(RALEIGH) -- Higher than expected tax revenues could make a sizable dent in next year’s projected state budget gap. Gov. Beverly Perdue said North Carolina’s estimated shortfall is now $2.7 billion. This is down from previous estimates of $3.7 billion.

Perdue made the announcement via a video posted on YouTube. "I'm happy.  Happy isn't strong enough. I'm over the top happy to announce that our estimated budget shortfall for this biennium has dropped by 30 percent," said Perdue.

She added that the state still has a steep budget hole it must overcome. Still, Senate president Phil Berger said he is pleased the economy is showing signs of life, but alarmed that, “Gov. Perdue is declaring ‘mission accomplished’ before the real work is done.”