McDonnell announces year-to-date state revenue increase
ABC tax revenue decreases, ABC store profits reach record levels
According to state revenue projections announced Friday, this year marks the fourth consecutive Commonwealth budget surplus, making Gov. Bob McDonnell the first governor who served during a period of consistent growth since Gov. George Allen’s term in the mid 1990s.
Though the state saw a month-over-month 4.8 percent decrease in revenue from August to July, the state saw 3 percent year-to-date revenue growth.
“Virginia’s overall revenue picture continues to be positive,” McDonnell said. “We will continue to adhere to a course of wise investment of limited resources.”
Commonwealth Secretary of Finance Richard Brown said year-to-date revenues actually grew by 3.6 percent when adjusting for the 2012 accelerated sales payment tax program and a legislatively mandated transfer of funds, in a letter released last week.
The month-over-month revenue decrease is a normal phenomenon, as August is not a “significant month for revenue” and double-digit growth in July is typically followed by a decline, according to Brown’s letter. August 2013 also had one fewer reporting day than in 2012, causing a 5.5 percent decrease in the standard tax payments compared to last year.