Secretary Dave Hardy Governor Jim Justice
W E S T V I R G I N I A
DEPARTMENT OF REVENUE
Fiscal Forecast – FY 2019
DEPUTY REVENUE SECRETARY MARK B. MUCHOW
Senate Finance Committee January 11, 2018
Current West Virginia Fiscal Picture
• Economy: Growth Mode Since Second Half of CY2016 – Narrow Recovery Base– 12-month trailing trend value of foreign exports up 52% since October 2016
– Coal production up 15% over last year
– Natural gas prices up roughly 60% compared to 2016 & Volumes Increase
– Unemployment rates are down from 6% to 4.6%
– Employment growth anemic with private sector gain of just 0.6% (November 2017 compared with November 2016)
• Slowly improving employment and wage growth = modest gains in major taxes
• General Revenue Fund collection increases lower than long-term average
• Lottery revenues will fall below prior year receipts, but still exceed estimate
• State Road Fund collections will rise by 20% due to higher fees and taxes
• Overall local government tax revenues will continue to rise– Local municipal sales tax revenues may exceed $80 million
– Some counties experiencing significant revenue declines due to heavy property tax base reliance on natural resource industry
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E2
U.S. Economy: IHS ForecastIHS-Markit Baseline: November 2017
Economic Variable 2017 2018 2019
Real GDP 2.2% 2.5% 2.2%
CPI 2.1% 1.9% 2.1%
Consumption 2.7% 2.5% 2.2%
Industrial Production 1.7% 2.5% 2.3%
Payroll Employment 1.5% 1.3% 1.0%
Personal Income 3.1% 3.9% 4.8%
Real Disposable Income 1.3% 2.3% 3.0%
Domestic Corporate Profits 5.3% 13.9% 8.7%
10-Year Treasury Note 2.35% 2.81% 3.31%
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E3
Real Gross Domestic Product Growth in U.S.Recovery in 2013-2021
November 2017 Forecast – IHS
-4.0%
-3.0%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
1997
1999
2001
2003
2005
2007
2009
2011
2013
2015
2017
2019
2021
Real GDP
IHS Estimate
IHS-Pessimistic
IHS-Optimistic
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E4
Federal Fiscal Belt LoosensSource: CBO Monthly Budget Review, October-December 2017 & U.S. Treasury & OMB
Revenues Through December
$ Billions PercentSource Revenue ChangeInd. Income $ 385 9.0Corp. Income 66 -13.5Social Insurance 259 2.9Other 60 0.4
Total 770 3.9
Year-End Federal Budget DeficitsFY2007: $ 160.7 BillionFY2008: $ 458.6 BillionFY2009: $1,412.7 BillionFY2010: $1,294.4 BillionFY2011: $1,299.6 BillionFY2012: $1,087.0 BillionFY2013: $ 679.5 BillionFY2014: $ 484.6 BillionFY2015: $ 438.5 BillionFY2016: $ 584.7 BillionFY2017 Preliminary: $ 665.7 BillionFY2018 Estimates: $ 589.5 Billion
Outlays Through December
$ Billions PercentCategory Outlays ChangeDefense $ 161 + 7.9SS Benefits 238 + 3.4Medicare 126 + 1.0Medicaid 95 - 1.7Other 292 + 6.9Subtotal 911 + 4.1
Debt Interest 87 + 14.7
Total 998 + 5.1
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E5
2016-2020: U.S. Employment Projected to Rise by 4.6%Estimates by HIS-Markit - U.S. Economic Baseline Forecast November 2017
134.04
138.00
130.35
134.17
138.94
144.31
150.98
120.00
125.00
130.00
135.00
140.00
145.00
150.00
155.00
160.00
2005 2007 2009 2011 2013 2015 2017 2019
Mill
ion
sNonfarm Payroll Employment
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E6
2016-2020: WV Employment Projected to Rise by 1.2%Estimates by HIS-Markit - U.S. Regional Service December 2017 Long Term
746.13
762.85
745.80
765.15
746.81
757.34
700.00
710.00
720.00
730.00
740.00
750.00
760.00
770.00
2005 2007 2009 2011 2013 2015 2017 2019
Tho
usa
nd
s
Nonfarm Payroll Employment
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E7
WV Payroll Employment Growing AgainPrivate Sector Up 3,500 Jobs (0.6%) Between Nov 2016 & Nov 2017
3,700 in Education & Health Services; 2,300 in Construction; 900 in Mining
7.6%
4.5%
2.8%
1.6%0.7%
-0.8% -1.1%
-2.4% -6.0%-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
Nov 2016-Nov 2017
Nov 2016-Nov 2017
8W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Minor Improvement in Labor Force Participation Rates in 2016Following Trough in 2015
Source: U.S. Burau of Labor Statistics
1976, 51.1 1986, 51.4
1996, 55.3
2001, 56.7
2006, 56.0
2016, 53.2
1976, 61.6
1986, 65.3 1996, 66.82000, 67.1
2006, 66.2
2016, 62.8
40.0
45.0
50.0
55.0
60.0
65.0
70.0
1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016
Share of Non-institutional Population in Workforce
WV U.S.
9W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
WV Wage Growth Recovery UnderwayQuarterly Wage & Salary Income Growth Trend -West Virginia & U.S.
Source: U.S. Bureau of Economic AnalysisSeasonally Adjusted Annual Rate
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
12Q1 12Q3 13Q1 13Q3 14
Q1
14
Q3
15
Q1
15
Q3
16
Q1
16
Q3
17
Q1
17
Q3
WV Wage & Salary U.S. Wage & Salary
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E10
Distribution of Nonfarm Earnings: 2016Mining, Health Care & Government Play Bigger Role In WV
Source: U.S. Department of Commerce, Bureau of Economic Analysis
17%
11%
9%10%7%
6%6%
5%
4%4%
1%20%
United States
Government Health Care/Social Assistance
Manufacturing Professional/Technical Service
Finance & Insurance Retail Trade
Construction Wholesale Trade
Administrative & Waste Management Informaiton Services
Mining Other
22%
16%
8%6%
3%
7%6%
4%
4%2%
5%17%
West Virginia
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E11
Contribution to Growth in Nonfarm Earnings 2006-2016
Average Annual Growth 1.6% in WV versus 2.8% U.S. [-2.9% for WV Mining Sector]
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Source: U.S. Bureau of Economic Analysis
12
12-Month Trailing Trend Value of Foreign Non-Manufacturing Good Exports
Total Exports Up 52% Since October 2016; Non-Manufacturing Good Exports Up 214%
Jan-16, $1,656.8
Oct-16, $1,100.4
Nov-17, $3,451.0
$-
$500.0
$1,000.0
$1,500.0
$2,000.0
$2,500.0
$3,000.0
$3,500.0
Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17 Oct-17
$ Millions
Non-Mfg Goods
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Longer Term 12-Month Trailing TrendSource: U.S. Census Bureau
Dec-04, $442.2
Dec-08, $2,201.8
Dec-12, $7,497.8
Oct-16, $1,100.4
Nov-17, $3,451.0
$-
$1,000.0
$2,000.0
$3,000.0
$4,000.0
$5,000.0
$6,000.0
$7,000.0
$8,000.0
Value of WV Non-Manufacturing Good Exports ($ Millions)
Value
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E14
12-Month Trailing Trend Value of Foreign Manufacturing Good Exports
Total Exports Up 52% Since October 2016; Manufacturing Good Exports Up 2%
Feb-14, $3,732.1
Feb-15, $4,141.8
Sep-16, $3,445.6
Nov-17, $3,494.6
$2,500.0
$3,000.0
$3,500.0
$4,000.0
$4,500.0
$5,000.0
Jan-14 Jun-14 Nov-14 Apr-15 Sep-15 Feb-16 Jul-16 Dec-16 May-17 Oct-17
$ Millions
Mfg Goods
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E15
West Virginia Electric Power Generation:Down 2.7% YTD in 2017 & 22% Below 2007 (Oct)
Source: U.S. DOE, Energy Information Administration
93,933
70,783
79,000 75,863 75,626
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
100,000
Net Generation
Tho
usa
nd
Me
gaw
att-
ho
urs
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E16
Natural Gas Production by State 2006-2016U.S. Production up 3.5% per year average in 2011-2016WV Production Up 28.4% per year average in 2011-2016
Source: U.S. Department of Energy & WV DEP
512
1,015
1,440
274
1,311
2,257 3,259
4,258
4,813 5,313
264 394 540
742
1,067
1,319
1,375
-
1,000
2,000
3,000
4,000
5,000
6,000
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Million MCF
OH
PA
WV
17W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Total General Revenue Fund RevenuesAverage Annual Growth: 7.2% 2004-2008; 0.08% 2008-2017;
Projected Average Annual Growth: 3.7% 2017-2023; Total Growth 2007-2017 = 7.4%
$3,082.9
$3,928.3$4,066.7
$4,225.1
$4,356.2 $5,062.7
$0.0
$1,000.0
$2,000.0
$3,000.0
$4,000.0
$5,000.0
$6,000.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
Net Collections
General Fund Special Funds Gap Fill
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E18
West Virginia Personal Income28% Growth Between 2007 and 2017
Sources: U.S. Department of Commerce Bureau of Economic AnalysisForecast- IHS Markit- U.S. Regional Service December 2017 Long-Term
$45.0 $46.5$48.4
$51.9$53.8
$57.6 $58.0 $59.5$63.1 $64.6 $64.2
$66.0 $67.3 $67.1 $68.7$71.2
$0.0
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
$70.0
$80.0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
$ Billions
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E19
WV Per Capita Personal Income Growth
20
WV Per Capita Income Ratio to U.S. Rises from 74.5% in 2006 to 75.4% in 2016
Annual growth has averaged 3% per year ($38,144 in 2016)
Source: U.S. Department of Commerce, Bureau of Economic Analysis
34.7%
31.6% 31.4%30.0% 29.8%
26.4% 26.0%
20.0%
25.0%
30.0%
35.0%
40.0%
PA WV OH U.S. KY MD VA
Per Capita Personal Income Growth-Past 10 Years
Growth 2006-2016
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Personal Income TaxAverage Annual Growth: 9.1% 2004-2009; 1.4% 2009-2017
Projected Average Annual Growth: 4.0% 2017-2023
$1,840.1
$1,803.3$1,813.9
$1,860.0
$2,303.0
$0.0
$500.0
$1,000.0
$1,500.0
$2,000.0
$2,500.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
Personal Income Tax Collections
General Fund Special Funds
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E21
Consumer Sales and Use TaxAverage Annual Growth: 3.5% 2004-2007; 0.9% 2007-2017
Projected Average Annual Growth: 2.8% 2017-2023
$1,021.4
$1,125.8 $1,216.0 $1,228.2$1,231.0
$1,222.3
$1,259.0
$1,488.6
$0.0
$200.0
$400.0
$600.0
$800.0
$1,000.0
$1,200.0
$1,400.0
$1,600.0
$1,800.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
Consumer Sales & Use Tax Collections
General Fund Special Funds
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E22
Per Capita Personal Consumption Expenditures 2016Average Citizen’s Consumption of Health Care 11% Higher in WV
Growth in WV: 2.5% [36% Health Care]; Growth in U.S.: 4.0% [21% Health Care] Source: U.S. Bureau of Economic Analysis
7%2%
18%
17%
56%
United States: $39,664
Food Energy Housing
Health Care Other
8%3%
14%
22%
53%
West Virginia: $34,418
Food Energy Housing
Health Care Other
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E23
Severance TaxAverage Annual Growth: 11.1% 2004-2012; -0.2% 2007-2017
Projected Average Annual Growth: 5.0% 2017-2023
$184.4
$314.7
$467.9
$414.2
$237.5
$321.0
$361.0 $437.7
$0.0
$100.0
$200.0
$300.0
$400.0
$500.0
$600.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
State Severance Tax Collections
General Fund Special Funds Gap Fill
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E24
Regular Severance Tax (July 2007-Present)Trailing 12 Month Trend
$ Millions
$329.6
$490.7
$409.7
Feb-15, $501.9
Dec-16, $245.4
Dec-17, $384.3
$220.0
$270.0
$320.0
$370.0
$420.0
$470.0
$520.0
Jun
-08
Dec
-08
Jun
-09
Dec
-09
Jun
-10
Dec
-10
Jun
-11
Dec
-11
Jun
-12
Dec
-12
Jun
-13
Dec
-13
Jun
-14
Dec
-14
Jun
-15
Dec
-15
Jun
-16
Dec
-16
Jun
-17
Dec
-17
Severance Tax
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E25
State Severance Tax Collection TrendsRegular Tax on Gross Receipts Net of Local Tax Distributions
$421
$160
$277
$37
$191
$47
$22
$210 $100
$33
$215
$137
$32
$-
$50
$100
$150
$200
$250
$300
$350
$400
$450
Coal Natural Gas Oil/Other
$ Millions
2011
2012
2013
2014
2015
2016
2017
2018 Est
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E26
Natural Gas Prices: Variation SignificantSource: Natural Gas Intelligence Daily (Trade Date) Average Natural Gas Prices
Dominion South, 9/29/16, $0.66
Dominion South, 43020, $0.32
Dominion South, 12/27/17, $2.34
Henry Hub, 9/29/16, $2.95
Henry Hub, 43020, $2.91
Henry Hub, 1/3/18, $6.88
$(0.50)
$0.50
$1.50
$2.50
$3.50
$4.50
$5.50
$6.50
$7.50
12
/1/1
5
1/1
/16
2/1
/16
3/1
/16
4/1
/16
5/1
/16
6/1
/16
7/1
/16
8/1
/16
9/1
/16
10
/1/1
6
11
/1/1
6
12
/1/1
6
1/1
/17
2/1
/17
3/1
/17
4/1
/17
5/1
/17
6/1
/17
7/1
/17
8/1
/17
9/1
/17
10
/1/1
7
11
/1/1
7
12
/1/1
7
1/1
/18
$/ Million Btu
Dominion South Henry Hub
27W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
Corporation Net Income TaxAverage Annual Growth: 21.9% 2004-2008; -10.9% 2007-2017
Projected Average Annual Growth: 10.8% 2017-2023
$181.5
$347.6
$388.2
$188.1$186.1
$143.6
$116.3
$109.0
$215.1
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
$300.0
$350.0
$400.0
$450.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
Corporation Net Income Tax Collections
General Fund Special Funds
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E28
Business and Occupation TaxAverage Annual Growth: 0.6% 2004-2007; -4.7% 2007-2017
Projected Average Annual Growth: 1.4% 2017-2023
$177.4 $180.7
$119.2
$111.9
$114.5 $122.0
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
$160.0
$180.0
$200.0
04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23
$ M
illio
ns
Fiscal Year
B&O Tax Collections
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E29
Tobacco Products Tax Collection Trends2008-2016: -1.7%/Year;
Rate from $0.55 to $1.20 as of July 1, 2016; OTP from 7% to 12%
Jul-08, $116.5
May-16, $99.1
Jul-17, $198.2
Dec-17, $182.0
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
Jun
-08
Oct
-08
Feb
-09
Jun
-09
Oct
-09
Feb
-10
Jun
-10
Oct
-10
Feb
-11
Jun
-11
Oct
-11
Feb
-12
Jun
-12
Oct
-12
Feb
-13
Jun
-13
Oct
-13
Feb
-14
Jun
-14
Oct
-14
Feb
-15
Jun
-15
Oct
-15
Feb
-16
Jun
-16
Oct
-16
Feb
-17
Jun
-17
Oct
-17
$ Millions – 12-Month Trailing Trend
Tobacco Tax
30W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
COMPARATIVE TAX RATESAs of January 1, 2018
* Additional local taxes may apply
Ohio
6.5%-8.0% Sales
4.997% PIT*0.26% GRT-CAT
$0.2801 Gasoline
$1.60 Cigarettes
Pennsylvania
6.0% Sales*
3.07% PIT*9.99% CNIT
$0.576 Gasoline
$2.60 Cigarettes
West Virginia
6.0% Sales*6.5% PIT
6.5% CNIT
$0.357 Gasoline
$1.20 Cigarettes
Virginia
5.3%-6.0% Sales
5.75% PIT
6.0% CNIT
$0.224 Gasoline
$0.300 Cigarettes*
Kentucky
6.0% Sales
6.0% PIT*6.0% CNIT w AMT
$0.260 Gasoline
$0.601 Cigarettes
Maryland
6.0%++ Sales
7.0%-8.95% PIT
8.25% CNIT
$0.338 Gasoline
$2.00 Cigarettes
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E31
32W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E
FY2017-2018 General Revenue Fund as of December 31, 2017
$ Millions $ Millions $ Millions $ Millions $ Millions
YTD YTD YTD ACTUAL CHANGE
COMPONENT ESTIMATE ACTUAL DIFFERENCE YTD FY16-17 PERCENT CHANGE
Consumer Sales Tax 613.500$ 593.364$ (20.136)$ 590.970$ 0.4% 2.394$
Personal Income Tax 850.220$ 883.188$ 32.968$ 836.444$ 5.6% 46.744$
Business & Occupation Tax 53.500$ 48.961$ (4.539)$ 48.515$ 0.9% 0.447$
Severance Tax 155.900$ 138.350$ (17.550)$ 94.484$ 46.4% 43.866$
Corporate Taxes 53.300$ 68.553$ 15.253$ 53.766$ 27.5% 14.788$
Insurance Premium Tax 58.900$ 58.944$ 0.044$ 58.405$ 0.9% 0.539$
Tobacco Products Tax 95.300$ 91.799$ (3.501)$ 104.473$ -12.1% (12.675)$
Interest Income 7.300$ 3.512$ (3.788)$ 1.938$ 81.2% 1.574$
Lottery Transfers 26.142$ 24.195$ (1.947)$ 26.142$ -7.4% (1.947)$
All Other 51.868$ 57.731$ 5.863$ 47.325$ 22.0% 10.406$
TOTAL 1,965.930$ 1,968.597$ 2.667$ 1,862.462$ 5.7% 106.135$
FY2017-2018 State Road Fund as of December 31, 2017
YTD YTD YTD ACTUAL CHANGE
COMPONENT ESTIMATE ACTUAL DIFFERENCE YTD FY16-17 PERCENT CHANGE
Motor Fuel Excise Tax 203.700$ 206.925$ 3.225$ 191.605$ 8.0% 15.319$
Registration Fees 54.969$ 71.499$ 16.530$ 39.964$ 78.9% 31.536$
Sales (Privilege) Tax 116.163$ 106.012$ (10.151)$ 106.279$ -0.3% (0.267)$
Highway Litter Control 0.765$ 0.780$ 0.015$ 0.723$ 7.9% 0.057$
TOTAL 375.597$ 385.216$ 9.619$ 338.571$ 13.8% 46.645$
Estimate VS Actual – Error RateExcludes Gap Fill Revenues
Estimates generally as of November prior to start of July-June Fiscal Year
Year Receipts Estimate ErrorFY17 $4,066,716 $4,187,419 - 2.9%FY16 3,879.647 4,305.776 - 9.9%FY15 4,196.310 4,253.951 - 1.4%FY14 4,047.105 4,136.001 - 2.1%FY13 4,059.119 4,149.751 - 2.2%FY12 4,103.305 4,015.621 2.2%FY11 4,063.786 3,741.680 8.6%FY10 3,758.372 3,788.000 - 0.8%FY09 3,901.552 3,902.733 - 0.0%FY08 3,928.288 3,819.000 2.9%FY07 3,752.722 3,657.100 2.6%FY06 3,661.402 3,256.900 12.4%FY05 3,404.639 3,071.756 10.8%FY04 3,082.941 3,041.375 1.4%FY03 2,916.961 2,930.000 -0.4%FY02 2,824.117 2,800.100 0.9%FY01 2,718.379 2,717.350 0.0%FY00 2,638.496 2,664.159 -1.0%FY99 2,617.868 2,592.900 1.0%FY98 2,503.343 2,498.500 0.2%
W E S T V I R G I N I A D E P A R T M E N T O F R E V E N U E33
FY2019 Forecast Versus Official FY2018 Estimates
Forecast of 3.1% Growth$ Millions
Tax Source FY2018 FY2019 ChangePersonal Income: $1,860.000 1,961.000 101.000Sales & Use: 1,259.000 1,288.500 29.500Severance: 361.000 361.700 0.700Corp Income: 109.000 142.100 33.100B&O: 114.500 117.500 3.000Tobacco Excise: 194.000 179.700 ( 14.300)Insurance Premium: 121.100 123.500 2.400Lottery-GRF: 65.000 65.000 0 All Other: 141.450 117.170 ( 24.280)
Total General $4,225.050 $4,356.170 $131.120
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2018-2019 Fiscal Outlook Summary
• West Virginia economy continues growing – lead by energy
• Some rebound in non-energy sectors (construction & manufacturing ?)
• Natural gas prices and production slowly rise pending completion of major infrastructure pipeline projects; Stability for coal
• Increased road construction helps stimulate additional employment growth and tax collection growth
• Federal fiscal stimulus in the form of tax rate reductions and capital expensing stimulate additional short-term economic growth in 2018
• Demographic factors continue to act as brake on growth in State
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Questions?
W E S T V I R G I N I A
DEPARTMENT OF REVENUE
Mark B. Muchow | Deputy Secretary of Revenue | 304-558-8730 | [email protected]