Large cuts to state and local government budgets have not helped at all this time round.
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The statement laid out changes to welfare and tax and cuts to local government budgets amongst other measures.
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Other cities in Indiana have been turning off their street lights to save money in a time of extremely tight local government budgets, notes Graham.
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As tough as this financial crisis and recession has been on the federal budget, it has in some cases been worse on state and local government budgets.
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Rosen said at the state and local government level, at least, budgets have begun to stabilize as revenue growth has started to rise.
Severely strained government budgets have convinced state and local governments across the United States to embrace a new form of performance-based investments in energy efficiencyoffered by energy services companies, or ESCOs.
Councillor Gerald Vernon-Jackson, leader of the Liberal Democrats in local government, welcomed the decision to protect council budgets in the next year but said Lib Dem councillors would continue to lobby against the extra 2% cut.
This gives local authorities veto power, and since their operating budgets come largely from the national government, there is little incentive to grow the local economy.
After two years of stimulus, federal government spending has now joined state and local budgets as a drag on growth.
Worse, the federal government is increasingly a drag on state and local budgets, as Washington cuts its own spending.
Under the scheme, powers such as the ability to set and spend budgets are devolved from central government to local authorities in a bid to increase growth.
Some are scattered across various federal and local government agencies, and connecting them will take time and big budgets.
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Under the city deal scheme, certain powers, such as the ability to set and spend budgets, are devolved from central government to local authorities in a bid to increase growth.
However, the NAO said information compiled by the Audit Commission, the local government spending watchdog, suggested that 12% of local authorities were at risk of not balancing future budgets.
The government's signal reform involves freeing schools from local-authority control, letting them set their own budgets, alter their hours and change how they teach.
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