W.Va. Among Only Six States Not Facing Budget Crisis
W.Va. Among Only Six States Not Facing Budget Crisis Save Email Print
Posted: 11:04 PM Jan 13, 2009
Last Updated: 11:04 PM Jan 13, 2009
Reporter: Michael Wooten; Associated Press
Email Address: michael.wooten@wsaz.com

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CHARLESTON, W.Va. (WSAZ) -- West Virginia is among only six states nationwide not facing a financial crisis.

The 44 others, including Kentucky and Ohio, are trying to deal with the budget blues.

"These are very unusual times," Ohio Gov. Ted Strickland said. "We have not seen economic circumstances like these, certainly in my lifetime."

The Buckeye State faces a $1.2 billion dollar shortfall for this year alone. The latest proposal is a familiar one: expanded gambling.
The governor is not on board; instead his administration is tightening the belt.

In Kentucky, meanwhile, the state's general assembly is nearly $500 million in the red. Kentucky Gov. Steve Beshear's suggestion is to raise the cigarette tax from 30 cents a pack to $1, part of a proposal that would bring in $81 million.

Kentucky's and Ohio's struggles could be West Virginia's gain.

"I think we can take advantage of opportunities during a hard time around the nation financially," West Virginia Gov. Joe Manchin said. "There are going to be good businesses looking for a solid place to perform and operate."

So why has West Virginia weathered this financial crisis? Manchin said it's because the state paid down its debt, fixed workers comp and invested in the right priorities.

Experts say West Virginia can boast a budget surplus for one main reason -- because the Mountain State has mountains and, therefore, a lot of coal.

The other five states in the black also are major energy producers.

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Posted by: RoaneCo. on Jan 14, 2009 at 03:07 PM
Well the State may be financially well but I don't believe the citizen are doing so great. Unless of course you believe working a part-time job without benefits makes one finacially secure.

Posted by: dru on Jan 14, 2009 at 02:52 PM
Why is our state doing pretty well? One of the biggest reasons is our banks played by the rules. When you play by the rules, you reap the rewards.

Posted by: Anonymous on Jan 14, 2009 at 11:10 AM
Thanks Gov Manchin for running our state financially well. Now-- help save all the worker's jobs at Century Aluminum in Ravenswood, WV. They need your help!

Posted by: Mark on Jan 14, 2009 at 10:01 AM
I am glad we don't have a big budgetary deficit like other states, but it is for one reasonon only. We are taxed to death here!

Posted by: anonymous on Jan 14, 2009 at 09:02 AM
Agree with Posted by:Anonymous and wvmom on Jan 13,2009! Poor Health Care,Dental Care,Loss of Good Jobs that Pay enough to Support Families, and High Taxes. Hello! How many West Virginians moved to other States!

Posted by: anonymous on Jan 14, 2009 at 08:01 AM
I keep hearing about WV being one of six states which is not in financial difficulties. What are the other states?

Posted by: Sal on Jan 14, 2009 at 05:30 AM
Manchin said the state invested in the right priorities. I guess paying state workers a decent wage isn't a priority. KY wants to increase cigarette tax a whopping 230%. They know smokers are not likely to complain or vote the bums out of office. Why not add a "luxury" tax instead on high priced luxury items?

Posted by: Bubba on Jan 13, 2009 at 11:59 PM
Steve Beshear good thinking lets single out smokers again. I'm a smoker and i don't mind paying my fair share of taxes. You say we will save money on health care with a cigarette tax. Lets look at this if we increase the tax on food which causes obisity a major health problem. And that covers everyone not just smokers everyone eats. Stop and use your head for a moment who do you think got you in office. I would say a lot of smokers more than likley. I will pay the tax because i like to smoke but i don't have to be happy about. So you can have my $10 a week to pad the pockets of bums like you. Dont forget Kentucky is a tobacco state always has been and always will be. I know people will disagree with me but who cares. I pay my taxes and i work every day but i'm told where and when i can smoke. The land of the free God bless the USA

Posted by: Anonymous on Jan 13, 2009 at 11:52 PM
The only reason we are not in an economic crisis, is because our state is already very poor. If we had more money to lose, I'm sure we would be seeing it more. The state as whole may not be in a crisis, but I know I am.

Posted by: wvmom on Jan 13, 2009 at 11:37 PM
I don't know if I should feel good about this report or be concerned? Let's just hope Joe can keep us in the black.

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