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A NEW BEGINNING: ELECTION 2015 First Look at West Virginia’s “New Reality” A Presentation by Chris R. Hamilton, Senior Vice President West Virginia Coal Association

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Page 1: A New Beginning Powerpoint for Chris.pptx Version 1

A NEW BEGINNING: ELECTION 2015First Look at West Virginia’s “New Reality”

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

Page 2: A New Beginning Powerpoint for Chris.pptx Version 1

A New Beginning 2014

Tuesday, November 4, 2014 was a historic moment in West Virginia’s history. For the first time in 83 years, West Virginia’s political balance of power went through a fundamental shift.

West Virginia House of Delegates

West Virginia State Senate

US Senate

US House of Representatives

The Path Forward

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

Page 3: A New Beginning Powerpoint for Chris.pptx Version 1

A New Beginning 2014

Voters swept Democrats out of power in a wave election that reached across the nation and all the way into the coalfields of West Virginia.

Even in the bluest of blue states, like Massachusetts, Maryland and even President Obama’s home state of Illinois, voters chose Republicans as their new leaders.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

Page 4: A New Beginning Powerpoint for Chris.pptx Version 1

A New Beginning 2014

Here in West Virginia, the shift to the GOP was almost total, including the U.S. Senate seat of retiring Sen. Jay Rockefeller, all three U.S. Congressional seats, a sweeping reversal of positions in the West Virginia of Delegates and a majority of the West Virginia State Senate.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

•How did this happen?

•Why did this happen?

•Does it represent a long-term shift in the voting patterns of West Virginians or does it reflect intense voter anger at Washington?

•Where do we go from here?

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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WEST VIRGINIA HOUSE OF DELEGATES

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

Republicans continued their sweep at the statehouse level, building on their momentum from significant gains in 2012, the GOP took control of the West Virginia House of Delegates.

It appears likely Del. Tim Armstead, who has served as Minority Leader for the past several years, will easily win election as the new Majority Leader, replacing Democrat Del. Tim Miley.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

Entering the election as the minority party, with a 53/47 split, the GOP picked up 17 seats to take a commanding 64-36 majority.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

5347

WV House Pre-Election 2014

     Democratic Party     Republican Party

36

64

WV House Post-Election 2014

     Democratic Party     Republican Party

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A New Beginning 2014

Other notable changes in the West Virginia House of Delegates include:

Saira Blair, who at 18, will become the youngest Legislator in the country.

Michael Moffatt, who joins fellow Republican Josh Nelson, in representing coal-rich Boone County.

Outgoing delegates include:Speaker Pro Tem Randy Swartzmiller, D-Hancock; and Delegates Dale Stephens, D-Cabell; John Pino, D-Fayette; Charlene Marshall and Tony Barill, both D-Monongalia; Danny Wells, D-Kanawha; and Tiffany Lawrence, D-Jefferson, among many others who were swept out in the wave.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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WEST VIRGINIA STATE SENATE

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

The GOP wave also resulted initially in a 17-17 split in the West Virginia Senate at the end of election night, leaving many concerned about a deadlocked body.

On Wednesday, a switch to the GOP by an incumbent State Senator was enough to shift control of the body to the GOP. The result will likely be a new Senate President to replace Democrat State Senator Jeff Kessler.

It is not certain at this time who the new Senate President will be.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

The GOP started the day as the minority party at a 14 vote disadvantage (24/10) in favor of the Democrats.

The vote ended with a split Senate but a switch Wednesday incumbent Senator Daniel Hall (Wyoming County) gave the GOP control of the Senate.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

24

10

WV Senate Pre-Election 2014

     Democratic Party     Republican Party

16

18

WV Senate Post-Election 2014

     Democratic Party     Republican Party

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A New Beginning 2014

Other notable changes in the West Virginia State Senate include:

Mark Maynard, of Mingo County, who was able to unseat veteran State Senator Truman Chafin in a bit of a stunning victory.

Joining Maynard in the freshman class of Senators will be: Tom Takubo (R-Kanawha); Ed Gaunch (R-Kanawha), Charles Trump (R-Morgan), Jeff Mullins (R-Raleigh) and others.

In addition to Chafin, outgoing senators include: Erik Wells (D-Kanawha); Larry Edgell (D-Wetzel); Mike Green (D-Raleigh); and Greg Tucker (D-Nicholas) and others.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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U.S. SENATE

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

The GOP wave began shortly after 7:30 pm when the polls closed in West Virginia.

Both CNN and Fox News quickly called the West Virginia race for U.S. Senate for Congresswoman Shelley Moore Capito.

Capito went on to win every county in the state and take the race against Democrat Secretary of State Natalie Tennant by a 120,000 vote margin (62/34 percent).

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

In Kentucky, incumbent Senator Mitch McConnell somewhat surprisingly defeated Kentucky Secretary of State Allison Grimes by a wide margin. Polls had indicated the race was extremely close. It wasn’t.

In Virginia, the Senate race between incumbent Democrat Mark Warner and challenger Ed Gillispie remains undecided at this time. The two are separated by less than 16,000 votes.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

Senate races remain undecided in Virginia, Louisiana and Alaska. Currently, the makeup of the next Senate is 52 GOP versus 43 Democrats with two independents who caucus with the Democrats.

Republicans appear likely to win the seats in Louisiana and Alaska with Virginia too close to call.

It appears the final GOP majority will be 54/44 and two independents. A Presentation by Chris R. Hamilton, Senior Vice

PresidentWest Virginia Coal Association

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A New Beginning 2014

In total, the U.S. Senate for the next two years shifted from a solid Democratic majority led by Nevada Senator Harry Reid to a solid Republican majority with Kentucky Senator Mitch McConnell likely to be elected Senate Majority Leader when the new Congress forms in January.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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U.S. HOUSE OF REPRESENTATIVES

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

In the U.S. House of Representatives, Republicans started with a strong majority and expanded it to a near historic margin. With a handful of races still too close to call, news organizations are estimating the new GOP majority will be 245/190, up from 233/202 in 2012.

Ohio Congressman John Boehner appears set to retain the gavel as Speaker of the House.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014

In West Virginia, the GOP was able to sweep all of West Virginia’s Congressional seats for the first time since 1911.

Rep. David McKinley (R-1st) becomes the state’s senior member of Congress.

Alex Mooney claimed the 2nd District seat vacated by Senator-Elect Shelley Capito.

And in a stunner, State Senator Evan Jenkins was able to defeat 16-term Democratic Congressman Nick Rahall in the 3rd District race by a 12 point margin.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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OUTLOOK 2015

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014The 2015 Legislative Session begins on January 14, 2015. During the run up to that date, we will be embarking on a “get-to-know-you” effort with all the new members and expanding our existing relationship with those we expect to be in positions of leadership in the new Legislature.

We expect there will be a flurry of activity as the new legislators begin to introduce legislation that could perhaps fundamentally transform the state and make it much more business friendly.

As such, we will also be developing a basket of issues we believe are critical to the future of the coal industry and business in general for submission in the new session.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association

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A New Beginning 2014Important Notes:

Exit polling from NBC News indicated that West Virginians’ impressions of the two political parties have shifted.

When asked their impression of the GOP, a majority of those polled (49 percent) said they hold a favorable impression. Only 47 percent indicated an unfavorable impression.

By contrast, when asked the same question about Democrats, a strong majority (61 percent) indicated an unfavorable impression versus just 35 percent indicating a favorable impression.

Also 69 percent of those voting oppose the EPA’s regulation of coal-fired power plants.

A Presentation by Chris R. Hamilton, Senior Vice President

West Virginia Coal Association