Editor’s note: Pennsylvania did NOT make this list….you may be surprised by some of the states that did!
The Great Recession pinched state governments, forcing them to be less generous with local communities which, in turn, had less to spend on students, police and programs for the poor.
For nearly three decades, local governments could count on a steady increase in money from their two biggest funding sources — the states and property taxes.
That changed in 2009 and 2010, when local governments took in less from both sources, according to a report last month from the Pew American Cities Project. The funding shortfall has forced many cities, towns, counties and school districts to tighten their belts.
24/7 Wall St identified the eight states making the steepest cuts in funding to local governments. The website’s analysis of data from the Center on Budget and Policy Priorities and the U.S. Census Bureau suggests that these states were having their own budget problems as tax receipts shriveled in an anemic economy.