Declining Tax Revenues, Winter Storm Costs Create Shortfall in Charles County’s Budget

As reported by SoMdNews.com, Charles County is facing a $6 million shortfall in the current fiscal year due to declining income tax revenues and significant winter storm costs.

From the article:

The county’s income tax revenue in the fourth quarter of 2013 was down $1.4 million, or 5.6 percent, from the previous year, according to data provided by the comptroller of Maryland.

Meanwhile, frequent snowstorms this winter have cost the county an estimated $2.4 million, more than triple the $782,100 that was budgeted for storm events, and leave the fund at a $1.6 million deficit.

To close this gap,  Commissioners approved exhausting the storm reserve fund, covering remaining storm costs with unassigned fund balance,  and cutting $4.5 million from the current year budget.