"The Minnesota Response" documents the fiscal pressures which Extension has seen over the past several decades (pages 4 to 6 and more on pages 280 to 290).
A recent report by the Center on Budget and Policies Priorities suggests that 2010 and 2011 will also be rough years for many state governments. While this article did not address Extension funding, state's are the largest source of funding for most states.
The article is entitled:
"Recession Continues to Batter State Budgets; State Responses Could Slow Recovery" by Elizabeth McNichol and Nicholas Johnson, Center on Budget and Policy Priorities, updated December 18, 2009. (www.cbpp.org/cms/index.cfm?fa=view&id=711).
The article reports that 48 states have shortfalls for 2010 of about 28 percent of their state budgets - "the largest gaps on record." The budget gaps for 2011 could be another 16 percent of their budgets.
State by state shortfalls are reported for both 2010 and 2011.
At least over the next several years the pressure on Extension is not going to diminish.
Chapter 13 in "The Minnesota Response" tells how regionalization and specialization has influenced public support at the county and state levels after they lost 18 percent of their budgets in FY2002 through FY2004. It also discusses the ways that regionalization and specialization enhances the ability to generate alternative revenues.