News Headlines Article

Fiscal analyst predicts more revenue than Brown’s plan
Sacramento Bee

The Legislature’s nonpartisan fiscal analyst estimated Friday that state revenue through June 2015 would be $2.5 billion higher than what is in Gov. Jerry Brown’s revised budget plan, including $2.2 billion in additional money during the coming budget year.

But the Legislative Analyst’s Office cautions that much of the additional revenue it forecasts would be consumed by larger obligations under the state’s constitutional school-funding guarantee. It also acknowledges that its revenue numbers might turn out to be wrong.

“While our best estimates right now are for general fund revenues to be over $2 billion higher than the administration’s projections in 2014-15, changes in asset markets and the economy could materialize that would result in less or more tax collections than our office now projects,” it wrote in Friday’s report.