NEWS RELEASE
Tuesday, October 12, 2004
For immediate release

FIRST QUARTER REVENUE COLLECTIONS
ABOVE PRIOR YEAR, ESTIMATE
September Collections Exceed Prior Year, Estimate

(OKLAHOMA CITY) General Revenue Fund collections through the first three months of the current fiscal year were more than $67.0 million above prior year receipts and $125.0 million above the estimate for the period, the Office of State Finance reported Tuesday.

Preliminary reports show General Revenue Fund collections totaled $1.216 billion in Fiscal Year 2005's first quarter. That amount was:

• $67.2 million or 5.9 percent above the same three-month period the prior year; and
• $125.0 million or 11.5 percent above the estimate for the same period.

“The first three months of this fiscal year showed improved revenue collections over the prior year,” Scott Meacham, Director of the Office of State Finance, said. “Revenue in three of our four major categories is above the prior year, and we are ahead of the estimate for the year-to-date. It appears that the state’s economy continues to show signs of improvement. Hopefully, we can continue to build on the current trend.”

In the fiscal year's first three months, net income tax collections – the combination of individual and corporate income tax returns -- totaled $558.8 million, $33.9 million or 6.5 percent above collections of one year ago and $78.5 million or 16.3 percent more than the estimate.

Individual returns produced $526.9 million in the first three months of the fiscal year. That is $29.5 million or 5.9 percent above the prior year and $76.7 million or 17.0 percent above the estimate. Corporate income tax collections total 31.7 million for the same period, which is $4.3 million or 15.8 percent above the prior year and $1.6 million or 5.4 percent above the estimate

The state sales tax produced $335.3million for the three-month period ending in September, which is $19.0 million or 6.0 percent above the prior year and $ 1.1 million or 0.3 percent above the estimate.

The gross production tax on natural gas yielded $125.9 million during the fiscal year's first quarter, which is $18.1 million or 16.8 percent above the prior year and $37.1 million or 41.8 percent above the estimate.

Motor vehicle tax receipts, which come primarily from vehicle sales and licenses, produced $53.8 million in the first quarter of the fiscal year. This is $8.3 million or 13.3 percent below the prior year and $4.4 million or 7.6 percent below the estimate.

Other Revenue -- Other revenue, which includes a wide range of sources such as cigarettes, liquor, insurance and inheritance taxes, interest and investments, produced $141.8 million during the fiscal year’s first quarter. This is $47.3 million or 25.0 percent below the prior year but $12.7 million or 9.9 percent above the estimate.

"September collections," added Meacham, "were largely consistent with the previous two months. We continue to see some strength in all revenue sources.”

Preliminary reports show General Revenue Fund collections totaled $477.5 million for September. That amount was $39.1 million or 8.9 percent above the prior year and $56.2 million or 13.4 percent above the estimate.

Net income taxes -- This source yielded $ 246.8 million for the FY-05 General Revenue Fund, which was $12.8 million or 5.5 percent above the prior year’s collections and $31.3 million or14.5 percent above the estimate.

Individual returns produced $222.0 million in September, which was $14.8 million or 7.1 percent above the prior year and $34.8 million 18.6 percent above the estimate. Corporate income tax revenue totaled $24.8 million in September, or $2.1 million or 7.8 percent below the prior year and $3.5 million or 12.3 percent below the estimate.

Sales tax -- The state’s number two revenue source produced $110.7 million for general revenue, up $4.7 million or 4.5 percent from the prior year but $1.2 million or 1.1 percent below the estimate.

Gross production tax -- This tax on natural gas accounted for $43.1 million for general revenue, which was $10.2 million or 31.1 percent above the prior year and $12.4 million or 40.4 percent above the estimate.

Motor vehicle taxes -- This source produced $19.8 million, which was $2.5 million or 11.4 percent below the prior year but $0.8 million or 4.5 percent above the estimate.

Other Revenue -- Other revenue produced $57.1 million in September. This was $13.9 million or 32.1 percent above the prior year and $12.9 million or 29.1 percent above the estimate.