"In fiscal 2022, 28 states didn’t have enough revenue to pay all of their bills, according to the 14th annual Financial State of the States report, published by the Chicago-based nonprofit Truth in Accounting.
The report provides a comprehensive analysis of the fiscal health of all 50 states based on the latest available data from states’ fiscal year 2022 annual comprehensive financial reports.
New Jersey ranked last for having the worst fiscal health and the greatest taxpayer burden. Not far behind was Connecticut, followed by Illinois, Massachusetts, Hawaii, Kentucky, Delaware, Louisiana, California and Vermont in the bottom ten.
By contrast, 22 states reported surpluses, the majority of which are led by Republican governors."
Now Available
Our annual report on state fiscal health. Debt among the states improved slightly. Going from $1.2 trillion down to $938.6 billion.
What happened?
How did your state do? Read the full report below.
https://www.truthinaccounting.org/news/detail/financial-state-of-the-states-2023
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This year's report found that 31 states did not have enough money to pay all of their bills.
From December 29, 2021, includes “The state of Tennessee has completed its annual financial report for fiscal year 2020-21. … ‘Reliable, useful and timely financial and performance information provides fiscal transparency and a basis for future decisions on the direction of state policies and programs,’ Division of Accounts Director Mike Corricelli said.”
To encourage the publication of transparent and accurate government financial information, Truth in Accounting has created a transparency score for financial reporting by the states.
By Jon Styf (The Center Square), includes “Think tank Truth in Accounting said last month Tennessee had one of the healthiest financial outlooks of any state in the nation, ranking sixth nationally for fiscal health in its annual Financial State of the States report. At the end of fiscal year 2020, Tennessee had 92 cents set aside for each promised dollar of pension benefits,”
PRESS RELEASE - FOR IMMEDIATE RELEASE
Truth in Accounting's twelfth annual Financial State of the States report, a nationwide analysis of the most recent state government financial information.
By Geoff Mulvihill, includes “When Congress sent states billions of dollars early in the coronavirus pandemic to help make schools safe, Tennessee Gov. Bill Lee saw an opportunity."
By Steven Malanga, includes “Nashville’s budget woes predate the pandemic: the city began borrowing money to cover deficits after the Great Recession of 2008–09."
By Caleb Pehrne, includes “The Tennessee comptroller's office is re-launching a statewide dashboard giving you a look inside county finances. The state dashboard shows most county governments in our region have about $1,000 of debt per person, a little higher than the state average. …"
Op-ed by Steven Malanga, includes “… City leaders have used deficit financing to balance Nashville’s books and spent much of the city’s reserve funds. The Tennessee comptroller has threatened a state takeover, and even the Biden administration’s lavish stimulus isn’t enough to plug Nashville’s budget hole. Amid all this, angry local groups are trying to spur a special election to roll back a gigantic property tax increase.”
By Mike Reicher and Joey Garrison, includes “… a recent report showed the city spent one out of every $10 of government funds to pay off debt last fiscal year. And this year’s budget may exceed that figure for the first time since at least 1993. … Moody’s gives Nashville the third highest credit rating available, something Briley likes to cite whenever the subject of Metro’s financial challenges arise.”
Despite not having an individual income tax, few states are in better position financially than our neighbors to the north, Tennessee. They also happen to have one of the strongest economies in the nation and, as a result, are a magnet for new residents looking for higher paying jobs and new opportunities.
The 2020 Financial State of the States report surveys the fiscal health of the 50 states prior to the coronavirus pandemic. This data is released today by Truth in Accounting (TIA), a think tank that analyzes government financial reporting.
State and local governments scrambling to raise money during the economic crisis caused by the coronavirus pandemic are looking to increased property taxes -- as well as wealth taxes and more -- to fill budget holes.
Nashville City Councilman Bob Mendes tried unsuccessfully for two years to get his booming city to raise property taxes to address its growing municipal needs.
Mayor Cooper says the only answer to Nashville's financial problems is a 32% tax increase. But critics say the city’s crisis has nothing to do with natural disasters and everything to do with years of fiscal mismanagement.
How large could the shortfall in state government general revenues be, amidst the coronavirus and related crises?