Economy May Force Manchin to Revise Budget

In the wake of February's revenue shortfall eclipsing the remaining "surplus" and sliding West Virginia's ledger into the red, Gov. Joe Manchin could revisit the budget he's proposed to the Legislature for the coming fiscal year, The Associated Press reports.

"Based on what we're seeing nationally, and with the economy worsening, we would rather jump ahead of this than wait until we're behind," Manchin spokesman Matt Turner told AP.

Lawmakers expect the governor to reduce the proposed budget's revenue projections within two weeks, according to the article, which also cites other spots of bad financial news for the Mountain State:

* "After 16 years of growth, its lottery expects sales and proceeds to decline over the next two budget years. The key revenue source, which distributed $657 million to state agencies and county and local governments last fiscal year, has been buffeted both by competing venues in Pennsylvania and the recession."

* "West Virginia's investment pool, meanwhile, ended months of staggering losses in December, only to see those gains evaporate in January."