Arkansas Gov. Mike Beebe last week certified the official revenue forecast for fiscal 2012 to provide an additional $39.4 million in collections for the year, which ends June 30.
Budget officials said the net available revenue for fiscal 2012 was increased to $4.6 billion. The estimate for fiscal 2013 revenues was not raised.
The move ensures all the funding authorized by the 2011 Legislature will be provided to the state’s Medicaid program, higher education and a number of state agencies. The rainy-day fund also will receive $7.5 million, up from $2.5 million in an earlier forecast.
Sen. Gilbert Baker, R-Conway, said the raise will provide an additional $7 million for higher education this year. The revised estimate should also provide funding for merit raises for some state employees, he said.
Rep. John Burris, R-Harrison, said the revision proves that the tax cuts enacted in 2011 did not harm state revenues.
“The sky didn’t fall, as some Democrats and bureaucrats predicted,” Burris said.