August 20, 2012

Department of Finance Revenue Update

On August 17, the Department of Finance (DOF) released their estimate of July state General Fund revenues. While their report was better than the Controller’s, it still reflected lower than the budget projected revenues for July.  Both the Controller’s and the DOF reports show California in a choppy economic recovery – doing better than projections in some months (such as June), and below projections in other months (such as July).  It is of course too early to say whether the budget projections are too high or too low; however, by the November election we should have a much clearer picture of whether the budget accurately projected General Fund revenues and California’s economic recovery.

~Dave Walrath