oil prices drop1BISMARCK, N.D. (AP) – North Dakota’s top budget writer says “it’s very likely” an updated revenue forecast will be needed due to drop in oil drilling in the state.
 
     Office of Management and Budget Director Pam Sharp says a reworked revenue forecast is the initial step in addressing potential revenue shortfalls in the current two-year budget cycle.
 
     Overall tax revenues are already nearly $112 million less than projected for the two-year budget cycle that began on July 1. Most of the drop comes from weakened sales tax revenue.
 
     Sharp says she will decide by mid-month whether to consider updating the state’s revenue forecast that was given to the Legislature in March.
 
     If an updated forecast is done and predicts a shortfall, state agencies would face cuts of up to 2  1/2 percent.