CBO: Border Surge Hurt More Than Helped State, Local Economies

Illegal immigration in 2023 cost local and state governments billions more than the tax revenue those same people generated, the Congressional Budget Office (CBO) announced in a report released last week.

When immigration increases, state and local governments typically collect more in taxes but also face greater demand for services, which drives up spending, the report said. CBO estimates that in 2023, the increase in state and local governments' spending due to the immigration surge was greater than the increase in tax revenues, resulting in a net cost.