Blog

Four Charts on Washington Personal Income

Yesterday the Bureau of Economic Analysis updated its estimates of state-level personal income, with numbers through the 2nd quarter of 2011 (BEA press release). The new numbers show that the recession in personal income was longer and deeper than previously thought. Here are updates, using the new data, of 4 charts I posted last March.

Arkansas' Budget System and Prioritization

Arkansas, apparently, is one state that has managed to weather the recession fairly well.  Stateline has an article today about the state's budget process, which is quite interesting: Every two years lawmakers pass a list of appropriations, and agencies project what they will need to run their programs. Then those funding requests are divided into […]

New Brief: SJR 8206: A Prudent Savings Measure

In our new brief, we take a look at SJR 8206 — a constitutional amendment that will be on the ballot in November. The amendment would save any extraordinary revenue growth (growth that exceeds by one-third the average revenue growth over the prior five biennia) in the Budget Stabilization Account.  Years in which there is […]

State Analysts and WRC Agree: I-1183 Generates Positive State/Local Revenues

We have posted a Policy Brief titled State Analysts and WRC Agree: I-1183 Generates Positive State/Local Revenues. Here is a link to the brief.

Grappling with a $2 billion state budget shortfall

Yesterday’s official revenue forecast confirmed expectations that deteriorating economic conditions have plunged the state budget into a deep hole. The loss of $1.4 billion in anticipated revenue collections, combined with the need to build reserves, means lawmakers confront a problem approaching $2 billion. How they will handle is so far unclear. While it’s likely a […]

More on the Forecast: Balance Sheet

Here is a general fund-state balance sheet incorporating the new forecast. The projected GF-S ending balance for the 2011-13 biennium is negative $1.555 billion. Counting the $280 million expected ending balance for the budget stabilization account, total expected reserves are negative $1.275 billion. Deciding not to shoot the messenger, the members of the Economic and […]

September Revenue Forecast: Down $1.4 Billion

The state Economic and Revenue Forecast Council is meeting right now. The baseline forecast for the general fund-state account is down $1.413 billion from the June forecast. An alternate baseline, which assumes slower growth in national GDP in 2013, is down $1.429 billion from the June forecast. Here is a link to the press release.

Overpayment of Unemployment Benefits in WA

In a blog post yesterday, the Wall Street Journal (WSJ) reported that the U.S. Department of Labor (DoL) has released data on overpayment of unemployment benefits.  As part of a plan to lower these overpayments, DoL will target certain states with high overpayment rates–including Washington. Nearly $19 billion in state unemployment benefits were paid in […]

Revenue collections report offers a bleak preview of Thursday's forecast

The economic and revenue forecast council’s latest collections report is available here. Here’s the crux: Major General Fund-State (GF-S) revenue collections for the August 11 – September 10, 2011 collection period were $9.5 million (0.9%) below the June forecast. Cumulatively, collections are $40.2 million (1.2%) below the forecast. Even though revenues have so far been […]

New pension assumption will increase pressure on state budget

  As Brad Shannon reports in the Olympian, suggestions made by the state actuary for improving the solvency of the state pension system will result in a further squeeze on the state’s troubled budget. In a new report, actuary Matt Smith recommends that lawmakers lower rate-of-return expectations on pension investments to about 7.5 percent over […]