RACINE, Wisconsin - A year after union protests swept Wisconsin's Capitol, labor and management are still grappling with the collective bargaining law that prompted the backlash. Leaders of local governments and schools enjoy having more options to balance their budgets, but state funding cuts often outweigh the benefits. more

Stateline Editor Alan Ehrenhalt discusses the historic and current relationship between state and local governments’ views and the possible effects on local communities.  

There are 89,476 local governments in the United States. more

PART ONE OF THREE: Since the Great Recession began, states have been slashing aid to localities. Some see an opportunity to make cities and counties more efficient, but others say local budget gaps and layoffs are making it hard to provide basic services. more

TRANSITION WATCH: California's governor-elect kills a watchdog office to save $700,000, Nevada's incoming governor considers budget plans that trouble local governments and more news of the historic shift in power in the states. more