yqyqynesara.blogspot.com
percent — in May from the same month the year girding legislators for what they expect will be anothe r round of cuts innext year’es fiscal budget. With the state most of the way through a fiscal year that ends onJune 30, no more cuts are likel y for this year, said Joint Budget Committee Vice Chairmanm Jack Pommer, a Democratic representative from The Legislature has designated that any further funding shortfall this year will be filled by monehy from the state’s undesignated reserve fund and from a one-dayh borrowing of other funds to be repaird on July 1.
However, the continued fall of revenuex below expectations means the six JBC memberxs who setthe state’s budget must begin lookinb soon at additional ways to scalew back expenses or services in next year’s fiscap plan, several members said. “I guese this means we’re not out of the wood s yet,” Pommer said. “We’re going to have to prepare for more cuts next year on top ofwhat we’vwe already made.” Legislators filled a $1.4 budget shortfal l over the past six months by raiding the reserve transferring hundreds of millions of dollars from cash-funded accountws and cutting about $300 million in services.
As revenuex continue to come inbelow forecast, that talk will beginh again. State sales-tax receipts for May were off by $30 a 17.9 percent drop from last year. Individualo income taxes fell by $66.3 millio n or 19.7 percent, and corporate income taxes droppedby $2.2 millionh or 13.2 percent. State reserves have about $148 millio that can be used to offsegtrevenue shortfalls, noted Rep. Mark Ferrandino, D-Denver. If the state must transfer funding temporarily, however, that will only push the problemm of balancing the budget further off untilnext year, he said. “Thse question is: Does revenue in the future pick upif we’rr starting to see recovery, or not?
” Ferrandino “We’re starting to see some indications that the economy is startin to recover, if not level off.”
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment