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State and Local Spending Drops to Lowest in 30 Years

Democrats and Republicans alike slashing budgets

By Dustin Lushing,  Newser Staff

Posted Jun 23, 2012 10:29 AM CDT

(Newser) – State and local governments have cut back spending to the lowest level in 30 years, according to a USA Today analysis. Both Democrats and Republicans are denying handouts, even with tax revenue going up and powerful interest groups lobbying for funds. Local and state spending dipped 0.8% this year (2.7% with inflation) to $2.4 trillion. This belt-tightening "represents the longest, sustained period of financial restraint since the early 1980s," writes Dennis Cauchon.

"We're seeing some incredibly significant examples of groups not getting what they want," says the head of the National Association of State Budget Officers. "Maybe there's an acceptance that cuts have to occur." A few examples:

  • Connecticut's state trooper force shrank from 1,248 to 1,060 even after the troopers' union endorsed Democratic Gov. Dannel Malloy.
  • In Ohio, GOP Gov. John Kasich sliced $30 million from nursing home payments.
  • In Louisiana, GOP Gov. Bobby Jindal trimmed prison expenses by lightening penalties for non-violent offenders.

State and local spending is tightening up.
State and local spending is tightening up.   (Shutterstock)
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COMMENTS
Showing 3 of 47 comments
MisterPlinkett
Jun 23, 2012 6:06 PM CDT
meawhile, criminal obama (with the help of a 535 complete retards) is running up the highest debt in history. it's good that state and local spending is lower, but it's the federal government's obsession with spending and money printing that is going to kill our economy.  it should be cut by 75%
Literally
Jun 23, 2012 12:02 PM CDT
Spending may have dropped, but the enormous debt incurred by state and local government still has to be repaid. Taking their cue from the feds, now they talk of "servicing the debt" as opposed to paying off the debt.
saucier111
Jun 23, 2012 11:40 AM CDT
In 2006 president bush gave  Kellogg,Brown and Root 385,000,000 dollars to build internment camps threw out the united states, WHY. KBR being a sister company to Haliburton. I say the conservatives, GOP'ers should pay for the two foolish wars they started and give back all the corporate welfare they have stolen.
 

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