Just came over the GONGWER wire:
Latest State Revenue Figures Point To Year-End Surplus Of $400 Million
Much consternation surrounds the next state budget due mainly to the loss of federal stimulus money, but outgoing Gov. Ted Strickland’s administration on Thursday announced what may amount to a lovely parting gift to the incoming governor.
With the latest monthly revenue report showing that tax receipts have again exceeded expectations, the Office of Budget and Management announced that the state ledger is on track for a surplus of $400 million.
"The resources are sufficient to either re-establish the state’s budgetary reserves or make all or a portion of the $544.9 million in payments to Medicaid providers, ICF-MRs, and state share of instruction to higher education institutions that were delayed as part of the HB 1 structure," Strickland spokeswoman Amanda Wurst said.
So far this fiscal year, tax revenues have exceeded estimates by $293 million, or 3.7%, and are beating last year’s pace by $511 million, or 6.7%.
Yes, Governor Strickland is leaving office with a projected $400 million surplus, an unemployment rate that is only the second one in the nation to have been dropping for as many straight months as it has, and for the first time in eight years, a State unemployment rate that doesn’t exceed the national average.
If there’s no recovery, then why are tax revenues this fiscal year beating the prior one by half a billion?