On the form I've created it doesn't give U.S. states as options in drop down menu. http://www.unitybuffalo.org/civicrm/contribute/transact?reset=1&id=4
First of all, welcome to CiviCRM SE! It looks to me as though you haven't set a default country; if you go to Administer > Localization > Languages, Currency, Location you can set the default country to United States. Once you do that, it should limit the states/provinces listed to just US states. (Given your location, perhaps you want to include Canada and its provinces in the options; you can do so in the Available Countries section of that same page.)
Hope this helps! Lesley
The U.S. states are in there, they are just mixed in with the states/provinces for every country around the world. Usually what we do is add the country field and have it set so that the U.S. is the default, but you can choose other countries. You'll want to have it on your form before the state listing. We have to do this because we have folks from all over the world that have purchased from us.
If you only need the U.S. and no other countries (or you just want to add Canada), then you can just set only the U.S. (and maybe Canada) as an available country and then that list will be much shorter.
I was able to reproduce this behaviour if the state and country fields are not of the same location type –
Check your Donor Information CiviCRM profile and make sure all the address fields are of the same location type.
If they are all set to the same location type, then it should function as below –