Top 10 States with the Most Federal Funding

Posted by Allison Crawford - Thursday, October 25th, 2012

The U.S. government spends trillions of dollars on federal funding for states each year. Typically, states with higher populations receive more funding, though factors like the state's economic conditions, location of federal facilities, and emergency situations can also affect allocated funds. Somewhat surprisingly, differences in states' unemployment rates and political leaning were evenly represented among the highest recipients of federal funds. Using data from USASpending.gov, the US Census Bureau, and the Bureau of Labor Statistics, compiled below is a list of the top 10 states receiving the most federal funding per resident.

10. Maryland
Federal spending per capita: $11,360
Total federal spending: $65.9 billion
Population: 5.8 million
Unemployment rate: 6.9%
Blue state

Four of Maryland's top ten prime awards went to the Department of Health and Human Services. One was for the Department of Defense with the other five for the Department of Homeland Security. The top funds awarded went to the Department of Homeland Security. The top award contractors included Lockheed Martin and Johns Hopkins University.

9. Texas
Federal spending per capita: $11,440
Total federal spending: $294 billion
Population: 25.7 million

Unemployment rate: 6.8%
Red state

Though in total spending Texas received the second highest amount of funds, it comes in at number nine in per person spending. Seven on the states top ten awards went to the Department of Homeland Security with the same agency topping the most total money awarded. The remaining three awards went to the Department of Health and Human Services. The top award contractors were Lockheed Martin and L-3 Communications.

8. Delaware
Federal spending per capita: $12,384
Total federal spending: $11.2 billion
Population: 907,135
Unemployment rate: 6.8%
Blue state

Delaware comes in close to the bottom of the list of total spending for all states, but its low population makes it reach the top ten in per person spending. Delaware received the most money for the Department of Homeland Security with all of its top ten prime awards going to this department as well. The second major award agency was the Social Security Administration and the top award contractors were Glaxosmithkline and Husky Energy.

7. North Dakota
Federal spending per capita: $12,704
Total federal spending: $8.7 billion
Population: 683,932
Unemployment rate: 3%
Red state

Though it received even less money than Delaware, coming in at 45th for total spending, North Dakota's sparse population gives it a spot on this list. Seven of the state's top ten awards went to the Department of Homeland security with the remaining three going to the Department of Health and Human Services. The Social Security Administration was second to the Department of Homeland Security in top award agencies. The number one award contractor was Noridian Mutual Insurance.

 6. Mississippi
Federal spending per capita: $13,141
Total federal spending: $39.1 billion
Population: 3 million
Unemployment rate: 9.2%
Red state

Although Mississippi is one of the poorest states with the seventh highest unemployment rate, it received more federal funding than half of the states and enough to equal more than 13,000 per person. The top ten awards were split with four for the Department of Homeland Security, and three for both the Department of Defense and the Department of Health and Human Services. The Department of Homeland Security and the Social Security Administration were once again the top two award agencies. Huntington Ingalls Industries and Northrop Grumman were the top award contractors.

5. Virginia
Federal spending per capita: $14,463
Total federal spending: $117.2 billion
Population: 8.1 million
Unemployment rate: 5.9%
Swing state

The first of two swing states on this list, Virginia comes in slightly ahead of its overall seventh place position for total federal spending. The Department of Homeland Security dominated the top ten awards list with seven awards. The top two award agencies were the Department of Defense and the Department of Homeland Security. The top award contractors included Saic Inc and Hewlett-Packard.

4. Hawaii
Federal spending per capita: $15,628
Total federal spending: $21.48 billion
Population: 1.4 million
Unemployment rate: 5.7%
Blue state

Hawaii received the most funding for Defense and Homeland Security, with all top ten awards going to this department. The Social Security Administration came in second with just over a quarter of the DHS funds. The top five award contractors included Tesoro, Bae Systems, and Dck-Ecc.

3. South Carolina
Federal spending per capita: $16,467
Total federal spending: $77.05 billion
Population: 4.7 million
Unemployment rate: 9.1%
Red state

All of South Carolina's top ten awards went to Homeland Security, and the DHS received more than half of all funds, followed by the SSA. Top contractors were Savannah River Nuclear Solutions and the Shaw Group.

2. Louisiana
Federal spending per capita: $30,115
Total federal spending: $137.77 billion
Population: 4.6 million
Unemployment rate: 7%
Red state

Louisiana has nearly the same population as South Carolina, yet received nearly twice as much federal funding per person. All but one of the state's top ten awards went to Homeland Security, with the other going to Health and Human Services. The most money for products or services sold went to construction, followed by combat vehicles and ships.

1. Florida
Federal spending per capita: $30,318
Total federal spending: $577.80 billion
Population: 19.1 million
Unemployment rate: 8.7%
Swing state

With $577.80 billion in federal funding, Florida is number one in total funding as well as per capita spending. 80 percent of the funds went to Homeland Security with all top ten awards going to this department. The top contractors were Lockheed Martin, Harris Corporation and Raytheon Company.

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