The State of Illinois relies on federal funds to make up 28.5% of its annual budget, according to a recent study by the Tax Foundation. Among all states, Illinois was listed at No. 41 for its use of federal grants-in-aid. The funds are used for such things as infrastructure improvements, Medicaid payments and public education. The average federal funding share among all states was 22.9%.
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States’ Reliance on Federal Assistance
| Rank | State | Federal Aid as % of State General Revenues |
| 1 | Montana | 46.1% |
| 2 | Wyoming | 44.5% |
| 3 | Louisiana | 43.7% |
| 4 | Mississippi | 43.3% |
| 5 | Arizona | 43.1% |
| 6 | New Mexico | 40.6% |
| 7 | Alaska | 39.3% |
| 8 | Kentucky | 38.9% |
| 9 | West Virginia | 38.1% |
| 10 | Indiana | 38.0% |
| 11 | Tennessee | 37.7% |
| 12 | Missouri | 37.7% |
| 13 | Arkansas | 37.2% |
| 14 | Alabama | 36.8% |
| 15 | New York | 35.9% |
| 16 | Pennsylvania | 35.0% |
| 17 | South Dakota | 34.8% |
| 18 | Georgia | 34.3% |
| 19 | Maine | 34.3% |
| 20 | Ohio | 33.9% |
| 21 | Oklahoma | 33.8% |
| 22 | New Hampshire | 33.2% |
| 23 | Michigan | 33.1% |
| 24 | Vermont | 33.0% |
| 25 | Rhode Island | 32.8% |
| 26 | Oregon | 32.8% |
| 27 | Florida | 32.8% |
| 28 | Texas | 32.6% |
| 29 | Nevada | 32.6% |
| 30 | South Carolina | 31.9% |
| 31 | Maryland | 31.2% |
| 32 | Nebraska | 30.9% |
| 33 | Idaho | 30.7% |
| 34 | California | 30.7% |
| 35 | North Carolina | 30.5% |
| 36 | Colorado | 30.0% |
| 37 | Iowa | 29.4% |
| 38 | Washington | 29.2% |
| 39 | Massachusetts | 28.7% |
| 40 | New Jersey | 28.7% |
| 41 | Illinois | 28.5% |
| 42 | Delaware | 28.1% |
| 43 | Connecticut | 27.0% |
| 44 | North Dakota | 26.8% |
| 45 | Wisconsin | 26.3% |
| 46 | Minnesota | 26.0% |
| 47 | Utah | 24.2% |
| 48 | Kansas | 23.3% |
| 49 | Virginia | 21.1% |
| 50 | Hawaii | 20.7% |
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