CHARLESTON, W.Va. — An ongoing budget impasse that threatened to shut down West Virginia’s government on July 1 had a chilling effect on consumer spending in June, which took a further hit later in the month from severe flooding in parts of the state, Department of Revenue officials said Thursday.
As a result, July sales tax collection — which reflects the previous month’s activity — plunged 23 percent, compared to July 2015, coming in $22.1 million below estimates, at $64.6 million.
Revenue Secretary Bob Kiss said the budget impasse, which was not broken until June 13, appears to have had an effect on consumer spending for thousands of state government employees who faced the prospect of having their jobs terminated on July 1….