State of Indiana Post Revenue Jump
Amidst all the pessimism in the newspapers and on TV news reports, I came across this posting from the Indianapolis Business Journal. I think a revenue increase for the State should bode well for real estate. Interest rates are at 50+ year lows and prices of real estate are somewhat depressed. Here is the item from the IBJ:
Indiana state government took in 8.4 percent more in tax revenue in August compared to a year ago, and collections were higher than the most recent forecast.
The state Budget Agency reported Friday that Indiana collected $938 million in August. That’s $51 million above the most recent forecast, but still $2 million less than projected in the budget lawmakers passed in early 2009.
Budget Director Adam Horst said reserves by the end of next June are expected to be $797 million below what was assumed in the budget as passed.
Gov. Mitch Daniels has ordered 15-percent cuts in state agency spending for the fiscal year that began in July, and the state is spending its reserves to help make up for the revenue shortfalls.