May 5th, 2010
08:46 AM ET
13 years ago

Goodbye, stimulus. Hello, state budget cuts

New York ( - Think states have made deep spending cuts? You ain't seen nothing yet.

States have been struggling with huge budget gaps since 2008, but this year could be worse as federal stimulus funds wind down.

Until now, stimulus money spared governors and state lawmakers from making some of the most brutal budget cuts. But with this lifeline running out, officials are looking at making significant cutbacks to public services, particularly schools and health programs.

"The stimulus funds have staved off what could have been even deeper cuts," said Todd Haggerty, policy associate at the National Conference of State Legislatures. "You're seeing states now are coming to that point where they will have to make additional cuts or find new sources of revenue for fiscal 2011 and that will continue in fiscal 2012."

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Filed under: economic stimulus
soundoff (29 Responses)
  1. Lori in St Pete

    Here's a thought: How about doing away with useless organizations such as National Conference of State Legislatures and the National League of Cities, State/Regional Leagues of Cities, Mayors' Councils and all those other little groups that nickle and dime state and local governments to death and serve absolutely no useful purpose other than to provide jobs to the politically connected.

    May 5, 2010 10:52 am at 10:52 am |
  2. ATL Guy

    The purpose of the stimulus was to allow the governors to plan any draw downs without having to make sudden drastic cuts. The Republican governors took the money and spent it while demonizing the President for helping them to ease the pain. Instead of planning their cuts, they would have to do what the stimulus wanted to avoid to begin with. They will have to make sudden drastic cuts that will be painful and desperate.

    May 5, 2010 10:58 am at 10:58 am |
  3. Bill from GA

    In GA, our state legislature and governor are still passing tax cuts, which take effect in the near future, mainly benefiting the wealthy. We are deep in debt thanks to bonds issued during lucrative times. Gotta love those Repugs.

    But it's not all bad: you can carry a gun in church, bars and schools. Lots of insecure red-necks around here, but they're armed. Keep that in mind the next time you come to, or just pass through, Georgia.

    I bet if we taxed guns and bullets, we could re-hire some school teachers. Not gonna happen.

    May 5, 2010 11:01 am at 11:01 am |
  4. j russ

    this is why some of the states tried not to accept the stimulus funds and the mandatory programs it included. Those programs now need to be continued by the state WITHOUT federal funds.

    May 5, 2010 11:02 am at 11:02 am |
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