Local Government Revenues in FY 2011

The big job in tracking state and local government using data from the U.S. Census Bureau is making adjustments so that the comparisons between places and with the U.S. average are meaningful. One should to adjust, to the extent possible, for the varying structure of local government in different places, the division between state and local responsibilities, the amount of services contracted out, and the differences in the local cost of living and the ability of taxpayers to pay. One should also try to use comparable years, so the effects of booms and busts on the local tax base and social service costs can be excluded from the comparison. For a reasonable comparison with FY 2011, a year when most of the country was struggling to exit a recession but Wall Street and the rich were helped by cheap money and a related stock market –re-bubble, I have chosen the similar year of FY 2004.

Once all these adjustments are made, however, what is surprising is how slowly, and how little, things change. The big change in New York City is higher taxes, and higher taxpayer pension contributions. A spreadsheet with the data, and a discussion of what it shows on the revenue side, is here on “Saying the Unsaid in New York.” A subsequent post will cover expenditures.