State tax collections fall short again: A report by the Kansas Association of School Boards

State tax collections fall short again

The state again fell short of tax collection estimates — this time $10.5 million for the month of August.

The shortfall exacerbates the state’s budget problems and public school funding makes up approximately half of the state budget.

July, the first month of the fiscal year, was $14.3 million short of projections; in June, the state was $34 million short and in May, $76 million.

During the last fiscal year, revenues fell short nearly every month and Brownback ordered nearly $100 million in spending cuts, including cuts to higher education, health care and children’s programs, and delayed pension and school payments.

Concerning the August totals, Kansas Department of Revenue Secretary Nick Jordan, said, “Individual income taxes beat estimates for the second month of the fiscal year, which is encouraging, but corporate, sale and use tax receipts continue to lag pulling down the overall totals.”

He said sales tax receipts have been hit hard by slumping oil and agricultural prices.

Jordan said Gov. Sam Brownback’s administration has assembled an external review team of accountants and bankers to review the way the state estimates revenue. The group will present its findings to Brownback in October.