State revenues down by $336 Million Thursday, Dec 13 2012
1 5:06 pm
The state Revenue Estimating Conference just concluded its meeting. State General Fund revenue estimates have been reduced by $129 Million for the current fiscal year and by $207 Million for the fiscal year beginning July 1, 2013. The latter reduction means that the state’s “fiscal cliff” for FY’14 is now at approximately $1.2 Billion.
Should all of the Bush era Federal tax reductions expire, the state will lose another $200 Million plus in State Personal Income Tax revenues. Thus, the above reductions should be viewed as the best-case scenario.
This will be the 5th year in a row that the leges have allowed Bobby Jindal to convince them to overspend and the 5th year in a row that state agencies face mid-year budget cuts. It’s a classic definition of insanity — doing the same thing over and over, but expecting different results.
Where the $129 Million in cuts will be made in the current budget is anyone’s guess. The public which is most affected by the reductions is treated like mushrooms by the Jindal Administration — kept in the dark and covered with manure.