On the policy front, the budget would allow large urban transit agencies to use federal capital grants for operating costs and gives states more private activity bond volume flexibility for housing.

Fitch said the action "reflects the recent enactment of legislation clarifying the future operational profile of the district," formerly controlled by Disney.

The state approved further cuts next year with provisions for possible additional cuts annually, starting in 2025, paving the way for the elimination of the personal income tax.

The income tax filing deadline for 51 of California's 58 counties was moved to October, which means the usual April read on revenues may be less informative.

Opponents warned the measures could roll back 10 years of state efforts to improve funding for the Kansas Public Employees Retirement System.

Illinois lawmakers' research arm projects more revenue in the current budget year but warns budget writers to proceed with caution in the next.

After a brisk 2021 that saw a record number of P3 deals reach financial close, last year slowed to only 16 closings, according to Husch Blackwell's sixth annual P3 trends report.

With strong reserve levels, states will be able to weather a revenue shortage this year, analysts said.

A U.S. default would trigger a cascade of downgrades, including of municipalities, Moody's Analytics says.

State Treasurer Dale Folwell said he backs the intent and purpose of the bill, which is supposed to make the bond issuance process more transparent.