October 31, 2014

New Report Shows Flow of Federal Dollars to Connecticut

Wade Gibson, J.D.

The National Priorities Project recently unveiled a fascinating interactive website on the flow of federal dollars to the 50 states and District of Columbia. “State Smart” provides both easy-to-grasp visualizations and detailed datasets on the ways federal funds support government, individuals, and businesses in the states, Connecticut included.

Last year, Connecticut received about $41 billion in the federal budget, which included:

  • $6.0 billion for state-administered programs that provide vital supports to families and communities, including Medicaid, the Low Income Home Energy Assistance Program, and Community Development Block Grants
  • $21.4 billion in direct federal benefits for college students, seniors, and others, in the form of Social Security, Medicare, Pell Grants, unemployment and other essential benefits
  • $10.6 billion of federal contracts with Connecticut companies
  • $2.7 billion in wages and benefits for federal employees

Put in perspective, these four contributions, respectively, amounted to:

  • 23.6% of state revenues
  • $5,945 per resident in federal benefits
  • $2,936 per resident in federal contracts with Connecticut companies
  • 32,010 federal jobs in the state

Not only does “Smart Start” shed light on the federal government’s often-invisible role supporting Connecticut’s families and businesses, but also it provides important transparency on where our federal tax dollars go. It’s worth a look!

Issue Area:
Budget and Tax