IFO: Sil­ver tsuna­mi threat­ens state cof­fers

(The Cen­ter Square) — Despite Pennsylvania’s surg­ing tax col­lec­tions in recent years, one state agency warns that a bud­get deficit lies ahead, com­pli­cat­ed even more by a shrink­ing labor force.
The Inde­pen­dent Fis­cal Office’s eco­nom­ic and bud­get out­look for the next five years expects the deficit to rapid­ly expand from $624 mil­lion in the cur­rent fis­cal year to more than $4 bil­lion by 2028 as aver­age spend­ing out­paces tax rev­enues.
“The pro­ject­ed deficits are suf­fi­cient to elim­i­nate the com­bined Gen­er­al Fund and Rainy Day Fund (includes inter­est accru­al) bal­ances by the end of the fore­cast peri­od,” the report not­ed.
The lat­ter includes $6.1 bil­lion in emer­gency funds meant to sus­tain gov­ern­ment oper­a­tions dur­ing peri­ods of eco­nom­ic tur­moil. Trea­sur­er Sta­cy Gar­ri­ty says it’s enough mon­ey to keep the sta …