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Review of Federal Funding to Florida - Office of Economic ...

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<strong>Office</strong> <strong>of</strong> <strong>Economic</strong> and Demographic Research<br />

Dollar Volume <strong>of</strong> Direct Loans<br />

Total: $2.1 billion; Rank: 7 th (16 th in 2008)<br />

Per Capita: $115; Rank: 36 th (42 nd in 2008)<br />

<strong>Florida</strong> Compared <strong>to</strong> the Most Populous<br />

States<br />

The U.S. Census Bureau reported that the<br />

federal direct expenditures (i.e., direct<br />

payments for individuals for retirement and<br />

disability, direct payments for individuals<br />

other than for retirement and disability, grants,<br />

procurement contracts, and salaries and<br />

wages) <strong>to</strong> the fifty states <strong>to</strong>taled $3.14 trillion<br />

in 2009, up from $2.70 trillion in 2008. The<br />

combined federal direct expenditures <strong>to</strong> the<br />

seven most populous states <strong>of</strong> California,<br />

Texas, New York, <strong>Florida</strong>, Illinois,<br />

Pennsylvania, and Ohio, <strong>to</strong>taled $1.30 trillion<br />

or 42 percent <strong>of</strong> the fifty states’ <strong>to</strong>tal. The<br />

<strong>to</strong>tal federal direct expenditures <strong>of</strong> the seven<br />

most populous states are as follows:<br />

1. California: $346 billion<br />

2. Texas: $227 billion<br />

3. New York: $195 billion<br />

4. <strong>Florida</strong>: $176 billion<br />

5. Pennsylvania: $136 billion<br />

6. Illinois: $116 billion<br />

7. Ohio: $108 billion<br />

However, as illustrated below, the states’<br />

respective rankings change when controlling<br />

for population differences. The per capita<br />

federal direct expenditures <strong>of</strong> these same<br />

seven states are as follows:<br />

1. Pennsylvania: $10,936 (1 st in 2008)<br />

2. New York: $9,978 (2 nd in 2008)<br />

3. <strong>Florida</strong>: $9,477 (4 th in 2008)<br />

4. California: $9,360 (5 th in 2008)<br />

5. Ohio: $9,354 (6 th in 2008)<br />

6. Texas: $9,164 (3 rd in 2008)<br />

7. Illinois: $8,990 (7 th in 2008)<br />

<strong>Florida</strong>’s Receipt <strong>of</strong> <strong>Federal</strong> Grants<br />

<strong>Federal</strong> grants continue <strong>to</strong> be significant<br />

sources <strong>of</strong> revenue. Among other things, they<br />

are used by state and local governments <strong>to</strong><br />

provide necessary infrastructure and services<br />

<strong>to</strong> their residents. <strong>Federal</strong> grant expenditures<br />

(i.e., actual outlays) <strong>to</strong> the fifty states <strong>to</strong>taled<br />

$532 billion in fiscal year 2009.<br />

Although federal grant obligations <strong>to</strong> <strong>Florida</strong><br />

<strong>to</strong>taled $32.0 billion in 2009, all those monies<br />

have not yet been expended. Actual federal<br />

grant expenditures <strong>to</strong> our state and local<br />

governments <strong>to</strong>taled $22.7 billion, or $1,224<br />

per capita. <strong>Florida</strong> had the 4 th largest federal<br />

grants expenditure <strong>of</strong> the fifty states,<br />

unchanged from 2008, and the state ranked<br />

48 th on a per capita basis, down from 46 th .<br />

The grant funding received from six federal<br />

departments (Health and Human Services,<br />

Education, Transportation, Housing and<br />

Urban Development, Agriculture, and<br />

Homeland Security) <strong>to</strong>taled $21.9 billion and<br />

accounted for 96 percent <strong>of</strong> all grants<br />

expenditures <strong>to</strong> <strong>Florida</strong>. Summaries <strong>of</strong> these<br />

grant expenditures <strong>to</strong> <strong>Florida</strong>, as well as some<br />

<strong>of</strong> the more well-known program categories<br />

within these departments, are listed below:<br />

Health and Human Services Grants<br />

Total: $13.6 billion; Rank: 5 th (5 th in 2008)<br />

Per Capita: $732; Rank: 46 th (46 th in 2008)<br />

• Administration for Children and<br />

Families<br />

• Centers for Medicare and Medicaid<br />

Services<br />

<strong>Review</strong> <strong>of</strong> <strong>Federal</strong> <strong>Funding</strong> <strong>to</strong> <strong>Florida</strong> in Fiscal Year 2009<br />

iii

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