Last Tuesday, the State Controller’s Office released its monthly report detailing the state’s cash balance, receipts and disbursements for August 2014. Revenues for the month totaled $6.7 billion, dropping below state budget projections by $370.1 million (5.3 percent). The report attributes this shortfall to a one-time transfer of $343.3 million in sales tax revenues from the general fund to local governments. Income tax revenues were $43.4 million (1.1 percent) above estimates, and corporate taxes far exceeded predictions coming in at $126.1 million (239.1 percent).

As of August 31, the General Fund accumulated outstanding loans of $8.5 billion from internal sources, with $18.3 billion in unused borrowable resources.

If you have any questions, please contact Kevin Gould, CBA’s senior vice president and director of state government relations, at kgould@calbankers.com or (916) 438-4410.