FRANKFORT — Kentucky's fiscal year got off to a good start in July, when General Fund receipts rose 4 percent compared to July 2014.
State budget director Jane Driskell said receipts in July for the General Fund, which pays for most state programs, were $738.8 million.
The official revenue estimate for this fiscal year calls for revenue to rise 1 percent compared with last fiscal year's actual receipts.
Based on July's results, General Fund revenues need to increase 0.8 percent for the remainder of the fiscal year to meet the official estimate.
"We are very pleased that the first month of the fiscal year maintained the same momentum that produced $165 million in unbudgeted revenues in fiscal year 2015," Driskell said. "This month's sales and use tax collections grew at a higher-than-expected rate and helped offset declines in other accounts.
Among the major accounts, individual income tax receipts rose 1.1 percent, sales tax revenue grew 8.6 percent, corporation income tax collections rose 48.2 percent, cigarette tax collections jumped 10.6 percent, and lottery revenue increased 3 percent.
On the downside, property tax receipts fell 16.8 percent, and coal severance tax revenue declined 12.2 percent.
Driskell also said that Road Fund revenue for July was $127.6 million, an increase of 1.8 percent compared with last July.
She said the modest growth in receipts was expected.
"A timing issue helped bump up motor vehicle usage tax receipts, while motor fuels tax collections declined at the pace we expected," she said.
The official Road Fund revenue estimate for the fiscal year calls for revenue to increase 2.1 percent compared with last year's actual receipts.
Among the major Road Fund categories, motor fuels tax receipts fell 13.2 percent, motor vehicle usage taxes increased 25.3 percent and license and privilege taxes grew 11.2 percent.
The Consensus Forecasting Group, a panel of independent economists, will meet later this month to begin establishing revenue estimates for the next two-year budget that will be approved in the 2016 General Assembly.