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.
If sensible ideas from a decade ago gain traction in Washington this year, they could boost U.S.-based manufacturing and international competitiveness, with a mixed impact on state and local tax revenues and policies.
Americans believe that their local governments spend money more wisely than their state and federal counterparts. But forcing localities to do more with less isn’t a recipe for government efficiency.
Cutting this unloved levy has again become a flashpoint in some states, once more raising difficult issues of fairness. Here’s what we can learn from decades of tax-limitation laws.
Austin, Dallas, Houston and others face shortfalls. An analysis of the nation’s 75 biggest cities found that 54 are short of funds with a collective $300 billion in debt.
Currently, the “advanced computing surcharge” on companies such as Amazon and Microsoft is capped at $9 million apiece. Eliminating the cap could triple such revenues to $200 million.
AI’s rapidly advancing offspring will benefit portfolio managers as ever-more-intelligent systems drive better investment results. But that’s just the start.
The House and Senate are pursuing separate approaches that would offer greater relief either to homeowners or commercial properties.
Last year, the state created incentives for men's professional teams. Now there's bipartisan support to extend them to women’s teams.
With strong reserves, states have made billions through interest and other investments. This recent windfall is at risk as interest rates and other investment returns become shakier.
Third-party services have bought and sold lottery tickets by the millions, raising concerns about lack of oversight and guardrails.
State bills aim to impose limits on transactions and fees, require consumer warnings and tackle the rise in cryptocurrency scams.
A memo from the Office of Management and Budget freezing federal grants to states was canceled. But funds are still being kept back, and budget officers are looking for answers.
Many states, particularly Republican-led ones, are feeling pressure to align their legislative priorities with the presidential administration. But states are facing new financial constraints after years of revenue growth.
Texas lawmakers are exploring tax incentives to help businesses provide affordable child-care options, aiming to address the state's child-care shortage and support working families.
Important federal deposit insurance rules and possibly its entire regulatory apparatus could come into play in Washington this year. State and local treasurers need to focus on vital public and fiduciary interests.
Governor Josh Shapiro pushes for recreational marijuana legalization in Pennsylvania, estimating over $1 billion in revenue within five years to help address the state's budget shortfall.
Most red states are looking to reduce property tax burdens, which have increased along with home values. Finding ways of replacing lost revenues for locals remains a challenge.
Republican Gov. Mike DeWine has proposed a new refundable child tax credit and increases in child care and children’s health funding, along with full funding for public schools.
South Carolina residents are seeing rates go down thanks to a law passed in 2022, but the state still charges a lot more than North Carolina and other southeastern neighbors.
A combined federal and state effort to redesign the boondoggle-prone economic development program could also provide the blueprint for rebuilding devastated communities.
A bill would set caps on infrastructure funds, allowing localities to make up the difference by charging fees on deliveries. Local officials say the plan will leave them short.
It could bring states a lot of revenue. But voters don’t like it, even though few of them would have to pay.
As the Trump administration steps up immigration enforcement, GOP Gov. Greg Abbott has sent a request to congressional leaders to be paid back for his Biden-era efforts.
The plan would reduce the state’s $7 billion general fund by $1.1 billion over 10 years. Losses would be partially offset by increases in sales and gas taxes.
As 2024 came to a close, the White House and Congress approved big giveaways to two subsets of state and local government employees and pensioners. There could be political backlash, and for equity’s sake there might be a case for some corrective tax policies.
California will ultimately get lots of help from Washington but some GOP lawmakers want to tie wildfire assistance to policy strings. Hawaii had to wait more than a year for aid to be approved after the Maui fires.
States face a tricky year, with their own revenues stalling and federal aid running low.
The nation's largest health insurance program is likely to be cut in Congress this year to pay for other priorities. That could have profound ramifications for state budgets and the health-care system.
Recent laws to improve pension financing should save states tens of billions of dollars over the long term.
Governors, mayors and finance officers are treading water, awaiting the outcome and impact of a new Washington regime’s vows to slash federal spending and taxes. Meanwhile, state and municipal budgeters and debt managers will need to make intelligent guesses and pay more attention to their rainy-day funds.
With the state facing its worst budget gap in two decades, everything from education and juvenile justice to transportation spending is on the line.
