U.S. Cities Grapple With Tax Slide as Costs Rise, Aid Falls
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For U.S. cities, the effects of the real-estate collapse and the recession it helped spark in 2007 are showing few signs of ending.
More than half, 57 percent, of municipal officials said finances were worse in fiscal 2011 than in 2010, the National League of Cities said today, citing a survey of municipal officials. Inflation-adjusted revenue is headed for a fifth-straight annual drop, while worker health-care and pension costs rose for more than 80 percent. Half said state aid has declined.