State Funding Board Sets Estimate

The State Funding Board made its official revenue estimate today, saying the budget will be between 147 and 240 million dollars short for the fiscal year ending in June.

The state’s revenues are growing, but not enough to meet the budget. That’s due in part to lower than expected sales and corporate tax payments. State Finance Commissioner Dave Goetz says many companies asked for refunds from the state in October because their profits were down.

“You know, there’s been some mixed news about Christmas sales, and we can hope that bodes well. What we really worry about is what you saw in October in terms of the claiming of refunds means there won’t be payments from those same companies in January and April.”

Goetz says that means the revenue shortfall could get worse. He says the administration will have to make next year’s budget without knowing how much of a shortage there might be in corporate tax payments.

The revenue estimates set the foundation for the state’s budget process, which will kick off in January when the state legislature reconvenes.