Stateline Headlines

Focus On Education Spurs Government Job Growth

A sharp increase in state and local education hiring caused the largest government job growth in five years in the third quarter of 1998, according to a newly released report from the Nelson A. Rockefeller Center for the Study of the States. The center said its calculations showed state government job growth from July to September exceeded the private job growth rate for the first time since 1992.

South, West Lead Nation In Public Service Hiring

In the South and West, state and local government filled 270,000 new positions last year, eighty percent of the total non-federal public service hiring and a number that shows how these regions are growing. Overall 1998 state and local hiring also continued to expand, according to a new study by the Nelson A. Rockefeller Institute of Government.

National Economic Boom Leaves Many Children Behind

Even though the United States is in the midst of the longest period of prosperity in the nation's history, millions of American children still live in concentrated areas of poverty that remain resistant to change, according to a report released Tuesday morning by the Annie E. Casey Foundation. Click on Full Story

Texas, California and Georgia Lead In High-Tech Job Growth, Report Says

The booming United States high-tech industry has created more than one million jobs since 1993 and provides a total annual payroll of more than $240 billion, according to Cyberstates 3.0, a report issued earlier this month by the American Electronics Association. The report shows that the U.S. high-tech industry employed 4.8 million workers in 1998, with Texas, California, Georgia, Colorado and Washington leading the way.

Massachusetts Leads High Tech States; Mississippi Trails

Massachusetts, not California or Washington, leads the nation in adapting to and taking advantage of the national transition to a high-tech "new economy," according to a study by the Progressive Policy Institute, a Washington, D.C. think tank associated with the centrist Democratic Leadership Council.

Mega-Stores Hitting Political Flak In Several States

Preventing mega-stores such as Wal-Mart and Costco from chewing up competitors is on the agenda of more than just anti-growth groups and environmentalists these days. Policy makers in states and communities are considering restricting so-called "big-box" stores. California Gov. Gray Davis last week vetoed a bill aimed at limiting the growth of these stores. The issue has also been joined in Arizona, Colorado, Nevada, Vermont and Wisconsin.

Alaska Household Income Tops, Census Bureau Says

Median household incomes have shot up four years in a row, making 1998 the year with the highest income levels ever recorded, according to the U.S. Census Bureau. In newly-released reports, it said Alaska had the highest 1998 median household income, $49,717. New Jersey came in second with $49,297, followed by Maryland with $48,714; Washington State with $46,339 and Connecticut with $45,589. The number of people living below the poverty level dropped to 12.7 percent in 1998, down from 13.3 percent in 1997. New Mexico had the sharpest decline in poverty, followed by Virginia, while North Dakota showed an increase of 2.1 percent.

Southern, Western States Lag In Preventing Hunger

A report released this week by the U.S. Department of Agriculture draws a map of a United States rimmed along the south and west by hunger, but increasingly plump and prosperous as you look north and east. As expected of the state that recently captured the unenviable title of the nation's poorest, New Mexico claims the highest rate of hunger. The upper Midwest boasts the most success in feeding the needy.

State Leaders Stymied On Agriculture Agenda At WTO Meeting

Several state leadersespecially those from agricultural statesattempted to use the World Trade Organization meeting as a way to open new markets in the international economy and lower existing tariffs on exported agricultural products. The pitch was never heard due to the turmoil on Seattle's streets.

Income Gap Widens In Most States

Despite modest growth in incomes among the nations' poor in the late 1990s, the wealthiest Americans continued to increase their earnings at a faster pace. A new report released this week breaks down the income gap for all 50 states and finds that the wealthiest 20 percent of American families now earn more than 10 times as much as the poorest.

Wyoming One of Few States Facing Economic Hard Times

Smack in the middle of the longest economic boom in U.S. history, Wyoming is one of a handful of states saddled with a deficit, instead of a record-setting surplus.

New Economy Spurs States' Science and Technology Efforts

Technology and science have increasingly become prime state policy issues as communications technologies of the new economy supplant the older manufacturing technologies in investment popularity and job creation. Ever since the 1960's, states -- led by Pennsylvania, Ohio, New Jersey, New York, California and Massachusetts -- have tried to integrate research and technology with their economic development programs. Lately, however, technology issues have been given even higher priority because of the Internet/Ecommerce explosion and the formation of high tech enterprises.

New Report Details State Growth Strategies

For a growing number of governors, the conversion of open space to suburban houses and office parks illustrates a lesson that fictional Iowa farmer Ray Kinsella first learned in the film Field of Dreams: If you build it, they will come. But the lesson is more complicated for governors because it is less about "if" than "where" to channel the growth that they recognize is inevitable.

Mississippi Leads In Creating Service Industry Jobs

Mississippi led the way in increasing jobs and revenue in the service sector between 1992 and 1997, a new Census Bureau report shows. Service industry jobs, in hotels, restaurants, computer rental firms, technical training schools, temp agencies and other similar enterprises, accounted for more than half of all new jobs created nationwide in the non-farm private economy during the most recent five-year period for which complete information is available.

States Hark Back In Choice of Designs For Quarters

For the first time, the U.S. Mint is allowing each of the 50 states a chance to breath new life into our most prized piece of change, the quarter. So far -- 18 months and eight new designs into the project -- the states have stuck with the tried and true and, of course, the politically correct. Critics, both amateur and professional, agree: Connecticut is winning the aesthetic competition for its choice of an ancient, majestic tree, known as the Charter Oak.

Model Policies Help South Recast Image

Once regarded nationally as branches of a regional backwater with few high-paying jobs or modern conveniences, several Southern states are now seen as political trailblazers, leading the way with innovative education, healthcare and economic development policies. Florida, Texas, Georgia and North Carolina are all in the forefront of education reform; Tennessee has pioneered a new approach to health insurance coverage; and Virginia portrays itself as a model for high tech development.

States Confront Challenges of Changing Economy

State economic development used to be viewed as a zero-sum game -- states advertised low costs in their competition for large manufacturing plants -- a process that some criticized as a race to the bottom. While this kind of development is still common, a new perspective is taking hold. The focus now is on grooming an educated workforce that can grow its own jobs from within and attract high-paying technology firms looking for a new home.

Family Incomes Rise, Poverty Lowest In 20 Years

The long arm of the American economy -- in its ninth year of growth -- has now reached into millions more households, boosting incomes and reducing poverty among all racial groups and particularly among the most vulnerable -- children and the elderly, the Census Bureau reported Tuesday.

Nation's Poor Families Gain, But Troubles Remain, Study Finds

A study of the economic, physical and emotional well-being of America's families has found no evidence that the push to cut the public welfare rolls has hurt the nation's poor. Recent economic gains, however, have yet to sink deeply into family life, the report found. The privately funded survey by the Urban Institute and Child Trends is one of the most comprehensive attempts to gauge the fallout from recent decisions to shift authority over social programs to the states.

Glendening Calls for Federal Role In 'Smart Growth'

Maryland Gov. Parris Glendening wants the federal government to take a more active role in the burgeoning "smart growth" movement. Speaking before a packed house at the National Press Club in Washington, DC Thursday (2/1) Glendening said, "Smart Growth must be more than a nationwide movement in the states, it must become a national movement with the federal government as an active partner."

State Lawmakers Concerned About Lack of Focus on Farm Issues

Farmers may be wondering if there's room left in the "new economy" for them after listening to the nation's governors deliver their State of the State addresses this year. The state of American agriculture garnered barely a mention amid all the talk about commitments to education, technology development, and holding the line on government spending. Only three governors -- Judy Martz of Montana, Dirk Kempthorne of Idaho and John Hoeven of North Dakota -- devoted much time to it.

State Attorney Generals Issue Privacy Guidelines

Responding to increased public concerns about privacy issues, the National Association of Attorneys General released a set of fairly strong guidelines Friday (3/16) urging the adoption of laws that would force commercial interests to actively seek permission from people before selling or trading their personal information.

On The Record: Drug Industry Lawyer Marjorie Powell

In the current debate that pits states against the prescription drug industry, pharmaceutical firms look to some like a proverbial big bad wolf--they huff and they puff and they keep raising prices. In an interview with Stateline.org, Marjorie Powell, who serves as Assistant General Counsel for the Pharmaceutical Research and Manufacturers of America (PhRMA), tells the drug company side of the story -- in the court room, laboratory and across the country.

States Face Budget Cuts As Economies Slump

For nearly a decade, state legislators had an easy job deciding how to spend because they were riding a wave of unprecedented surpluses. But this year, coming up with a budget could be turbulent because many states must cut expenses. Despite a sagging economy, most states are required by constitution or statute to balance their budget.

SPECIAL REPORT: States Mull Suit Against Drug Companies

In an action modeled on their 1998 class action lawsuit against the tobacco industry, at least six states are poised to go to court to try to force pharmaceutical companies to lower prescription prices, law enforcement and health care officials tell Stateline.org. "The goal is nothing less than changing the way the industry does business," says Mark Schlein, director of Florida's Medicaid Fraud Control Unit in the Attorney General's office.

Slowdown Means Double Headache for Ohio

Most states are feeling a budget pinch, now that the economy is cooling off. But few states face Ohio's "double whammy." At the same time that budget specialists have realized tax revenues over the next two years may come in $800 million below projections, Ohio is under pressure from the state Supreme Court to pump a lot more state dollars into schools.

Realtors Poll Suggests Voters Prefer Local Growth Control

As Arizona Gov. Jane Dee Hull and Maryland Gov. Parris N. Glendening prepared to host a governors policy workshop on statewide anti-sprawl strategies in Phoenix at the end of last week, a new poll indicated a majority of voters may oppose greater state involvement in growth management decisions.

Florida Adopts Sweeping Voting Reforms

Florida lawmakers overwhelmingly approved a sweeping election reform bill Friday (5/4) that will address the voting ills that plagued last years presidential contest in the state. Sunshine State voters will never again use punch cards or butterfly ballots.

Managing Growth: Calm Before A Policy Storm?

Whatever happened to the growth issue? Nothing. Its still out there, as fresh in the minds of many Americans as the memories of this mornings traffic jam. Lawmakers and governors in at least two dozen states made proposals to deal with the issue this year. Action is still possible in several, but so far only a few have followed through.

Boeing Deal No Slam Dunk In Illinois Legislature

When the Boeing Corporation announced this month that it would move its headquarters from Seattle to Chicago, people throughout Illinois were elated. Now, however, comes the question at what cost? In coming weeks, the Illinois General Assembly will debate a state-crafted economic incentive deal for Boeing that rivals what it would cost to put a decent-playing pro basketball team together in the post-Michael Jordan era. In lean budgetary times, the Boeing deal is anything but a slam dunk in Illinois capitol, Springfield

State Surplus Auctions Go High-Tech

In an effort to reach a larger buying audience and reduce overhead, a number of states have jumped on the online auction bandwagon. Some, such as Michigan, have built their own online auction sites. Others, such as Oregon, have taken advantage of large commercial sites like Yahoo!, Amazon.com and eBay. But almost all the states are at least taking a look at where Internet technology is going and how it might enable them to more efficiently sell unwanted items.

Economic Slump Has States Tightening Belts

The slowing national economy has many states facing budget deficits and shrinking account balances for the first time since the early 1990's, according to a report released this week by the National Conference of State Legislatures. NCSL surveyed the 46 states that have passed budgets for fiscal year 2002 -- which began July 1 for all but four states -- and found that 20 states took "extraordinary actions" to pass balanced ones.

State Census Comparisons Yield Wealth of Data

Massachusetts boasts the highest percentage of college graduates among the states, and West Virginia the lowest. The highest percentage of non-English speakers live in California. Hawaii claims the highest median value of owner-occupied housing at $284,536. Such state-by-state comparisons on demographic, housing, and economic characteristics come from a survey of 700,000 households by the U.S. Census Bureau.

Southern States Poorest, Census Says

Making ends meet is harder in Louisiana, West Virginia and Mississippi, states with the highest poverty rates in the country. State poverty rates range from 6.1 percent in New Hampshire to 20.3 percent in Louisiana, according to new figures from the U.S. Census Bureau based on a survey of 700,000 households. States with large minority populations tended to have above-average poverty rates including New York (13.5 percent), California (14 percent), and Texas (15.3 percent), according to an analysis of the survey data by the Washington-based Economic Policy Institute.

Tobacco Settlement Pits Health Advocates Against States

State lawmakers are spending tobacco settlement dollars wisely and health programs are raking in a hearty amount of the money, says a new analysis from the National Conference of State Legislatures (NCSL). Legislatures have dedicated a full 46 percent of tobacco money for programs that aim to stop people from smoking and to shore up Medicaid, prescription drug programs for older Americans, children's health insurance plans and biomedical research. But if you look a little closer at the numbers, the percent of money being spent to stop smoking is measly and has dropped significantly from last year, anti-tobacco advocates say.

States Ring In Do Not Call Laws

The dinner bell in America has come to mean a telemarketers ill-timed effort to persuade you to open your wallet. But 24 states are cracking down on sales calls by creating do-not-call lists or forbidding telemarketers to block caller I.D. Seven states have adopted do-not-call laws in the past six months. Florida started the trend in 1998.

State Curbs on Pre-paid Funerals Under Scrutiny

Paying for a funeral is the third largest cost most Americans face, after buying a house or an automobile. The average funeral, including a casket and vault, runs about $6,000. Forty-eight of the 50 states regulate the funeral industry -- the exceptions are Alabama and New Mexico. But a recent investigation in Minnesota suggests that the regulations often do not go far enough.

Private Prison Boom Shows Signs of Slowing

A private prison in Whiteville, Tenn., a town with 1,100 residents 60 miles east of Memphis, incarcerates as many convicted Wisconsin killers as any Wisconsin penal institution. States seeking the cheapest way to jail people have shipped felons beyond their borders rather than expand their own prisons. But studies show private prisons cost taxpayers nearly as much as public ones, and critics argue that punishing criminals shouldnt be left to organizations whose primary motive is profit.

Census Bureau Releases Income, Poverty Data

Median household income increased between 1998 and 2000 in six states-- California, Delaware, Iowa, Maine, Missouri, and New York. But it fell in Alabama, Louisiana, and Washington. During the same period, the poverty rate dropped in 10 states and increased in none, according to U.S. Census data released this week.

Governors To Congress: Help Us Help Economy

With congressional leaders and President Bush hashing out the details of an economic stimulus package that could reach $75 billion, the nation's governors have weighed in with some proposals of their own. Concerned by double-digit revenue drops in some states, the governors want measures that would save them from having to raise taxes or cut programs at a time when doing either could further damage the economy.

Ohio: Anatomy Of A Budget Crunch

The slowing U.S. economy is shrinking the budgets of at least 40 states, and about two dozen of them have frozen spending or cut program to plug the gaps, according to the National Conference of State Legislatures and data compiled by Stateline.org. Ohio is a good example of the problem, the possible solutions, and the political fears that prompt state legislators to rule out certain fixes.

Border Issues Thrust to Fore: Security vs. Trade

In an effort to reduce the threat of terrorists slipping into the country, Immigration and Customs officials have tightened the nation's northern and southern borders, prompting local and state officials to call for increased border staffing to ease the flow of goods and people. At stake is the economic health of states, regions and industries dependent on open borders for survival.

States Split on Microsoft Settlement

Nine states and the District of Columbia Tuesday (11/6) rejected the proposed settlement of an antitrust case brought against computer giant Microsoft by the U.S. Justice Department. Nine others said they would go along with the deal.

Unemployment Hits Tourist, Western States Hard

Unemployment rates increased or remained level in 42 states during October, with the sharpest rate jumps occurring in Hawaii and Nevada, according to data released last week by the U.S. Bureau of Labor Statistics.

State Support For Ending Cuban Embargo Growing

What do Illinois Gov. George Ryan and Minnesota Gov. Jesse Ventura have in common with Arkansas chicken producers, Texas rice growers and Utah medical companies? They'd all like to see an end to the 40-year-old U.S. embargo on trade with Cuba.

State Budget Forecast Calls For Rain

Despite recent indications that the slumping national economy may have turned a corner, state budgets are suffering from a shortage of money and probably will be for some time, state fiscal experts say. More than three-quarters of the states have made budget cuts or implemented spending freezes, and more than half are tapping their rainy day accounts, reserve funds built up during the economy's better days. Even the sacred cow of spending priorities, K-12 education, has come under the budget axe in some states.

Farm Links Cultivate New Generation

Web sites like HotJobs and Monster.com offer employers and career seekers thousands of opportunities to find each other every day, but you likely wont find listings on them for one of the nations most visible and time-honored occupations: Farming

Rising Unemployment Vexes States

The national unemployment rate hit six percent last month, its highest level since 1994. But joblessness is even higher in many states as foreign competition combines with the downturn in the business cycle to produce an economic double whammy.

States Turn Up Heat On Wall Street

Emboldened by New York State Attorney General Eliot Spitzers landmark settlement with Merrill Lynch, securities officials and attorneys general from numerous states are investigating at least a dozen other financial firms for allowing conflicts of interest to distort their investment advice.

South Lags in Industry Research

The New South looks uncomfortably like the Old South, as industry research in the region - a key component of economic and wage growth - lags behind the rest of the country, a new report shows.

States Mine for Gray Gold

At the state level, economic development is usually associated with business recruitment. But some states are hoping to boost their bottom lines by luring senior citizens with tax cuts and other incentives.

Arizona Officials Plan For Changing Economy

Arizona officials are mapping a new long-range economic strategy based in part on a study warning that the driving industries of the past -- cotton, copper, cattle, citrus and climate -- may not sustain the states economic health in the future.

States Teaching Financial ABCs

Teaching peo ple of all ages and backgrounds how to save and invest is becoming a priority for state officials and educators across the country. And they're winning support from the private sector, which is bankrolling many of the more significant efforts.

Utah Leverages Olympics Hosting

Given the intense security concerns and emotionally charged atmosphere surrounding the 2002 Winter Olympics, its not hard to imagine Utah state officials breathing a collective sigh of relief at the conclusion of the Salt Lake City games back in February. But their job didnt end with the lowering of the Olympic flag

States Seeking Stock Options

With the stock market continuing its trek through bear country, it's not exactly a great time to be selling voters on a plan that would free more state funds for investment in stocks. But that's the task facing some officials in Louisiana, Montana and South Carolina, who are hoping voters will look past the market's recent struggles to see the long-term benefits of playing the market with public funds.

States Go After Wall Street

States are following New York's lead and pursuing Wall Street firms whose analysts have publicly touted stocks that they dont really consider good buys in the hopes of helping their companies win more investment-banking business.

Visionary 'Smart Growth' Program Wins National Laurels

Ever wonder what your city or town will look like in 20 years if current trends continue? In Massachusetts, a community development program that uses computer wizardry to let civic leaders, urban planners and ordinary citizens see results of various growth options has just won a new federal Smart Growth award.

States Vie For Innovation Awards

Who says you cant be creative in state government? Thirty-one state government programs are semifinalists competing for one of five $100,000 grants in the Innovations In American Government Awards.

Democratic Governors Push Agenda

Seeking to play a larger role in the national political arena, Democratic governors met in Washington, DC, Monday to weigh in on the debate over economic stimulus, saying the economy needs greater public investment in roads and schools and not just more tax cuts.

Delaware, Florida Move to Restrict Smoking

Delaware recently became the second state to ban smoking in the workplace, following Californias landmark legislation in 1994, and Florida is expected to follow suit soon. The passage of Delaware's ban surprised opponents, who thought the issue wouldnt resonate beyond the West Coast.

Wall Street Deal Will Mean $450 Million for States

A proposed $1.4 billion settlement between regulators and top U.S. investment firms is expected to put an estimated $450 million in states coffers once the agreement is formally inked and approved.

Economists Dispute Logic of Bush's Stimulus Plan

Slashing and taxing their way to balanced budgets, the nation's governors say their actions are hurting economic growth and that federal fiscal relief of state governments would be the most effective form of economic stimulus. President George W. Bush disagrees.

North Carolina Beer Lovers Want to Pop the Cap

You cant buy specialty beer like porters or stouts in North Carolina because state law caps alcohol content for beer at 6 percent. Beer enthusiasts want to follow Ohios lead and double the limit, but groups such as Students Against Destructive Decisions (SADD) say it poses risks.

Federal Oversight Urged for State Boxing Commissions

State boxing commissions go unnoticed unless a controversial prize fight, such as one featuring heavyweight Mike Tyson, is being considered. But new federal legislation would oversee state commissions, whose divergent rules are rife for exploitation.

Legislators Weighing School Soda Bans

State lawmakers throughout the country are introducing legislation to ban soda from school vending machines to help curb the growing rate of childhood obesity. But at a time when cash-strapped states are cutting education budgets, opponents of the bans say schools need the soda revenue more than ever.

Tourism States Brace for Potential Gulf War

The nations most tourism-dependent states could suffer a crippling decline in revenue if a U.S.-led invasion of Iraq scares would-be travelers away from the countrys most popular vacation and business destinations.

Hispanic-State Legislators to Convene in D.C.

Approximately 60 of the countrys 300 Hispanic state legislators will meet in Washington, D.C. this weekend to discuss education, health care, housing and economic development with members of Congress and business and academic communities.

Workplace Smoking Bans Gain Momentum

Smoking bans gathered legislative momentum this year as New York joined California, Delaware and Florida in outlawing smoking in the workplace as well as restaurants and bars. Lawmakers in 35 states introduced clean indoor air bills this session, leading policy analysts to conclude that the issue is here to stay.

States Reaching for Corporate Profits

Reeling from gaping budget gaps, states are starting to explore ways to crack down on the complex accounting schemes businesses use to avoid paying state taxes. New Jersey, which is being watched closely by many other states, changed its tax laws in 2002 to keep businesses from shifting profits to affiliates in low tax states.

States in Forefront of Agricultural Biotech Debate

States took the lead in debating regulation of genetically modified food and the agricultural biotechnology industry in 2001-2002, with 158 bills introduced in 39 states, a new report finds. Despite a flurry of legislative activity, only 45 measures were enacted by last year and the majority were designed to protect the research and growth of genetically modified food from vandalism, a new report finds.

States Scrutinize Wage Policies

A handful of states are debating raising their minimum wage beyond the federal rate of $5.15 an hour, but just as many states are acting to block grassroots efforts to force government contractors to pay living wages that typically far exceed the federal minimum wage.

States Woo Biotech Firms

From miracle drugs that cure cancer to genetically-modified foods, the multi-billion dollar biotechnology industry is hot, and states are doing their best to get a piece of the action. Nine governors and more than a dozen states used the Biotechnology Industry Organizations annual Washington DC meeting to aggressively woo the industry.

Pennsylvania Liquor Stores Get More Competitive

In an effort to boost its bottom-line, Pennsylvania is trying to entice more people to purchase alcohol in Pennsylvania instead of neighboring states by making its state-owned liquor stores more customer-friendly.

Governors Gather in Indianapolis for Annual Meeting

Officially, education, health care and the economy top the agenda of the annual summer meeting of the National Governors Association (NGA), which this year takes place in Indianapolis. But the California recall election is likely to be the prime topic of discussion.

Keystone State Extends Same-Sex Benefits

Pennsylvania recently became the sixth state to allow gay and lesbian employees to use family or sick leave time to care for their domestic partner. The provision allowing use of sick leave, which had been on the table in union negotiations for more than a decade, was included in a four-year contract between the state and 13,000 unionized workers.

Contracting Out IT Jobs Vexes States

States are wrestling over whether they should contract out or "outsource" their information technology projects to private companies, including those located overseas. While farming out state high-tech work may be cheaper and more efficient, state politicians are leery of the possible voter backlash about losing state jobs to foreign companies, industry and government officials said.

New Sales Tax Tool For States Proposed

States will have a new patch for their hemorrhaging budgets, if legislation introduced Thursday gets through Congress. The bill would enable states to collect sales tax on purchases through catalogues and the Internet, allowing them to generate billions of dollars in new revenue each year.

Businesses Outdo States in Multi-Lingual Outreach

Businesses are hungrily eyeing the fast-growing market of Spanish-speaking consumers. But some states are slow to realize the value of communicating with non-English speakers. The contrast underscores two competing national trends: On the one hand, 27 states have passed laws making English their official language. On the other, businesses have recognized the growing immigrant population as a huge marketing opportunity.

Businesses Urge Congress to Stay the Course on Federal Education Law

The federal No Child Left behind education law may give states and schools major fits, but the business community is urging Congress to hold off making any changes to that sweeping law and give it time to work. In a letter to legislators, business leaders say Congress should keep its eyes on the prize a quality education for all.

New Year Rings in Hundreds of New Statutes

The new year brings more than just a change of calendars. Hundreds of new state laws are taking effect from coast to coast, covering such diverse matters as the creation of a highway fast lane, determining who pays for birth control pills and dictating how you can split your tongue to resemble a snakes. And thats just in Illinois!

State Officials Inclined to Go Slow on Mad-Cow Legislation

The recent case of so-called mad cow disease found in a cow in Washington state last month is prompting state lawmakers to scrutinize their policies on livestock health, but most are taking a wait-and-see approach to any new state-level legislation.

Firms Scramble for Homeland-Security Money

Information technology companies with new security-related products or repackaged existing ones are among the many businesses rushing to capture a share of billions of dollars in federal homeland security grants flowing to state and local governments.

Tax Restructuring Plan Tops Virginia Governor's Agenda

Virginia Gov. Mark Warner (D) is pushing the most ambitious tax package in the nation to maintain his states renowned education system and shore up its economy. But even Warner agrees he faces a real challenge getting the plan through the Republican-controlled General Assembly, which reconvenes Jan. 14.

Budget Woes, Elections Top Lawmakers Priorities

State lawmakers from across the country are making their way back to their respective capitals for the 2004 legislative session. Two topics reign supreme for most of them: crafting budgets and their own reelections.

Mixed Prospects for States in Election-Year Congress

Election-year politics and a tight congressional schedule might bring both good and bad news for states. Theres a good chance Washington will fork over more federal dollars for highways. But on the downside, Congress could cost states billions of dollars in taxes, sources on and off Capitol Hill tell Stateline.org.

Rocky Mountain Traffic Slows Commerce, Skiers

Colorados growth has led to a Rocky Mountain traffic nightmare. Interstate 70 from Denver to the ski areas gets so clogged that tourists and commerce slow to a crawl on this vital East-West link. Is the solution to widen the highway or install mass transit?

Governor Bucks Federal Ban on Canadian Drugs

The federal governments ban on buying prescription drugs from Canada has left some states frozen in their tracks. But Republican Gov. Tim Pawlenty of Minnesota is brazenly bucking federal law by using the World Wide Web to help Gopher State residents buy less-expensive drugs from Canada. While Minnesotas move may be the boldest so far, Pawlenty is just one of dozens of governors, state legislators and city leaders across the country who are putting increased pressure on the federal government to allow re-importation.

Governors Press Bush for More Highway Dollars, Jobs

State governors went to the White House to register concerns about jobs and highway dollars but failed to win offers for any new funds or programs. President Bush promised to set aside election-year politics and work with members of the National Governors Association. But one of his Cabinet members struck less than a conciliatory tone by calling the nations largest teachers union a terrorist organization.

Music Trail Could Help Struggling Virginia Towns

Hollywood has its Walk of Fame, the world's most famous sidewalk. Southwest Virginia soon could have a music trail with highway markers to make it easier for visitors to follow the birth of country music in the Appalachian Mountains. State lawmakers look to tourism to help shore up a local economy suffering from the demise of coal mining and the loss of jobs to workers overseas.

Legislators Aim to Protect Value of Popular Gift Cards

State legislators are responding to shoppers complaints that some of those plastic gift cards that have become so popular in recent years are a consumer rip-off because they expire or lose value over time. Nearly half of the states are considering following Californias lead and regulating the high-tech presents. Some cards, though, may be caught up in a federal-state tug of war.

Billions at Stake in Internet Tax Debate

Most people yawn and get that cloudy, glazed-eye look when discussing the Internet and taxes. State lawmakers, on the other hand, see a vibrant shade of green--as in money--when discussing ways to convert Internet commerce into sorely needed tax dollars for state coffers.

Job Creation Vexes States in a Weak Economy

State government--not private industry--was the biggest creator of new jobs in the country last month, a development that could explain why states are putting so much energy into keeping and growing new businesses within their borders. With jobs of utmost concern this election year, states are trying an array of strategies: from banning outsourcing of state-contract jobs to incubating high-tech startup companies.

Pro-Baseball Franchise Hit with Unusual State Audit

More than three dozen new professional sports stadiums and arenas opened in the United States in the last decade, many of them built with taxpayer money. Some taxpayers and the people who represent them seem satisfied with the bargain, but others are beginning to ask why some of the teams that benefited have provided so little to cheer about.

Outsourcing Helps States' Economies, Industry Claims

The growing zeal to keep U.S. jobs from going overseas including state jobs has the high-tech industry scrambling to defuse the anti-outsourcing sentiment surfacing in more than half the countrys statehouses. A new report says global outsourcing of computer-services jobs will create more than 317,000 other new U.S. jobs in 2008, including 34,000 jobs in California and 24,000 in Texas.

For-Profit Companies Cashing in on New Education Law

The federal No Child Left Behind Act has opened up public education to for-profit companies, allowing them to compete for billions of dollars to tutor low-income students in schools that miss state testing targets. But some education experts and public school officials are uneasy that federal money targeted for disadvantaged children is flowing outside the public school systems with no guarantees that added costs will pay off academically.

Free CDs from Lawsuit Soon to Spice Up Library Shelves

A treasure trove of free music on 5.6 million compact discs featuring tunes from Britney Spears to Beethoven is on the verge of flowing to states, thanks to settlement of a class action lawsuit filed by 40 of the states attorneys general. Shipments are to begin this spring.

Indiana Doubles SUV Use, Census Finds

Critics say sport utility vehicles are gas guzzlers prone to rollovers, but that hasnt diminished their popularity. A Census report released Monday showed Indiana doubled its registrations of SUVs between 1997 and 2002.

States Struggle to Control Prescription Prices

States are experimenting with innovative tactics to rein in prescription drug prices for state workers and people on Medicaid, in an effort to hold down health care costs. The three most prevalent steps to control costs involve: importing less-expensive medicine from abroad, buying drugs in bulk, and regulating pharmacy benefit managers, the for-profit companies that negotiate drug discounts for states.

Going Once, Going Twice, Gone Online

Attention, online shoppers. At least 16 states are using eBay - that nationwide yard sale on the Internet - to unload accumulated junk in government warehouses and turn handsome profits for state treasuries. The goods can range from gold rings to big screen TVs to hand-me-down police cars. Need a bicycle with a pizza delivery box? Oregon is accepting bids. Coming this month to eBay: a new Harley Davidson signed by President Bush and all 50 governors as a fund-raiser.

Gas Prices Hit State Fleets, Consumer Wallets

Memorial Day, meant to honor soldiers' sacrifices, this year will mean consumers' wallets get pinched as they hit the road for the ceremonial start of summer. Soaring gas prices are also affecting state vehicle fleets and fuel budgets. California and Florida are launching price-gouging investigations, and a few states are thinking about suspending their state gas tax.