Quarterly Fiscal Snapshot—General Fund Expenditures, September 2005
2005–07 Biennium
The enacted 2005–07 biennial budget totals $25.952 million General Fund State (GFS), a 9.6 percent, two-year increase over 2003–05.
Due to continuing strength in the state’s housing market and a recovery in the aerospace industry, revenue collections have remained higher than originally forecast.
The revised biennial revenue forecast in September brings expected revenue for the 2005–07 Biennium to $26.031 billion, $493 million above the June forecast.
Based on this new revenue forecast, ending reserves are expected to be $1.119 billion. The increase to the revenue forecast has also changed the six-year outlook.
Details of the Legislative budget can be found at http://www.ofm.wa.gov/budget05/currentbiennial.asp/Initiative 601 Spending Limit
Initiative 601, as passed by voters in 1993, provides a limit on growth in General Fund-State spending based on a three year moving average of inflation plus population growth. The allowable growth percentages are called “fiscal growth factors.” The spending limit can be adjusted for other factors, such as the transfer of revenue or program costs to and from the General Fund—known as fund shifts—and actual expenditures that differ from the current appropriation.
The fiscal growth factors and spending limit are officially updated by the Expenditure Limit Committee each November.
For more information on Initiative 601 and the State Spending Limit, visit the Expenditure Limit Committee website at http://www.elc.wa.gov/
