Minnesota's Long Term Budget Outlook Remains Strong
Minnesota's fiscal year 2016-17 revenues are now forecast to be $42.718 billion, a $90 million (0.2 percent) increase over end of session estimates. This brings the forecast balance to $1.871 billion, up from $865 million at the end of session. Current law allocates $71 million to environmental funds and $594 million to the budget reserve, leaving an available balance of $1.206 billion.
The current balance is attributed to higher expected sales and corporate taxes which offset lower income tax forecast, coupled with lower expenditure growth in the human services sector. The improved budget outlook continues into the future. Without adjusting for inflation, there is a structural balance of $2.046 billion for FY 2018-19.
For more information, please visit the Minnesota Management and Budget web site.
The Government Solutions team at Stinson Leonard Street provides a complete range of services to clients who need to interact with government at all levels, including businesses, trade associations, nonprofits and citizens' groups. If you have questions specific to the budget forecast, please don't hesitate to contact Paul Cassidy, Andrew Chelseth, Jeremy Estenson, Margaret Reynolds or Suzanna Kennedy.