'A Guessing Game:' State Revenues Re-Projected
The state Revenue Forecasting Commission says Maine will get an additional $40 million this budget year that ends July 1, but that projected increases in the next three years might have to be revised downward if the emerging Coronavirus triggers a recession.
Mike Allen of the Maine Revenue Services chairs the commission.
“After that, it’s just a guessing game and, like I say, I could come with stories all over the place about what impact this could have on state revenues.”
The Commission is required by law to project revenues over the remainder of the two-year budget and through the next two-year budget. Based on current indicators, that adds up to $139 million. But Commission members say they are only confident about revenues over the next few months, which mostly reflect income earned last year.
“A lot of that is already locked in, it’s based on what happened in 2019, which by all indications was a very good year for the Maine economy,” Allen says.