R.I. revenue exceeds projection by $62M

By PBN Staff
Twitter: @ProvBusNews

PROVIDENCE – A new economic forecast predicted that the Ocean State will take in $62 million more in revenue than expected this year, according to The Associated Press.

Rhode Island’s team of budget forecasters also predicted a $17.8 million increase in revenue for the 2013 fiscal year.

Roughly $17 million of this year’s surplus revenue came from taxes collected as part of the state’s two Powerball jackpot winners. The unexpected surplus is good news to lawmakers hoping to avoid budget cuts and tax hikes.

While Gov. Lincoln D. Chafee said the bump in revenue was good news for Rhode Island, he cautioned that the surplus will not offer long term help for the nearly $8 billion state budget, reported the news source.

Chafee said he wants to use the money on one-time expenses like roads, bridges, debt payments or economic development projects rather than as a “budgetary bandage.”

The state’s revenue forecasts, which are done twice a year, are used by the General Assembly to set the fiscal year budget.