West Virginia House mulling bill providing tax break for employers of those in recovery
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CHARLESTON -- Employers in West Virginia could receive a tax break for hiring those in active recovery for substance abuse if a bill approved Wednesday makes it through the House Finance Committee.
The House Committee on Prevention and Treatment of Substance Abuse recommended House Bill 4961, creating the Substance Abuse Recovery Tax Credit, for passage, sending the bill to the House Finance Committee for further review.
HB 4961 would create a tax credit against personal income tax and the corporate net income tax for an employer of a person participating in a drug court and employed at least 120 hours per month. The credit is $2,000 per individual hired, with a maximum credit for up to seven individuals hired and/or $14,000 in tax credits. The employer would be able to claim the credit for an additional two years after the person has completed drug court.
Del. Josh Holstein, R-Boone, the lead sponsor of the bill, said this version includes the cap on the maximum tax credit an employer can receive in order to appease concerns of House Finance Committee members when it was introduced last year. Holstein believes the bill will help reverse the stigma that sometimes discourages employers from hiring those in active substance abuse treatment.
"I think this bill is really important," Holstein said. "I think part of the problem we have today is we have a lot of folks who are in recovery or have been in recovery for a while, but there's still a lingering stigma on that individual and it a lot of times puts them at a disadvantage for hiring. I do think that this would help with recidivism problems and a lot of folks who sometimes feel that (they) can't get ahead."
But Del. Marty Gearheart, R-Mercer, believes the bill would incentivize employers to hire those in recovery over other qualified employees.
"While I don't think someone should be denied employment necessarily when they're attempting to do the right thing, I also don't think that we should put people at a disadvantage when it comes to employment because they have not done the wrong thing," he said. "I believe what this bill does is it takes employees of an equal value and places them at a disadvantage in the hiring process."
Del. Mike Pushkin, D-Kanawha, said those recovering from a substance abuse disorder are already at a disadvantage when it comes to being employed.
"I think there are many employers, unfortunately, in the state that aren't going to even take this up because of the stigma attached to it," he said. "It's a good program. Nobody's forcing any of these businesses - no matter how small or large - to take advantage of this. We need to do as much as we can to remove barriers to employment for people who are making the choice to get better."
The committee also recommended House Bill 4667 for passage and sent it to the House Judiciary Committee for further review. The bill would prohibit distribution of smoking devices in harm reduction programs.
Steven Allen Adams can be reached at sadams@newsandsentinel.com.