Key Takeaways
- Massachusetts’ fiscal picture has been relatively robust, with mid-fiscal 2021 tax revenues ahead of the same period in 2020, and well ahead of the 2021 budget.
- Growth is projected to continue into fiscal 2022.
- Should tax revenues decline as projected in fiscal 2021, overall operating revenue would still remain stable thanks to increased federal aid.
- The governor’s proposed draw from the budget stabilization fund would still leave it at what we would consider adequate levels.
- Due in part to lower Medicaid caseloads, on the expectation that the COVID-19 pandemic will recede, the budget proposal anticipates overall spending will decline in fiscal 2022.
22 Feb, 2021