State Ends Fiscal 2012 With $13.8m Surplus

Oct 10, 2012

Governor Lynch credits state department heads for managing wisely. Legislative leaders, meanwhile credit their spending plan.

The Governor says very aggressive fiscal management allowed for the small surplus. Lynch stressed to reporters that the challenge was made steep by a GOP crafted budget that he says made inappropriate cuts. 

I did have problems with that budget. I thought back then and I continue to think that the alternative of vetoing the budget would have been worse, because I think it would have resulted in maybe no budget at all, throwing the state into chaos and maybe more cuts.

Republican budget writers, for their part claim the budget surplus vindicates what they’ve called their tough but responsible choices. According to the unaudited figures higher than expected receipts from business and rooms and meals taxes helped the state finish in the black. The state saw shortfalls as well: 22 million dollars in Medicaid revenue, and 12 million dollars in tobacco tax receipts.