On February 8, the State Controller’s Office (SCO) released its report on the state’s financial status detailing the cash balance, receipts and disbursements for January 2013.Total revenues for the month were $4.3 billion (39.1 percent) above estimates found in the governor’s proposed 2013-14 state budget. Personal income taxes in the month of January came in $4.8 billion above (54.7 percent) monthly estimates contained in the governor’s latest budget proposal.Corporate taxes came in $11.4 million (45.5 percent) above thosemonthly estimates, and sales tax receipts came in $582.7 million (27 percent) below projections.

The positive numbers are attributed in part to increased auto sales, rising home values and increased construction.

California ended the last fiscal year with a cash deficit of $9.6 billion. As of January 31, that cash deficit totaled $15.7 billion and was covered with $5.7 billion of internal borrowing (temporary loans from special funds), and $10 billion of external borrowing.

If you have any questions on this issue, please do not hesitate to contact Kevin Gould, CBA’s SVP and director of state government relations, at kgould@calbankers.com or (916) 438-4410.