The Nebraska Economic Forecasting Advisory Board voted to lower revenue projections during an Oct. 27 meeting at the State Capitol. The board provides an advisory forecast of general fund receipts used by the Legislature to craft the state’s budget.
Revenue projections for the current fiscal year and FY2018-19 were lowered, primarily due to anticipated decreases in individual income tax receipts of $115 million in FY2017-18 and $125 million in FY2018-19.
Total projected revenue receipts for FY2017-18 were lowered to $4.5 billion, a decrease of $100 million. Projected total revenue receipts for FY2018-19 were set at $4.7 billion, a decrease of $123 million.
The end result of the revised forecast is a projected general fund financial status that is $194.4 million short of the minimum statutory cash reserve.
Results of the forecast and other pending adjustments will be reviewed during a mid-November meeting of the Tax Rate Review Committee.
The next Nebraska Economic Forecasting Board meeting is scheduled for Feb. 28.