State budgets

States and cities in the Northeast will have to balance economic challenges and federal cuts driven by the Trump administration and congressional GOP.

 In 2024, legalization states collectively generated a record-setting $4.4 billion in cannabis tax revenue from adult-use sales.

The state paused recently approved transportation taxes after a Republican-led campaign to reverse them delivered signatures for a ballot measure.

State legislators are prepping for a coming storm of budget turmoil caused by shifting Medicaid policy as the era of historic tax cuts appears to be ending.

California faces an estimated $18 billion deficit as a new poll finds state residents expressing more concern about the rising cost of living.

Market Intelligence analyst Jeff Lipton finds that low debt burdens, stronger rainy-day funds, improved pension metrics and robust legal safeguards help states remain a core source of stability and diversification for muni portfolios despite slowing growth and fiscal headwinds.

States face broadening credit challenges, and while local governments have shown resilience, school districts are more at risk, S&P Global Ratings said.

22 municipalities are suing the state over vehicle-license fees they say California has failed to pay them.

Nearly a trillion dollars worth of state and local government assets are now being held in Local Government Investment Pools.

Cities and states are showing budget resilience as pressure from inflation, slowing revenue growth, and the end of federal pandemic fuels concerns about an uncertain future.

States face slowing revenue growth and increasing spending pressures, the National Association of State Budget Officers said in its Fiscal Survey of States.

The situation is worsening, driven by rising costs and AI revenue risks, the forecast warns.

Connecticut transferred about $1.5 billion in excess budget reserves to its state employees' and teachers' pensions, said State Treasurer Erick Russell.

The rating agency lowered the outlook to stable on its A-plus rating, saying Pennsylvania didn't do itself many favors in its fiscal 2026 budget season. 

The long-awaited budget closely resembles the governor's original proposal, pared down by just over $1 billion.

Maryland's financial challenges are resurfacing via a report from the Department of Legislative Services projecting a $1.4 billion budget deficit in fiscal year 2027.

The end of the government shutdown includes clearing three of twelve appropriations hurdles while questions linger about the future of the highway reauthorization bill.

As the Senate moves towards a possible deal to end the longest federal government shutdown in history, the "Big 7" of state and local lobbying groups along with the GFOA are making an urgent appeal.

New York will license up to three casinos in New York City. What returns can the state and expect on new entrants to an increasingly crowded gambling market?

Pennsylvania's budget impasse has surpassed four months. Local governments and schools that rely on state funds are getting frustrated.