I Like Cake

The History of Federalism in America

Defining federalism

Citizens elect officials to each level of govt Each level of government taxes citizensEach level has a primary responsibility for

certain areas of public policy

Unitary System

Power is in hands of national governmentSubnational units are administrative, not

political– School text in France and US

How many govts are there?

1 federal government50 state governments3,000 counties19,000 municipalities Townships 17,000 14,000 School districts31,555 Special districts (i.e. Port Authority)

Constitutional Basis of Federalism

National Government– Article 1- “No state shall”

coin money, engage in treaty, lay duties, engage in war

– Article 1, Section Congress shall do what is "necessary and proper" and “general welfare”

– Article 6-Supremacy Clause "supreme law of the land“

States– guarantee to every state in

this union a republican form of government

– “The powers not delegated to (fed govt) are reserved to the states respectively, or to the people.”

Constitution & Federalism

Fed #51 “ a double security against majority tyranny”

Divide the power of government within the levels of government (sep of powers) but also across governments (between state and national governments)

Different governments will control each other against the oppression of governments

States Rights vs. Nationalists

Nullification– Then and Now

Dual Federalism

1789-1937, Layer cake model

two distinct layers of government

Separate powers and spheres of influence– Feds, internal

improvements, tariffs, etc– States- commerce,

banking, insurance, slavery, health, education, criminal, etc

Hammer v. Dagenhart (1918)

Great Depression and Demise of Dual Federalism

Federal Emergency Relief Act of 1933

Cooperative Federalism Eisenhower Era

– Interstate Highways– Urban Renewal– Airport Construction

Great Society programs– Medicaid and Medicare – Education Aid– Model Cities

Today– Clinton crime, education policy (100k new police)– Bush – Leave No Child Behind– Obama- stimulus package, health care

Categorical grants

Federal grant of $ to stateinterstate highways, poverty, crime,

education, pollution Categorical grants specified use of money

– Alabama Syndrome

Marble Cake Federalism

Intermingling of federal, state, and local authority

Example of education– Feds- Leave no child

behind, Special education, Labor laws

– States- labor laws, curriculum, testing

– Local- hire the teachers, finance

Food Stamp Program

National Goal- improve nutrition in low income households

Feds provide $, pay 62% of administrative costs

States- determine eligibility standards

Supplemental Nutrition Assistance Program

Feds revise eligibility criteria– Up to 130% of poverty line (2,389 family of

4)– Able bodied adults can receive for 3 months– Disabled vet, child of vet– State EBT/Debit Card– No discrimination race, gender, sex orientation– Most legal immigrants eligible

Rick Perry- happy or sad?

New Federalism

1968-present– Reduce the power of the national government – Less $$, fewer strings (?)

Block Grants

provided unrestricted grants to states and localities

Entitlement, not competition

Energy Efficiency and Conservation Block Grant Program (2009)

 ”$2.7 billion will be awarded through formula grants. In addition, approximately $454 million will be allocated through competitive grants” (energy.gov)

Grants can be used for 

Development of an energy efficiency and conservation strategy Building energy audits and retrofits, including weatherization Financial incentive programs for energy efficiency Transportation programs to conserve energy and 

support renewable fuel infrastructure Building code development, implementation, and inspections Installation of distributed energy technologies source reduction, recycling, and recycled content programs Reduction and capture of greenhouse gas emissions generated by landfills or similar

waste-related sources Installation of energy efficient traffic signals and street lighting Installation of renewable energy technologies on government buildings Any other appropriate activity that meets the purposes of the program and is

approved by DOE

Rick Perry- happy or sad?

Reagan’s New Federalism

More block grants, less moneyFederal aid to state and local govts fell by

39%.Buffalo 1977- 31% of their revenues from

Washington, by 1992 they got only 6%.

Reagan’s New Federalism

Choose your own?– You can make any

kind of cake you want

– You have fewer ingredients

– Have to pay for it yourself

Rick Perry- happy or sad?

Popular Support

In which of the following people in government do you have the most trust and confidence?– Federal government 19%– State government 22%– Local government 37%

Coercive or Regulatory Federalism, 1980-

Democratic Unfunded Mandates– Asbestos Hazard Emergence Act of 1986

– Safe Drinking Water Act 1986

– Americans with Disabilities Act of 1990

– National Voter Registration Act of 1993

GOP Unfunded Mandates– No Internet taxation

– No Child Left Behind

– Help America Vote Act

HAVA

Update their voting machines (no punch card)each polling location have at least one voting

system accessible to individuals with disabilities develop a single, uniform, official, centralized,

interactive computerized statewide voter registration list

Cake Analogy?

Baking Analogy- You can have any cake you want as long as it has chocolate

State Mandates Under Obamacare

Adjust eligibility in Medicaid to new federal rules (16 million+)

Establish high risk insurance pools for people with preexisting conditions (by Jan 1, 2014); create insurance exchanges

Require insurance companies to allow dependents up to 26 stay on parent’s insurance

Rick Perry- happy or sad?

Who Pays Who Decides Example

Categorical Grants 70%/Feds/ 30% states

National government sets goals, states limited discretion

Food Stamps

Block Grants 60% Feds/O% states (less money

State government Energy Efficiency

Unfunded Mandates

0% Feds/100% States

National government

HAVA, ADA

Popular Support

Which level of government does the best job of dealing with the problems it faces– Federal government 14%– State government 21%– Local government 41%

Constitution & Federalism Redux

Fed #51 “ a double security against majority tyranny”

Divide the power of government within the levels of government (sep of powers) but also across governments (between state and national governments)

Different governments will control each other against the oppression of governments

General Trends

Primary constraints are political, not constitutional

Federal role is reduced, 16% of state and local governments budgets

Intense state experimentation Bipartisan belief in devolution

Devolution Theory

“enhance the responsiveness and efficiency of the federal system based on the theory that state and local governments can do a better job of providing services for citizens"

How Much Devolution is there?

"if we exclude Social Security, Medicare, net interest on the federal debt, and defense from the total expenditures of federal, state, and local governments in the United States, 80 percent of what remains is administered by state and local governments" (1999, 3).

Constitution

Article 1, Section 8 – Congress shall do what is “necessary and

proper” to promote “interstate commerce”

10th Amendment – powers not delegated to federal government

are "reserved to the states or the people”

Supreme Court’s changing interpretation of the commerce clause

Revisiting the Commerce Clause

21 drinking Age and highway fundingUS v. Lopez

– Gun Free School Zones Act of 1990– Does it relate to commerce

Why Federalism Matters

Determines who pays (welfare $148 v. $360)

Determines how much uniformity of policy there will be (death penalty)

Determines who makes the decisions (textbooks)

Determines accountability

Basic Tradeoff

a more centralized system is likely to be more uniform, equitable, and accountable

decentralized system is likely to be more democratic and flexible

Who should make decision on…

MarriageDeath penaltyEnvironmental standardsEducationGun ControlWelfare reform

Benefits of Federal System

Diversity of Needs Enhances popular sovereignty Proximity to Citizens Local control Innovation and Experimental Lab

Disadvantages of Federalism

exacerbates economic inequalities.justice varies from state to state allows local minorities to block the will of

national majorities (civil rights)Spillover effects and competition