Thursday, February 5, 2015

State government hiring freeze will remain in effect with revenues miss mark again


Low-energy prices continue to cause problems for West Virginia’s monthly tax collections. State Department of Revenue Secretary Bob Kiss reported Wednesday overall January collections fell $8.2 million below estimates.
Kiss said the state is now more than $42 million off in collections this fiscal year.
Deputy Revenue Secretary Mark Muchow joined Kiss on a conference call with reporters. Muchow said severance tax collections, which comes from coal and natural gas production, were off $7 million in January. Muchow predicted low energy prices would continue to impact the current state budget.
Kiss said the state government hiring freeze imposed by Gov. Earl Ray Tomblin months ago would stay in effect for the foreseeable future. Kiss said Tomblin will also propose about $20 million in supplemental funding bills to the legislature in the coming days to help fill-in the gaps.

On another note, it appears state taxpayers are more anxious this year to get their money back from the state. Muchow reported $18.2 million was refunded to taxpayers in January. He said it was $10 million for that month in 2014.