The Consensus Forecasting Group is charged with producing official revenue estimates that are used to formulate the state’s two-year budget. The group consists of professors and economic experts.
Cowgill’s staff has previously estimated that Kentucky’s general fund will have a $279 million surplus in fiscal year 2007, which ends June 30, 2007.
A statewide debate has ensued about what to do with the money. Governor Ernie Fletcher has already said he wants to spend a significant portion of the projected surplus on the state’s retirement systems. He said they’ve had an estimated $12 billion shortfall.