State economists said tax dollars came in at higher rates than projected across several categories, spurring the bigger than expected revenues.
ST. PAUL — Minnesota pulled in $2.7 billion more than was projected earlier this year as the state’s economy outperformed expectations, state economists reported Monday, July 12.
Minnesota Management and Budget officials said the state is on pace to take in $26.6 billion in net general funds in the budget cycle that ended June 30, an 11.2% bump from what they’d forecast in February. The boost in dollars flowing to the state stemmed from increased tax receipts across several categories.
The news of a bigger-than-expected surplus comes months after economists predicted and state legislators planned for a $1.3 billion shortfall spurred by COVID-19 and slowed economic activity. Several rounds of stimulus payments from the federal government and rebounding of the state’s economy helped stave that off. Continue reading.