State revenues are on track to meet projections, according to information provided by the Department of Treasury this week.
A treasury report showed there was a 3.6 percent increase in tax collection over the same time last year. The revenue is 1.6 percent – or about $263 million – less than Gov. Chris Christie projected in the budget. But administration officials maintain there are indicators the economy will continue to grow to meet the governor’s budget expectations.
“Key indicators such as employment and car sales have risen steadily during the last few months, helping boost sales tax, income tax and other revenue,” said Charles Steindell, the treasury department’s chief economist.
Revenue is watched carefully since the New Jersey’s constitution requires a balanced budget. If revenues do no keep pace with the spending plan, cuts will be necessary.