Scant Good News for Budget Writers in Report on November 11 to December 10 State Revenue Collections
The Washington State Economic and Revenue Council (EFRC) today issued its December Economic and Revenue Update. Here is the summary: The U.S. economy continues to “muddle through.” The risk of a renewed financial meltdown stemming from the European sovereign debt crisis remains high. We continue to expect Washington’s economy to outperform the U.S. in the […]
December 05 , 2011 - Emily Makings
New Brief: Governor's 2012 Supplemental Budget Proposal
In a new brief, we detail Governor Gregoire’s proposed 2012 supplemental budget. Not only does the governor propose a long list of spending cuts and fund transfers, she also recommends a number of revenue raisers — including, of course, an increase in the sales tax. Should voters and the legislature agree to increase taxes, the […]
December 01 , 2011 - Emily Makings
WA One of Four States with Current Year Budget Shortfall
Today the National Conference of State Legislatures (NCSL) released a Fall 2011 State Budget Update: Better revenue performance is driving the improvement in state finances. Collections in most states have stabilized or are growing, and the general revenue outlook for the remainder of the fiscal year reflects confidence in continued modest growth. However, recent global […]
November 30 , 2011 - Richard S. Davis
Perspective on changes in state revenue collections
In my column this morning, I discuss how and why state revenues have fallen as a share of the economy. State revenues have fallen as a share of the economy. But it’s mostly because taxpayers rejected the higher burdens. Please go to the column for context. And, yes, revenues have even fallen since 1995 on […]
November 23 , 2011 - Emily Makings
A Preliminary Look at the Governor's 2012 Supplemental
On Monday, Governor Gregoire released her proposed 2012 supplemental budget for 2011-13. This follows alternatives for reductions that she laid out in October (and which I wrote about here). The Budget Highlights document explains the problem: When Governor Gregoire and the Legislature approved the 2011–13 budget last spring, the state was projected to end the […]
November 18 , 2011 - Richard S. Davis
State revenues recovering slowly – still below peak
After yesterday’s forecast, we received some questions about how state revenues have performed historically. Kriss put together a graph showing Near General Fund State (NGFS) collections, including the forecast through 2013. These projections show tax receipts not climbing back to 2008 levels until the end of the biennium. This chart, tracking NGFS spending since 2000, […]
November 17 , 2011 - Kriss Sjoblom
State revenue forecast for 2011-13 reduced by $122 million
The state Economic and Revenue Forecast Council updated its forecast of general fund-state revenues today. The forecast for the 2011-13 biennium was reduced by $122 million, while the talley of revenue for 2009-11 was increased by $25 million. The net bad news was thus a reduction of $97 million. From the press release: Our current […]
November 16 , 2011 - Richard S. Davis
Will Washington voters approve higher taxes? It's a tough sell.
In my column this morning, I take a look at recent election results and the state revenue collections report to consider the likelihood of voter approval of new taxes to balance the state budget. It’s never risky to bet against tax hikes. Good times or bad, voters are reluctant to part with their money. Colorado […]
November 14 , 2011 - Emily Makings
Judicial Branch Spending
Last week, the Chief Justice of the Washington Supreme Court, Barbara Madsen, wrote an article in the News Tribune on the impact of budget cuts on the state’s judicial system. She writes, In a September 2010 survey on funding impacts, Pierce County courts reported cutting several weeks of jury trials. That resulted in a growing […]
November 11 , 2011 - Kriss Sjoblom
October 11 to November 10 State Revenue Collections $22.5 Million Below Forecast
The Washington State Economic and Revenue Council (EFRC) today issued its November Economic and Revenue Update. Here is the summary: The U.S. economy has performed as expected in the last forecast, but the outlook remains extremely uncertain. Like the nation, the Washington economy has performed close to expectation. The state continues to benefit from strength […]