Finance
Managing public finance has become a demanding aspect of state and local government, especially as economic health fluctuates and outside forces create revenue instability. Articles on taxes, budgets, pensions and bonds help to bring insight to finance management at the state and local level.
In the typical state, personnel costs represent 40 percent less of the overall budget than was true 30 years ago.
The Chicago mayor has raised $2.6 million since his election in April 2023. Nearly half of those funds come from unions. Another large check was from Grammy-winning rapper Lil Durk.
Companies sometimes set “personalized” prices online based on a customer’s ability or willingness to pay, using algorithms and artificial intelligence to sort through data. The FTC is investigating how widespread it is.
The company behind ChatGPT funded a three-year research program on the impacts of universal basic income. It found that the extra income allowed participants to be more selective about career choices and have more time for leisure.
Budgeting sets the course for what government will and will not do. An initiative from the Government Finance Officers Association is designed to help long-term planning and foster public trust in a “new normal” of uncertainty.
Audits in a number of states have found that tax incentive programs for film and TV end up as money losers. Although some states are considering capping their programs, more are expanding theirs.
The state now has signs that welcome visitors to “The Free State of Florida” at 24 locations along highways and two welcome centers. The slogan has been used in Gov. Ron DeSantis’ campaign since at least 2022.
A second Trump administration would likely mean looser regulations and higher tariffs on foreign imports, which would likely benefit health care, banks, cryptocurrency and oil stocks.
The major public funds have almost doubled their investments in high-fee, nontraditional vehicles, and important new research shows how costly it’s been. It’s a wake-up call for greater scrutiny of fee structures and consultants' assumptions.
The state’s budget will include big changes to how the state funds its public schools and offers a new approach to higher ed. But residents earning minimum wage and SEPTA won’t be so lucky in financial allocation this year.
As cars become more fuel efficient and EVs become more prominent, states will not be able to rely on gas taxes for much longer. But some states are considering fees on Amazon deliveries as part of their road-funding solution.
Voters in at least seven states will decide property tax measures in November. Most would limit what homeowners have to pay, but two would eliminate the tax completely.
After years of rapid growth, states are starting to see revenue declines. Tax cuts red states enacted could become more costly in future years, while some blue states are debating tax increases.
Gov. Greg Abbott and Lt. Gov. Dan Patrick want $5 billion more to expand a low-interest loan program for natural gas power plant construction “as soon as possible.”
Homeowners are being squeezed out of affordable coverage. Sustainable intergovernmental partnerships with the insurance industry offer a solution. And there may be a role for state and local pension funds.
Cash comprised 16 percent of payments during a month-long survey in 2023, compared to 31 percent seven years prior. But cash still remains pervasive among lower-income and older consumers.
Despite reserves bulging and revenues receding, many lawmakers remain reluctant to spend savings.
It’s not just the decline in fuel tax revenues and its impact on highway construction and maintenance. Real estate will also be affected, and sales taxes are likely to take a hit. States need to begin developing strategies.
Gov. Phil Scott argued that residents need tax cuts, not an increase. Legislators felt they had to act to address increased school spending.
Chris Ailman, the chief investment officer for the giant California teachers’ pension fund, is retiring. He showed the way in navigating a landscape of complexity, hazards and challenges to achieve steady investment success.
The current transportation budget falls short of the state’s litany of needs. As lawmakers prepare to craft a major transit package next session, they will need to figure out how to increase revenue streams despite logistical and political challenges.
Since the Great Recession, states have moved to reform their public pension plans, making tough choices and frequently doing so with bipartisan support. Federal lawmakers should keep these lessons in mind.
A state House committee voted 8-3 to pass a cluster of bills that would devote billions over 10 years to Michigan’s economic development and transit. But Democrats will need at least one Republican to vote to pass the package.
A national stock exchange headquartered in downtown Dallas could drive more company relocations and jobs to the city and state. But many still wonder if it can compete against established exchanges.
Climate and weather disasters are more frequent and more costly. What can be done to keep insurers viable and property owners protected?
Local government finance officers can employ revenue, procurement and other tactics that disrupt the status quo to finance important initiatives.
With most public retirement systems seeing improved actuarial funding levels, there’s an opportunity to offer options that could make government compensation more competitive. But any impetus for change should come from pragmatic public employers, not partisans or lobbyists.
The council passed a $12.8 billion budget for the 2024-2025 fiscal year, which is approximately 2 percent less than the current fiscal year’s budget. The city will eliminate 1,700 vacant jobs next fiscal year.
Florida has a reputation as a low-tax state, thanks to its lack of a personal income tax, but top earners get bigger breaks than low-income individuals.
The California governor presented his spending plan for the 2024-2025 fiscal year. It would strip $260 million from the state’s major homelessness program. Some lawmakers want to restore that funding.
Despite a high demand for programs that help children, elderly and those with disabilities, lawmakers made wide cuts for fear that the federal government might take back millions in COVID aid.
