Governor Revises Revenue Projections by about $119 Million

Press Release

Governor Brian Schweitzer announced that stronger than predicted year-to-date revenue growth has enabled the upward revisions of revenue estimates by about $119 million. The Governor will set aside the additional revenue in the savings account, growing the ending fund balance to over $238 million.

"This is a balanced budget that invests in education to create a workforce that is prepared for higher paying jobs with one of the largest savings accounts in history and provides historic tax relief to businesses and homeowners to create jobs, today," said Governor Schweitzer.

The Governor's Office of Budget Program and Planning (OBPP) revised its growth rate based on 11 years of historic data and errs on the conservative side by predicting a growth rate of just 6.43%. As of December 1st, data collection shows that over the first five months of the fiscal year state revenue has been twice the OBPP projected rate at 12.37%.

"The numbers are in the books. Montana's economy in strong: a record wheat crop at record prices, palladium is up over $750 an ounce, copper hit record prices, and gold is around $1,380. We have expanded coal, oil and gas production with record wind energy development and major transmission line construction ongoing. All are strong signs and a testament to the hard working people and businesses in Montana," said Governor Schweitzer.

The Governors is proposing that the additional revenue not be spent, instead increased the projected ending fund balance to over $238 million, one of the highest ever recommended to the legislature.

"We are one of the only states that has money in the bank, is maintaining funding for critical services, investing in education, and providing tax relief to create higher paying jobs," Schweitzer said. "This is a pro-family, pro-business, and pro-job creation budget."

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