Kentucky Sees Drop In Government Revenue

• {Frankfort, Kentucky}...State Budget Director Mary Lassiter says Kentucky's general government revenue dropped in April after 10 months of growth. Lassiter says revenue of $838 million was down nearly 1 percent, largely because of drops in collections from corporate income tax, cigarette tax and property tax. Sales tax collections grew by 4.3 percent in April and individual income tax receipts rose by 2.2 percent. The sharpest decline was in collections from coal severance tax, which fell by more than 26 percent. Kentucky Coal Association President Bill Bissett says coal companies were hit by difficulties in getting government permits to open new mines and a mild winter that required less electricity to heat homes. The tax on mined coal generates nearly $250 million a year for state government.