Texas Comptroller Raises Revenue Estimate

Steven Pickering
July 11, 2018 - 3:46 pm
Money, In God We Trust

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DALLAS (KRLD) - The state's booming economy and higher oil prices are boosting sales tax revenues for the State of Texas.

State Comptroller Glen Hegar tells state lawmakers in Austin that his revenue estimate for the current two-year period is going up by about $2.7 billion.

"Economic growth this fiscal year has exceeded our previous expectations", Hegar said. "Both the Texas and national economies have been strong in recent months. Texas has also benefited from rising oil prices and production volume and the economic activity associated with it. Job growth has been strong, with the state adding more than 350,000 new jobs in the last 12 months. The state's unemployment rate has been  at or near historic lows for much of this fiscal year."

The economic surge means the state will be able to transfer more money into the State Highway Fund next year. However, Hegar cautioned lawmakers against making any other plans for spending the additional revenue.

"This ending balance of $2.7 billion does not include any supplemental appropriations that you may need to make for the 2018-19 budget. There are likely to be substantial needs...including Medicaid and Harvey-related expenses."

Hegar's office estimates that the costs to the state associated with recovery from Hurricane Harvey could reach $1 billion, depending on decisions made by state lawmakers.