CSG Policy Academies and Forums are typically stand-alone meetings focused on relevant issues in a specific policy area. CSG invites select state officials focused on the respective policy issue for an intensive educational and networking experience. CSG 2021 Forecast for Legislative Leaders features a series of virtual roundtable discussions with leading experts brought together to equip state legislative leaders with insights and data-driven information to lead in a time of unparalleled crisis. The roundtables provide leaders the ability to connect with intellectual authorities on an array of topics. As states continue to lead amidst COVID-19, legislative leaders are beginning to ponder long-term fiscal impacts and how to rebuild post-pandemic.
The opening roundtable in this series, The Fiscal Forecast, served to arm leaders with anticipated fiscal impacts to state budgets and forecasts for the economy as it continues to endure the COVID-19 pandemic. The discussion featured economic and tax experts who discussed how states may grapple with projected shortfalls and where they can find solutions. CSG also took this opportunity to once again highlight the key findings of its recently released report on state resiliency and recovery issued with research and analysis support from KPMG LLP.
The discussion featured Shelby Kerns, executive director of the National Association of State Budget Officers who discussed revenue sources as they were expected by the states in Fiscal Year 2019 and the anticipated expenditures as each of these budgets compared to what we are seeing happen across the U.S. in Fiscal Year 2020 as a result of the COVID-19 pandemic. While rainy day funds were at their highest in many states, this pandemic has served as a cautionary tale for how states should prepare their budgets in the future.
Dr. Uma Radhakrishnan, managing director in KPMG’s Economic and Valuation Services practice discussed the recent report, “COVID-19: Fiscal Impact to States and Strategies for Recovery.” States plan for unanticipated events in the development of state budgets, the report states, but nothing could have prepared states for the shock the COVID-19 pandemic is inflicting on revenue and expenditures in such a short period of time. Based on the latest state-by-state estimates, states face an estimated $169-253 billion shortfall for the combined fiscal years ending in 2020 and 2021. Radhakrishnan provided insights into how the state-by-state scans in the report were conducted and what measures were established. Learn more about the construction of that report here.
To learn more about this program and future legislative forecasts, visit the website.