Without new federal funds, spending cuts by state and local governments may act as a drag on the U.S. economy into 2011, only the second time in more than 50 years that such reductions have restricted growth for three consecutive years.
127 BILLION DOLLARS
Amount of states' total budget gap, as 46 of the 50 prepare for the July 1 start of the fiscal year
48 BILLION DOLLARS
Level of emergency federal aid President Obama is seeking to help state and local governments with Medicaid expenses and to avoid teacher, firefighter, and police layoffs
25 BASIS POINTS
Estimated loss of U.S. economic growth in both 2010 and 2011 if state and local governments cut spending to balance their budgets
Data: National Governors Assn., National Association of State Budget Officers, Moody's Analytics