California Finance Department Sees Revenue Gain

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LOS ANGELES— California revenues came in $7 million above the month's forecast for May, the state's Department of Finance reported.

For the fiscal year to date, they're up $78 million, the department said in its monthly Finance Bulletin.

The preliminary general fund agency cash for May was $7 million above the 2016-17 May Revision forecast of $7.037 billion, according to the DOF report.

Year-to-date revenues, which include revisions to prior months, are $78 million above the forecast of $103.08 billion.

Personal income tax revenues to the General Fund were $287 million above the month's forecast of $3.751 billion.

Sales and use tax receipts were $58 million above the month's forecast of $2.619 billion. Year-to-date, sales tax revenues are $19 million above forecast.

Corporation tax revenues were $440 million below the month's forecast of $198 million.

In real terms, state growth was 4.1% for the year, according to DOF report.

U.S. real gross domestic product grew by an annual rate of 0.8% in the first quarter of 2016, well below the 2.4% growth rate of 2015.

California's unemployment rate dropped by 0.1 percentage point to 5.3% in April, with a constant labor force participation rate of 62%.

California continued to outpace the U.S. on job growth through April. Following a small gain of 5,200 in March, 59,600 nonfarm jobs were added in April. California's year-over-year job growth was 2.8 percent in April, higher than the 1.9 percent in the U.S.

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