It’s not quite real money, but Comptroller Kevin Lembo projects that by the end of the current fiscal year on June 30, 2014, the state will have a surplus of $11.2 million, based on the tougher, Generally Accepted Accounting Principles that was Gov. Malloy’s first executive order when he took office in January, 2011.
In a letter to Malloy Lembo agrees with the Office of Policy and Management’s (OPM) latest projection, which shows an uptick of $6.8 million over last month.
“If the current trends continue through the fiscal year, the state will likely meet its budget targets,” Lembo said. “The outlook is generally positive – both in revenue performance and spending control.”
Here’s the rest of Lembo’s release:
“OPM is anticipating that Fiscal Year 2014 General Fund savings, originally budgeted at $172.6 million, will increase by $26.8 million. The savings is partially offset by about $20 million in expected agency deficiencies. Lembo said the largest areas of savings are in debt service ($10 million) due to low interest rates, and the Department of Children and Families ($14.8 million) due to lower child placement costs. The anticipated deficiencies are related to two large insurance claim settlements, lower casino reimbursements and shortfalls in the Magnet School account.
Many of the economic indicators used in this report have been delayed due to the federal government shutdown. Updated data will likely be available next month.”