Idaho state revenues up 5.9 percent in fiscal 2012, 1.5 percent over projection

Gov. Butch Otter's office issued a news release Friday morning saying tax receipts in the 12 months ending June 30 reached $2.587 billion, up 5.9 percent from fiscal 2011 and 1.5 percent above the state economist's January projection.

“I’m grateful that Idaho’s economy continues to improve and that more Idahoans are finding work,” Otter said in the release. “I am also pleased that we have been able to set aside almost $75.5 million for future rainy days. We begin fiscal 2013 with a lot of uncertainty about the national and global economies and fiscal policies, but with a higher level of certainty and stability in Idaho’s State government. That should translate into still more opportunity for growth and future prosperity here at home.”

Otter noted that the extra revenue does not constitute a surplus, with most of the excess designated by the Legislature to be shifted to state savings accounts.

The news release and a fact-sheet follow:

STATE BUDGET YEAR ENDS BETTER THAN EXPECTED

IDAHO IS FISCALLY WELL POSITIONED FOR THE FUTURE

(BOISE) – Governor C.L. “Butch” Otter announced today that the State ended fiscal year 2012 on June 30 with more General Fund revenue than expected.

The State received $2.587 billion from all forms of tax receipts in the past 12 months. That was almost $35 million more than the most recent Division of Financial Management projection in January, and 5.9 percent ahead of total tax receipts in the prior fiscal year.

It should be noted that additional revenue does not translate into a “budget surplus” since the State already has in place a mechanism to address these additional funds. Acting on the Governor’s recommendation, the Legislature enacted provisions transferring most of the excess revenue into the Budget Stabilization Fund – the State’s primary “rainy day” account.

“I’m grateful that Idaho’s economy continues to improve and that more Idahoans are finding work,” Governor Otter said. “I am also pleased that we have been able to set aside almost $75.5 million for future rainy days. We begin fiscal 2013 with a lot of uncertainty about the national and global economies and fiscal policies, but with a higher level of certainty and stability in Idaho’s State government. That should translate into still more opportunity for growth and future prosperity here at home.”

“Idaho’s fiscal records are in good order and, in accordance with State law, Idaho’s budget is balanced,” said Brandon Woolf, acting State Controller. “By wisely managing our resources during the recent economic downturn, Governor Otter and the Legislature have positioned Idaho to embrace opportunities for economic growth as the recovery continues to take root.”

Detailed information on State revenues, Idaho’s rainy day accounts and other budget activities are available from the Idaho Division of Financial Management at www.idaho.dfm.gov.

A one-page Q&A fact sheet accompanies this release.

End of Fiscal Year Questions & Answers

What were the State General Fund revenues in the fiscal year ending June 30, 2012 and how did they compare to the forecast?

General Fund revenue for FY 2012 totaled $2,587,713,300. This represents growth of 5.9 percent over the prior fiscal year. The State Economist had predicted 4.4 percent growth, or $2,552,724,200. Accordingly, the State General Fund revenue was $34,989,100 more than had been forecasted.

Does that mean the State has a surplus?

No. Acting on the recommendation of Governor Otter, the Legislature passed H 702 (chapter 337, 2012 Session Laws), which, after making certain other adjustments, directs excess revenue to be deposited into the Budget Stabilization Fund, the State’s main “rainy day” account. This transfer was made prior to the end of the fiscal year and is reflected in the figures below.

How much money now is in the State’s “rainy day” accounts?

The State has four main savings accounts: Economic Recovery Reserve Fund (ERRF); Public Education Stabilization Fund (PESF); Higher Education Stabilization Fund (HESF); and the Budget Stabilization Fund (BSF]. Here are the account totals as of June 30, 2012:

ERRF: $55,890

PESF: $36,967,877

HESF: $367,129

BSF: $23,869,018

Total all funds: $61,259,914

In addition to the amounts listed above, Idaho Code requires deposits to BSF whenever State General Fund revenues grow more than 4 percent. Accordingly, the state will deposit another $25,877,100 into BSF in FY 2013.

Including the FY 2013 BSF transfer, the State has added $75,462,545 to the four accounts listed above in the past year (since July 1, 2011].

What parts of the revenue stream performed well? Where there areas that underperformed?

A detailed summary of each portion of the General Fund revenue is provided in the Idaho General Fund Revenue Report which is issued monthly and available in the publications portion of the Idaho Division of Financial Management Web site located at www.dfm.idaho.gov.

Pretty funny how

last time there was 'extra' money they claimed there was a surplus. So they gave the wealthy a $35 million tax break.

There is also the matter of the $200 million in bonds that have to be repaid by 2015 that they keep 'forgetting' to bring up in their little pat-us-on-the-back speeches.

i wonder if...

will they rehire all the teachers they let go; or will they keep sending out the 15 man road crews to wash country roads that see 10 cars a day? (not exaggerating)

FYI

First of all, the teachers are hired by the school districts not the state and the road crew are either city, county or highway district.

This news will

This news will increase the need to cut taxes for the rich and fire teachers. sarc/

Thanks

GOP.

See. I told You So

Republican run states do better while Democrat States are on the verge of coming apart. Republicans know something, and Democrats do not. Democrats should pay attention. The first step is to dump all those unions. The next is force teachers to do their jobs first and drop all the Socialist crap. After that is to keep taxes low for everyone.

JLF is off his rocker again

I wish you would step away from juice for a bit. Look at Maryland, which is a dominated Dem strong hold and they have raised taxes instead of slashing jobs and they have been doing well. Kansas gave tax cuts and their credit rating has been lowered and wondering where to get the other revenue.

Unlike what Fox News and Conservative Radio states, it is not always "Dems are bad GOPers are good" and vice versa because facts speak differently which is usually means it's somewhere in the middle.

Read the article here: http://www.nytimes.com/2012/07/11/us/as-state-revenues-begin-to-comeback-maryland-and-kansas-choose-different-paths.html

Quit being such a blowhard for your viewpoint.

By the way, when people such as yourself blame unions, so called "Socialists," etc for all that is wrong it makes you look ill-informed and foolish.

MD is broke, and is marked as the next RI/Ill.

You can see the Lexus's pulling U-haul's into Pa. all night long. I hope they stay in Edge City.

The NYT? Are You Drunk?

The NYT is THE mouth piece of the Obama administration. They are about as objective as Pravda. Put the booze down, take a nap and ask a grown up for help in putting your shoes on.

It's only Welches Concord Grape...

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You fry wants with that?

On JLF's point, check out the Rust Belt's GOP example.

Madison to Trenton, six states with former Democrat Governors, now with Republican Governors. These 6 Governors are climbing out of fiscal nightmare they inherited by the previous Democrat administrations.

The public sector employees raiding of the state coffers has been turned around in our area.

We Rustbelters are mainly blue or purple states but we have realized that Democrat Governors and Democrat State Houses don't have the discipline to govern.

.

Dems Hate That..

I mean a reality check that is. This absolute goof says the Dems have better run cities and states is just plain garbage. I am amazed at how Democrats can live in this fantasy world where Obama and his Democrat thugs are perceived as heroes. Where did they go to school anyway? Who taught them this utter unbelievable farce?

You really don't know any

You really don't know any teachers do you? You just repeat crap that you have read or been told. Until you have walked in someone else's shoes you have no room to speak!

savings/surplus = over taxation

Can we shoot them or something...ppppppp

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You fry wants with that?

A surplus?

I guess that means another education cut and tax break for Idaho's wealthiest are soon to follow.

We're lucky we live in a red

We're lucky we live in a red state where this is possible and NOT in a place like California where it's not.

We're lucky we live in Idaho,

but it's not all roses and blue skies in the red states; higher divorce rates, higher teen pregnancy rates, higher rates of STDs, lower incomes, and higher High School drop out rates are nothing to brag about.

This whole red state/blue state thing isn't black and white.

I ain't had a shot at an STD in nine years, sonny.

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You fry wants with that?