Economic forecasting board lowers revenue projections

In its final meeting before the Legislature begins debate on the state’s two-year budget, the Nebraska Economic Forecasting Advisory Board voted April 25 to lower revenue projections.

The board provides an advisory forecast of general fund receipts.

Revenue projections for the current fiscal year were lowered by $190 million to $6.245 billion. The adjustment was based on anticipated decreases of $150 million in individual income tax receipts and $40 million in corporate income and sales and use tax receipts.

Total projected revenue receipts for FY2025-26 were lowered to $6.865 billion, a decrease of $90 million. The adjustment was due to a projected $105 million decrease in individual income and miscellaneous tax receipts, offset slightly by a projected $15 million increase in corporate income tax receipts.

The board also set the forecast for projected total revenue receipts for FY2026-27 at $6.925 billion based on a projected $100 million decrease in individual income tax receipts.

The Legislature is expected to begin debate on the state budget May 6. The next board meeting is set for Oct. 31.