State budget officials say it appears South Carolina will fall just shy of its budget projections for this upcoming year, meaning roughly $10 million will need to be trimmed from this upcoming year’s spending.
The state Comptroller General’s Office announced Tuesday that, while South Carolina did receive an increase in revenue during the fiscal year that ended June 30, it was not quite as strong as budget analysts predicted.
When creating this year’s budget, the General Assembly had anticipated a 4.6 percent increase, but the Comptroller General’s Office said Tuesday the actual growth was 4.3 percent.
That means roughly $10.3 million in spending from a “supplemental appropriations” bill cannot be funded. That include $7 million for the State Aviation Fund, $1.1 million for the Office of the Adjutant General, and $1.6 million for improving pedestrian safety and visibility behind the Statehouse complex in Columbia.
Comptroller General Richard Eckstrom’s office warned there are warning signs of a slowdown, noting July 2016 monthly revenues were down 0.9 percent below a year earlier.
“It would be prudent to resist the temptation to ‘spend it all’ and to instead establish additional reserves for leaner times that appear to be emerging,” the statement said. “South Carolina’s economy is not exempt from slowdowns and stresses being experienced in the world economy.”
State budget forecasters with the Board of Economic Advisers will meet next month for early predictions of expected tax revenues this current year.