April State Revenue Forecast Preview
Legislative leaders referred to the April revenue forecast as key in budget negotiations earlier this session, but as the forecast’s release gets closer, its potential impact is being downplayed. Indiana Public Broadcasting’s Brandon Smith reports:
The April revenue forecast, which predicts the strength or weakness of state revenue growth in the coming months and years, was publicly considered vital to determining the outcome of budget negotiations and particularly the fate of Governor Pence’s income tax cut proposal. But now, Senate President Pro Tem David Long says the forecast’s biggest impact will likely come only if the predictions are dire:
“You know, with our unemployment situation and with a lot of unknowns still with the economy – it is flat lining right now – that could mean that we have to rethink our tax cuts.”
House Ways and Means Chair Tim Brown says what he’s most interested in is changes from the December forecast to the April forecast:
“Is our economy in this fourth quarter looking like it’s still crawling out of the recession or is it flat lining or is there even the possibility that there’s decline of economic activity in the first quarter?”
The answer to those questions will be unveiled Tuesday morning when the April forecast is released. For Indiana Public Broadcasting, I’m Brandon Smith.