General Fund revenue is experiencing additional expected growth compared to the December 2017 revenue forecast. General Fund revenue is forecast to increase 12.9 percent in FY 2017-18. General Fund revenue is projected to increase at a modest 3.2 percent in FY 2018-19 due to lower employment growth in a tight labor market and as income tax revenue grows more slowly.
“Today’s economic forecast is good news and gives us a chance to put additional dollars toward transportation and education,” said Governor John Hickenlooper. “Our proposal outlines a one-time $500 million allocation to the $9 billion transportation project list, $200 million to education and the remainder to address other pressing issues the legislature is considering.”
Along with the new revenue forecast, the OSPB delivered a letter to the Joint Budget Committee outlining Gov. Hickenlooper’s plan for allocating new revenue.
In FY 2018-19, the Governor’s plan calls for one-time infusions of $500 million to transportation and $200 million to K-12 education. Of the one-time money available, this leaves $96 million for other priorities under debate this legislative session.
In FY 2019-20, the Governor’s plan calls for allocations as follows:
- Transportation: $150 million
- K-12 Education: $100 million to the State Education Fund
- Water Infrastructure: $15 million
- State Buildings: $15 million for controlled maintenance or capital renewal
- Affordable Housing: $10 million
- Broadband: $10 million