Once Again, State Tax Revenues Come In Below Forecasts, Raising Concerns About Upcoming Budget
Once again, for the ninth time in ten months, state tax revenues came in below estimates. And that's raising many questions among lawmakers trying to work out the upcoming state budget.
State budget director Tim Keen says that April’s preliminary numbers show revenues were $159 million below estimates, led by lower income and sales tax collections. “The story’s the same for the fiscal year – GRF tax revenues are $773 million, or 4.2% below estimates."
But Keen told the Senate Finance Committee that because of underspending, especially in Medicaid, he still thinks the state will end this fiscal year without having to make cuts. Keen says by his math, the House budget for the next two years cut $632 million of the $800 million Gov. John Kasich said needed to be cut from his budget. The rest of the cuts would be up to the Senate.