Despite increasing tax collections beyond expectations set in September, the state’s revenue forecast through the end of the 2013-15 budget cycle fell by $80 million according to a report released this afternoon.
That’s due to a slightly weaker forecast of economic activity. The quarterly report, issued by the state’s Economic and Revenue Forecast Council, increased expected revenues by $8 million for the current two-year budget cycle but decreased expected revenue by $88 million for the new one that begins July 1.
It’s a relatively small change in the context of what figures to be a $32 billion biennial state budget.
Gov. Chris Gregoire will use this forecast to write the budget proposal she’ll release next month. Her budget office released this press release pegging the state’s budget shortfall for the 2013-15 budget cycle at $900 million. That’s before any new spending on K-12 education to comply with the McCleary Supreme Court ruling is contemplated.