The Latest: New Mexico sees rebound in tax revenues

SANTA FE, N.M. (AP) — State economists say New Mexico government income in the coming fiscal year is expected to surpass annual spending obligations by $199 million. Economists released a fiscal forecast on Monday that shows rapid turnaround in state government finances, just months after a budget crisis that threatened funding for classrooms, courts and museums. The new tax revenue estimate was agreed upon by state economists at the Legislature and three executive agencies. The forecast shows that tax revenue and other government income will exceed current spending by 3.3 percent for the coming fiscal year starting July 1, 2018. The increase in general fund revenues is fueled mainly by personal income taxes, corporate income taxes and other revenues linked to the oil and natural gas sectors.