States Feel the Pinch
With the president’s budget now on the table, states will be looking to fill the gaps.

When President Bush’s budget was released last week, the proposal for FY 2007 included deep cuts in domestic spending, including many of the grant programs established to provide funding to the states for economic development, health care, and environmental programs. States will be forced to either increase their own revenue to pay for these priorities through taxes or cut services and programs with the loss of the federal money.  According to the Center on Budget and Policy Priorities, the president’s budget will cut discretionary grants to state and local governments by $7.5 billion, or 4.4 percent. These cuts encompass more than half of all money cut from domestic discretionary funding in the 2007 budget.

Among the grant programs being eliminated are the Land and Water Conservation Fund (LWCF) grants, the Community Services Block Grant, and the Safe and Drug Free Schools program. Those facing serious cuts include the Community Development Block Grant (with a 30% reduction) and assistance grants from the EPA that help states implement air and water quality standards. Last year, President Bush attempted to eliminate the LWCF, but Congress retained the program at a much-reduced funding level.

As this trend continues, the state budgets will see a profound impact on the ability to maintain the level of government programs and services.

For more information on state advocacy and licensure, contact Julia Lent, ASLA’s Director of Government Affairs at jlent@asla.org.