[frank2]

>If those states don't get federal funds, they will not be able to have a functioning judicial branch

Your phrase "GDP draining" probably refers to the fact that some states receive more in federal services than their population pays in federal taxes, which has nothing to do with whether such a state will be able to continue to fund and administer its own "state" court.

Most matters, e.g., most murder trials, are adjudicated in the 50 state courts, not in the US federal court. When OJ Simpson was put on trial for the murders of Ron Goldman and Nichole Brown Simpson, for example, he was put on trial in a state court.