The Wall Street Journal – Across the country, fights between local and state authorities have erupted as federal stimulus money is doled out. About $280 billion of the $787 billion federal stimulus package passed in February is set to flow through state and local governments.

Many mayors are grateful for getting some money they wouldn’t have had otherwise. Still, mayors of several cities have blasted their governors for denying them money for big projects, for favoring suburban requests over urban needs, and for taking back state aid after doling out federal dollars.

The governors have said they are trying to balance the needs of many municipalities, and that they must follow the dictates of Congress or their own state laws.

The disputes touch on a longstanding area of tension between city halls and state capitols. As more federal money for local needs is funneled through states, cities have complained that they aren’t getting as much as they feel they deserve for the size of their population. [read more…]