Finance
Managing public finance has become a demanding aspect of state and local government, especially as economic health fluctuates and outside forces create revenue instability. Articles on taxes, budgets, pensions and bonds help to bring insight to finance management at the state and local level.
Sex abuse settlements, dwindling tourism dollars and downtown decline have created budget problems city leaders say will take years to repair.
Are vehicles like private equity, crypto and real estate a good fit for 401(k)-style public retirement plans — or too risky for savers? Marketers will soon be pitching these “alternative investments” to public employers. Prudence dictates caution.
Providers report denial rates up to 17.5 percent. To cope with the mounting financial pressure, some small clinics have stopped accepting Medicaid altogether.
The new tax and spending law’s requirements for food assistance and Medicaid impose costly administrative burdens on states and localities. Widely misunderstood rules for taxing overtime will intensify the administrative pain. Public employers should start preparing their workers for the confusion to come.
With little public detail about its methods or goals, the governor’s new investigative unit raises questions about transparency, political intent and the future of local oversight.
Pension funds enjoyed enormous stock market returns during the pandemic but slower gains and underfunding has increased their liabilities.
A decade of noncompliance with federal rules has left districts scrambling to meet student mental health needs without adequate support.
The future of an EPA program for disadvantaged communities may be uncertain, but there are lessons for the future in how local governments have gone after the funds. Authentic, cross-sector collaborations are key.
So far, 20 states have created retirement programs for private-sector workers.
Higher federal income tax offsets for state and local tax payments have morphed into a mostly upper-middle-class political perk, one unlikely to have any meaningful impact on state or local fiscal policies or politics. It’s time to look ahead to the next iteration of federal tax policy.
Despite widespread damage from a 2023 storm, only eight homeowners have cash in hand, with federal roadblocks delaying relief.
But tariffs and deportations threaten economic damage in the Southeast United States.
Even where abundantly available, the costs of clean water are rising faster than the CPI. Where it’s scarce, there’s double trouble. Ultimately, securing enough clean and affordable water will require state laws mandating realistic long-term pricing.
Hospitals stand to lose hundreds of millions of dollars under the new tax and spending law, with rural facilities at particular risk. Some states are likely to reconvene their legislatures to deal with funding shortfalls.
Phone lines that provide mental health support to tens of thousands of Californians say they are on the verge of shutting down or dramatically scaling back as a result of cuts in the state’s new budget.
States are expecting flat revenues and increasing costs in this new fiscal year. They’ll face hard choices even if Congress does not cut major aid programs.
States are spending 15 percent of their home-generated revenue on the program, seeing their largest cost increases in 20 years.
Last year, a total of $13 billion in public subsidies were proposed for stadiums. Taxpayer money could pay bigger returns elsewhere.
Now 25,000 members strong, financially secure and long blessed with thoughtful leadership, the Government Finance Officers Association is poised to address the challenges to come for those who manage the public purse.
Hospital associations say more rural facilities will close if Medicaid cuts go through. Potential aid includes changes to matching rates and provider taxes.
Most states have seen their collections drop below 15-year trends. Federal actions may also provide a drag on revenue.
The state has paid out more than $500 million to settle lawsuits during this fiscal year, mostly in foster care cases – a sixfold increase since 2018.
A bill would direct a majority of funds in the state’s tax rebate program to an account that would generate interest for efforts to combat wildfires.
The state’s school funding formula is normally sacrosanct but Gov. Mike Dunleavy made the move due to declining revenue forecasts. The Legislature won’t attempt to override him until next year.
The city faces a $250 million shortfall. It’s hired 4,000 more workers over the past decade and expanded services, but post-pandemic spending patterns have led sales tax collections to flatten.
The latest technology revolution will eventually eliminate some of the public funds’ internal staff. To avoid being AI roadkill, pension systems and key employees need to take the initiative collectively.
Nearly 20 states have created borrowers’ bill of rights and ombudsman offices to help borrowers figure out confusing paperwork and avoid default.
The largest increases are on taxes of tobacco, vaping and sports betting, but there are also various changes to corporate rates and collections.
Washington, D.C., Mayor Muriel Bowser is proposing a growth-oriented budget for the center of a region on the brink of recession.
They must soon decide whether tariffs will push money market rates above or below market expectations — and place their bets. But shrinking tax receipts and federal cost shifting are likely to have a bigger budgetary impact.
A number of states, including Oklahoma, have passed tax cuts that only take effect if future budget numbers are met. That may sound sensible but it hides their true costs.
