Boomtown! State Budget Shows Growth

For those of you who watch such things, get ready for some really big state revenue surpluses for the current budget year – a prelude to GOP Gov. Gary Herbert’s budget release Dec. 5.

The Utah State Tax Commission’s TC23 report for the first four months of this budget year shows revenue growth, year over year, of 13.8 percent for September and 11.2 percent for October.

For the current budget to break even come the fiscal year’s end, June 30, the average growth needs to be only 1.9 percent in taxes paid.

Unless the Utah/U.S. economy falls off a cliff early next year, Utah state government is going to end up with hundreds of millions of dollars in revenue surpluses for this year alone.

These numbers are for the current budget year, fiscal 2018-2019, which runs from July 1 of this year to June 30 of next year.

Early next month, Herbert will release his budget for the NEXT fiscal year, which starts July 1, 2019, and runs to June 30, 2020.

Lawmakers will adopt that budget in their 45-day general session, which starts Jan. 28.

But Herbert will also update the current year’s revenue projections – and those are the numbers the current TC23 report reflect from June 30 up through the end of October.

 

Read the full article here.

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Utah Policy Tue, 12/04/2018 - 08:28