State tax revenues

"This is a historic accomplishment — setting new records for the largest single-month revenue and personal income tax collections in state history," said Gov. Jim Justice.

Circuit Judge John K. Bush cited Alexander Hamilton's insistence in the Federalist Papers that states would retain their authority over their own taxation.

The 3.7% shortfall for the first nine months of the fiscal year was driven largely by shortfalls in personal income tax receipts.

The growth in March tax collections reported by the states was less robust than a year earlier.

The state approved further cuts next year with provisions for possible additional cuts annually, starting in 2025, paving the way for the elimination of the personal income tax.

With strong reserve levels, states will be able to weather a revenue shortage this year, analysts said.

Energy production taxes slowed or fell last month, with the oil tax generating $486 million, which was 14% higher than in January 2022, and natural gas tax revenue falling 13% at $322 million.

The state's benchmark debt ratio for debt service to revenue is at 3.78% — well below a 6% target and 7% limit.

Levels fell back to pre-pandemic levels, state comptroller Thomas DiNapoli said, "so the notion that it's crashing and it's all gloom-and-doom is not a fair observation."

Missouri and Iowa closed out fiscal 2022 with balances that paved the way for tax cuts.