Tax Collections Prompt Another 5% Budget Cut

State Treasurer Scott Mecham said today that for a second, consecutive month less-than-estimated tax collections forced state officials to order a five-percent across-the-board cut in budget allocations to all state agencies.

Preliminary reports for collections in the month of August show General Revenue Fund collections totaled $335.2 million. That amount is $154.9 million or 31.6 percent below the prior year and $131.3 million or 28.2 percent below the estimate.

State Finance Director Michael Clingman ordered a continuation of the five-percent cutback in allocations to each state agency that was instituted in August. The five-percent reduction in September's allocation of annual appropriations represents a total cut of $21 million for the month.

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