Funding From Federal Grants Varies as a Share of State Budgets

Funding From Federal Grants Varies as a Share of State Budgets

States receive federal grants to help fund programs in areas ranging from education to transportation to health care. Federal grants accounted for an average of 31 percent of total state revenue in 2014, but states’ reliance on this revenue source varies widely. At nearly 41 percent, Mississippi had the largest share of revenue from federal grants, while North Dakota had the smallest at 17 percent.

Federal Grants graphic
Federal Grants graphic
The front facade of the Supreme Court of the United States in Washington, DC.
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Agenda for America

A collection of resources to help federal, state, and local decision-makers set an achievable agenda for all Americans

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Data-driven policymaking is not just a tool for finding new solutions for emerging challenges, it makes government more effective and better able to serve the public interest. In the coming months, President Joe Biden and the 117th Congress will tackle a number of environmental, health, public safety, and fiscal and economic issues—nearly all of them complicated by the COVID-19 pandemic. To help solve specific, systemic problems in a nonpartisan fashion, Pew has compiled a series of briefings and recommendations based on our research, technical assistance, and advocacy work across America.

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States of Innovation

Data-driven state policy innovations across America

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Data-driven policymaking is not just a tool for finding new solutions for difficult challenges. When states serve their traditional role as laboratories of innovation, they increase the American people’s confidence that the government they choose—no matter the size—can be effective, responsive, and in the public interest.

Where States Get Their Money
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Data Visualization

Percentage of Revenue, FY 2015

Taxes and federal funds are among the revenue sources for individual states.

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Data Visualization

Percentage of Revenue, FY 2015

Taxes and federal funds together account for more than three-quarters of the 50 states’ revenue dollars. In all but two states taxes are the largest revenue source, while federal funds are the second largest. Following is a breakdown of each state’s major categories of revenue, with percentages shown for taxes and federal funds.

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