Stimulus propped up Nevada’s ’09 budget
State revenues were up more than $500 million in fiscal 2009, but only because of the stimulus money Nevada received.
Without that infusion of cash, Controller Kim Wallin said revenues would have been down by $500 million.
In her annual report on the state’s financial condition, Wallin said fiscal 2009 revenues totaled $7.79 billion, including $998.9 million in stimulus funds.
That report also shows that, because of the weak economy and revenue shortfalls, the state spent $1 billion more than it took in – a total of $8.85 billion.
“Expenditures were up even further because of the increased number of Nevadans who were out of work who needed financial assistance such as unemployment and Medicaid,” she said.
The bulk of that spending was for checks to the unemployed. Nevada’s 13 percent unemployment rate emptied an Employment Insurance Trust Fund that started the year at nearly $700 million. The state spent that money plus, as of last week, more than $200 million borrowed from the federal government to cover unemployment.
According to the controller’s financial report, federal funding is the only category that went up during the year.
Sales taxes, gaming and other taxes along with charges for services all fell compared to the previous year. Federal grants in contrast were up 50 percent to $3 billion.