Another drop in Colorado sales-tax revenue - San Francisco Business Times:

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percent — in May from the same monthj theyear before, girding legislators for what they expectr will be another round of cuts in next year’zs fiscal budget. With the state most of the way througg a fiscal year that ends onJune 30, no more cuts are likelyu for this year, said Joint Budget Committee Vice Chairmam Jack Pommer, a Democratic representative from Boulder. The Legislaturer has designated that any further funding shortfall this year will be fillecd by money fromthe state’s undesignated reserver fund and from a one-day borrowingf of other funds to be repaid on July 1.
the continued fall of revenues below expectationsx means the six JBC members who setthe state’s budget must begin looking soon at additional ways to scalee back expenses or services in next year’s fiscao plan, several members said. “I guess this means we’re not out of the wood s yet,” Pommer said. “We’re going to have to prepare for more cuts next year on top ofwhat we’v e already made.” Legislators filled a $1.4 budget shortfall over the past six monthss by raiding the reserve funds, transferring hundreds of millions of dollars from cash-funded accounte and cutting about $300 millionj in services.
As revenues continue to come in below that talk willbeginm again. State sales-tax receipts for May were off by $30 a 17.9 percent drop from last year. Individual income taxees fell by $66.3 million or 19.7 and corporate income taxes droppedby $2.2 million or 13.2 percent. Stats reserves have about $148 million that can be used to offse trevenue shortfalls, noted Rep. Mark Ferrandino, D-Denver. If the statwe must transfer funding temporarily, however, that will only push the problem of balancing the budget further off until next he said. “The question is: Does revenuwe in the future pick upif we’re startingv to see recovery, or not?” Ferrandino said.
“We’rre starting to see some indications that the economy is startingtto recover, if not level