By Phil Kabler, Charleston Gazette-Mail
As legislators begin reviewing Gov. Jim Justice’s proposed 2020-21 West Virginia budget, indications are that the next four budget years will be even more challenging, according to the governor’s annual Budget Report to the Legislature.
Justice’s proposal is a $4.58 billion spending plan that requires $108.64 million in one-time funding to make up for a drop in tax collection.
According to the report’s six-year financial plan, 2020-21 will be the first of five straight years where state spending will exceed revenue collection from taxes and Lottery profits.
In 2021-22, that will result in a $170 million deficit, a shortfall projected to shrink to $158 million in 2022-23, grow to $171.4 million in 2023-24 and result in a $164.3 million deficit in 2024-25.
“We continue to approach current and future challenges that include increases to state appropriations for the state’s social programs, PEIA, education, continued retirement contributions, and deferred maintenance for state owned property,” the report says. …
