State budget director Tim Keen was criticized for tax collections that came in nearly a billion dollars below his projections.
His office is trying to ensure its forecast for the new state budget is accurate. But there are many economic uncertainties involved. Ohio Public Radio's Karen Kasler explains.
Budget director Tim Keen says prices were down in the fiscal year that just ended, so that’s partly why tax collections were down. And he notes weekly wages fell in the last part of 2016 too.
“And when weekly wages fall, it should not be surprising that income tax withholdings that are taken out of weekly wages also fell.”
Keen has revised down growth estimates in the new budget by 1%, and says while his boss Governor John Kasich is concerned, Ohio is still growing jobs. But the progressive think tank Policy Matters Ohio says job growth for this year through May puts the state on track for job growth that’s slower than last year, which the worst year for job growth since the recession ended in 2009.