Latest news with #statefunding
Yahoo
3 days ago
- Politics
- Yahoo
Govs. Walz, Kelly to leave National Governors Association: Sources
Sources say two prominent Democrats are stepping away from a national bipartisan organization that brings together the chief executives of all 50 states, citing a lack of pushback to Trump administration policies and to some recent threats to state funding and operations. Kansas Gov. Laura Kelly, the chair of the Democratic Governors Association (DGA), will be leaving the National Governors Association (NGA) at the end of the month, a source familiar with her thinking told ABC News. She will actively step back from the organization, not only by not paying dues but also by withdrawing from promoting or taking part in any NGA-associated work, the source said. Minnesota Gov. Tim Walz, the former DGA chair, is also cutting ties with the NGA and will stop paying dues to the organization next year as he is "reassessing" his membership, another source told ABC News. MORE: Trump says calling Walz after Minnesota shootings would be 'waste of time' The two governors are stepping away at a time when the association appears to engage in fewer bipartisan initiatives and advocate less for states as they face uncertainty around some of the Trump administration's policies and Congress' recent cuts to federal funding, according to the second source, who called that a departure from the group's past work to champion local issues. The NGA is "not living up to the most fundamental aspect of its mission statement" while Congress and the Trump administration are "dismantling solutions-based governance," said the source familiar with Kelly's thinking. What the NGA says The National Governors Association is a bipartisan organization that brings together the nation's governors to work on state and local issues and to liaise with the federal government. Every year, the leadership of the organization alternates between Democrats and Republicans. The current chair is Democratic Gov. Jared Polis, of Colorado. Asked about the departure of Walz and Kelly, NGA spokesperson Eric Wohlschlegel said the organization "continues to see strong engagement from governors across the country, with record attendance at recent convenings and bipartisan participation across all major initiatives." The second source said some governors and their staff feel frustrated because they feel the group hasn't pushed back enough on Trump administration policies that directly impact their states. That source said that there is a "a shocking lack of willingness to speak out on states' rights and federal overreach. Silence on the one set of issues that all governors should agree on." The source added: "There are a lot of ways governors coordinate on a bipartisan basis and this is simply too great an expense to taxpayers for the value we get in return right now." Kelly would be "open" to staying in the organization should it return to work on bipartisan, local-focused issues, according to the source familiar with her thinking. MORE: Trans youth care ban vetoed by Kansas governor again Kelly, the leader of the Democratic governors' group, is not advocating for her peers to follow her direction in leaving the NGA. What other governors say Democratic Gov. Wes Moore, of Maryland, the incoming vice-chair of the NGA, told ABC News Friday that he counts Kelly and Walz among his friends. He said he's heard similar frustrations about the group, and finds them totally understandable. "I've definitely heard it. And I think a lot of the frustration… is justified, because I don't think this organization has really moved with a sense of urgency on some of these topics that they needed to," said Moore, who added that the group's silence on Trump's public spat with Maine Gov. Janet Mills "can never and should never be tolerated again." The source familiar with Kelly's thinking also cited silence from the group when Congress passed a recissions package earlier this month, which cut a chunk of critical federal funding that Kansas relies on, as well as silence from the group when Trump deployed the National Guard to Los Angeles in response to the protests over immigration enforcement. The Guard is typically authorized by governors. Still, Moore said he believes the NGA provides value in having a direct line to bipartisan collaboration, and that the "virtue of this organization is one that's worth fighting for. "I respect the frustration that some of my colleagues have, I also know that I feel like we have a responsibility to actually work to fix it and address it," said Moore. Moore said he believes that Walz and Kelly could come back into the fold after he takes the helm and pushes the leadership on improving. "I think they also know that I hear their frustrations, and I plan on addressing their frustrations," said Moore. Oklahoma Gov. Kevin Stitt, a Republican, is the incoming NGA chair. He said while he's friends with Walz and Kelly, he thinks their decision to walk away isn't the right one. "I don't think you should take your ball and go home," Stitt told reporters Saturday. "Working together for all 50 states in the benefits of our country, and our states, it's hard and it's messy and we should be able to debate what is the right policy. But let's not take our ball and go home. Let's sit here and let's talk about what is the best thing that we can do for America." New Jersey Democratic Gov. Phil Murphy, who chaired the NGA from 2022-2023, told ABC Saturday morning that he hadn't heard of the concerns from Democrats until recently. While he is a "huge fan" of both Kelly and Walz, Murphy said he doesn't agree with the decision to pull back from the organization. "I respect their decisions. I just don't agree with that," he said. "I think the NGA is a very valuable entity. Does that mean everybody we're going to hear from today be inviting over to my house for dinner? No, for sure. But the fact of the matter is, we come together in common cause to try to find common ground. I think it does a very good job of that, is it perfect? No, and it's also a very personal reason for me, in the sense of you get to walk in the other guy's shoes, hear different perspectives." Murphy continued: "I don't care if I'm sitting next to a Republican governor or a Democratic governor, we're there, as they say, to find common ground, to get to know each other. I think that has great value."
Yahoo
19-07-2025
- Business
- Yahoo
Charlotte's All-Star bid gets $2M boost
Charlotte's successful bid for the 2026 MLS All-Star Game included a new ingredient: state funding to help offset organizing costs. ALSO READ: Caitlin Clark is still having an impact on WNBA All-Star Game even though she won't play On July 16, when Major League Soccer Commissioner Don Garber awarded next year's All-Star Game during a news conference at Bank of America Stadium, N.C. Commerce Secretary Lee Lilley disclosed a $2 million grant from state government as part of the recruiting pitch. Tepper Sports & Entertainment, owner of the stadium, MLS team Charlotte FC and the NFL Carolina Panthers, pursued the All-Star Game with assistance from civic leaders and groups, including the Charlotte Sports Foundation. The money will come from the state's Major Events, Games & Attractions Fund, created as part of the law passed by the N.C. General Assembly in 2023 to legalize online sports betting. When sports betting started in March 2024, state government began collecting an 18% tax on gross wagering revenue, defined as all money bet minus paid winnings before deductions for fees, taxes or expenses. This marks the first time a Charlotte event will receive a grant through the incentives program. Read the full story on CBJ's website here. VIDEO: Game On: MLS All-Star Game coming to Queen City
CTV News
30-06-2025
- Business
- CTV News
States brace for impact as Trump's big bill nears completion in Congress
The Senate side of the Capitol is seen in Washington, early Monday, June 30, 2025, as Republicans plan to begin a final push to advance President Donald Trump's big tax breaks and spending cuts package. (AP Photo/J. Scott Applewhite) JEFFERSON CITY, Mo. — U.S. President Donald Trump's big bill to cut taxes and reduce federal spending on some social safety net programs could have large implications for states, but for many it's too late to do much about it this year. Tuesday marks the start of a new budget year in 46 states. Though some legislatures are still working, most already have adjourned and finalized their spending plans without knowing whether federal funding will be cut and, if so, by how much. 'The ebb and flow of rumors and reality have created great uncertainty and some anxiety in state governments,' said David Adkins, executive director of The Council of State Governments. Several states have taken preemptive steps, setting aside money in reserves or tasking committees to monitor the impact of federal funding reductions. Others are tentatively planning to return in special sessions this year to account for potential funding cuts to joint federal-state programs such as Medicaid and the Supplemental Nutrition Assistance Program, or SNAP. Others will have to wait until their legislatures are back in session next year. What's at stake for states? 'If there are significant cuts, states wouldn't be able to fully absorb those,' said Brian Sigritz, director of state fiscal studies at the National Association of State Budget Officers. Nationally, the Medicaid health care program for lower-income residents accounts for 30% of total state expenditures, according to the health policy research organization KFF. That makes it the costliest program in many states, ahead of even K-12 education. The bulk of Medicaid money comes from the federal government, meaning any changes in federal policy can create big ripples for states. Legislation pending in Congress would affect Medicaid in several ways. New work requirements are expected to reduce enrollment by millions of people, while other proposed changes also could reduce federal payments to states. Until now the federal government also has covered the full cost of SNAP benefits and half the administrative costs. Trump's bill would shift more of those costs to states, leaving them to either divert money from other purposes or trim back their food assistance programs. The Medicaid and SNAP changes are just the latest in a series of Trump policies affecting state finances, including the rollback of grants for transportation and high-speed internet projects and attempts to withhold federal funds from sanctuary jurisdictions that limit cooperation with federal immigration authorities. Some legislatures are stocking up on savings A surge in federal aid and state tax revenue during the coronavirus pandemic led to booming budgets and historic cash surpluses in many states. As revenues slow and those surpluses get spent, some states now are trying to guard against federal funding reductions. New Mexico enacted a law this year creating a Medicaid trust fund gradually stocked with up to $2 billion that can be tapped to prop up the program if federal funding cuts would otherwise cause a reduction in coverage or benefits. Hawaii lawmakers, in crafting the state's budget, left an extra $200 million in the general fund as a contingency against federal funding uncertainty. They plan to return for a special session. And Vermont's budget sets aside up to $110 million in case federal funding is cut. That includes $50 million that can be spent while the Legislature is not in session and up to $60 million that could be appropriated in the future to address federal funding shortfalls. Though not necessarily tied to federal cuts, Florida lawmakers approved a proposed constitutional amendment that would set aside $750 million a year — or an amount equal to up to 25 per cent of the state's general revenue, whichever is less — in a reserve fund that lawmakers could use for emergencies. That measure still must go before voters. Some governors are cutting back on spending Because of legislative deadlines, some state lawmakers had to craft budgets well before the details of Trump's bill took shape. Virginia lawmakers passed a budget in February for their fiscal year that starts Tuesday. Republican Gov. Glenn Youngkin announced several dozen line-item vetoes in May with the goal of creating a roughly $900 million financial cushion. 'There are some short-term risks as President Trump resets both fiscal spending in Washington and trade policies that require us to be prudent and not spend all of the projected surplus before we bank it,' Youngkin said in a statement. Other states also have left money unspent, even though it has not always been touted as a buffer against federal cuts. States are 'enacting really cautious budgets, knowing that they may have to kind of revise them in special sessions or address changes in next year's sessions,' said Erica MacKellar, a fiscal affairs program principal at the National Conference of State Legislatures. Some are taking a wait-and-see approach Before adjourning their sessions, some state legislatures established procedures to monitor federal funding cuts and recommend budgetary changes. Montana's budget includes $50,000 for an analysis of the financial implications of federal actions, but that spending kicks in only upon the cancellation of at least $50 million of previously approved federal funding or the anticipated loss of at least $100 million of future revenue. If federal funding to Maryland decreases by at least $1 billion, a provision approved by lawmakers requires the state budget office to submit a report to the General Assembly with proposed actions and potential spending reductions. The spending plan passed by Connecticut lawmakers also requires the state budget office to respond quickly to federal reductions by identifying state funds that could be used to preserve programs, particularly those providing health care, food assistance, education and other priorities. North Dakota lawmakers left room for more work. They adjourned their biennial session six days shy of their 80-day limit, allowing time to reconvene if needed. David A. Lieb, The Associated Press
Yahoo
01-06-2025
- Business
- Yahoo
Illinois lawmakers pass $55 billion state budget Saturday
PEORIA, Ill. (WMBD) — Shortly after state legislators passed the fiscal year 2026 state budget, reactions poured in from politicians who were split down party lines. Many Republicans shared the same sentiment that the new budget was 'bloated' with what they felt were tax increases that hurt working-class Illinoians. The state Democrats, on the other hand, rejoiced over the budget, with many claiming it would help fund much-needed entities such as schools and healthcare and help offset turmoil in Washington, D.C. Republican Rep. Ryan Spain, who represents the House's 73rd District, which includes areas north of Peoria such as Dunlap, Princeton, and Geneseo, denounces the budget and what he says is nearly $1 billion in tax hikes. 'Our state has been in an uncertain financial position for decades, thanks to years and years of financial malfeasance at the hands of the Democratic majority, who have maintained their artificial majority thanks to some of the worst gerrymandering in the entire country,' he said. 'So, it doesn't surprise me that Democrats again violated their own House Rules to ram through the near-largest spending plan in state history that robs the road fund to pay for standard operating expenses, gives legislators another pay rise, diverts funds meant for property tax relief and slaps the people of the state of Illinois with $1 billion in tax hikes. This budget doubles down on years of failed economic strategy that has caused our state to fall behind all our neighbors. The people of the state of Illinois deserve better from their government.' Democratic Sen. Dave Koehler, who represents the Senate's 46th District, including Peoria, East Peoria, and most of Bloomington, celebrated the passing of the budget, citing the support of healthcare. 'This year's budget demonstrates our commitment to providing all Illinois residents with high-quality access to health care,' Koehler stated. 'Our Investment in community-based providers makes certain that essential healthcare services remain available and open for vulnerable residents both in the 46th district and across the state.' Republican Rep. Dennis Tipsword, who represents Illinois' House's 105th district, and he felt the budget was 'bloated' and is sending Illinois 'down the wrong path.' 'The more things change, the more they stay the same in Illinois. Democrats have passed another bloated budget that includes $1 billion in targeted tax increases,' Dennis Tipsword (R-Metamora) said. 'On top of the tax increases, Democrats rewarded themselves with a huge pay raise and pork projects dedicated to their districts. 'Spending has increased by 38 percent in the last six years, a path and pattern that is simply unsustainable. The process to pass this year's budget was again shrouded in secrecy and behind closed doors,' he said. Democratic Rep. Jehan Gordon-Booth, who represents the House's 92nd District, including Peoria, Peoria Heights, and Bartonville, feels it is a responsible and compassionate budget that supports schools, healthcare and helps tackle challenges in Washington, D.C. 'This document puts people first, and reflects a balanced approach in a challenging time,' Gordon-Booth said. 'We're unable to count on the federal government to be an ally on critical issues that help families, and the economic uncertainty caused by reckless cuts and tariff plans further compelled us to develop a forward-thinking budget that has flexibility with funding reserves. By making necessary cuts, we're ensuring we can maximize our resources on priorities that matter to families. 'We took steps forward, but more work remains. I'm going to continue fighting for families so that we can build a brighter future for every community,' she said. Republican Sen. Neil Anderson, who represents the Senate's 47th district, which includes Pekin, Kewanee and Carthage, stated that this is the largest budget in Illinois history, and it hurts Illinois families. 'While Illinois families are cutting back to survive, Democrats just pushed through a $55 billion spending plan, the largest in state history,' he said. 'Worse yet, it comes with nearly a billion dollars in new tax hikes. The budget will mark a nearly 40% increase in state spending since Governor Pritzker took office. 'Our state is already one of the most overtaxed in the nation, yet instead of providing relief to working families and small businesses, Democrats chose greed over responsibility. The result? Businesses are closing. Families are fleeing. And Springfield's insiders keep cashing in while the rest of us pay the price. This isn't leadership, it's exploitation. It's economic warfare against the very people they claim to serve,' he said. Republican Sen. Li Arellano Jr., who represents the Senate's 37th District, which includes Dunlap, Geneseo and Dixon, shared a very similar sentiment as his colleague Anderson. 'Illinois Democrats have just rammed through the largest and most reckless budget in our state's history, over $55 billion in spending, passed with zero transparency, minimal debate, and no regard for the taxpayers who are footing the bill,' he said. 'This isn't leadership. It's political corruption, plain and simple, snuck in during a midnight vote. 'To make matters worse, they're hitting working families with nearly a billion dollars in new taxes. Democrats keep demanding more from you while delivering less. Less public safety. Fewer job opportunities. Less economic growth.' Gov. JB Pritzker shared the same views as his Democratic Party members, saying this was his seventh balanced budget. 'The passage of the FY26 balanced budget is a testament to Illinois' fiscal responsibility,' Pritzker said. 'Even in the face of Trump and Congressional Republicans stalling the national economy, our state budget delivers for working families without raising their taxes while protecting the progress we are making for our long-term fiscal health. I'm grateful to Speaker Welch, President Harmon, the budget teams, and all the legislators and stakeholders who collaborated to shape and pass this legislation. I look forward to signing my seventh balanced budget in a row and continuing to build a stronger Illinois.' Republican Rep. Travis Weaver, who serves the House's 93rd District, which contains Pekin, Brimfield, and Kewanee, shared his quarrels with the budget, saying it is 'outrageous and egregious spending.' 'This year's $55.2 billion budget is $2 billion more than last year and 38 percent higher than it was just six years ago. This is outrageous and egregious spending, and to top it off the majority party is raising taxes by $1 billion to 'balance' their budget hole, he said. 'Illinois does not have a revenue problem, it has a spending problem. We have to tighten our belts, cut waste, and respect our taxpayers and their hard-earned dollars. 'This year's budget process once again involved zero transparency and bills introduced in the final moments of session with no time for actual debate or input. The budget is so bloated it required multimillion-dollar pork projects targeted for Democrat-controlled districts intended to gain their 'yes' vote,' he said. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
CBS News
20-05-2025
- Business
- CBS News
2026 Maryland budget among bills being signed into law by Gov. Moore
Maryland's 2026 budget will be among more than 160 bills that will be signed into law Tuesday by Gov. Wes Moore. The nearly $67 billion spending plan was crafted to address the state's $3 million deficit and the impact of federal funding cuts. What does Maryland's 2026 budget include? The 2026 state budget includes about $1.8 billion in tax and fee increases. It includes the largest amount of cuts to state spending in 16 years. Gov. Moore has been vocal about his plan to increase taxes for the highest earners in the state. His budget will create two new tax brackets: One for those who make $500,000 per year and another for those who make $1 million per year. Under the budget, residents who make $500,000 will be taxed at 6.25% and those who make $1 million will be taxed at 6.5%. Low- and middle-income residents will see tax breaks under the 2026 budget. The budget will also create a new 3% tax on IT services and increase taxes on cannabis and sports betting. Lawmakers agreed to make about $2.3 billion in cuts from the 2026 budget. "Because of our emphasis on growth, our biggest framework will emphasize spending cuts over tax increases," Gov. Moore said. 164 new bills signed into Maryland law On Tuesday, Gov. Moore will sign a total of 164 bills into Maryland law, including a few that focus on the rising cost of energy in the state. For example, the Renewable Energy Certainty Act will allow for the construction of solar energy generating systems and will launch a Power Plant Research Program to propose site and design requirements. The Next Generation Energy Act will also be signed into law on Tuesday, allowing the Department of Housing and Community Development to issue loans and grants aimed at reducing greenhouse gas emissions from residential buildings. The law will also require the Maryland Energy Administration to work with neighboring states and federal agencies to develop new nuclear energy stations. The governor will also sign the Lowering Prescription Drug Costs for All Marylanders Now Act, a law that will expand Maryland's Prescription Drug Affordability Board and allow it to determine ways to lower drug prices. One of the bills signed Tuesday focuses on immigration laws in the state. The Maryland Values Act prevents federal law enforcement from carrying out immigration actions at sensitive locations such as schools and libraries. The law, which will go into effect on June 1, 2025, will also require the attorney general to develop guidelines for immigration enforcement at sensitive locations.
