View stories by State
HOME RSS FEEDS ARCHIVES ABOUT US SITE MAP PUBLICATIONS
Search using      Advanced
Saturday, March 20, 2010
or Browse All States
CRIME & COURTS
ECONOMY & BUSINESS
EDUCATION
ELECTIONS
ENERGY
ENVIRONMENT
GOVS' SPEECHES
HEALTH CARE
HOMELAND SECURITY
POLITICS
RECESSION & RECOVERY
SOCIAL POLICY
TAXES & BUDGET
TECHNOLOGY
TRANSPORTATION
ARCHIVES
COMMENTARY
PUBLICATIONS
RSS FEEDS
STATE SPEECHES
NEWS ALERTS
PUBLIC POLICY LINKS
TOOLBARS
STATE BLOGS
ISSUE BLOGS


Register to comment on Stateline.org Stories

Beyond California: States in Fiscal Peril

Comments Write the editor Print this story


California’s financial problems are in a league of their own. But the same pressures that drove the Golden State toward fiscal disaster are wreaking havoc in a number of states, with potentially damaging consequences for the entire country.

This examination by the Pew Center on the States looks closely at nine states, in addition to California, that are particularly affected by the recession. All of California’s neighbors–Arizona, Nevada and Oregon–and fellow Sun Belt state Florida were severely hit by the bursting housing bubble, landing them on Pew’s list of states facing fiscal difficulties similar to California’s. A Midwestern cluster of states comprising Illinois, Michigan and Wisconsin emerged, too, as did the Northeastern states of New Jersey and Rhode Island.

Leaky Boats_without borders

"Beyond California" makes clear that the recession severely impacted states from different geographic regions with different types of economies, tax structures and political leanings. The report is a joint effort by two units within the Pew Center on the States: Stateline.org and PCS' research team.

Scoring the States

The Pew Center on the States compiled its list by scoring all 50 states according to six measurable factors that contributed to California’s ongoing fiscal woes, using the best available data as of July 31, 2009. The state profiles in this report go beyond the data to give a fuller picture of the recession’s deep and pervasive effects on states’ financial and economic well-being.


Click here to show all 50 states
 or click here for a printable version of the scorecard
  Need supermajority GPP "Money" grade Score
United States -11.70%
17.7%*
4.4 1.37% 17 yes
33 no
B-*
17*
California -16.20% 49.30% 4.6 2.02% Yes D+ 30
Arizona -16.50% 41.10% 3 2.42% Yes C+ 28
Rhode Island -12.50% 19.20% 4.5 1.50% Yes D+ 28
Michigan -16.50% 12.00% 6 1.47% Yes C+ 27
Nevada 1.50% 37.80% 5.2 3.12% Yes C+ 26
Oregon -19.00% 14.50% 6.4 0.86% Yes C+ 26
Florida -11.50% 22.80% 4.4 2.72% Yes B- 25
New Jersey -15.80% 29.90% 3.7 1.18% No C- 23
Illinois -10.90% 47.30% 3.5 1.44% No C- 22
Wisconsin -11.20% 23.20% 4.4 0.96% No C+ 22


Comment on this story in the space below by registering with Stateline.org.

COMMENTS (3)
Most Recent Comments
My Article 166. Beyond California: States in Fiscal Peril and How to Fix Them
By Lawrence Rosier on Nov 13, 2009 5:34:25 AM

From: Lawrence Rosier Management Consultant Government Reform Please read this article on my website:
Article 166. Beyond California: States in Fiscal Peril

My article suggests ways of fixing state fiscal problems outlined in Stateline?s excellent November 12, 2009 article: ?Beyond California: States in Fiscal Peril?.

From this article I chose to look at the size of the budget gap as a % of current fiscal funds and the ability to fix the states problems through legislative vote. The six states with the largest budget gaps will require drastic measures in the next two years to pull themselves out of the recession. In addition one half of these states will experience greater difficulty in resolving their problems through the requirement of a super majority vote in the legislature. States with a super majority requirement appear to be stunned into inactivity unable to reach a consensus on how to fix the states fiscal problems. With the seriousness of the states? fiscal problems inactivity is not an option.

The following is a list of my recommendations see my website for details:
Step One Clear the Way for Reforms.
Step Two Begin Implementations of Major State Government Reforms.
Step Three Use Work Measurement to build a Staffing Base and a Bottoms-up Budget.
Step Four Streamlining and Consolidating State Boards and Commissions.
Step Five Elimination of the Bureaucratic Organization.

Estimated savings from the above recommendations:
California $950,690,000 to $2 billion
Illinois $259,020,000 to $600 million
Arizona $117,060,000 to $300 million
Nevada $49,390,000 to $100 million
New York $569,110,000 to $1.5 billion
New Jersey $250,760,000 to $600 million


Report as Offensive
Not in "a class of its own"
By Kenneth McClintock on Nov 12, 2009 11:32:32 AM

Your readers should know that, despite Pew's policy decision to ignore the United States territory of Puerto Rico and its 4 million Americans (more population than half the states!), California's fiscal woes are not "in a class of its own", as the article states. Puerto Rico's 40% budget deficit exceeds California's 26% deficit.

It's high time that your readers get a full picture of our nation by eliminatin g the discriminatory practice of excluding Puerto Rico from your coverage and research.

Kenneth D. McClintock
Secretary of State
Puerto Rico USA

Report as Offensive
Pew Center Fiscal woes study
By Kenneth McClintock on Nov 12, 2009 11:26:33 AM

The Pew Center's policy decision not to include Puerto Rico in studies that purport to be nationwide-in-scope skew their fiscal-woes study and make statements such as California being "in a class of its own" untrue.

While CA has a 26% budget deficit, PR unfortunately is even worse off with a 40% deficit.

Even to register to place this comment, I was unable to find Puerto Rico in stateline-org's pulldown "State" menu (although I did find the Disrict of Columbia, not exactly a state, either).

It's time for Pew, and stateline, to stop discriminating against us.

Kenneth D. McClintock
Secretary of State
Puerto Rico USA

Report as Offensive
Read More Comments
Recent stories from Stateline.org
Or click here to visit our archives
Recession and Recovery
Read the latest news, analysis and research on the economic crisis in the states in Stateline.org's new Recession and Recovery special section.
The Stimulus and the StatesThe Stimulus and the
States

Follow how states are managing the stimulus money and which programs are receiving funding as part of the recovery effort using Stateline.org's stimulus special section.
Stateline Blogs
Stateline.org has compiled an extensive list of state issue political blogs to make it convenient for you to follow state government.

If a blog you find interesting and informative is not on our list, tell us about it by sending an email to editor@stateline.org.
Blogs organized by Issue
lineBlogs organized by State
State Public Policy Resources
Stateline.org has put together a list of state public policy resources organized by issue. Here, you will find useful links to essential information from government, academia, and think tanks. If you have a link to add, please email us.


The Pew Charitable Trusts applies the power of knowledge to solve today’s most challenging problems. Pew's Center on the States identifies and advances state policy solutions.