Tags: California | Controller | Revenue

California Controller: Revenue Jump Wards Off Crisis

Friday, 10 Dec 2010 02:49 PM

California revenue was $1.3 billion in November, or 19.4 percent higher than estimated in its recently enacted budget, Controller John Chiang said.

The better-than-expected receipts mean the most populous U.S. state will “not face an immediate cash crisis this fiscal year,” Chiang said in an e-mailed statement today.

Corporate-tax revenues for November were $263.8 million better than estimates, according to a summary the controller released. Retail sales and use taxes were $366.7 million or 11.4 percent above expectations, while personal income-tax revenues came in $629.2 million or 22.6 percent above estimates,

Some of the increase was from accelerated revenue that would otherwise have arrived during December, Chiang said in the statement. He urged lawmakers to adopt budget solutions by July that end the state’s reliance on short-term cash-flow borrowing. California’s budget gap may widen to $28.1 billion over the next 18 months, Governor-elect Jerry Brown said on Dec. 8.

“Without an honest, on-time budget, we could see a multi- billion dollar cash problem in the summer of 2011,” Chiang said in the statement.

Total receipts for November were $6.9 billion compared with $5.6 billion for the same month of 2009, according to the month’s cash receipts statement. Receipts for the fiscal year so far, July 1 through Nov. 30, came in at $33 billion versus $29.7 billion in the same period of 2009.

Total state spending for the fiscal year to date was $43.8 billion as compared with $42.3 billion in the same period last year, according to the statement. California relied on $10.7 billion in temporary loans to help make up the difference between revenues and expenses, the statement showed.

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California revenue was $1.3 billion in November, or 19.4 percent higher than estimated in its recently enacted budget, Controller John Chiang said. The better-than-expected receipts mean the most populous U.S. state will not face an immediate cash crisis this fiscal year,...
California,Controller,Revenue
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2010-49-10
Friday, 10 Dec 2010 02:49 PM
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