Ending balance forecast better than expected for FY ‘13
Most of Arizona celebrated positive news regarding state budget projections, offering the latest indication of Arizona’s improving economy and financial outlook.
The Governor’s Medicaid Expansion Plan will enrich the hospitals and healthcare corporations, and the Governor hopes that with her plan in place, Arizona will no longer be operating under a structural deficit after FY 2014. The Governor’s Office says the state will deal with any short falls that will occur if the federal government isn’t able to continue to fund the Medicaid Expansion Plan.
The state has estimated the fiscal 2013 ending cash balance at $895 million – more than $200 million above the enacted forecast. This figure does not include an additional $454 million held in the State’s rainy day fund.
While most of the state is experiencing a recovery, the people of Southern Arizona continue to reside in the 6th poorest metropolitan area in the entire country.