The administration released its fiscal year 2009 $3 trillion budget request on Monday, February 5. An overview of the budget proposal along with state-level breakdowns on selected programs are available.

Congress and the administration failed to agree on budget priorities this year. While the President announced an escalation of the Iraq War and requested nearly $200 billion for war funding in fiscal year 2008 alone, Congress tried repeatedly to expand health care for children.

On October 22, the administration submitted a request for a further $45.9 billion in war-related spending for fiscal year 2008. This request is on top of $147 billion already requested for the Department of Defense and $3.6 billion for other agencies for the fiscal year. If appropriated by Congress, the vast majority would be spent on Iraq. Total spending for the Iraq War would rise to approximately $611 billion.

In spite of claims of the jobs created through military spending, much of the money spent on the military never makes it back to the States. This report, based on a new release of federal spending data, IRS and other data, shows at the state level what taxes we paid and what came back.