CHARLESTON, W.Va. — Gov. Jim Justice has proposed a revised tax plan to limit state budget cuts, and the Senate has passed the measure.

The Democratic governor and Republican senators say the latest proposal Thursday would cut income tax rates initially 5 percent, while also authorizing West Virginians in the two lowest tax brackets to get rebate checks of $150 or $100.

It would raise the sales tax from 6 to 6.5 percent initially and establish tiered coal production tax rates.

That proposal follows the impasse reached Tuesday by House and Senate negotiators over proposed tax revisions to raise revenue.

Each house then adopted budgets that would cut funding for education and Medicaid deeper than Justice wants.

Thursday night the Senate began advancing another budget without Medicaid cuts and 4 percent cuts for state universities.