DENVER—Gov. Bill Ritter’s Office of State Planning and Budgeting released its September 2007 economic and revenue forecast Wednesday, noting that individual income tax revenues continued to soar in the fiscal year ending June 30, rising 11.3 percent.
Economists said revenues benefited from a healthy investment market that has yielded significant capital gains, but warned those revenues are expected to slow considerably over the next two years.
“Though the local economy continues to be strong, there are growing concerns that a national economic slowdown could creep into Colorado. Despite these concerns, Colorado’s economy remains healthy. Our unemployment rate is well below the national average and some local economies are booming, particularly on the Western Slope,” said Todd Saliman, director of the governor’s Office of State Planning and Budgeting.
The forecast shows transportation funding totaling more than $1.3 billion for a five-year forecast period beginning July 1, 2007. About $410.4 million was received in the last fiscal year.
Under a voter-approved initiative, the state is expected to keep $6 billion in tax surplus revenues through 2010, up sharply from the $3.1 billion originally projected when the measure passed in 2005.
