Kentucky Budget Experts Predict Meager Income Growth
Top state budget staffers are predicting meager revenue growth over the next two years in the General Fund and a slight decline in the Road Fund, largely because of Kentucky's slow rebound from economic recession.
Government financial analyst Greg Harkenrider told a group of Kentucky's top economists on Thursday that collections from the individual income tax, the state's top revenue producer, is projected to rise between 1.6 percent and 4 percent in the next two fiscal years. That would help to offset projected declines in the coal severance tax and the cigarette tax.
Those latest projections were presented Thursday to economists serving on the Consensus Forecasting Group, a panel charged with predicting long-term state government revenues.