Last Monday, the State Controller’s Office released its monthly report detailing the state’s cash balance, receipts and disbursements for July 2014. Revenues for the first month of the 2014-15 fiscal year totaled $5.4 billion, exceeding state budget projections by $231.9 million (4.5 percent) for the month. The report shows income tax revenue was $244.9 million (6.4 percent) above estimates; corporate taxes exceeded predictions by $38.1 million (13.5 percent); and sales tax also beat expectations coming in $36 million (4.1 percent) higher than anticipated.

As of July 31, the General Fund accumulated outstanding loans of $7.9 billion from internal sources, which was $1.5 billion under budgeted amounts. The state plans to borrow operating funds through revenue anticipation notes as a means to bridge the timing of revenues, however the $2.8 billion needed is at the lowest level since the 2006-07 fiscal year.

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.