California taxes dip in a weak month for revenue
California tax revenue has slipped further below goals set by Gov. Jerry Brown's administration, according to a state report released Tuesday.
As of the end of November, taxes were 3% short in the fiscal year that started in July, a gap of $936 million. A month before that, they were only 0.7% short.
H.D. Palmer, a spokesman for Brown's Department of Finance, said November was a particularly weak month because tax revenue related to Facebook stock came in earlier than expected. That boosted October taxes higher, while decreasing November revenue.
On top of that, the struggling stock has been trading at a much lower price than finance officials had expected.
The nonpartisan Legislative Analyst's Office estimated that the state would face a $1.9-billion deficit next year, much smaller than in recent years.
Brown is expected to release in January his own deficit estimate and a budget plan to cover that gap.
-- Chris Megerian in Sacramento
Photo: Gov. Jerry Brown outlining his budget proposal in the Capitol last January. Credit: Rich Pedroncelli / Associated Press