Missourians flocked to the stores in December, causing a huge increase in the state’s sales tax collections that, in turn, has helped fatten the state government’s coffers more than expected.
State Budget Director Linda Luebbering on Thursday credited a rosier public mood – which apparently led to more holiday shopping – for a 25.9 percent increase in Missouri’s sales tax collections in December, compared to December 2012.
Missouri legislative leaders and Gov. Jay Nixon are disagreeing on what revenue estimates should be used in drawing up the state budget for the coming fiscal year – an argument that could affect the General Assembly’s deliberations when it goes back into session in a few weeks.
But the specifics of the budget dispute aren’t clear because most of the parties involved are commenting only through press releases and offering -- at least so far -- few additional details.
Updated at 4:55 p.m. with quotes from Gov. Nixon, Budget Dir. Luebbering, and several GOP legislative leaders.
Citing concerns that lawmakers will override his veto of an income tax bill, Governor Jay Nixon (D) announced today that he's frozen more than $400 million in spending from the state's budget for next year.
Governor Jay Nixon has launched a major public effort to support his veto last week of a bill that would have cut Missouri's individual and corporate income taxes.
The Democratic Governor appeared before college and university officials Tuesday morning in Jefferson City, telling them that the GOP-backed proposal is the single greatest threat to public education he's seen in his career.
If officials in Washington don't reach a deal to avert the "fiscal cliff," Missouri could see a hit to its economy and budget.
The Federal Funds Information for States estimates Missouri could lose $1 billion of Defense Department spending on contracts and military institutions if federal spending cuts take effect in the new year. The Washington-based organization estimates those automatic cuts also could result in a $125 million reduction in federal grants to state programs, such as public schools and early childhood programs.
Governor Jay Nixon (D) has decided to let state employees take the day after Thanksgiving off work this year.
The state’s latest general revenue report show that Missouri collected 7.5 percent more money last month than it did in October of last year, and State Budget Director Linda Luebbering says that’s part of the reason why state workers will get to stay home on November 23rd.
Missouri’s revenues rose more than expected during the month of May.
The state collected about $6.6 billion in revenue last month, compared to just under $6.4 billion in May of 2011. Governor Jay Nixon’s Budget Director, Linda Luebbering, credits most of the improvement to higher collections of state income and sales taxes.
“That's the good news, things are picking up," Luebbering said. "I think we do have to be cautious, still, because of what’s going on at the national and particularly the international picture, with European Union issues and everything that's going on globally that could have some bearing on the overall economy.”