State Senator John Stinner of Gering says the drop in tax receipts reported by state revenue officials last week was not a surprise, and it was actually better than he had expected.
Corporate and personal income taxes were down about $300 million from projections after the Governor moved the filing deadline from April to July 15th.
Stinner, the chair of the Legislature’s Appropriations Committee, tells KNEB News he would rather wait a few more months to see details of the virus pandemic impact on the current budget. “I’d like to wait until August so we can see what has happened in June,” says Stinner. “That $305 million needs to show up in July, and I have some fears that, even though taxes are due (July 15th), those businesses may be out of business, out of money or something along those lines.”
Stinner says if the Legislature can wait until later, they’ll have a better chance to track those changes, as well as getting more solid figures on sales, employment and other taxes. He says a lot of what lawmakers can do will depend on the shape of the economic recovery as the months progress.
Stinner says there will be work for his colleagues to do, with the rainy day fund falling to about $455 million, below the level he would like to maintain, and any legislation with a fiscal note will likely need to wait for a future legislative session.