State and local governments fund very different services

See how local, state, and federal governments divide the cost of public services

Federal, state, and local governments share responsibility for funding public services. Education, roads, and social programs are funded through a complicated mix of taxes and intergovernmental transfers.

One in seven US tax dollars is collected by local governments

Local governments collect about $886B each year to support education, infrastructure, and public health. Roughly three-quarters of this funding comes from property taxes, with the rest sourced from sales, excise, and income taxes.

The federal government sent roughly $1.1T to state and local governments in 2024

Federal grants support a large portion of state and local budgets, funding Medicaid, infrastructure, education, and housing. In FY 2024, these transfers made up about 16% of total federal spending.

Federal government supports—but doesn't run—K-12 schools

The Department of Education contributes about 8% of K-12 funding and administers targeted grants, civil‑rights enforcement, research, and data collection. Crucially, it is legally prohibited from directing curriculum, personnel decisions, or instructional content, leaving that control to states and districts.

Police spending is one of the largest budget items for local governments

Local governments finance most of the costs for police in the US. Total state and local criminal justice spending—covering police, courts, and corrections—reaches hundreds of billions of dollars annually.

In 2020, government entities spent $316.5B on infrastructure, with state and local governments accounting for 34.8% of that amount.

US public K-12 spending topped $857B in 2024

Public K-12 schools spent around $857B in 2024, averaging $17,277 per student. State and local sources shouldered nearly 90% of costs, and federal funds provided about $2,400 per pupil.

Public libraries are funded by a mix of local taxes, state grants, and federal programs

Property taxes form the backbone of most library budgets, covering staff and operations. State grants expand access to literacy and technology programs, while federal funding helps libraries in rural and low-income communities.

Many local governments also struggle to rein in their spending

The federal government isn’t the only one that holds debt. State and local governments borrow money to cover budget gaps, too.

Private K-12 schools rely on tuition; colleges rely on funding for research

Tuition, endowments, donors, and grants often fund private schools, allowing them to eschew national curriculum standards. Private colleges and universities also charge tuition, but often rely on federal funding for research.

Voter turnout in local elections is significantly lower than for national elections

While 64% of eligible voters cast ballots in the 2024 presidential election, turnout in municipal elections is usually below 15%. For school board elections—where members oversee more than 50 million students and $600B in spending—turnout is often around 5%-10%.

Special districts are a form of local government focused on a single purpose

Unlike cities or counties, which provide a wide range of services, special districts are created to perform a single function, such as water, transit, or mosquito control. They are governed by appointed boards, have independent taxing authority, and now number nearly 40,000 across the US.

State governments have public pensions for their employees

In many US states, these pensions are set aside for teachers, firefighters, and/or other state government workers. However, many of these pensions are currently underfunded. This map provides a visual representation of how strong each US states’ public pensions are.

Nearly half of the discretionary funding in the US is allocated to national defense

The US accounts for roughly 35% of global military spending, with defense taking up nearly half of discretionary funds. In this discussion, Michael E. O'Hanlon of the Brookings Institution explains why these levels are so high—and how they compare historically.

The powers of local government are rooted in state law, not the Constitution

Unlike the federal government or the states, local governments have no constitutional standing—they exist only because state law allows them to. A state legislature can redraw a city's boundaries, strip its powers, or dissolve it entirely.

15 states offer school voucher programs, serving nearly 350,000 students

Voucher programs direct public K–12 funding to families in the form of tuition grants for private schools and are typically targeted to low-income or special-needs students.

Calculate how much of your tax dollars go to each federal program based on your income, filing status, and number of children

Roughly 40% of basic US research is federally funded

Basic research aims to produce new knowledge for it's own sake, as opposed to applied research, which seeks direct application. Private businesses make up the bulk of the rest of the funding.

Illinois has more local governments than any other state

As of 2022, there were a reported total of 90,837 local government units across the US. Illinois had the highest number with 6,930, followed by Texas with 5,533. Explore all the data from the 2022 Census of Governments, which takes place every five years.

Some California cities outsource their public services entirely to the county

Southern California's "contract cities" incorporate as municipalities but pay Los Angeles County for police, fire, and other services rather than running their own departments—a cost-saving model common across the region.

The United States is one of only around two dozen countries with a fully federal system of government, in which power is divided between national and state governments.

US school distrists have greatly consolidated since 1940

Consolidation significantly decreased the number of independent school districts from approximately 117,000 in 1940 to just over 13,000 today, mainly driven by efforts to boost efficiency and balance funding across communities.

Public school districts are subsidizing housing for their teachers

In the face of stagnant wages and a widespread teacher shortage, some public school districts are offering subsidized housing for teachers, hoping the benefit will attract and retain highly qualified educators. California has been at the forefront since 2016, with housing complexes constructed in expensive areas like San Francisco and Daly City.

The USPS spent $3.97B in 2024, accounting for .058% of the federal budget.

Zoning laws determine what can be built—and where—in every American community

Local governments use zoning to regulate land use. About 75% of residentially zoned land in American cities is designated for single-family homes only—a restriction that some experts blame for increasing housing costs and reducing affordability.

Most US fire departments are staffed entirely by volunteers, though they tend to serve smaller communities

According to the Federal Emergency Management Agency's 2024 registry, 70% of US fire departments are all volunteer, while 9.5% are fully staffed with paid employees. Volunteer departments are mainly found in rural and suburban areas, whereas most urban Americans are served by career or mixed departments.

The value of a dollar differs from state to state

Did you know that $100 is worth 26% less in California than in Arkansas? The value of a dollar isn't consistent in every US state due to a multitude of factors, such as taxes and other varying cost-of-living differences.

Most Americans support the separation of church and state

A 2021 Pew survey found that 55% of Americans strongly or moderately support the separation of church and state, while 14% favor integrating religion more into government.

Roughly 43 million US borrowers owe roughly $1.7T in student debt, the second-largest source of consumer debt behind mortgages.

The price of gas is a composite made up of several different factors, with the federal gas tax making up less than 20% of what drivers pay at the pump.

44% of Americans say they pray at least once a day—discover how your state's religiosity stacks up against the rest of the country.

The American Society of Civil Engineers' infrastructure report card gave the US a C in 2025, its highest grade since the project launched in 1998.

Hedge funds, the private investment firms that trade a wide swath of financial assets, make money by imposing steep fees on investors and from the fund's investment performance.

See this overview of the firework rules across all 50 states, ranging from a complete ban on non-professional fireworks in Massachusetts to states with more lax rules like Indiana.

Play the role of a student in a game where you try to navigate college and remain debt-free, selecting different income levels, high school experience, race, ethnicity, and more.

Gerrymandering works through two techniques: cracking opposing voters across districts to dilute their power, and packing them into a few to waste their votes in lopsided majorities.

Venture capital is a form of funding provided to early-stage companies with high growth potential, typically in exchange for an equity (or ownership) stake

Up to a million Girl Scouts sell about 200 million cookie boxes every spring, generating $800 million, largely because refusing a child is frowned upon

Louisiana's 'Cancer Alley' is infamous for having some of the highest industrial pollution, toxic air emissions, and cancer risks in the US.

Researchers believe the brain consolidates memories, processes emotions, and plans for the future during dream states

While El Niño moves warm Pacific Ocean waters east along the equator, La Niña moves them west, shifting where rainfall will become more common for months.

Before the current East Wing ballroom project, only two White House renovations in the past 100 years cost more than $10M.

About 2,000 US babies are born annually without some portion of their limbs, potentially leading to a lifetime of pricey prosthetics.

Art theft is the third-largest source of criminal revenues worldwide, thanks in part to the subjective nature of valuing a work of art.

Most of the observable universe's volume consists of voids and supervoids—enormous regions of space with little to no galaxies, stars, or light.

The use of fungi to detoxify land and water—a process known as mycoremediation—has been used to clean up natural resources affected by the 2025 California wildfires.

Pure water does not conduct electricity because this flow of energy requires the movement of charged particles, and water is a neutral molecule.

Three Ebola species are responsible for most large outbreaks of the disease, yet the only approved Ebola vaccine is known to work against just one of them.

Iran's Revolutionary Guard Corps is independent of Iran's regular army and is one of the most powerful and influential military-political organizations in the Middle East.

SpongeBob exemplifies Aristotle's philosophy for living well because he understands that happiness doesn't come from external factors like money, recognition, or power.