Chapter
Federalism
National,
State and Local
Federalism Defined
• Divides power between a central
government and state and local
governments
– Framers favoured moving power from the
states to a national government
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THE EVOLUTION OF FEDERALISM
• DUAL FEDERALISM (1787-1913)
STATES AND NATIONAL GOVTS
DIVIDE FUNCTIONS.
– Congress handled enumerated powers
(Art.1; Sec. 8)
– States handled reserved powers (Amend 10)
– Congress and states both handled
concurrent powers
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Principles of Dual Federalism
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Mc Culloch v. Maryland
• Chief Justice John
Marshall use of
"Necessary and Proper
Clause,“
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Phase II Cooperative Federalism
• (1913-1964) NATIONAL GOVERNMENT
AND STATES EXERCISED
RESPONSIBILITIES FOR WELFARE,
HEALTH, HIGHWAYS, EDUCATION,
AND CRIMINAL JUSTICE.
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Why Cooperative Federalism?
• INDUSTRIAL REVOLUTION
• DEVELOPMENT OF A NATIONAL ECONOMY
• FEDERAL INCOME TAX SHIFTS $$ TO
NATIONAL GOVERNMENT (Amend. 16)
• TWO WORLD WARS AND THE GREAT
DEPRESSION. MAJOR SHIFT IN FDR ERA
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Cooperative Federalism in Action
• GRANTS IN AID
– Combined federal funding with state
administration
– Funds provided by one level of government
to another for specific purposes
– States are required to put up some of their
own money: matching grants
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Phase III: Creative Federalism 1964-70
THE NATIONAL GOVERNMENT
DOMINATES STATE GOVERNMENTS
– LBJ and War on Poverty, Civil Rights, etc.
– Categorical grants which required recipients
to apply for funding under specific categories
detailing how money would be spent
– Bypass States and urban governments to
fund organization with Democratic base
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Phase IV New Federalism 1970-80s
• Nixon
– Backlash to Creative Federalism
– More autonomy with states/local govts.
– Initially REVENUE SHARING (1972) -– Later BLOCK GRANTS - funding for policy
area, such as community development,
education -- let states decide how funds are
used.
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Federal, State, and Local Government
Expenditures
Budget of the United States Government: Historical Tables, Fiscal Year 2005; available at
www.gpoaccess.gov/usbudget/fy05/hist.html.
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Phase V Modern Federalism 1980s>
• Devolution
– More powers to state/local governments
• BUT Pre-emption
– Federal government assumes total or partial
control in areas of concurrent responsibility
• AND Unfunded mandates
– Federal government requires states and
localities to provide certain services but no
federal money to cover the costs.
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State Governments
• Laboratories of democracy
– Governors may have more control over state
bureaucracies
– State legislatures reflect population
– State legislatures more professional
– Civil right provision have strengthened
government; legal barriers to minority voting
nearly eliminated
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FEDERAL STATE SHARE
• Share of tax money significantly skewed
to federal government
• States in financial crisis: most facing
bankruptcy.
http://www.cbsnews.com/stories/2005/04/08/opinion/main686839.shtml
• Consequences for public mounting
– Case of public schools.
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ABC News: Report Card
•
Case of Public Schools
1.
2.
3.
4.
5.
6.
Federal, state, concurrent power?
Quality of Education in America?
Problems in Education today?
Role of State/Local?
Role of Federal?
Role of federalism in dilemma?
http://nationalpriorities.org/index.php?option=com_wrapper&Itemid=182
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