States Step Up On Infrastructure

"Faced with sharply emerging deficits, the states, which had assiduously lowered tax rates in the late 1990s, took the only path politically possible -- they chopped spending. Overall, states stopped expenditure growth in its tracks for a couple of years. Capital projects and maintenance were delayed. User charges and fees (such as college tuitions) surged."

"It's too early to declare springtime in Public Finance Land. But if there is a thaw, one of the beneficiaries is likely to be infrastructure."