ECONOMY: Another Strong Quarter for the U.S. Economy
Benjamin L. Varner, Chief Economist

Preliminary estimates for the third quarter of 2024 indicated that the U.S. economy grew at an annualized rate of 2.8%. This marks a continuation of above-trend growth, as the economy has expanded by at least 2.4% in eight of the past nine quarters—well above the long-term pre-COVID growth rate of around 2.1% observed over the previous two decades.


REVENUE: Total Revenues Fall Due to Anticipated Drop in Federal Receipts, but Base Revenues See Improvement in October
Eric Noggle, Revenue Manager

It was a mixed month for revenues deposited into the State’s General Funds in October. While total revenues fell $260 million [-5.8%] due to a sharp decline in federal receipts, base receipts did grow $373 million [+9.8%]. However, much of this base growth is attributed to the timing of transfers and specific revenue sources.
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With October’s overall decline, General Funds receipts through the first third of FY 2025 are now down $502 million [-3.0%] as compared to the first four months of FY 2024. However, this overall decline includes the $633 million in one-time federal dollars from FY 2024 that will not repeat in FY 2025…Excluding these one-time federal dollars from the equation, “base” General Funds receipts are now modestly ahead of last year’s pace by $132 million or +0.8%.