State lawmakers learned in a budget briefing this morning that state revenues ran about $285 million ahead of projections for the first six months of the current budget.
Fiscal research staffer David Crotts warned legislators that figure cannot be used to predict a full year surplus, but he suspects the numbers for January through June will also look good (largely because of cautious projections in the budget).
Crotts and colleagues warned a slowdown in the housing market could have budget implications. Fiscal research staff also warned that rising Medicaid costs could have long-term budget implications.
Here are some sound bites from the proceedings:
David Crotts:
- Revenue projections could limit but not eliminate a structural budget deficit.
- Cautious revenue projections in the current budget could give lawmakers a cushion to deal with the budget hole.
- A decline in the N.C. housing market could affect revenues.
Barry Boardman:
- The housing slowdown could be catching up to North Carolina.
- A housing slowdown would affect other sectors.
Karen Hammonds-Blank: