State revenue slide points to midyear budget cuts
The revenue underpinnings supporting Gov. Maura Healey’s first annual budget began to erode before she signed the $56 billion spending plan last summer, and it’s forcing the new governor to reevaluate what’s affordable.
The revenue department collected less in taxes than they expected for the sixth straight month in December, putting the year-to-date haul three-quarters of a billion dollars below projections as budget-writers face a growing thicket of challenges.
Healey says she’s managing the situation — some entities due to receive fiscal 2024 funds have said funds are being held up — and following December’s revenue report her team is coming up with a plan that will likely give more specifics on where Healey is trimming.
The last midyear spending cuts — known as 9C cuts — to be executed by a governor came in 2016 at the direction of Gov. Charlie Baker who sliced $98 million from the $39.25 billion state budget.
On Aug. 9, Healey signed this year’s $56 billion budget, and the Boston Globe, citing lawmakers briefed on Healey’s plans, says she plans to cut $375 million in spending.
A Healey budget team spokesman was not immediately available for comment.
— Michael P. Norton / State House News Service
More Stories
Middle East war to drive 24% surge in energy costs – World Bank
The world is facing the biggest global energy supply shock on record, which will drive inflation and dampen economic growth...
US squares up to China over Panama Canal
Beijing has accused Washington of leading a smear campaign over its ownership of two ports The US has announced a...
Ukraine told to hike taxes to unlock Western aid – media
Both the EU and the IMF are reportedly making further funding conditional on specific fiscal reforms by Kiev Ukraine’s two...
Britain braces for £35bn energy shock as Iran conflict pushes inflation back above 4%
Britain’s small and medium-sized businesses are about to be marched back into the inflationary trenches they thought they had left...
Barclay Brothers swerve bankruptcy with eleventh-hour creditor pact
Aidan and Howard Barclay, the eldest sons of the late Sir David Barclay, have narrowly sidestepped bankruptcy after striking an...
John Lewis dragged into High Court over click-and-collect rent at Brent Cross
The John Lewis Partnership has been hauled before the High Court by the past and present owners of Brent Cross...
