February Budget Forecast

Created: 02/28/2013 12:20 PM KSTP.com By: Jennie Olson

A Statement from Commissioner Jim Schowalter

The February budget forecast shows a projected budget deficit of $627 million for fiscal years 2014-15.  This is an improvement of $463 million from the November budget forecast that showed a projected deficit of $1.1 billion.

Fiscal year 2012-13 is now projected to have a positive balance of $295 million.  Current law directs $290 million to buy back the K-12 school shifts, leaving a balance of $801 million remaining.  Also under current law, the residual $5 million is put towards the state’s budget reserve bringing that balance to $649 million.

The 2016-17 structural balance improves from $263 million in the November forecast to $782 million.