Kansas collects $22 million less in taxes than expected this month; $32.8 million less for fiscal year

? The state of Kansas collected $32.8 million less than it expected in fiscal year 2015, which means the state will begin the new fiscal year Wednesday with even less money in the bank than it had hoped for.

The Kansas Department of Revenue released those figures Tuesday, the last day of the fiscal year.

The estimates of how much the state expected to collect were updated in April, and those reflected a significant reduction from the previous estimates in November.

Since April, though, revenues continued to fall short, including June revenues, which came in $22.5 million short of projections.

Gov. Sam Brownback’s administration tried to put the numbers in a positive light, noting that overall, revenues still grew by nearly $70 million over the previous year.

“While receipts in June were below estimates, we are pleased that the fiscal year to date receipts were less than 1 percent below estimates and outperformed last fiscal year,” Revenue Secretary Nick Jordan said in a statement Tuesday afternoon.

The biggest contributors to the June shortfall were lower-than-expected individual income taxes, which were off by $14.4 million, and sales taxes, which were short by $9.7 million.

On the positive side, liquor enforcement taxes came in $2.7 million higher than expected. The state also collected $1.7 million more than expected in financial institution taxes.

The June shortfall leaves the state with a significantly smaller cash balance than it had planned for to start the new year.

At the end of its record-setting 113-day session this year, the Kansas Legislature passed a budget and tax package based on the idea that the state would have about $73.2 million in the bank at the start of the new fiscal year.

Although a final accounting of the fiscal year won’t be completed for several more days, the June shortfall would appear to lower that ending balance to about $50.7 million.

Lawmakers also passed a $384 million tax increase for next year, mainly through higher sales and cigarette taxes, in order to fund the budget for the fiscal year that begins Wednesday.

The state will actually have much more than that in its account, however, because the State Finance Council agreed last week to issue $840 million in “certificates of indebtedness.” That’s a method the state uses to borrow money out of other funds in order to make sure it can meet cash flow needs out of the general fund throughout the year.

Those certificates must be repaid before the end of the next fiscal year.

Kansas House Democratic Leader Tom Burroughs, of Kansas City, reacted Tuesday by repeating a charge Democrats have been making for years: that the state’s tight budget is the direct result of the sweeping tax cuts that Brownback and the Republican-led Legislature enacted in 2012 and 2013.

“What should be of great concern to all Kansans is the effect this reckless decision by Brownback to stay the course is having on their personal pocketbook,” Burroughs said. “Citizens are now paying more and getting less from state government, and the outlook for the future remains bleak.”

But House Speaker Ray Merrick, R-Stilwell, said the report shows the state needs to be more efficient with the money it has.

“To help reach that goal, Republicans authorized an efficiency study to pinpoint smart and precise ways to ensure the state is providing services in the most productive and up-to-date way possible,” Merrick said.