Findings

Congress finds the following: (1) Federal Reductions in Force (RIFs) may displace workers, altering where affected individuals live and work across States and localities. (2) Such workforce reductions may increase demand for State-administered services, including unemployment insurance, medicaid, workforce retraining, housing assistance, and other social services. (3) RIFs may reduce economic activity and tax revenues in regions with a high concentration of Federal employment. (4) States and local governments vary significantly in their fiscal capacity to absorb the short- and long-term impacts of large-scale Federal workforce reductions. (5) There is currently no comprehensive Federal assessment of how RIFs affect State and local government budgets, revenues, and expenditures.