Kansas Revenues Shirt of Projection for Septembers
September 30, 2014

(AP) – Kansas says its tax collections fell $21 million short of expectations in September.

The lower-than-anticipated collections were disclosed Tuesday in the state Department of Revenue’s monthly preliminary revenue report. The development could cause a short-term increase in the state’s predicted budget shortfall of $238 million by July 2016.

The department emphasized that even with overall taxes falling short, the state saw higher-than-expected corporate income tax collections.

The state anticipated collecting $542 million in taxes in September and instead took in $521 million, a difference of 4 percent.

Since the fiscal year began in July, the state has collected about $1.35 billion in taxes, against expectations of $1.37 billion. The difference there is $23 million, or 1.7 percent.

The biggest shortfall is in personal income tax collections.

The Democrat for Governor, Minority Leader Paul Davis says the report proves Governor Sam Brownback “economic expiiriment isn’t working and it’s not going to work,”

Kansas’ Latest Revenue Report Dues Tuesday
September 30, 2014

(AP) – Kansas officials are waiting for word on whether state tax collections in September met expectations.

The state Department of Revenue’s report Tuesday afternoon was expected to renew a political debate over massive income tax cuts enacted at Republican Gov. Sam Brownback’s urging. Brownback says the tax cuts are stimulating economic growth, but critics contend the reductions are wrecking the state’s finances.

The Legislature’s nonpartisan research staff is predicting that the state will face a $238 million budget shortfall by July 2016, even if tax collections meet the state’s official projections between now and then.

Kansas’ tax collections in July and August combined met expectations, but the collections in April, May and June fell a total of $334 million short of expectations.

Brownback Says They’Ve Found extra State Money
September 23, 2014

Kansas’ incumbent Republican Governor Sam Brownback says his administration has found about $100 million in “efficiencies” . Brownback told KMBC TV in an exclusive interview the money does not come from program cuts.
“We’ve already found–we’re going to be announcing this this week–we think, another 10 million dollars of efficiencies in state government,” Brownback said.
Earlier this year, the non-partisan Legislative Research department estimated the state would be facing a $238 million dollar shortfall without added money.
“This is nothing new to me,” The Governor noted of the budget shortfall. He was talking about a large budget hole he confronted when he first took office in 2011. Bornwback as cut back the number of employees and reduced some state programs because of the budget crunch.
“We’re going to be able to handle this and get on through it,” Brownback said.
Brownback was in Overland Park Tuesday afternoon for an official gubernatorial stop, as opposed to a campaign visit.
He participated in the official ribbon cutting for the expansion of the Black and Veatch engineering firm headquarters.
Brownback’s two years of tax cuts are a central issue of the campaign.
Two leading credit rating companies, Moody’s and S&P’s have downgraded Kansas’ bond rating this year, citing concerns about the state’s finances.

Kansas Revenue Report 1% Off
August 29, 2014

(AP) – A new report says Kansas collected $4 million less in taxes than expected in August.

The Department of Revenue said Friday the state took in $421 million in taxes, about 1 percent below the official forecast of $425 million.

The department called revenues flat but said there are signs of economic growth in the figures. Corporate income tax collections exceeded expectations for the month.

The state saw a slight surplus in tax collections in July. Since the current fiscal year began July 1, the state has collected about $829 million in revenues, against projections of nearly $832 million. The difference is about $2.4 million, or 0.3 percent.

The numbers are likely to renew a political debate over massive income tax cuts enacted at Republican Gov. Sam Brownback’s urging.

Financial Firm Downgrades Kansas’ Rating
May 2, 2014

KC Star:
TOPEKA — Plummeting revenues, underfunded pensions and millions in court-ordered school spending led Moody’s Investors Service on Thursday to cut the state’s credit rating by a notch.

The ratings agency slightly lowered the state’s credit rating because of mounting financial pressure on the Kansas state budget, partly from massive income tax cuts that Republican Gov. Sam Brownback signed into law in 2012 and 2013.

Moody’s dropped the state from its second-highest rating of Aa1 to its third-highest rating of Aa2. Thirteen other states share the same rating as Kansas. Now 29 states have higher ratings. The last state that Moody’s downgraded was Illinois in June.

The rating cut could lead to higher interest rates on state borrowing, but leading lawmakers said Thursday they didn’t believe that would happen.

Some observers feared the downgrade heralds dire financial times after the massive income tax reductions.

“A well-respected and informed entity that looks at whether government operations are sound has just given us a lower grade,” said Bernie Koch, executive director of the Kansas Economic Progress Council, a group made up of chambers of commerce and businesses across the state. “That should be of great concern.”

The dip in the state’s credit rating comes in the wake of sharply dropping revenue figures released Wednesday. Brownback and other state leaders blamed those numbers on economic policies of the Obama administration.

Read more here: http://www.kansascity.com/2014/05/01/4996352/kansas-bond-rating-dips-as-revenue.html#storylink=cpy

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