New Jersey will get about $250 million less revenue than Governor Chris Christie projected for this fiscal year and next because of lagging retail sales taxes, according to a copy of a legislative analyst’s report provided by a person who received it before its release.
In the budget year ending June 30, New Jersey will collect $27.6 billion, about $82 million less than Christie projected March 16. The state will receive $28.1 billion, or about $168 million less than the governor anticipates in his $29.3 billion budget for next fiscal year, according to the forecast by David Rosen, legislative budget and finance officer.
“Reflecting the downbeat economic news, nearly all major state tax revenues have dropped, many to levels not seen in several years,” the report said. “Years of revenue growth have evaporated.”
From the Star Ledger:
Gov. Chris Christie’s grim budget forecast in March may not have been dark enough, with New Jersey revenue collections likely to come up $250 million short through June 2011, according to a nonpartisan report to be released Wednesday.
For the fiscal year starting July 1, OLS estimates revenue will be $167.7 million lower than the $28.3 billion Christie projected when he outlined his proposed $29.3 billion budget in March. Revenue for the fiscal year ending this June is projected at $27.6 billion, $81.7 million less than projected.
Treasurer Andrew Sidamon-Eristoff, who is scheduled to appear before the Assembly Budget Committee today, downplayed the importance of $167 million in a $29.3 billion budget and today said the administration will not update its estimates nor adjust its proposal.
“It’s real money, it’s significant, but it is a relatively small differential,” said Sidamon-Eristoff, who declined to answer more detailed questions before his appearance.