Divided among most of the state's 600 cities and counties, the amounts generally are small. But as local governments approach the end of their fiscal years this summer, any missing money could force them to cut services or suspend building projects. A least two counties in the region already have stopped further hires.
Many officials are upset.
Across the state, among the hardest hit is Guilford County. A faltering economy and several unanticipated expenses have blown a hole in the state's budget. The state constitution mandates a balanced budget. Easley administration officials noted the local aid has not yet been cut and could still be paid. The governor himself played down the impact.