POLS 207: State & Local Government

Megan K. Dyer February 8, 2017

 Overview

Today: Developments in U.S. Federalism; Federalism Today

1. Legal developments
2. The federal money game
3. A changing balance of power
4. Preserving the federal division of power

Exam Overview
 The U.S. Federal System

Re: FEDERALISM
as a set of political & legal relationships & dynamics

Has seen BOTH:

1. Legal developments

2. Political shifts
In how power & money are used

! Growth of national authority

 Legal Developments in U.S. Federalism

Steps toward a nationalistic interpretation of the Constitution

McCulloch v. Maryland (1819)

Implied powers
Limited state ability to impede national govt

14th Amendment (1868)

Equal Protection Clause ! incorporation of Bill of Rights

Aside: Privileges OR Immunities Clause & Slaughterhouse cases (1873)

 Legal Developments in U.S. Federalism

COMMERCE CLAUSE
Broad legal definition of interstate commerce
! Increased regulatory power of national govt

Key Developments
1. What counts as commerce?
Trade? Local mining & manufacture? Your veggie garden?

2. For what purposes can Congress regulate commerce?

The economy? Labor law? Handguns near schools?
Commerce Clause in action:
Later restoration of some limits The Fair Labor Standards Act,
passed in 1938
 Legal Developments in U.S. Federalism

GENERAL WELFARE Clause

Congress has POWER TO TAX & SPEND for the GENERAL WELFARE of the U.S.
Similar to state police powers?

Legal Question:
A mere statement of purpose?
Or an independent grant of power?
(Would imply broader national authority)

! Power to tax & spend makes national govt powerful!

 Fiscal Federali$m

Taxing & Spending for the General Welfare

Early federal grants

Morrill Act & land-grant universities

Income tax (1913)

16th Amendment
Progressive income tax of corporations & individuals
More revenues ! more spending!!!

Federal Grants-in-Aid
Favorite tool of federal interventionism!
Todays largest sources of federal
revenue werent available before 1913
 Fiscal Federali$m

Federal Grants-in-Aid
National govt gives funds to state & local govts

Redistributes federal money throughout states

Powerful tool of national policy

$$$ incentives to enact certain policies

PROS: Common standards, address social problems, spearhead change

CONS: National officials lack knowledge of local conditions, free money isnt free
 Fiscal Federali$m

Types of Grants-in-Aid

1. CATEGORICAL Grants
Money tied to specific, narrow projects

More federal oversight & control

2. BLOCK Grants
Money given for a broad function
e.g. public health or community development

More discretion for states & communities

i.e. choose the projects getting $$$
 Fiscal Federali$m

Federalism & Federal $$$

Traditional division:
Cant command or commandeer the states
States arent administrative arms of national govt
(not a unitary system!)

BUT: Can INFLUENCE state policy

Cant FORCE states to take federal $$$

e.g. Louisiana & the National Minimum Drinking Age Act of 1984
 Federal Grants as Part of State Revenues (2010)

Reality check:

Can the states

just say no to
federal $$$?

TX: 11th most reliant

on federal aid!

City revenues?
 The Changing Federal Balance of Power

DUAL Federalism (1787-1913)

Clear division b/t national & state functions

clearly delineated jurisdictions

layer cake model of authority Dual federalism layer cake

COOPERATIVE Federalism (1913-1964)

National, state, & local govts mix resources to solve problems

marble cake model of authority

Cooperative; marble cake
 The Changing Federal Balance of Power

CENTRALIZED (a.k.a. regulatory) Federalism (1964-1980)

Fiction of cooperation & assistance breaks down

National govt takes lead

National objectives
Not just helping w/ state/local problems

Acting beyond traditional national powers

More direct aid to local govts

i.e. bypassing states
Pres. Johnson launches his
Great Society programs, 1964
 The Changing Federal Balance of Power

NEW Federalism (1980-1996)

The DEVOLUTION revolution

States & cities take on more policy responsibilities

Lessened state dependence on federal money

More flexibility & discretion in use of federal funds

More block grants
Fewer strings attached

Ronald Reagan & George

H.W. Bush
 The Changing Federal Balance of Power

COERCIVE Federalism

Influencing v. directly regulating states

Centralization & nationalization of policy

! Slow erosion of state authority

Federal preemptions

Federal mandates
Unfunded & underfunded

President George W. Bush signs the No

Child Left Behind Act, 2001
 The Changing Federal Balance of Power

BOTTOM UP Federalism (2011-present?)

Two aspects:
1. States taking the lead to address problems
2. Push-back against federal policy mandates

Reaction to national coercion

Both liberal & conservative directions
Flirting w/ unconstitutionality & illegality

A new era or too soon to tell?

e.g. State reactions to Obamacare
Many states have filed lawsuits challenging the
constitutionality of the Affordable Care Act
 The Changing Federal Balance of Power

DEVOLUTION
Transferring back some policy responsibility
federal ! state & local

Pros:
Efficiency & innovation
Tailored policies

Cons:
Policy fragmentation, etc.

e.g. Every Student Succeeds Act (v. NCLB)

President Obama signs Every
States create own standards, more flexibility
Student Succeeds Act, 2015
 Preserving the Federal Division of Power

Federalisms New Era

Revival of federalism by U.S. Supreme Court

Scaling back commerce power
Invalidating laws commandeering the states

Now look to Supreme Court to draw the line

1. Define federalism
2. Preserve a certain independence b/t state & national govts

Was it meant to work this way?

 Preserving the Federal Division of Power

The Framers claim:

States protected by political dynamics

i.e. not by rules & institutions (like S.C.O.T.U.S.)

STATES & their govt have the advantage!!!

Local offices & their $alaries
Closer to the people & their interests
Deal in more familiar affairs
Not far away, abstract policy

Open question:
Do these political attachments still hold? Are states still first in the peoples
minds and hearts?
Next: EXAM 1
 Exam Overview

Date & time:

Friday, Feb. 10th
Same time, same room

Format:
40 questions
Most multiple choice
Some T/F

Weight:
22.5% of Final Grade
or 30% if it is your best exam
 Exam Overview

Bring
8.5 x11 grey/blue TAMU Scantron sheet
No. 2 pencils (w/ erasers)
Valid form of picture identification:
Texas A&M Student ID Card (preferred)
Drivers license
Passport

An official TAMU Scantron

 Exam Overview

Regarding questions
Questions will vary in difficulty

Few remembering level questions that test mere recognition

Mix of book & lecture material

Read carefully; pay attention to wording & word changes

Narrow-down answers; no penalty for guessing

Dont second-guess yourself!

 Exam Overview

What are your resources?

Slides

Study worksheets

Textbook

Each other!
 Exam Overview

Further Questions?