Arkansas tax revenues for October above forecast

Associated Press - November 4, 2008 12:54 PM ET

LITTLE ROCK, Ark. (AP) - State revenues for October came in above generally forecast, thought the figures arrived a day after Gov. Mike Beebe said the state has to brace for the effects of the nation's economic woes.

Net available general revenues were $1.555.7 million, year to date, which is $72.3 million or 4.9% above last year and $71.1 million or 4.8% greater than the state fiscal office had forecast.

The Department of Finance and Administration said Tuesday general revenues were above forecast because of increases in individual income tax collections and $13.7 million that was transferred from unclaimed property proceeds.

On Monday, Beebe cautioned that any surplus money in the legislative session that starts in January should be reserved to plug holes in the budget. Beebe said the state Medicaid program and prisons will likely receive additional funding, but other areas of government may have a tougher go finding more money.

Legislators have already begun fall budget meetings. A revenue forecast and budget proposal for the coming 2-year budget cycle are expected to be released Nov. 13.

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