The Nation : U.S., State Aid to Cities Lowest Since ’67

Federal and state aid to city governments has declined to the lowest level since 1967, providing only about 20 cents of every municipal revenue dollar in fiscal 1986-87, the Census Bureau said. By contrast, in the mid-1970s, federal and state aid to city governments rose to a high of 32 cents of each dollar in city revenues. According to a new Census Bureau report, federal aid to cities in 1987 amounted to 5 cents of each dollar in revenue and state aid provided another 15 cents. Federal revenues peaked at 13 cents in 1978, while state revenues reached 22 cents per dollar in 1975, the bureau said.