeup and the need for fair, impartial courts."

West Virginia Chamber of Commerce -- As the state’s largest, most influential general business organization, the West Virginia Chamber represents all business sectors in every region of the state, with more than 95 percent of its members being small businesses. The organization’s 5,000+ membership reach comes from its network relationships with 54 local chambers of commerce and dozens of statewide business and trade associations. The West Virginia Chamber is a proactive leader in the search for solutions to problems, a voice for free market competition and streamlined government, a catalyst for progressive thinking and problem solving, and a partner with government as appropriate. More information on the W.Va. Chamber can be found at www.wvchamber.com.