Revenues Better: State Employees Bonus a Possibility
Virginia’s revenue picture is better for the first time in two years, according to Finance Secretary Ric Brown. Charles Fishburne reports.
If the numbers hold, the state will end the year with a surplus of about $140 million, maybe even enough for a three percent bonus for state employees at the end of the year.
Brown: Much better report.
Ric Brown says sales tax revenues were a surprise.
Brown: Pretty big turnaround to go from minus 6.3 in March up to 7.3 percent growth.
So the numbers will make budget and then some, but Brown reminds us, it is a budget cut to the bone to match a second straight year of declining revenues.
Brown: Any time you lose a revenue it means that the current services that you are funding today can’t be funded tomorrow if that keeps up.
But the bleeding has about stopped. Revenue losses last year were around nine percent, this year about one to two percent, sales and corporate look good, and Brown says it was the first encouraging report he has been able to give the money committees in two years.
Charles Fishburne, WCVE News.