Transcript Fiscal Federalism

Fiscal Federalism Sabato 110-114
Fiscal Fed- Federal $ spent on programs run
in part through state and local governments
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Texas A&M founded by $ from land grant
Grants-in-aid-Federal cash. This spending
has been increasing substantially.
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Made “the national gov. a major player in domestic
policy” (Sabato 110).
Matching funds usually required
Used to promote national goals regarding race
discrimination
e.g.,75,000 more police officers
Categorical Grants-designated activity
or specific purpose -school lunch
programs
Detailed conditions, sometimes matching
 Way to bribe states
 Great Society grants under LBJ-$ to local
groups to bypass reluctant governors or
mayors- caused tension
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New Federalism
Reagan-return power to statesBill Clinton- “era of big government is over”.
Block grants-less restrictive than categorical
grants- general area $ must be spent, few
strings attached so popular with states (Aid to
state & local gov declining)
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Health care area & spent on hospital construction ,
medical equipment etc. More local decision
making
Health, income security, education, transportation
“Block grants are a perennial
Republican favorite because they make
federal programs politically easier to
cut.” (Waxman 44)
Why?
Devolution Revolution - new trend toward MORE
state and local control. Republicans advocate this
strategy Sabato 113
 Unfunded mandate 1995- national gov. passes
laws requiring states to act, but does not allocate
$
 Temporary Assistance for Needy Families
TANF block grant-gave states more control, but
set national guidelines
 US v Lopez 1995-struck down Federal handgun
law that has prohibited possession of gun
withn1,000 feet of school. Ruled that Congress
had abused commerce clause
 Printz v US 1997-struck down Brady Bill
regarding background checks
 Kimel v Florida Board of Regents 2000- since
Const. doesn’t include age discrimination, states
can create own policies
2009 Stimulus package
http://www.propublica.org/special/thestimulus-plan-a-detailed-list-of-spending
http://www.njsacc.org/wordpress/
http://www.rsmmcgladrey.com/pdf/us
_economic_stimulus_package_benef
it.pdf