June collections come in just over 11% above estimate
OKLAHOMA CITY — General Revenue Fund (GRF) collections in June were $626.9 million and came in at $63.7 million, or 11.3 percent, above the monthly estimate. This amount is $79.2 million, or 14.5 percent, above collections in June of 2017. Total collections during the 2018 fiscal year were $5.9 billion which is $381.6 million, or 7 percent, above the estimate and $810 million, or 16.1 percent, over the estimate for 2017.
"I think it's important to note there were significant law changes that contributed to the revenue the state collected in 2018 and continues to collect in the current fiscal year," said Office of Management and Enterprise Services Director Denise Northrup. "The total estimated impact from legislative changes since the first regular session of 2017 is approximately $358.9 million, which is nearly the same amount we are depositing into the Rainy Day Fund for FY 2018."
Total GRF collections for FY 2018 came in at $5,854,386,815, which was surpassed only in years FY 2007 and FY 2008 when collections totaled $5,965,733,148 and $5,981,092,570, respectively. Additionally, although other major sources made up the difference, total collections from gross production oil and gas collections remained 5.4 percent below the estimate, motor vehicle collections were 2.2 percent below the estimate and collections from other sources were 3.9 percent below estimates for the year.
"The good news is we will make a deposit of $381.6 million into the Rainy Day Fund," said Northrup. "Which will bring the balance to just over $450 million with the current cap on the fund set at just above $750 million."
For June, total income tax collections came in 8.3 percent, or $19.2 million, above the estimate and 3.4 percent above prior year. Motor vehicle collections were $1.9 million, or 6.1 percent, below the estimate for the last month of FY 2018.
"It's important to remember, we are not yet back to where we started pre-economic downturn," stated Northrup. "We are getting there, but I'd like to see a broader recovery with all reporting categories beating estimates before declaring the state has fully recovered economically."
As state government’s main operating fund, the GRF is the key indicator of state government’s fiscal status and the predominant funding source for the annual appropriated state budget. GRF collections are revenues that remain for the appropriated state budget after rebates, refunds and mandatory apportionments. Gross collections, reported by the State Treasurer, are all revenues collected by the state before rebates, refunds and mandatory apportionments.
Denise Northrup is the director of OMES, which issues the monthly GRF reports.
Major tax categories in June contributed the following amounts to the GRF:
Collections to the GRF for the full fiscal year from major tax sources were:
Revenue tables can be viewed on the OMES website: http://omes.ok.gov/media-room/monthly-grf-reports/june-2018-financial-report-data-tables