State Revenue For May Lags Behind Expectations, Last Year’s Earnings

West Virginia collected roughly $76 million less revenue last month than it did in May 2023 — a decrease of more than 16 percent.

The latest figures mark a continuation of a months-long decrease in annual revenue for the state, which budget analysts have partially attributed to sweeping income tax cuts signed into law by Gov. Jim Justice last year.

The decrease in revenue also came up about $19 million short of estimates set by the West Virginia State Budget Office, a staff agency for the governor that oversees budgetary information.

West Virginia’s revenue for this fiscal year still exceeds estimates set by the office by 14 percent, marking a budget surplus of more than $600 million.

But the state has collected roughly $800 million less this year than it had by May 2023.

Justice did not directly address the decreased revenue in a video posted online Sunday. But he said exceeding the State Budget Office’s estimates this fiscal year is proof of strong financial decision-making from his administration.

“There’s all kinds of goodness happening. And a great deal of it is all because of the surpluses we are having because we minded the store properly,” he said.

Still, some budget analysts have expressed that a decrease in overall revenue collections could mean less money for infrastructure, education resources and Medicaid.

June is the final month of the State Budget Office’s current fiscal year, which marked the first full fiscal year with Justice’s income tax cuts in place.