(From Gov. Mike Parson)Today, Governor Mike Parson announced the state’s Consensus Revenue Estimate (CRE) for Fiscal Year 2022.
The annual CRE is a figure established by state budget experts and outside consultants and is one of the basic assumptions used by the Governor and legislative leaders to build and balance Missouri’s budget.
“I want to thank Senator Dan Hegeman and Representative Cody Smith for their hard work and cooperation in developing this revenue estimate,” Governor Parson said. “COVID-19 has had an overwhelming impact on our economy, but we are already making a strong recovery and remain optimistic for the coming year. We look forward to working with the General Assembly this session to create a balanced and responsible budget for the people of Missouri.”
The key figure in the CRE is the projected general revenue collections. Net general revenue collections in FY22 are expected to be $9.78 billion. This represents a net decrease of $418.8 million over the estimated revenue for FY21.
The estimate for FY22 assumes a decrease of 4.1 percent. The revised estimate for the current fiscal year (FY21) is $10.2 billion. This estimate is artificially high due to the income tax filing date being moved from April 15 in FY20 to July 15 in FY21, resulting in two income tax filing dates in FY21. The FY22 estimate reflects a return to a single filing date in the fiscal year.
“I am pleased we were able to arrive at a consensus revenue estimate for FY22. The House, Senate, and Governor stand ready to work together to address the needs of Missourians as we recover from the COVID-19 pandemic,” said Senator Dan Hegeman, Senate Appropriations Chairman.
“We are in the midst of the most trying economic times in a generation. Forecasting revenue growth is particularly challenging this year. Therefore, I'm pleased to put forward a conservative revenue estimate to which the House, Senate, and Governor have agreed,” said Representative Cody Smith, House Budget Chairman.
Governor Parson will detail his proposed budget for FY22 during the State of the State address in January.