W.Va. reports another budget surplus in August despite challenges

Sep. 5—West Virginia reported another budget surplus for August, despite several challenges.

The state ended the month of August with a $22.8 million revenue surplus, according to Republican Governor Jim Justice, who identified continuing inflation and Bidenomics as two of the biggest challenges facing the Mountain State.

West Virginia's General Revenue collections for August, the second month of fiscal year 2024, came in at $410.8 million, which is $22.8 million above estimate, Justice said. The surplus was led by a strong consumer sales tax return. Furthermore, year-to-date revenue collections of $745.8 million stand at $30.5 million above estimate, according to data released Friday by the governor's office.

"Once again, our surplus this month proves that we're wisely minding our store and keeping our state on the right track, just as West Virginians elected me to do," Justice said in a prepared statement. "However, we're having to fend off constant attacks by the Biden administration and his radical climate extremists who are dead set on destroying our way of life with their war on coal, oil, and gas."

Justice said residents of the Mountain State are seeing "the disastrous effects of Bidenomics," adding that inflation is still raging and driving up the price of most items.

However, the governor's office didn't explain what — if any effect — inflation had on the state's revenue collections for the month of August.

"Despite these cards we're being dealt, West Virginians are remaining resilient, like we always have, and continuing to get our dinner buckets and work hard so that we can put food on the table for our families," Justice added. "It's what makes me confident that whatever comes our way, we will get through it together, stronger than ever, as West Virginians."

The governor's office released the following data Friday:

—Consumer sales tax collections totaled nearly $159 million in August. Collections exceeded the monthly estimate by more than $6.4 million and prior year collections by 5.4 percent.

—August Corporation Net Income Tax collections of $8.3 million were $5.8 million above estimate and $14.4 million ahead of last year. Year-to-date collections of $27.3 million were $14.3 million above estimate and 229 percent ahead of last year.

—Severance tax collections exceeded estimates by $6.2 million in August.

The tax cuts implemented by the Republican-controlled West Virginia Legislature have been made possible by the state's ongoing budget surplus.

— Contact Charles Owens at cowens@bdtonline.com