Corbett Nervously Eyes Slumping Revenue Collections

HARRISBURG, Pa. (CBS) - Governor Corbett says he'll be keeping a close eye on October revenue collections, following below-expected collections for the first three months of the fiscal year.

Governor Corbett argued that most of the higher-than-expected collections from the previous fiscal year should be put aside and he got his way. And now, even though revenue collections are 3.5% below projections for the first quarter of the current fiscal year, the governor indicates he's still thinking about maintaining a cushion.

"We're down (I think it's) $200 million. We kept aside $700 million. Our goal was to go into next year with $500 million on hand – I kind of like to have money on hand going into it. So you decide what you think I ought to be doing based on that information."

Corbett says anemic revenues in the current fiscal year buttress his assertion that better-than-expected collections in the last year did not qualify as a "surplus".

Reported by Harrisburg Bureau Chief Tony Romeo, KYW Newsradio 1060