January tax collections below forecast

Minnesota Management and Budget says general fund revenues were $107 million below forecast in January. The agency says revenues are $45.5 million less than forecast for the fiscal year that runs from July 1 to June 30. The latest revenue forecast details the state’s tax collections for the past month.

The revenues, however, are only a portion of the state’s overall financial picture. The unknown piece is how spending is tracking. The December budget forecast said Minnesota had an $876 million surplus for the current two-year budget cycle.

Gov. Dayton and the Republican-controlled Legislature are waiting for the Feb. 29 budget forecast to determine if they’ll need to address any budgetary and spending decisions in the current session.

Here’s the document from MMB:

January 2012 Revenue Collections Memo (2)

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