State and local governments revenue declines 22 percent in 2009, census data show.

State and local governments brought in nearly $2.1 trillion in 2009, down 22.1 percent ($587.5 billion) from 2008, according to statistics the U.S. Census Bureau released in late October 2011. Most tax revenue categories declined except property tax, which increased 3.7 percent to $424.0 billion. Revenue from the federal government increased 12.3 percent from $478 billion to $536.8 billion between 2008 and 2009.

Debt outstanding for state and local governments increased $131.1 billion (5.1 percent) to $2.7 trillion in 2009, with spending increasing 4.6 percent, totaling almost $3 trillion in 2009. Education remained the largest expense ($850.7 billion), followed by public welfare ($431.1 billion) and insurance trust ($275.5 billion). State and local spending on education comprised more than 33 percent of expenditures in nine states (Alabama, Arkansas, Georgia, Kansas, New Jersey, Texas, Vermont, Virginia and West Virginia). Elementary and secondary education totaled more than 24 percent of spending in New Jersey (25.8 percent) and Georgia (24.3 percent). Maine led...