The state budget process began during the pandemic, when schools and businesses were closed, unemployment numbers were at double digits, and terrifying predictions of death tolls were circulating. A year later, the state and Ohioans are flush with , so the budget picture has changed a lot.
Gov. Mike DeWine鈥檚 budget director Kim Murnieks said she expects the state to have a surplus of $1.7 billion by the end of the fiscal year on June 30, and a $1.6 billion surplus in June 2022.
That鈥檚 $3 billion more than the deficit the state had predicted.
Murnieks had said last June that , and last summer . She had presented had received from their researchers, but said a few weeks later that it appeared the conditions had improved such that , which DeWine had , but one he wanted to hold off on.
, Murnieks had a warning for lawmakers on , who might want to increase the 2% tax cut in the House budget and the 5% cut in the Senate version.
鈥淚t is now even more important to carefully plan a portion of this budget as a one-time surge to address our citizens鈥� most pressing needs today, including the governor鈥檚 priority economic package and broadband and community infrastructure," Murnieks said. "Furthermore, given the uncertainties, OBM recommends that a significant portion of the additional revenue that we now forecast in this budget be carried forward in the state鈥檚 GRF [general revenue fund]as a buffer during these volatile times.鈥�
While all sales tax revenue is up 8.6% year-to-date, Murnieks said she鈥檚 concerned that revenues from .
The Legislative Service Commission, which does research for lawmakers, had slightly lower revised numbers, but still totaling more than $2 billion more over the two-year budget.
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