Budget Blog

  • Governors Release Fiscal 2019 Budget Proposals As of February 14, 37 governors have released a new or revised budget proposal for fiscal 2019, which will begin on July 1, 2018 for 46 states (New York begins its fiscal year on April 1, Texas on September 1, and Alabama and Michigan on October 1). Over the coming months, 33 states will enact a new budget for fiscal 2019, including three states that will authorize a two-year budget covering both fiscal 2019 and fiscal 2020. Seventeen states previously enacted budgets covering both fiscal 2018 and fiscal 2019, some of whom will consider a revised (or supplemental) ... More

  • As a follow up to our recent blog titled New Federal Tax Law: Forecasting State Revenues & Conformity Decisions , NASBO staff reviewed the Congressional scorekeepers' analysis related to federal taxable income changes. Changes to federal tax rates have no bearing on state tax rates, but changes in federal taxable income, adjusted gross income, exemptions and deductions will impact state taxable income – and therefore, state revenues – depending on how a state’s tax laws conform to the federal tax code. Over the course of the next several months, each state will make decisions about their existing conformity ... More

  • There are many elements from the new federal tax legislation that can impact state tax revenues. This is due to the degree of linkage between federal and state personal and corporate income tax laws. States have begun the thorny task of analyzing the possible implications to their state revenues, and to consider the range of state conformity actions they will choose to legislate. There will be a wide range of forecasted state revenue impacts primarily due to the degree that states tie their personal income tax codes to federal law, and the states’ level of reliance on personal income taxes in their revenue structures. ... More

  • There are many elements of the House’s proposed Tax Cuts and Jobs Act that impact state tax revenues given the close linkage between federal and state personal and corporate income taxes. Below are some identified sections of the House’s bill that states will need to analyze to understand the financial implications to their state revenues, and to consider the range of state conformity actions they will choose to legislate, if enacted by Congress. Some state tax codes automatically conform to federal tax law changes unless they choose to specifically decouple through legislation. Other states conform to the federal ... More

  • 2017 Fall Meeting Presentations

    On October 5-6, NASBO held our 2017 Fall Meeting in Alexandria, Virginia. The conference focused on federal issues affecting states as well as timely state finance topics. Below are presentations made by the conference speakers. FEDERAL BUDGET UPDATE Marcia Howard , Executive Director, Federal Funds Information for States   NATIONAL ECONOMIC OUTLOOK Dan White , Director & Senior Economist, Moody’s Analytics   FEDERAL LEGISLATIVE DEVELOPMENTS Scott Pattison , CEO/Executive Director, National Governors Association     DISCUSSION OF KEY MEDICAID & HEALTH CARE ISSUES ... More