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Flat Growth in State Budget Causing Some Concerns

State budget officials say they are paying close attention to revenue as the state budget sees a flat growth at the start of the fiscal year.Budget director Mary Lassiter says in her monthly briefing that August revenues ticked up, helping make up 2 percent of losses in July. But that leaves revenues flat, while forecasters had expected an almost 3 percent growth this year.Lassiter says while warning alarms aren’t going off yet, steady declines in income and sales taxes is giving her office causes for concern.The state budget year runs from July to June, giving the state until next summer to make up the flat growth. 

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