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Yahoo
4 days ago
- Business
- Yahoo
GOP plan provides $453 billion for VA programs, benefits next year
House Republicans unveiled plans Wednesday for a $453 billion Department of Veterans Affairs budget next fiscal year, with a dramatic increase in mandatory health care and benefits funding but only a 3% boost in discretionary veteran program spending. The proposal also includes a host of controversial social items that drew immediate condemnation from Democratic lawmakers who promised a fight over the measure. 'This bill needlessly fixates on keeping guns in the hands of those who are potentially a danger to themselves or others, and restricts reproductive rights, and [includes] other cruel and pointless policy restrictions,' Rep. Debbie Wasserman Schultz, D-Fla., said in a statement. 'I cannot tell those currently serving and those who defended our nation that this is the best we can do.' The budget plan is expected to be voted on by a House Appropriations Committee panel on Thursday morning. Republican lawmakers praised the proposal as 'maintaining our commitment to the well-being of both service members and veterans.' White House budget plan gives 4% boost for VA amid other agency cuts The appropriations bill represents an $83 billion boost from Congress' approved spending plan for VA in fiscal 2025. That's an increase of more than 22%, but nearly all of that boost is tied up in mandatory funding related to medical programs and veterans payouts. Discretionary funding — money for new program starts and support services — would rise to about $134 billion, up about 4% but about $1 billion less than what the White House requested in its fiscal 2026 budget plan. Almost all of that difference came in the VA Electronic Health Record Modernization initiative account. Spending for the project would double from this year's spending under the plan, to about $2.5 billion. But that is nearly $1 billion less than what the White House requested. Lawmakers have been skeptical of the 10-year, $16 billion project which began during President Donald Trump's first term in office. The effort to modernize health records has been marked by numerous complications and delays, but VA Secretary Doug Collins has promised to restart the effort in coming months. The legislation also includes provisions to block VA from providing abortions or abortion-related counseling at department medical centers — a priority of the previous administration — and prohibit vaccination requirements for any department health care personnel. Republicans also included language that would bar the department from reporting veterans found financially incompetent from being reported to the National Instant Background Check System. Republicans have called it an unnecessary infringement of Second Amendment rights. Democrats have criticized the provision as undermining gun safety efforts. The VA funding bill also includes about $18 billion for military construction projects, an increase of about 3% from fiscal 2025. That includes $830 million for child development centers and barracks improvements. The budget plan is expected to advance Thursday since Republicans control the majority in both chambers of Congress. However, any funding plan would need some level of bipartisan support to advance in the Senate, because of filibuster rules there. The VA budget plan is unlikely to be signed into law until the entire fiscal 2026 funding plan for the federal government is agreed upon by congressional leaders. Negotiations for that are expected to last through the summer. Veterans Affairs planners have seen regular budget increases annually for more than 20 years, even amid periodic congressional and White House efforts to reduce federal spending. In fiscal 2001, the VA budget — both mandatory and discretionary — totaled just $45 billion. In 2011, it was about $125 billion. In fiscal 2023, the total topped $300 billion for the first time.
Yahoo
13-02-2025
- Business
- Yahoo
Ohio senators propose sales tax exemption on gun sales
Stock photo of guns. (Photo by Aristide Economopoulos for New Jersey Monitor/States Newsroom.) Two Republican state senators in Ohio have reintroduced a measure eliminating sales tax for guns and ammunition while dangling tax incentives to lure firearm manufacturers to the state. The sponsors contend Ohio is losing out on gun sales as buyers travel to neighboring tax-free states, and that Ohio has an opportunity to add new jobs if it takes steps to attract businesses. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX State Sen. Tim Schaffer, R-Lancaster, who sponsored a similar bill last session has filed the proposal again. He's joined by state Sen. Al Cutrona, R-Canfield, who moved from the House to the Senate following last year's election and previously backed similar proposals in the lower chamber. In committee, Schaffer argued Ohio should forgo taxes on firearms and ammunition because gun buyers are likely to cross state lines for cheaper purchases. 'Senate Bill 59 will make the related businesses in our state more competitive with those in neighboring states,' Schaffer argued. 'In 2021, similar language was adopted into law in the state of West Virginia and that highlights the necessity of this legislation to ensure Ohioans support Ohio businesses.' Although West Virginia has adopted a sales tax exemption for gun and ammunition purchases, none of the other states neighboring Ohio have taken similar steps. A handful of other states, Alaska, Delaware, Montana, New Hampshire and Oregon, don't charge sales tax on guns either, but that's because they have no state sales tax at all. The impact in Ohio could be significant. According to a study conducted by home security website utilizing data from the National Instant Background Check System, Ohioans purchased nearly 600,000 firearms in 2023. That works out to 668 weapons per 10,000 residents over 21 years of age. Schaffer cited Legislative Service Commission research that pegged the price tag for the exemption at $22.5 million to almost $38 million. 'Compared to the 2024 total (general revenue fund) of $13.7 billion,' he said. While Schaffer emphasized how their measure would benefit consumers, Cutrona focused on businesses. 'Jobs. This is what this bill does,' Cutrona argued. 'It creates jobs here in the state of Ohio.' He explained they'll encourage existing businesses to expand and attract new businesses to the state with a refundable tax credit. Under the proposal, companies could apply for credits tied to their increase in payroll so long as they make a capital investment in Ohio of at least $2 million. Cutrona described a recent visit to a trade show for firearm manufacturers. 'When I spoke to those CEOs, those owners, you know what they told me?' Cutrona recalled. 'They're looking for states that want their business. They're looking for states that they can appropriately be able to manufacture and produce their product.' 'Well guess what?' he added, 'Ohio is open for business.' Sen. Bill DeMora, D-Columbus, voiced skepticism for their proposal. 'How many people have been prevented from buying ammunition or a gun because of our sales tax?' he pressed the sponsors. Schaffer side-stepped DeMora's question arguing, 'it's not so much about how many people will be prevented from buying it, my concern is they'll go across the border.' He argued hunting and target shooting enthusiasts go through purchase enough that 'for them it makes a big difference.' 'And just to go five, ten, fifteen miles across the border to West Virginia to buy it tax free is a big difference,' he said, 'and then our retailers lose out, and that hurts our jobs.' Cutrona chimed in that the state line is only about a 40-minute drive from his home in the Youngstown area. 'You're going to start to see a numerous amount of business(es) leave areas like mine to go to states like West Virginia,' he argued. Follow Ohio Capital Journal Reporter Nick Evans on X or on Bluesky. SUPPORT: YOU MAKE OUR WORK POSSIBLE
