A MEMBERS ONLY PUBLICATION
February 2, 2024
2024 General Assembly, Week 3 Summary
By Nick Clemente, Chamber Vice President, Government Relations
Week 3 of the 2024 Virginia General Assembly is over, and we are now fast approaching February 13th's crossover. At this point the House of Delegates and state Senate must complete the work on their own bills - aside from the budget. Surviving bills "crossover" to the other chamber for consideration.

In today's summary, I’ll begin with topline story updates and details about the bills the Chamber is closely tracking. I'll conclude with a few notes on bills that we are monitoring. If you are tracking a bill not represented here, please contact me at nclemente@novachamber.org.
TOPLINE UPDATES
Potomac Yard Entertainment District
As noted before, one of the Chamber’s top priorities this session is bringing the Washington Capitals and Wizards to Virginia. Appropriations Chair Luke Torian (HB 1514) and Senator Majority Leader Scott Surovell (SB 718) have introduced legislation to create an authority to finance a $2 billion sports and entertainment district. Last week, the Chamber released the following public statement which you can see here.
This week David Ramadan and I met with Speaker Don Scott, House Minority Leader Todd Gilbert, Senate Minority Leader Ryan McDougle, and Senator Bill Stanley. In these meetings, we expressed our strong support for this project. Furthermore, we expressed our position that transportation solutions exist and offered our help in facilitating dialogue and collaboration to ensure this unparalleled opportunity is seized for the benefit of the Commonwealth.
Metro Update
The Chamber is continuing to work with the Northern Virginia Transportation Alliance (NVTA) in our effort to find a sustainable path for WMATA. Currently, the Chamber has concerns about Metro’s fiscal mismanagement. We urged legislators to set up a Commission to evaluate Metro’s long-term cost and structural issues. 

We cannot continue the cycle of short-term political victories at the expense of long-term stability for workers and businesses. If our leaders choose to solely focus this session on "solving" for the stop-gap temporary funding, we are setting WMATA up to fail. This position is consistent with the Chamber’s call that an oversight Commission should be a prerequisite for any short-term funding.
 
The Chamber and NVTA are currently proposing that the following be included in an oversight commission as noted in Senator Adam Ebbin, SJ 28, and Delegate Vivian Watts, budget amendment (Item 1 #7h).
 
  1. Representation: Business and labor should both be included in the oversight commission. We also believe that the Northern Virginia Transportation Authority should also have a representative on the Commission.
  2. Sustainability: Under the current language the Commission is directed to examine and propose new funding sources. In addition, it directs the Commission to examine cost savings and the use of financial management tools. However, it is not directed to evaluate the growth of funding sources compared to WMATA’s existing cost trajectory. This omission will lead to a worsened financial picture, and it fails to address the repetitive crisis cycle. Therefore, it should be the primary goal.
  3. Big Picture: To adequately prepare for long-term sustainability, we need to take a holistic approach. This approach needs to evaluate the impacts of telework, land use policy in high-capacity transit corridors, the long-term capital needs of WMATA and the capital funding prioritization process of WMATA. Furthermore, it also needs to analyze how we can ensure we are developing workforce programs for the next generation of transit operators. In addition, the Commission needs to dictate that Virginia’s share of operating costs is based on our existing Metrorail stations and Metrobus routes, not the system at large. Lastly, it needs the authority to address WMATA’s management decisions that we believe is the root of the financial instability.
  4. Resources: The current language includes $500,000 for this effort. We believe this is not enough for the robust evaluation needed to adequately prepare us for a dedicated funding conversation in 2026. Therefore, we are advocating $1,000,000 or more, along with enhanced authority and access to WMATA's books, for this effort.
 
The Chamber and NVTA believe that the VA Legislature should tie stop-gap FY 25 and FY 26 funding for WMATA to an independent Commission, or entity, tasked with robust resources and expertise to analyze, determine, and implement a solution for long-term success. If we don't evaluate the bigger picture today, we won't have the tools (and even fewer resources) to fix WMATA long-term and save the careers of so many hardworking transit operators. The region must work together to bring the Federal government to the table as a partner, and Virginia should lead by example. 

The Chamber, with our partner at NVTA, will continue working with our legislators to address Metro and put the system on a sustainable path to long-term success and economic competitiveness for Northern Virginia and the Greater Washington Region. 
Virginia Community College System (VCCS) Update
There are a few budget amendments that will benefit VCCS that the Chamber strongly supports. Senator Ghazala Hashmi has introduced Item 200 #5s, which will provide $198 million to prepare, upskill, and reskill Virginians. It will also expand upward mobility opportunities, providing industries with the workers they need. The House budget amendment (Item 200 #1h) is introduced by Delegate Betsy Carr.

The Chamber is also supporting the VCCS’s effort for G3 expansion. This is a “language only” change and will not cost anything. Senator Jennifer Boysko is carrying the Senate amendment (Item 201 #1s) and Delegate Mark Sickles is carrying the House amendment (Item 201 #1h). These amendments would expand the G3 program to include additional training programs.
Casino/Entertainment District Update
As noted last week, the Chamber supports SB 675 introduced by Senator Dave Marsden, which is currently in front of Senate Finance. It is important to note that this bill does not create a casino; it simply allows Fairfax residents to consider whether they want a state-of-the-art entertainment district. Furthermore, it requires the Fairfax County Board of Supervisors to review applications to confirm the entertainment district meets all local requirements.

According to state projections, this project is estimated to generate $155 million in annual tax revenue. The Chamber believes this project will allow Northern Virginia to broaden our tax base. Additionally, this revenue could be used to fund transit, education, mental health, and other Regional priorities.
NOTEWORTHY LEGISLATION
The following are noteworthy bills that are worthy of flagging for our members.

SENATE BILLS
SB 14 Sales and use tax, local; additional tax authorized in all counties & cities to support schools. PASSED. Introduced by Senator Jeremy McPike. Would allow local governments to increase their local sales tax by 1% to fund school construction projects if voters approve a referendum. Passed Senate, 27-13. The House version, HB 600 was introduced by Delegate Terry Kilgore, referred to House Finance.

SB 27 Public School Trades Incentive Fund and Program; created and established.
Introduced by Senator Bill Stanley. This provides grants on a competitive basis to any school board that seeks to restore high school programs for the skilled trades. This is on the Senate floor. The Chamber supports this.

SB 555 First-time homebuyer tax credit. Introduced by Senator Angelia Williams Graves. This creates a tax credit between 2024 and 2028 for those who sell residential their primary residence to a first-time homebuyer. Referred to Senate Finance and Appropriations. The Chamber supports this.

SB 624 Public education; student literacy measures. Introduced by Senator Louise Lucas. This clarifies the provisions of the Virginia Literacy Act. Referred to Senate Education and Health. The Chamber supports this.
HOUSE BILLS
HB 1 Minimum wage; increases wage to $13.50 per hour effective January 1, 2025.
Introduced by Delegate Jeion Ward. This incrementally increases the minimum wage from $12.00 to $15.00 by January 1, 2026. Passed Labor and Commerce, 12-10. Referred to House Appropriations.

HB 28 Fossil fuel projects moratorium; transitioning energy workers, environmental justice protections. Introduced by Delegate Michael Jones this would essentially ban approval of natural gas and bioenergy projects. Referred to Rules. The Chamber opposes this.

HB 37 Loan repayment programs; creates program for mental health professionals. Introduced by Delegate Nadarius Clark. This creates a loan repayment program for mental health professionals in the Commonwealth. Passed Health and Human Services, 18-4. Referred to House Appropriations.

HB 335 Employment; determining wage of tipped employee. Introduced by Delegate Debra Gardner. Federal and state minimum wage laws require employers to make up any deficiencies if a tipped employee does not make at least the full minimum wage for the workweek. This passed Labor and Commerce, Sub #2, 5-3. The Chamber opposes this.

HB 570 Prescription Drug Affordability Board; established drug cost affordability review, report. Introduced by Delegate Karrie Delaney and referred to Health and Human Services. While we support policies that increase access and affordability to medicines, we oppose government price setting. Senate version, SB 274 introduced by Senator Creigh Deeds, referred from Senate Education and Health, 15-0 to Senate Commerce and Labor. The Chamber opposes this.

HB 721 Local anti-rent gouging authority; civil penalty. Introduced by Delegate Nadarius Clark. This would enable localities to require two months’ notice of any rent increase and would restrict increases to no more than the lesser of the Consumer Price Index (CPI) or 7%. Referred to House Counties, Cities and Towns. The Chamber opposes this.  

HB 800 Public service companies; pole attachments; cable television systems and telecommunications. Introduced by Delegate Charniele Herring. This bill will expand broadband access to all Virginians, which is a top priority for the Chamber. Referred to House Commerce and Labor. The Chamber support this.

HB 1125 Virginia Business Ready Expedited Permitting Program; established.
Introduced by Delegate Betsy Carr. This would allow the Virginia Economic Development Partnership (VEDP) the authority to designate up to three sites and seven projects for expedited review. Referred to House General Laws. The Chamber supports this.

HJ 24 Study; joint subcommittee; Dillon Rule; report. Introduced by Delegate Dan Helmer. Creates a 13-member joint subcommittee for a one-year study of the Dillon Rule and its impact on Virginia's localities. SJ 18 is introduced by Senator Ghazala Hashmi, referred to Senate Rules.
Senate Bills
House Bills
CONCLUSION
Thank you for your time. If anyone has any questions or concerns or would like to participate in the weekly update calls on Friday at 8:30 AM, please contact me at nclemente@novachamber.org! 

Sincerely,

Nick Clemente
WE ADVOCATE ON YOUR BEHALF
To find out more about the Chamber's advocacy work, visit us online or contact Nick Clemente, Chamber Vice President, Government Relations, at nclemente@novachamber.org with any questions or concerns.
Northern Virginia Chamber of Commerce
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