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No allotments planned for ND Government

North Dakota’s budget director said the state will end the current two year biennium in the black.

Joe Morrissette told the Legislature’s Budget Section the state had been running ahead of the 2019-2021 budget forecast, in terms of tax collections. Morrissette said the COVID-19 pandemic did cut into those collections, starting in March. But he told the Committee the earlier, stronger collections gives a budget cushion for the next two year period.

"We have an estimated ending fund balance at the end of this biennium of $160 million," Morrissette said.

The biennium ends next June 30th.

Before these latest numbers were released, there were concerns Gov. Doug Burgum (R) would have to order an across-the-board budget allotment. Senate Appropriations Committee chairman Ray Holmberg (R-Grand Forks) said lawmakers have been getting questions from some state agencies concerning allotments. And he asked Morrissette about that.

"Legislators get questions from constituents about the 'A' word, allotments, Holmberg said. "As far as the data you have presented today, is OMB suggesting that at this point, there does not appear to be a need for allotments in order to finish this current biennium?"

"The need for an allotment would be based on a revised forecast that would show there isn't adequate funding in the general fund to meet all of the obligations that had been appropriated," Morrissette said. "Based in these estimates, we do not believe that's the case. We think the general fund is adequate to cover those current appropriations,"

A Governor can only issue across-the-board budget reductions.

These numbers are based on the most recent state revenue forecast.
 

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