The Economic and Revenue Forecast Council (ERFC) recently updated its forecast of Washington State revenues. According to ERFC’s analysis, the United States and Washington economic forecasts shows slowing growth, but no recession. Forecast risks include the impact of trade disputes and a slowing global economy. ERFC finds that Washington’s economy is continuing to outperform the nation, but not as dramatically as in the past.
The State General Fund (typically defined as the operating budget revenues) revenue forecast for the 2019-21 biennium is now $51.7 billion, up $274 million from the last forecast. The forecasted State General Fund revenue for the 2021-23 biennium has been increased by $181 million to $55.15 billion. The forecast issued at the end of November will be used by the Governor as he prepares his supplemental budget proposal for the 2020 legislative session. We expect the Governor to release his proposed supplemental budget the week of December 16. The Legislature will take up the supplemental budget when the 2020 Session begins on January 13.
The ERFC press release is here, and materials from the ERFC meeting are here.