Washington Revenues Show Slow And Steady Recovery

Sep 18, 2013
Originally published on September 18, 2013 3:40 pm

Slow and steady. That’s how Washington’s chief economic forecaster sums up the recovery in state revenues.

The new forecast released Wednesday projects Washington will collect an additional $345 million over the next two years. About a third of that is because of changes in state tax law.

The rest, Chief Economist Steve Lerch attributes to factors like: a 17-percent year-over-year increase in auto sales.

“If you drive around you see a lot of temporary license plates in windows, there are a lot of people out buying cars," Lerch explains. "That is good news. That has a big, positive impact on general fund revenues.”

But Lerch cautions there are significant downside risks to his new forecast. At the top of that list: what happens in Washington, DC in terms of the potential for a government shutdown if Congress can’t agree on a budget.

On the Web:

Washington Revenue Forecast - Economic and Revenue Forecast Council 

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