Good morning, it’s Friday, June 5, 2026. In today’s edition, governors float budget cuts in uncertain economy; Illinois, Wyoming seek data center restrictions; New York finalizing AI bills:
Top Stories
ECONOMY: Governors in 22 states proposed targeted spending cuts, while 14 proposed raising taxes or fees and 14 proposed eliminating vacant positions in Fiscal Year 2027 budget plans. The belt-tightening illustrates the growing pressure state leaders face as economic growth slows, tax cuts kick in and service costs increase. Most state budget directors expect general fund revenues to grow at a modest or slow pace next year. (Pluribus News)
ENERGY: Illinois Gov. J.B. Pritzker (D) has directed the Department of Commerce and Economic Opportunity to pause the processing of new agreements for data center tax incentives. Pritzker wants lawmakers to pass legislation banning nondisclosure agreements between data centers and local governments and requiring data centers to report energy and water use. (ABC7)
MORE: Wyoming Gov. Mark Gordon (R) has signed an executive order establishing a regulatory framework around data centers. The order sets guiding principles requiring state agencies to coordinate efforts to improve transparency and regulatory efficiency in the construction of new centers. (Wyoming Tribune Eagle)
ARTIFICIAL INTELLIGENCE: New York lawmakers are finalizing bills to require AI developers to disclose the sources of their training data; banning AI models from engaging on topics like suicide and self-harm with minors; and annual reporting from businesses with more than 50 employees on how many workers were fired or replaced by AI. (Albany Times Union)
LGBTQ RIGHTS: Republican governors are proclaiming June as a month dedicated to families, coming up with alternative names to Pride Month. Alabama Gov. Kay Ivey (R) has declared June as Strong Families Month. The governors of Arkansas and Utah have declared Fidelity Month. (Associated Press)
PUBLIC HEALTH: The Rhode Island House and Senate have approved legislation restricting the availability of some rat poisons. The bills target the sales of anticoagulants, the first type of rat poison developed, which can also poison owls, hawks and other predators that prey on rats. (Rhode Island Current)
TAXES: The New Hampshire House and Senate have agreed to a plan requiring voters in every city and town to consider initiatives capping local property taxes spent on schools and administrative costs. Votes will be held this year and in 2028. (NHPR)
ALCOHOL: The Massachusetts House unanimously approved a bill pushing last call at bars and restaurants to as late as 3 a.m. this summer, subject to local approval. The later last call, meant to capture more revenue during World Cup matches, will expire at the end of July. (State Affairs)
In Politics & Business
CONNECTICUT: A new poll conducted for Impact CT, a Democratic advocacy group, finds Gov. Ned Lamont (D) leading state Rep. Josh Elliott (D) by a 58% to 20% margin. Older voters back Lamont by a huge margin, but younger voters break for Elliott. (CT Insider)
SOUTH CAROLINA: State Sen. Josh Kimbrell (R) has dropped his bid for governor days before next week’s primary election. (The State) Kimbrell was polling in the low-single digits against four well-known candidates.
IDAHO: The Idaho Legislative Council has approved ballot language that will be used to describe two proposed constitutional amendments. One measure would give the legislature sole power to legalize marijuana and other narcotics. The other would make English the state’s official language. (Idaho Capital Sun)
PEOPLE: Mississippi Rep. Price Wallace (R) has died at 64. Known for his big cowboy hat, Wallace chaired the House Elections Committee, where he had sought to revive the state ballot initiative process. (Mississippi Today)
By The Numbers
72: The number of women who have filed papers to run for governor in 2026, the largest number of female candidates ever to seek a state’s top office in a given year. The Center for American Women and Politics at Rutgers University counts 43 women running as Democrats and 29 running as Republicans. (Pluribus News)
24%: The decline in visits to Colorado ski resorts during the 2025-2026 ski season. After four years of record-setting traffic, visits dropped to 10.5 million, the lowest showing since 1991-1992 — even including Covid years. (Colorado Sun)
Off The Wall
A Washington State man faces multiple charges after allegedly vandalizing the Capitol building in Olympia. The man allegedly damaged two large doors and shattered 13 windows while heavily intoxicated, causing up to $100,000 in damage. (Washington State Standard)
No, this is not a repeat from last fall, when a different man managed to get into the Capitol building, damaging several statues and carpets.
Illinois Treasurer Mike Frerich (D) is the latest state official to visit Pope Leo XIV. Frerich’s gift to Leo: $8.65 of Leo’s own money, the amount the Pontiff held in a now-closed PayPal account left in an unclaimed property fund. (Capitol News Illinois)
The Savannah History Museum will display 17 cannons from the American Revolution rescued from the bottom of the bottom the Savannah River. The cannons were discovered in 2021 during a dredge scooping project. A U.S. Army Corps of Engineers archaeologist said the cannons “look brand new.” (Associated Press)
Quote of the Day
“God’s got a plan, he just hasn’t told me what that plan is.”
— Montana Senate Majority Whip Barry Usher (R), one of eight incumbent lawmakers to lose primary elections this week. (Daily Montanan)