The Illinois House of Representatives passed a pension-overhaul plan Thursday that would cut retiree benefits and increase required employee contributions, in the biggest move yet toward addressing the nation's worst state-pension crisis.

While the debate about Medicaid expansion continues on in several states, a recent study reveals that new beneficiaries may use their new health coverage more often, but won't actually be much healthier because of it.

The House tentatively approved two bills Wednesday that would roll back lawmakers' reliance on dedicated funds to balance the budget.

A third of Senate Republicans joined Democrats in voting 22-18 against an amendment that would have banned new state workers, teachers and county workers from joining the state's $132 billion pension system, and steer them instead toward private, 401(k)-style investment plans, shifting the risk from taxpayers to workers.

Even as lawmakers were reining in the use of "capital-appreciation bonds" -- which became notorious when one San Diego-area district revealed that it was making a $1 billion interest payment on a $105 million debt -- the state Senate advanced an ill-defined new "bond" plan to provide schools with a fresh source of cash.

Closing the gap to achieve fiscal balance over 50 years will require "action to be taken today and maintained for each year equivalent to a 14.2 percent reduction in the state and local government sector's current expenditures." 

In attempts to reign in the costs of pensions, state lawmakers legislate pension reform. Challengers to those reforms often bring suit, alleging violations of state law, contracts, and the Constitution.

Gov. John Hickenlooper on Monday signed into law a $20.5 billion state budget for next year, lauding the measure as both "prudent" and "forward looking" as it doles out cash to public schools and offers slight pay increases for state employees. Democrats, who control both chambers and the governor's office, passed the budget bill in the Senate on a party-line vote with all Republicans in opposition. And in the House, just nine Republican lawmakers signed on in support of the bill.

Resolving the state budget is becoming more challenging, with signs that tax revenue collections will be sluggish for the key month of April, a top Senate Republican leader said Monday.

The Hawaii State Legislature today voted unanimously in both the House and Senate to approve the state budget for the upcoming FY2013-2015 biennium.

State and local governments can expect ever-widening budget gaps through 2060, as rising healthcare costs for both citizens and public employees surpass recent improvements in their revenue, the Government Accountability Office said on Monday.

Secret payments made by the pension's money managers or other investment services providers, such as the custodian to the fund, to any of the potential parties mentioned above at a minimum undermine the integrity of the pension's investment program and almost certainly detrimentally impact investment performance.

The competing plans could set the stage for the budget battles that are expected to dominate the rest of the session.

A budget deal could be struck soon on a $7 billion spending package for the state of Oklahoma for the upcoming fiscal year, negotiators say.

From California to Florida, in nearly every state, the economic recovery has produced a surge in tax revenue.

gives more than $1 billion to taxpayers over four years through a mixture of corporate, income, inheritance and financial institutions tax cuts. The spending plan includes increased funding for roads, education and child services.

Gov. Paul LePage reacted to a widespread revolt over elements of his biennial budget proposal that will eliminate funding for towns and cities by challenging local officials to come up with alternatives.

Lawmakers approved the measure with a 25-22 vote, moving to create a 401(k)-style system that workers can use.

With more money to spend, lawmakers are haggling over funding increases, pay raises and local projects supported by individual lawmakers that are now possible in a $74 billion budget.

The Massachusetts House has passed and sent to the Senate a $34 billion state budget for the fiscal year starting July 1.