Stateline.org reports that May and June tax revenue collections are declining more than expected in a number of states, opening up new or larger budget shortfalls at the worst possible time. The chart below shows the state of play today, but you can expect the problems to spread as more revenue estimates are released.
And in a separate Stateline piece today, there’s this gem:
Tiny Vermont is the exception to budget woes buffeting most of the states — so far. The Burlington Free Press this week quoted a top state official as saying that preliminary figures indicated the state would finish the budget year that ended June 30 with its general fund in the black. But it said Vermont avoided a deficit primarily because more than $10 million in taxes were paid on one deceased person’s estate in May.
For some thoughts on what states can do to put themselves on a fiscally sustainable path, see my latest Reason.org column here.