Spending Cuts Threaten State Recoveries, Governors Say

Federal budget cuts will probably push the U.S. back into recession by damaging states’ economies recovering from the worst fiscal crisis since the Great Depression, governors said.

President Barack Obama and Congress need to find a way to prevent $85 billion in across-the-board spending cuts from taking effect starting on March 1, said Republican and Democratic governors who are in Washington this weekend for a meeting of the National Governors Association.