Chapter 2 - Federalism

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Chapter 2 - Federalism

• The Federal Idea
• Who Does What? The Changing Federal Framework
• Contemporary Federalism

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The Federal Framework

• Federalism is the division of powers and
  functions between the national and state
  governments.
• Framers sought to limit the national government
  by creating separate sovereigns.
• Explicit power sharing spelled out in the
  constitution.

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Other Forms of Government

• A unitary system bestows power on the national
  government, and the states are subservient,
  implementing central government policy.
• A confederacy bestows power on the states, and
  the national government is subservient.
• Common Market to the European Union

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Unitary Governments
Federal Governments
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Advantages of Federalism

• Geography
• Population and layers of governments necessary to
  fulfill obligations.
• Multiple arenas for decision making.
• Political subcultures with different priorities.
• Interstate compacts
• States as a testing lab for new policies.

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Governmental Units in the United States Today
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Federal System Drawbacks

• The variance in local policy application has led
  to a lack of uniform state laws and a demands for
  national standards.
• Many argue that the national government should
  ultimately control all policy directions.
• Leads national government power expansion at
  states expense.
• Powerful state interests can block national
  initiatives.

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Separation of Powers

• Federalism recognizes two sovereigns by granting
  limited powers to the national government and by
  reserving the remaining powers to the states and
  the people (Article I, Sec. 8, and the Tenth
  Amendment).
• The states were sovereign entities before and
  after the American Revolution. The Antifederalist
  opposed a strong national government.

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Constitutional Design of Federalism

• Delegated Powers
• Expressed Powers
• Implied Powers
• National Supremacy
• Concurrent Powers
• Reserved Powers
• Powers Denied to Both the Federal and State
  Governments

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Expressed Powers

• Article I, Sec. 8, grants specific explicit
  powers to the federal government, including the
  ability to
• coin money,
• conduct foreign relations,
• raise an army and declare war,
• levy and collect taxes,
• regulate interstate commerce.

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Implied Powers

• Article I, Sec. 8, also provides that the federal
  government has the power to
• make all laws necessary and proper for
  executing the powers granted the federal
  government under the Constitution.
• has been referred to as the elastic clause in
  the Constitution
• Controversy has arisen over what powers were
  actually delegated.

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National Supremacy

• Article VI provides that the Constitution and
  laws enacted pursuant to the Constitution are
  superior to state and local laws.
• This ensures a strong national government.

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Concurrent Powers

• These are powers shared by both the federal and
  state governments including the ability to,
• levy and collect taxes,
• borrow money,
• make and enforce laws,
• establish courts.

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Reserved Powers

• Powers not granted to the national government are
  reserved to the states pursuant to the Tenth
  Amendment.
• Includes the following
• regulating intrastate commerce,
• providing for public health, safety, and morals.
  (police powers)

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Early Federal PowerDual Federalism

• Early years were marked by a clear division in
  public policy authority.
• National government was quite small and
  responsible for
• internal improvements,
• subsidies and tariffs,
• patents and currency,
• public land use,
• foreign policy.

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Early State Power

• State legislatures regulated economic areas such
• property, contracts, banking, insurance,
  incorporation, credit and professional practices
• States power over the individual
• criminal statutes,
• health and safety regulations,
• laws concerning marriage, divorce, birth and
  adoption.

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Challenges to State Power

• National Supremacy Clause - Article VI, clause 2.
• McCulloch v. Maryland (1819) expanded the
  application of the necessary and proper clause
  and the national supremacy clause.
• This was the first major step in the expansion of
  federal power.

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Challenges to State Power

• Interstate Commerce Clause - Article I, section
  8.
• Gibbons v. Ogden (1824) established federal
  supremacy over interstate commerce.
• State government could not interfere with
  commercial activities that crossed state
  boundaries.

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Challenges to State Power after Civil War

• The federal government attempted to use its new
  authority to regulate commercial activities,
  labor laws, and working conditions.
• Supreme Court ruled these actions
  unconstitutional.

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The Depression and the Great Society

• Global economic depression occurs in 1930s.
• Hoover Administration continues Laissez Faire
  policies
• Franklin Roosevelt elected in 1932
• The federal government responded with economic
  and social programs.
• The Supreme Court initially ruled that these
  programs were unconstitutional.
• Roosevelt threatened to pack the Supreme Court.
• The Supreme Court reversed its position and
  upheld the constitutionality of the plan.
• The Supreme Courts reversal with regard to
  Roosevelts programs allowed for the rapid
  expansion of federal power, the end of dual
  federalism and the birth of the New Deal.

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Cooperative Federalism

• Cooperative Federalism grew out of the Great
  Depression the 1930s when an overlap of federal
  and state functions developed.
• For example, the enforcement of criminal statutes
  and drug laws is carried out at the federal,
  state, and local levels.
• Food stamps and medicaid are joint programs.
• Federal government supplies funds (grants in aid)
  and local government carry out policies.

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Types of Grants

• Land Grants
• Categorical grants specify particular types of
  projects for which federal funds can be used.
• Project grants are a type of categorical grant,
  which are competitive.
• Formula grants are allocated based on need or
  capacity.
• Block grants are grants for broader areas.
• Grants to States 2007

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Texas Budget for 2006/07
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Tools of Power Federal Mandates and Grants

• Federal mandates are federal laws applied to
  states.
• Congress appropriates money to state and local
  governments to fund particular projects, usually
  with strings attached.
• The LBJs Great Society increased funded work
  and social programs such as AFDC, Social
  Security and Medicare.

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Nixon and New Federalism

• The burdens of federal regulations, increasing
  deficits and unfunded mandates brought about
  demands for reducing federal power in the 1970s.
• Revenue sharing attempted - no mandate or strings
  attached.
• Block grants and revenue sharing were important
  tools in the movement toward New Federalism.

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The Demise of Nixons New Federalism

• Congress and the states opposed Nixons plan for
  New Federalism.
• Congress ended revenue sharing.
• Fearing a loss of control over national programs
  and standards.

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Reagan and New Federalism

• Reagan reinvigorated the demand for New
  Federalism.
• Again, the transfer of power to the states was
  met with opposition.
• Block grants were used to increase federal power.

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Fiscal Federalism

• Drinking age and transportation grants.
• DUI standards and grants.
• Education standards and future grants.
• Voting uniformity to prevent another election
  debacle.

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Grants Aid or Blackmail?

• How can federal government enforce a preemption?
• When the policy area is within concurrent power
  category, this is generally known as federal
  preemption.
• States could not receive federal highway funds
  unless speed limits were lowered, the drinking
  age was raised, and seat-belt laws were enacted.
• Are these examples of national standards or
  federal blackmail?
• Unfunded mandates impose restrictions on the
  states.

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The 1994 Republican Revolution

• Newt Gingrich and Republicans again called for
  New Federalism in order to
• eliminate unfunded mandates,
• return control over welfare to the states,
• return speed limits to the states.
• Clinton administration also supported devolution.
• Supreme Court restored the Tenth Amendment states
  reserved power during 1990s.

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In the 1990s State v. Feds

• Reinforcing 10th Amendment
• Stressing dual sovereignty
• Limiting federal use if interstate commerce
  clause
• New York v. United States
• Gregory v. Ashcroft
• Employment Division v. Smith
• United States v. Lopez
• Seminole Tribe v. Florida
• City of Boerne v. Flores
• Will war on terrorism reverse this trend?