State Budgets: Missouri Uses Some of Past Surplus But Not Enough to Close Shortfall
December 28, 2008
In May, legislators approved and Gov. Matt Blunt (R) signed an $8.94 billion budget with a $700 million shortfall, expecting tax growth to continue and to use $833 million in surpluses. Instead, corporate income taxes are down 14%, sales taxes are down 8%, with income taxes basically flat at 1% growth. Gov.-elect Jay Nixon (D) has proposed using $281 million from the surplus to close part of the now-$621 million shortfall and will outline the remainder when he takes office on January 12.
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