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Virginia Jumps Six Spots in CNBC’s Annual ‘Best States for Business’ in 2017

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From Gov. McAuliffe’s office; so much for another idiotic talking point by Ed Gillespie, who is constantly bad-mouthing Virginia’s economy.

Virginia Jumps Six Spots in CNBC’s Annual ‘Best States for Business’ in 2017

RICHMOND – The Commonwealth of Virginia has moved up six places to number seven in CNBC’s Best States for Business 2017, which was released today. The annual list had previously ranked Virginia as the 13th best state to do business in 2016. The ranking is lower than the number 8 spot Virginia was given shortly after the Governor took office in 2014.

“We are thrilled that CNBC has recognized our efforts to build a new Virginia economy by ranking the Commonwealth number seven in their Annual ‘Best States for Business’ in 2017,” said Governor McAuliffe. “The effects from federal sequestration in 2013 did substantial damage to our economy. When I took office, we came in with a clear and simple plan to diversify our industries and make Virginia less dependent on the whims of Washington. Thanks to significant reforms and historic investments in our education system, innovative workforce development strategies and the record-breaking recruitment of new business capital and jobs, we are mitigating the damage of federal dysfunction and building an economy that works better for everyone.”

Since Governor McAuliffe took office Virginia’s unemployment rate has dropped from 5.4 percent to 3.8 percent (a nine-year low). Unemployment claims have dropped to a 44-year low. The Commonwealth has also added 187,500 jobs, and attracted a record $16.16 billion in capital investment, while growing the workforce by 60,000 jobs. The Governor has made reforming and investing in education one of the top priorities of his New Virginia Economy agenda. He helped usher through a record $1 billion investment in the state’s public education last year, while implementing a high-school redesign program that emphasizes high-demand job credentials and on-the-job training.

The CNBC rankings are developed by judging the states on a number of business metrics that are separated into ten categories including cost of doing business, economy, quality of life, technology & innovation, education, business friendliness, access to capital, and cost of living. Workforce and infrastructure are weighted at the top of the list among 10 major categories and 66 metrics. Virginia ranked second among all states for workforce quality.

  • More good news; sorry Ed! LOL

    Fiscal Year 2017 General Fund Revenue Collections Increase 3.6% and $132 Million Ahead of Forecast

    ~ Payroll Withholding and Corporate Income Tax Collections Drive the Surplus ~

    RICHMOND – Governor Terry McAuliffe announced today that the Commonwealth of Virginia reached the end of fiscal year 2017 with a revenue surplus of $132 million.

    Total revenue collections rose by 3.6 percent in fiscal year 2017, ahead of the revenue forecast of 2.9 percent growth. The main drivers of the revenue increase were growth in payroll withholding and corporate income tax collections.

    “Following a record-breaking $2.2 billion in revenue collections for the month of June, I am pleased to announce that preliminary figures indicate a surplus of $132 million from general fund revenue collections in fiscal year 2017,” said Governor McAuliffe. “Over the past few years, sequestration and federal dysfunction have hampered our Commonwealth’s economy and impacted revenue collections. Since I took office we have worked feverishly to break that cycle by diversifying our economy and laying a foundation for long-term economic growth. Those efforts are paying off, but at a time when Washington is more broken than ever, we cannot afford to let up now.”

    Provisions in the Virginia Constitution, the Appropriations Act, and the Code of Virginia specify how most of the fiscal year 2017 additional resources must be assigned. Most of the surplus must be held in a reserve as an insurance policy against future economic uncertainty and the potential for a downturn in the Virginia economy. The final fiscal year 2017 data including the surplus, transfers, and balance numbers will not be available until the August 21st Joint Money Committee meeting.

    Analysis of Fiscal Year 2017 Revenues
    Based on Preliminary Data

    · Total general fund revenue collections, excluding transfers, exceeded the official budget forecast by $132 million (+0.7 percent variance) in fiscal year 2017.
    · The fiscal year 2017 revenue surplus is largely due to stronger payroll withholding with corporate income tax collections also making a contribution.
    · Payroll withholding and sales tax collections, 85 percent of total revenues, and the best indicator of current economic activity in the Commonwealth, finished $152.4 million or 1.1 percent ahead of forecast.
    o Estimates for these two sources are directly tied to the economic outlook developed during the fall forecasting process, and specifically, the outlook for jobs and wage income in the Commonwealth.
    o Payroll withholding growth of 5.2% was well ahead of the forecast of 3.6 percent growth.
    o Growth in sales tax collections continue to disappoint. Sales tax collections increased 1.9 percent as compared to the annual forecast of 2.8 percent.
    · Corporate income tax collections increased 8.1 percent for the year, ahead of the annual forecast of 3.8 percent due to continued strength in estimated payments.
    · Nonwithholding income tax collections finished the year slightly below expectations, a 1.7% decline as opposed to the official forecast of a 0.7% decline. The slowdown in this source can likely be tied to investor uncertainty surrounding future changes in the tax code.
    · The fiscal year 2017 revenue surplus is also indicative of the Commonwealth’s prudent fiscal management which includes a consensus economic and revenue forecasting process agreed upon by both the Joint Advisory Board of Economists (JABE) and the business leaders and General Assembly members which make up the Governor’s Advisory Council on Revenue Estimates (GACRE).

  • old_redneck

    Interesting how different folks view the same information differently.

    “Virginia’s conservative voice” — at least that’s what they claim — is a gaggle of dullards calling themselves “Bearing Drift.” more accurately known as “Barely Adrift.”

    One of their regulars has a different take on this news about Virginia’s economic position. Note his last paragraph in which he says the states that are ahead of Virginia have “. . . pipelines and strong fossil fuel production. They also have a very low tax burden.” If only we’d allow the Atlantic Coast Pipeline and offshore drilling, and cut taxes, we’d be Number One.

    https://bearingdrift.com/2017/07/12/virginia-economically-relevant/

    Right??