State Senate Budget official planning on a $5 billion revenue shortfall in Fiscal 2021

Christopher Marino – the Senate’s top budget official said this week – anticipates tax collections in Fiscal Year 2021 to be down $5 billion from last year, and said lawmakers will need to dip “deeply” into the state’s $3.5 billion “rainy day” fund unless new federal aid arrives from Washington.

– News covered by Quincy Quarry News with commentary added.

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State Senate Budget official planning on a $5 billion revenue shortfall in Fiscal 2021.

In spite of signs that the state’s finances have not completely cratered during the pandemic, Christopher Marino, the Massachusetts State Senate’s top budget official, said this week he anticipates tax collections in fiscal 2021 to be down $5 billion from last year.

Down $5 billion opposite a spending metric of a $43 billion budget in FY 2020 and thus a 12% revenue hit.

Massachussetts State House
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In turn, state lawmakers will need to dip “deeply” into the state’s $3.5 billion “rainy day” fund unless new federal aid arrives from Washington in time to cover the nut in Fiscal Year 2021.

With significant federal aid not likely to happen until after the election and perhaps at best not until after the presidential inauguration in January, Quincy property taxpayers should in turn prepare for an ugly increase in their Calendar Year 2021 tax bills as local property tax rates must be set and approved before the end of the December. 

“It’s all COVID-19’s fault.”
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That or prepare for serious cuts in local services and to local schools as the City of Quincy’s already underway Fiscal Year 2021 budget was predicated upon expectations of the receipt of historical levels of state funding coming its way which may instead be slashed absent an uncertain federal bailout.

Granted, subsequent federal aid may actually arrive eventually and so allow for the Koch Maladministration to restore spending cuts, set aside any excess funds that might so result to reduce 2022 tax bills and/or beef up the City of Quincy’s woeful reserves, those in the know know that the Koch Machine cannot resist spending.

Source: Budget Chief Planning Based on $5 Billion Revenue Drop

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