Tuesday, January 13, 2015

State officials say Kentucky is on pace to meet budget

(AP) - Kentucky's chief budget officer said the state is more likely to avoid a deficit after solid growth in tax collections through the first six months of the fiscal year.

State Budget Director Jane Driskell said the state's money from income and sales taxes and fees grew $5 million in December. So far, Kentucky's general fund revenue has increased 3.5 percent from last year through December. The state's $9.8 billion spending plan assumes the state's revenues would grow 3.6 percent by the end of June.

Kentucky ended the 2013-14 fiscal year with a $90 million shortfall.

Driskell said the state's gas tax collections grew by $123.6 million in December. Collectively, the road fund has grown by 1.1 percent through December. But officials expect that number to drop as the gas tax fell 4.3 cents in January.

(Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)