The Congressional Budget Office is projecting that this year's deficit will hit $897 billion, up 15.1 percent from the $779 billion deficit recorded last year. In the CBO's projections for the next decade, it forecasts that the deficit will once again top $1 trillion annually beginning in 2022 and will never fall below $1 trillion over the rest of the forecast period.
The Treasury Department reported Friday that the deficit came in at $192 billion last month, little-changed from a $192.6 billion deficit in February 2016. This year's budget hole would have been deeper. But the Internal Revenue Service is required by a new law to delay tax refunds to those who file for the earned income tax credit while it looks for fraud. The credit reduces taxes or provides refunds to low-income Americans.
City Manager Joseph Nicholson told councilors that the Newport School Department had a deficit of $1,727,394 in its operating and capital fund budgets for fiscal 2018. The Newport Daily News reports the department also had a positive balance that helped pay down part of the deficit, and the city's municipal budget had a year-end surplus of approximately $900,000.
The Treasury Department says the December budget deficit was $27.5 billion, nearly double the $14 billion in December 2015. In the first three months of the government's budget year, the deficit is slightly below last year's total. But adjusting for calendar quirks that moved some large benefit payments into September, the deficit has worsened in the past three months.