DES MOINES, Iowa - A state panel says Iowa's revenue will grow by 1.4% in the current fiscal year before picking up slightly in the following year.
The three-person Revenue Estimating Conference met yesterday at the Iowa Capitol, where it announced its projection, which is much lower than the 6.4% increase in fiscal year 2019.
The panel said Iowa’s lack of a skilled workforce for manufacturing and construction jobs and a slowdown in the farm economy from trade policies and world events let to the lower estimate.
It predicts Iowa will see $7.966 billion in fiscal year 2020, which began on July 1 and ends next June, a 1.4% jump.
It's projecting the state will receive $8.182 billion in 2021, an increase of $215.7 million and a growth rate of 2.7%.
The group meets again in December to reset the estimate for 2021 state tax collections that will be used by lawmakers to draft next year’s state budget.