Lagging tax revenues could lead to more Massachusetts budget cuts
BOSTON (AP) - It looks likely that still-plummeting tax collections will prompt another round of budget-cutting in Massachusetts.
Gov. Deval Patrick said Friday tax collections in September fell $243 million below projections. Collections for the first quarter of the state's fiscal year were off a cumulative $212 million.
The governor says that raises the possibility of more budget cuts and state employee layoffs, as well as a further reduction in state aid to cities and towns.
He expects more details after he gets mid-month numbers and his staff spends a couple weeks devising an action plan.
Patrick says that while jobs are beginning to return to the state, tax collections will lag until enough of the unemployed are working and businesses start pumping taxes back into the system.
Comments
Endless loop
Continuing to make the tax paying citizens pay for past or present mismanagement is a recipe for self-destruction. Whether or not President Obama supports Gov. Patrick, if this is the best the state "leader" can do, I think we need more options and a new thinker. There is still so much waste untouched for what reason it would be interesting to know, we need to find someone w/ no ties to the certain few to make productive decisions and innovative solutions.
C'mon Governor, try to behave like you represent ALL the people of Massachusetts.