Sunshine Sentinel

As Florida projects a strong financial situation following the economic hit from COVID-19, legislative officials warn against using the extra state revenue for new projects.

The 2022-2023 fiscal year, set to begin July 1, has a projected ending balance of about $7 billion.

“However, the increasingly positive budget outlook each year is reliant on the projected balance forward levels being available and the minimum reserve not being used,” the outlook said, according to the Sun Sentinel.

Last year, the start of the pandemic left Florida, along with states across the country, at an economic low.

“Compared to our position last year — when we were facing a much lower revenue forecast — our current outlook is very positive,” House Appropriations Chairman and Joint Legislative Budget Commission Co-Chair Jay Trumbull told the Sun Sentinel. 

Though things are looking up, this does not pave the way for budget leaders to support proposals for expanded programs during the election-year legislative session, Trumbull said.

“Even though this outlook shows positive news, I do want to caution folks that these sizable balances depend on the Legislature continuing to show restraint in creating or expanding recurring programs,” Trumbull added.

Florida’s unemployment rate in July was 5.1%, which was below the national average, according to the Department of Economic Opportunity (DEO).

Florida lost nearly 1.3 million jobs from February to April 2020 and has since gained back over half of the jobs lost, the DEO reported.

A recent WINK News report shows economists are projecting an additional $2.6 billion in general revenue taxes this year.