The Official General Fund Revenue Estimate For Fiscal Year 2023.
HJR2's passage is significant for Delaware's fiscal management, as it establishes a legal framework for the state's budgetary process. The law limits appropriations to 98% of the estimated general fund revenue, thereby encouraging prudent financial planning and management within the state government. By adhering to these estimates, the state can avoid overspending and maintain a balanced budget, which is crucial for long-term economic stability. The resolution effectively sets the parameters within which the state's financial decisions will be made, thereby impacting the allocation of resources across various state programs and services.
House Joint Resolution No. 2 (HJR2) serves as the official revenue estimate for the State of Delaware's Fiscal Year 2023. The resolution outlines projected gross general fund revenue, estimated revenue refunds, and unencumbered funds. According to the resolution, the estimated gross general fund revenue is projected at $6,843.8 million, with estimated refunds amounting to $562.9 million and net revenue at $6,280.9 million. Furthermore, it indicates estimated unencumbered funds to be approximately $937.5 million. This resolution fulfills a constitutional requirement that mandates the approval of revenue estimates by a majority of members in both houses of the General Assembly, along with the Governor's signature.
The sentiment surrounding HJR2 appears positive, with its passage receiving unanimous support in the Senate during the third reading, where the vote was 20-0 in favor. This indicates a collaborative consensus among legislators regarding the necessity of establishing clear and responsible revenue estimates for fiscal management. The lack of dissenting opinions suggests that both parties recognize the importance of this resolution in promoting financial transparency and accountability within state governance.
While HJR2 garnered broad support, the resolution also brings to light the ongoing challenges of fiscal planning and the need for ongoing assessments of projected revenues against actual income. The most notable contention surrounding such resolutions typically arises during economic downturns, where there may be debates about whether revenue estimates are overly optimistic or pessimistic. It underscores the importance of accurate forecasting as deviations can lead to budget shortfalls or overages, impacting state services and initiatives.