In fiscal year 2022, California paid $692.2 billion in federal taxes and received $609.1 billion in federal funding.
This total includes money transferred to California's state government as well as funds sent directly to local entities within the state, such as cities and school districts. Federal funding helps state and local governments pay for things like infrastructure, education, and health care for low-income people.
Federal transfers to state and local governments may be awarded through a competitive application process, or given based on formulas that consider things like the size of a population, number of highway miles, or income of an area. Sometimes the money goes directly to local governments. Other times, the federal government gives “pass-through” grants to states, which then decide how to distribute the funds to local governments within their state.
In fiscal year 2022, California paid $692.2 billion in federal taxes and received $609.1 billion in federal funding.
This total includes money transferred to California's state government as well as funds sent directly to local entities within the state, such as cities and school districts. Federal funding helps state and local governments pay for things like infrastructure, education, and health care for low-income people.
Federal transfers to state and local governments may be awarded through a competitive application process, or given based on formulas that consider things like the size of a population, number of highway miles, or income of an area. Sometimes the money goes directly to local governments. Other times, the federal government gives “pass-through” grants to states, which then decide how to distribute the funds to local governments within their state.