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  • The Current Services Baseline: A Tool for Making Sensible Budget Choices
    Elizabeth McNichol and Ifie Okwuje
    December 14, 2006

    The single most important document produced by a state government each year, and one that receives close public scrutiny, is the state budget.  It is both a financial plan for the state and a description of the policies the state intends to pursue in the future. Often the first question asked by budget decision-makers and budget watchers …
  • State Budgets: On the Edge?
    Elizabeth C. McNichol and Iris J. Lav
    Revised November 8, 2006

    States are in considerably better fiscal shape than they have been since 2001. State revenues have grown rapidly over the last year, in marked contrast to the sluggish growth or declines in revenues between 2001 and 2004. For many states, however, a return to budget deficits may not be long in coming. Fiscal conditions appear unstable in at least 24 …
  • Tax Cuts on Layaway
    Nicholas Johnson and Sarah Farkas
    October 10, 2006

    State governments face major fiscal challenges in the next few years.  They will need adequate revenue bases to tackle those challenges.  But a number of states in 2006 cut taxes deeply without identifying how the tax cuts will be financed.  They could do this, despite balanced budget requirements, because they …
  • States Still Playing "Catch-Up" in New Budgets
    Elizabeth C. McNichol, Iris J. Lav, and Ifie Okwuje
    August 2, 2006

    A new survey by the Center on Budget and Policy Priorities of recently adopted state budgets provides the first 50-state data on spending for fiscal year (FY) 2007, which began July 1 in most states. The survey shows: For the second year in a row, state spending will grow at above-average rates. This recent growth, …
  • The Administration’s Medicaid Proposals Would Shift Federal Costs To States
    Andy Schneider, Leighton Ku, and Judith Solomon
    February 14, 2006

    In its new budget, the Administration proposes net federal Medicaid funding cuts equal to $14 billion over the next five years and $35.5 billion over ten years through a combination of legislative changes and regulatory action. [1] These reductions follow on the heels of significant federal Medicaid cuts ($4.9 billion over five …
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