School districts generally reduce taxes upon receiving federal and state aid. State-aided districts increase their expenditures to education only about 15 percent of the amount of the state aid, and reduce local tax levies by 85 percent. This substitution effect also accompanies federal aid to states. To meet this problem, Congress defines federal…

This report presents the Children's Defense Fund's (CDF) recommendations for spending the fiscal year 1998-1999 Minnesota state budget surplus. The intent of the CDF plan is four-fold: (1) emphasizing long-term investments in children's well-being; (2) address children's immediate health and safety concerns; (3) contribute to the continued…