Tuesday, January 27, 2009

$200B for states in stimulus doubles projected shortfalls

USA Today reports:
States and local governments would be the big winners in an $825 billion economic stimulus program set for a House vote Wednesday.

More than $200 billion would go to states, enough to offset $100 billion in projected budget shortfalls they now face in the next two years, plus fund big spending increases. The money could spare states from politically painful program cuts, tax increases or both. Two-thirds of the federal money is aimed directly at states' biggest spending items: education, health care and roads.

California would get $22 billion over two years, estimates the Federal Funds Information for States (FFIS), a state-financed research group. Texas and New York would get $16 billion each. The smallest take: $578 million for Wyoming, which has a surplus and is considering a property tax cut.

"This will let us balance our budgets in a way that avoids making draconian cuts," says North Carolina House Speaker Joe Hackney, a Democrat and president of the National Conference of State Legislatures (NCSL).
No comment on this one from any of Califonia's 3600 prison guards who make over 100k a year.