Southwest

Income tax cuts and the demise of a sales tax increase will leave Kansas with a $327 million revenue shortfall in fiscal 2014, the Revenue Estimating Conference said Tuesday.

Webb County, Tex., which includes Laredo on the Texas-Mexico border, earned a Standard & Poor's upgrade to AA from AA-minus in advance of a $21.9 million issue of certificates of obligation.

A broader sales tax base in Oklahoma could provide the revenue needed to slash the top income tax rate, House Speaker pro tem Jeff Hickman said Monday.

Oklahoma general fund collections were up 9% in October due to gains in personal income tax revenue and improvements in the tax on oil and natural gas production.

State and local governments across the Southwest await the outcome of billions of dollars of tax and bond propositions on ballots Tuesday, topped by a $1.9 billion school bond referendum in Houston.

Lowering the state income tax rate will depend on removing ineffective tax credits and rebates from the books, Rep. David Dank, R-Oklahoma City, said.

Kansas October general fund revenues of $477 million were 7% less than expected, but Revenue Secretary Nick Jordan said the drop was due to a calendar quirk.

State colleges and universities in Arkansas will ask the 2013 General Assembly for an additional $137 million in fiscal 2014.

Arkansas collected $355.6 million in general fund revenue in October, down $21.6 million from expected collections.

Arizona State University halted talks about joining the city of Mesa and the Chicago Cubs on a new baseball facility being built with $84 million of general obligation bonds.