BRADENTON, Fla. – West Virginia lawmakers passed a 2017 budget in special session that the governor doesn't like.
The House took final action on the $4 billion Senate-amended general fund budget late Thursday, before sending it to Gov. Earl Ray Tomblin.
The spending plan for the year starting July 1 was cobbled together with $182 million in reserves, fund sweeps, spending cuts, and one-time sources of money to plug a $270 million deficit.
On Friday, Tomblin's spokesman Chris Stadelman told MetroNews that the budget is "completely unworkable."
"It's an irresponsible plan and it's not one that the governor can support," Stadelman said.
Tomblin had warned that he would not approve a structurally imbalanced budget, especially one that depended on a large chunk of reserves.
As they did during the regular session that ended in March, lawmakers refused to approve any new funding sources in special session.
Raising tobacco taxes had been considered and rejected along with an increase in the sales tax proposed by Tomblin.
Tomblin has business five days to veto or approve the budget bill. His authority also includes line-item veto power.
Both chambers adjourned until June 12.
West Virginia does not have a continuing resolution to fund state operations if a budget is not implemented by the end of the month, meaning that state government could shut down.
As a coal-producing state, West Virginia has seen a sharp decline in revenues as a result of reduced global demand in the energy sector and statewide layoffs.
In April, S&P Global Ratings dropped the state's general obligation debt to AA-minus from AA, and lowered its appropriation and moral obligation ratings to A-plus and A-minus, respectively.
S&P said the downgrade reflected structural changes in the state's economy due to weakness in the energy sector that will present long-term challenges going forward.
The economic weakness has negatively affected state revenue collections leading to shortfalls and challenges in reaching structural budget balance, S&P said.
