Quantcast
Get breaking news alerts via email

Click here to manage your alerts
Economy rebounding, but legislators playing it safe
Budget » Lawmakers say tax collections don’t account for the whole picture.
First Published Feb 19 2013 07:07 pm • Last Updated Feb 20 2013 02:36 pm

Utah’s economy is continuing its climb out of the recession, new revenue figures show, but legislative leaders are cautioning that impending budget cuts in Washington make it too early to rejoice.

"Don’t go out and celebrate and say we’ve got tons of money," said Senate budget chairman Lyle Hillyard, R-Logan.

Join the Discussion
Post a Comment

Income, sales and other taxes have come in nearly 11 percent higher than forecast for the first seven months of the fiscal year, according to the most recent figures released this week.

The new revenue figures from the Utah State Tax Commission come days ahead of the Legislature and governor’s anticipated release of their new budget forecast for the coming year, which will be the numbers used to build the budget for state programs.

While the robust growth would appear to be a sign of economic health, House Speaker Becky Lockhart, R-Provo, cautioned that the situation in Congress, with $85 billion in automatic budget cuts due to kick on March 1, the Legislature will proceed cautiously.

"It’s misleading … because it doesn’t take into account any of the other economic factors that are out there," Lockhart said. The big unknown is what steps Congress will take "and how they will impact the [revenue] numbers."

Senate President Wayne Niederhauser, R-Sandy, said he has been in the Legislature in good times and bad.

"I feel more uncertain about forecasts this year than I ever have before just because of what’s happening in Washington," he said.

Income tax, which is earmarked to fund education, came in 13.7 percent higher than expected and sales tax revenue was 5.5 percent ahead of forecast figures.

Liquor and cigarette taxes were slightly lower than anticipated and severance taxes from the production of oil gas and other minerals, was 26 percent lower than expected. Gas taxes were also down slightly.


story continues below
story continues below

Herbert and the Legislature are planning to release updated budget projections on Feb. 25. Lawmakers hope subcommittees will wrap up their budget recommendations by March 8 so the full budget can be put together by the time the Legislature adjourns March 14.



Copyright 2014 The Salt Lake Tribune. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Top Reader Comments Read All Comments Post a Comment
Click here to read all comments   Click here to post a comment


About Reader Comments


Reader comments on sltrib.com are the opinions of the writer, not The Salt Lake Tribune. We will delete comments containing obscenities, personal attacks and inappropriate or offensive remarks. Flagrant or repeat violators will be banned. If you see an objectionable comment, please alert us by clicking the arrow on the upper right side of the comment and selecting "Flag comment as inappropriate". If you've recently registered with Disqus or aren't seeing your comments immediately, you may need to verify your email address. To do so, visit disqus.com/account.
See more about comments here.
Staying Connected
Videos
Jobs
Contests and Promotions
  • Search Obituaries
  • Place an Obituary

  • Search Cars
  • Search Homes
  • Search Jobs
  • Search Marketplace
  • Search Legal Notices

  • Other Services
  • Advertise With Us
  • Subscribe to the Newspaper
  • Login to the Electronic Edition
  • Frequently Asked Questions
  • Contact a newsroom staff member
  • Access the Trib Archives
  • Privacy Policy
  • Missing your paper? Need to place your paper on vacation hold? For this and any other subscription related needs, click here or call 801.204.6100.