Tagged: defense spending

If officials in Washington don't reach a deal to avert the "fiscal cliff," Missouri could see a hit to its economy and budget.

The Federal Funds Information for States estimates Missouri could lose $1 billion of Defense Department spending on contracts and military institutions if federal spending cuts take effect in the new year. The Washington-based organization estimates those automatic cuts also could result in a $125 million reduction in federal grants to state programs, such as public schools and early childhood programs.