LITTLE ROCK, Ark. – Governor Asa Hutchinson announced Wednesday the state’s $980 million surplus is the largest in Arkansas’s history.
According to a report released Wednesday by the Arkansas Department of Finance and Administration, the state’s net available revenue is above forecast by $980 million.
May’s gross revenue was $328 million higher than what was forecasted, and year-to-date gross was $1.04 billion more than projected, according to state officials.
According to the report, the net available general revenues are $6,104.7 million, which is a $941 million increase from the previous year.
In May 2020, net available general revenues totaled $5,163.7 million.
Hutchinson said the surplus underscores the “importance of belt-tightening decisions” made during the pandemic and the “strength of our economic recovery.”
“The record surplus also tells us that this fall will be the right time to cut our individual income tax rate again,” the governor said in a release sent Wednesday. “This surplus has been created despite reducing our tax rate this year to 5.9%. This shows we can fund education, raise teacher pay and protect public safety at the same time we are lowering our tax rate. It is all because our private sector continues to grow.”