skip navigation

Local Government Assistance

skip breadcrumbs

Mission

Local Government Assistance programs provide general purpose aid to municipalities, as well as targeted grant programs and incentives for local government efficiency and consolidation actions. State General Fund-supported programs include the Aid and Incentives for Municipalities (AIM) program, Citizen Empowerment Tax Credits, the Citizens Re-Organization Empowerment Grant program, the Local Government Efficiency Grant program, the Local Government Performance and Efficiency Program, and the County-Wide Shared Services Initiative.

Budget Highlights

The Executive Budget recommends $759 million in All Funds appropriations to fund miscellaneous State aid and assistance programs, including $726 million in General Fund support to local governments under several aid programs. Included with the All Funds appropriations, the Budget recommends $2.5 million in General Fund state operating support for the Financial Restructuring Board for Local Governments and $30 million in Fiduciary Funds to cover contingency appropriation requirements. Overall, this represents a decrease of $294 million from FY 2019 All Funds appropriation levels, primarily due to the discontinuation of the $225 million appropriation for the County-Wide Shared Services Initiative, which will now be funded by reappropriations, and a $59 million reduction in AIM funding to towns and villages with a low reliance on this funding stream.

Program Highlights

County-Wide Shared Services Initiative Program

Funding for the State's match of the first year of savings from shared services actions included in a finalized county-wide shared services plan submitted to the Director of the Budget.

Aid and Incentives for Municipalities

Unrestricted State aid to cities, towns, and villages.

Citizens Reorganization Empowerment Grants

Funding for local governments to cover costs associated with planning and implementing local government reorganization activities, such as consolidations and dissolutions.

Citizen Empowerment Tax Credits

Annual tax credits for cities, towns, or villages that consolidate or dissolve are equal to 15 percent of the newly combined local government’s tax levy. At least 70 percent of such amount must be used for direct relief to property taxpayers.

Local Government Efficiency Grants

Competitive funding to help cover costs associated with local government efficiency projects, such as planning for and/or implementing a functional consolidation, shared or cooperative services, and regionalized delivery of services.

Local Government Performance and Efficiency Program

Grants and/or loans awarded by the Financial Restructuring Board for Local Governments to assist with implementing Board recommendations.

ALL FUNDS
APPROPRIATIONS
(dollars)
Category Available
FY 2019
Appropriations
Recommended
FY 2020
Change From
FY 2019
Reappropriations
Recommended
FY 2020
State Operations 2,500,000 2,500,000 0 0
Aid To Localities 1,050,103,113 756,352,613 (293,750,500) 335,914,000
Total 1,052,603,113 758,852,613 (293,750,500) 335,914,000

STATE OPERATIONS
ALL FUNDS FINANCIAL REQUIREMENTS BY FUND TYPE
APPROPRIATIONS
(dollars)
Fund Type Available
FY 2019
Recommended
FY 2020
Change
General Fund 2,500,000 2,500,000 0
Total 2,500,000 2,500,000 0

STATE OPERATIONS
ALL FUNDS FINANCIAL REQUIREMENTS BY PROGRAM
APPROPRIATIONS
(dollars)
Program Available
FY 2019
Recommended
FY 2020
Change
Financial Restructuring Board
General Fund 2,500,000 2,500,000 0
Total 2,500,000 2,500,000 0

STATE OPERATIONS - GENERAL FUND
SUMMARY OF NONPERSONAL SERVICE AND MAINTENANCE UNDISTRIBUTED
APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED
(dollars)
Program Total
Amount Change
Financial Restructuring Board 2,500,000 0
Total 2,500,000 0
STATE OPERATIONS - GENERAL FUND
SUMMARY OF NONPERSONAL SERVICE AND MAINTENANCE UNDISTRIBUTED
APPROPRIATIONS AND CHANGES
FY 2020 RECOMMENDED CONTINUED
(dollars)
Program Contractual Services
Amount Change
Financial Restructuring Board 2,500,000 0
Total 2,500,000 0

AID TO LOCALITIES
ALL FUNDS FINANCIAL REQUIREMENTS BY FUND TYPE
APPROPRIATIONS
(dollars)
Fund Type Available
FY 2019
Recommended
FY 2020
Change
Fiduciary 30,000,000 30,000,000 0
General Fund 1,020,103,113 726,352,613 (293,750,500)
Total 1,050,103,113 756,352,613 (293,750,500)

AID TO LOCALITIES
ALL FUNDS FINANCIAL REQUIREMENTS BY PROGRAM
APPROPRIATIONS
(dollars)
Program Available
FY 2019
Recommended
FY 2020
Change
Aid and Incentives for Municipalities
General Fund 754,000,000 695,000,000 (59,000,000)
Aid to Municipalities with VLT Facilities
General Fund 28,885,313 28,885,313 0
County-wide Shared Services
General Fund 225,000,000 0 (225,000,000)
Miscellaneous Financial Assistance
General Fund 12,000,500 2,250,000 (9,750,500)
Municipal Assistance State Aid Fund
Fiduciary 15,000,000 15,000,000 0
Municipal Assistance Tax Fund
Fiduciary 15,000,000 15,000,000 0
Small Government Assistance
General Fund 217,300 217,300 0
Total 1,050,103,113 756,352,613 (293,750,500)

Note: Most recent estimates as of 1/15/2019

^ Top