The Next Federal Budget Deal Must Include Aid to State and Local Governments
By Charlotte Swasey
63 percent of voters want the federal government to provide aid to state and local governments, rather than forcing these governments to declare bankruptcy
Voters understand that in this emergency situation, maintaining services is more important than a temporary increase in the national debt.
This support crosses partisan lines — with majority support among Republicans and 72% support among Democrats
State and local governments are currently facing a serious budget crisis, as coronavirus has driven down their sources of revenue and increased the need for local services. This crisis raises the possibility that local governments will be forced to declare bankruptcy, allowing them to renegotiate their debt, but also likely causing huge cuts to essential services. These cuts could cost many workers their jobs or pensions, and severely hinder the ability of states to serve their populations in this time of crisis. However, one clear way out of this bind is for the federal government to provide monetary aid to state and local governments.
When asked to choose, voters prefer that the federal government provide aid to state and local governments over having those governments declare bankruptcy by a 42 point margin. This is the margin despite voters being informed that providing federal aid might cause a temporary increase in the national debt.
Voters understand that the current crisis requires an urgent response. They support using the federal budget to distribute funds to states as well as making additional stimulus payments to individuals. During this period, we should be doing everything we can to provide help to Americans.
Charlotte Swasey (@charlotteeffect) is the VP of Polling and Data at Data for Progress.
From December 11 to December 13, 2020, Data for Progress conducted a survey of 1136 likely voters nationally using web panel respondents. The sample was weighted to be representative of likely voters by age, gender, education, race, and voting history. The survey was conducted in English. The margin of error is ±2.9 percentage points.