WV SB885

Requires voter approval for any new tax increases, mill levy increases, property valuation ratio changes, extension of expiring taxes, or creation of multi-year government debt for state and local governments, effective December 31, 2025

Caps annual state spending growth at the lesser of: population growth plus inflation, personal income growth rate, or gross state product growth rate, based on the average of the two preceding fiscal years

Limits local government spending and property tax revenue growth to the prior year's inflation rate plus "local growth" (net change in property value from construction for non-school districts, or student enrollment changes for school districts)

Establishes both an Emergency Reserve Fund and Budget Stabilization Fund, each required to hold 2.5% of the total state revenue limit, with excess revenues beyond these reserves refunded to taxpayers through temporary tax rate reductions

Prohibits the state from imposing costs of new or expanded programs on local governments without providing sufficient appropriations, and maintains the existing proportion of state revenue distributed to local governments