Maine could lose $1B by next year due to coronavirus
Maine could lose $200 million by the end of June and up to $1 billion by mid-2021, according to dire projections showing that nearly a quarter of state revenue could be in danger due to the coronavirus.
Most states, including Maine, have ordered business closures and social distancing to slow the spread of the new virus. It led to a month-long economic dive in which 1 in 10 workers in the state filed for unemployment accompanied by steep drops in national retail sales.
It has been clear that the economic crisis would threaten key state revenue streams, but warnings from Maine officials have so far lacked specifics. The projections made this week by the state and Moody’s Analytics are among the first attempts to quantify the effect of the coronavirus on state finances.
“There are some factors we can’t account for,” said State Treasurer Henry Beck, a Democrat. “It’s all speculation at this point. But if someone like Moody’s is going to tell me a revenue projection, I believe it.”
Read more: https://bangordailynews.com/2020/04/17/politics/maine-could-lose-1b-by-next-year-due-to-coronavirus/