Question of the Month -
January 2006

Q:

What is the recent trend in state general fund expenditures?

A:

General fund expenditures for all 16 Southern Legislative Conference member states increased in both fiscal year 2005 and fiscal year 2006.  In fiscal 2005, Texas experienced the smallest increase in the region of 1 percent, compared to Florida's region-topping 15.8 percent increase (followed closely by Tennessee's 14.7 percent increase).  In fiscal 2006, Louisiana experienced a negligible growth rate of 0.3 percent, with the next lowest growth in general fund expenditures being Missouri's 1.4 percent.  South Carolina saw the largest growth in fiscal 2006, with an increase in general fund expenditures of 17.7 percent. The table below provides a breakdown for the region.

General Fund Nominal Percentage Expenditure
Change, Fiscal 2005 and Fiscal 2006
*

SLC State

Fiscal 2005

Fiscal 2006

Alabama

10

9.8

Arkansas

2.9

5.4

Florida

15.8

7.1

Georgia

3.3

5.9

Kentucky

6

8.2

Louisiana

7.1

0.3

Maryland

9.9

8

Mississippi

1.2

7.6

Missouri

6.9

1.4

North Carolina

7.4

8.8

Oklahoma

1.6

8.3

South Carolina

4.3

17.7

Tennessee

14.7

4.1

Texas

1

8.1

Virginia

12.1

6.2

West Virginia

13

6

NOTES: *Fiscal 2005 reflects changes from fiscal 2004 expenditures (actual) to fiscal 2005 expenditures (preliminary actual).  Fiscal 2006 reflects changes from fiscal 2005 expenditures (preliminary actual) to fiscal 2006 expenditures (appropriated).