- Associated Press - Monday, March 21, 2016

JUNEAU, Alaska (AP) - The Latest on a grim revenue forecast for Alaska (all times local):

1:22 p.m.

Alaska Gov. Bill Walker says he’s willing to call the Legislature into a special session if lawmakers don’t pass any of his tax proposals.

His push for more income comes as the State’s Department of Revenue on Monday released a forecast showing another $300 million drop in revenue for the current year and a $564 million drop for 2017.

The department projects low oil prices to continue for the next five years. It is not forecast to reach $60 a barrel until 2021.

The forecast will not be finalized until April when the state gets its production tax returns. Assistant Chief Economist Dan Stickel says any revisions to the forecast will be primarily to the oil and gas production tax and likely won’t change it by more than $100 million.


10 a.m.

Low oil prices have led state financial officials to forecast another $300 million drop in revenue for the current year and a $600 million drop in revenue for 2017.

The spring 2016 revenue update anticipates oil staying between $30-$40 a barrel for the next 15 months. Previous estimates of revenue had been based on a $50 a barrel price.

The drop in price revises the last estimate from the department and put general fund unrestricted revenues down 17 percent at $1.3 billion this year and $1.2 billion next year, down from the previous $1.8 billion forecast for 2017.

Department of Revenue Commissioner Randall Hoffbeck said in a release that the forecast has been released early to so lawmakers know the implications as they grapple with the budget.

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