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“Don’t tell me what you value. Show me your budget, and I’ll tell you what you value.”

- Joe Biden, former Vice President of the United States State and local governments collect more than one-third of all taxes in America, and they allocate nearly half of all domestic government spending. Choices states make about investing in schools, health care, child care, and other services can either help create opportunity for people or hold them back.

The State Priorities Partnership — a network of 42 independent research and policy organizations — uses rigorous evidence and analysis to advance policies that reduce inequality, combat poverty, and promote state fiscal responsibility. State Priorities Partnership organizations stand out for their respected expertise on state budgets, tax policy, and various social programs, as well as their track record of promoting more broadly shared prosperity. The Center on Budget and Policy Priorities helped launch and now coordinates and supports the State Priorities Partnership.

Expanding Medicaid in States Since 2014, State Priorities Partnership organizations have played leadership roles in successful efforts to expand Medicaid in a number of states, including, most recently, multi-year campaigns in Louisiana, Montana, New Hampshire, and Pennsylvania.

Thwarting Tax Cuts that Weaken State Finances and Widen Inequality With arch-conservative forces dominating Washington and state capitols, State Priorities partners counter damaging fiscal policies that would weaken state budgets. Time and again, State Priorities Partnership organizations, with Center assistance, have proven their ability to deliver results.

Georgia Budget & Policy Institute, West Virginia Center on Budget and Policy, Michigan League for Public Policy, and OpenSky Policy Institute in Nebraska waged campaigns to stop income tax cuts that would have slashed state investments in economic opportunity and disproportionately benefited wealthy residents. Georgia Budget & Policy Institute embraced a robust behind-the-scenes strategy to convince key lawmakers not to move forward with a flat tax bill, while in West Virginia and Michigan, the Partnership’s use of digital media tools mobilized people to speak out in opposition of tax cuts.

The Oklahoma Policy Institute helped repeal legislation that would have triggered a cut in the state's top income tax rate the next time state revenue collections grew, pushing back against a national trend to phase in tax cuts over time. And the Washington State Budget and Policy Center helped secure the governor’s veto of a tax giveaway for manufacturing corporations.

Advancing Progressive Revenue Policies Kansas Center for Economic Growth’s successful work to roll back Gov. Brownback’s tax cuts and raise $590 million in new revenue was a pivotal moment in the national debate around tax cuts and for this network. But it’s not the only state group that advanced policies to generate new tax dollars and make tax systems more fair.

The Fiscal Policy Institute in New York helped extend a millionaire tax that was set to expire at the end of the year. The Oregon Center for Public Policy helped make sure the legislature allowed effective tax credits to expire and permanently closed a tax loophole for corporations. And the Massachusetts Budget and Policy Center’s research was central to persuading lawmakers to put a millionaire tax on the ballot.

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State Priorities Partnership Gaining Ground on EITC There’s a reason the State Priorities Partnership is a champion of state Earned Income Tax Credits: They work.

These tax credits put vital dollars back in the pockets of struggling working families, who can use the income boost to afford basic necessities. The credits have earned bipartisan support in state after state, as lawmakers embrace evidence that they encourage work and make tax codes less tilted in favor of those at the top.

Over the past 25 years, Partnership groups’ analysis and advocacy to advance state EITCs have helped more than 11 million struggling households in 29 states and the District of Columbia receive more than $4 billion dollars in state tax credits. And this year, the Partnership expanded the reach of the credits even further, working with diverse allies to mount successful campaigns in six states that helped secure an anticipated $1.4 million for struggling households.

Lending Fiscal Expertise to State Immigration Advocates State Priorities Partnership research is highlighting the vital contributions of immigrants to state economies, as this Georgia Budget & Policy Institute graphic shows (right). State Priorities partners are also working to reverse anti-immigrant policies and improve opportunities for immigrants. Their accomplishments, achieved in partnership with immigrants’ rights organizations, include: • Colorado: Nation’s first repeal of a “Show Me Your Papers” law • Texas: Defeat of a bill that would have repealed tuition equity • New Jersey and Colorado: Enactment of tuition equity Sources: Georgia Budget & Policy Institute estimates developed using underlying data from the Migration Policy Institute, Institute on Taxation and Economic Policy, Congressional Budget Office and Center for American Progress

• Virginia: In-state tuition for students granted Deferred Action for Childhood Arrivals

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Building Educational Opportunity for All Children Our nation’s future depends on giving our children the best education possible. A quality education provides pathways to opportunity, economic security, and participation in civic life.

State Priorities Partnership organizations across the country have developed expertise on school finance and are important players in endeavors to reform and strengthen education financing in their states. Their efforts, combined with the Center’s signature reports on state education funding trends, provide a foundation for this Partnership work. Examples include: • In Virginia, significant education funding cuts garnered scant attention until The Commonwealth Institute for Fiscal Analysis got involved. By quickly establishing itself as the go-to source for reliable information on education finance, the Institute worked to ensure that all children — no matter their background — had the opportunity to thrive. In 2016, their relentless efforts paid off when the legislature approved over $800 million in new K-12 funds, including money for a program helping at-risk kids.

• The Maine Center for Economic Policy (MECEP) carefully documented Governor Paul LePage’s damaging economic policies and shaped the public debate about Maine’s future. In a 2016 ballot measure crafted by MECEP, voters approved over $150 million more for K-12 education each year through an income tax surcharge on wealthy households.

Education Finance Equity Project To grow State Priorities Partnership capacity to advance meaningful opportunity for all children, the Center on Budget and Policy Priorities is launching a new project that will examine how inadequate and poorly allocated resources in the states perpetuate educational inequities.

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