The cuts, known in the parlance of budgetary legislation as "sequestration," would shave $1.2 trillion from federal spending over nine years. The first trim, to take effect March 1, amounts to $85 billion through the end of the fiscal year in September.

Gov. Scott Walker unveiled a two-year $68 billion budget Wednesday that would not increase state aid to local governments and provide only a modest hike to public schools

Medicaid would return to its "intended purpose as a safety net for the neediest" by shifting some people off the program, adding others and refusing the full expansion allowed under federal law, according to Gov. Scott Walker's proposed budget for 2013-15.

On Wednesday, Florida Gov. Rick Scott, a Republican, completed a major turnaround when he announced his state would take part in a key element of Obama's plan to enroll more poor people in Medicaid.

State workers and educators will receive a 1 percent pay raise next year under a nearly $5.9 billion budget proposal that's heading to the House for consideration later this week.

The director of the Kansas Budget Division issued a public apology Monday for an errant spending statistic that Gov. Sam Brownback has used for months to claim credit for state spending cuts that never happened.

Oklahoma lawmakers will have about $213 million more than a year ago to develop a $7.04 billion budget.

House Speaker Greg Stumbo signaled Tuesday that the General Assembly is headed for a special session to consider pension reform because funding proposals would require supermajority support to pass in the regular session.

The California Public Employees' Retirement System's board voted to divest its $5 million in shares of Smith & Wesson Holding Corp. and Sturm Ruger & Co. because the companies make weapons banned in the state.

New York State Common Retirement Fund, Albany, is "thinly staffed" for such a large and complex fund, especially in several asset classes, an independent advisory firm reported Tuesday.