Chapter 3: The Challenge of Modern Federalism

1. Start Oct 5, 2011 Chapter 3: The Challenge of Modern Federalism The Relationship between the National Government and the States

2. Objective 1Reasons For a Federal System A. Unitary was undesirable b/c… B. Confederate was undesirable b/c… C. A Federal system… 1. allows unity, but not uniformity b/c… 2. Is more suitable for geographically large nation… 3. Is more suitable for heterogeneous people b/c… 4. More likely to check tyranny b/c… 5. Encourages experimentation b/c… 6. Keeps government closer to the people b/c… “Death w/ Dignity”

3. Federalism: Good or Bad? • William H. Riker: “the main effect of federalism since the civil war has been to perpetuate racism.” • Daniel J. Elazar: “the virtue of the federal system lies in its ability to develop and maintain mechanisms vital to the perpetuation of the unique combination of governmental strength, political flexibility and individual liberty, which has been he central concern of American politics • How could Riker possibly suggest that federalism “perpetuates racism?” Explain. • In light of the above quotes, why would this next statement be an appropriate explanation of why Federalism can be perceived as both a good thing and a bad thing? • “Different political groups pursuing different political purposes will come to power in different places”

4. Objective 2 & 3The Challenges of Modern Federalism New York, September 2001 New Orleans, August 2005 • Explain both the reasons why the Founding Fathers chose a federal system and the existing criticism of it • 2. Differentiate between Enumerated, Reserved, and Concurrent Powers

5. FYI • Meeting the Characters • “Legacy of 1936 Election” due Monday

6. The Federal Government has expressed powers specifically granted in the Constitution (tax, regulate commerce, declare war, etc.) Art. I. Sec. 8 The U.S. Constitution Art. VI The 10th Amendment Federalism & the Constitution Necessary & Proper clause or “elastic clause”

7. POWERS • Enumerated • Reserved • Concurrent H.R. 1359 Enumerated Powers Act

8. Dual Federalism Founding Marshall Court Nullification Scott & Civil War Jim Crow Commerce Cooperative Federalism New Deal Great Society and Creative Federalism Nixon Reagan’s New Federalism Clinton Bush Evolution of Federalism

9. 3. Differentiate between Dual and Cooperative Federalism and identify the factors that influenced this evolution. Factors may include Supreme Court cases, historical events, Presidential administrations, Congressional legislation, monetary policy…

10. Dual Federalism (1860’s-1932) • Federal and state governments are co-equals, each sovereign • Narrow interpretation of the Constitution • Federal government only has jurisdiction if clear expressed in the Constitution (ex: coin money, foreign affairs) • State have greater role and powers (ex: public education, race relations)

11. What does duel federalism have in common with a layer cake?

12. The First 75 yrs: Lead Up to Dual • Nationalist Period • Hamilton vs. Jefferson • Ch. Justice Marshall • Nullification • Dred Scott • American Civil War • Jim Crow Laws

13. The Legacy of the 1936 Election • Who is the forgotten man? • How did FDR re-define him? • What is the Federal Largesse? • How were Interest Groups related?

14. Cooperative Federalism (1933-present) • National government clearly supreme over the states with wide interpretation of the “necessary and proper clause” • Federal government intervenes or assists in some areas traditionally left to the states (ex: education, health care, civil rights, voting) • Began with the New Deal in the 1930s

15. What does cooperative federalism have in common with a marble cake?

16. The Changing Nature of Federalism: Dual vs Cooperative • Cooperative Approach • FDR (election of 1936) • Brown v. Board • Grant-in-Aids • Great Society • Nixon • Reagan and “New Federalism” • Clinton • GW Bush

17. Layer Cake vs Marble Cake • Layer cake:seemed more appropriate b/c clear division • Marble cake:seemed more appropriate b/c the lines of authority were much moremixed.

18. Friday Oct. 18 2011 For this assignment I will need everyone's full cooperation. Once you are given a seat assignment please QUIETLY follow theses directions • Find the desk with your State’s Name and number. Please put all materials under desk. • Each group represents a different State • Each state will receive Grant-in-Aid funding based on specific criteria • Take notes on items not listed in your packet (red)

19. Understand how the government uses Power of the Purse to impose its will on the States • Differentiate between different grant-in-aid programs Mo Money, Mo Money, Mo Money Highway Act of 1985 NCLB Contract with Am. Am w/ Disb. Act Categorical Grants Block Grants Conditions of Aid Mandates Revenue sharing

20. States receive federal Grant-In-Aid funding based on 1 of 2 criteria: Pre-1960 & Post 1960 1. State wrote up grant based on State demand and for State purposes • 1800’s up to 1960’s • Started with Land Grants • public officials or interest groups seek $$ to help farmers, build highways, airports, support vocational edu. • Problem: When one ask for $ all must get it (“Model Cities” 1966) 2. Federal gov’t decide what theyperceive to be important national needs • Power of Purse • 1960’s Great Society: • “Federal-aid-Junkies” = • Created the “Intergovernmental Lobby” • Leads to more control over $$$ by FEDERAL GOVERNMENT

21. Group 1 = 2 $ Group 2 = 4 $ Group 3 = 4 $ Group 4 = 3 $ Group 5 = 5 $ Group 6 = 7 $ Group 7 = 2 $ Group 8 = 4 $ Group 9 = 4 $ Group 10 = 7 $ Group 11 = 7 $ Group 12 = 4 $ Step 1Distribute States “start-up” MeiserMoney Simulation: Re-distribution of Fed. $ Using Grant-in-Aid powers

22. Explain Condition of Aid • “Strings” attached – Rules States must follow to get grant $$ • Ex. Highway Act of 1984 • Use Power of Purse to enforce National Drinking Age • States get Federal $ to help w/ highway construction and development • Condition of Aid • States would lose 5% of federal Highway funds in 1986, and 10% every year after if it did not follow the National mandate requiring States to adopt 21yr old drinking age • 1996 Louisiana challenged = Clinton said it would lose 17mil if not comply

23. Step 2Categorical Grant • $$ given for specific purpose defined by federal law • build airport, welfare payments to low-income mothers ( AFDC), urban renewal • Require matching funds (Federal Highway program: D.C. 90%, States 10%) • States complain b/c grant program too specific = hard to adapt federal grants to local needs • Ex = mayor wants $ for park can only get it through Categorical Grant requiring him to launch Urban renewal program that included the “string” of bulldozing several blocks of housing or small businesses • Life & Death for State Agencies

24. 1. Airport6( sing Yankee doodle dandy or Rudolph the Red nose Reindeer) 2. Dormitory 6(Research the historical significance of Coshocton and present your information to the class in the form of a Power Point) - 5 if fail to comply) 3. Welfare Payment4( 5 pushups/sit-ups/jumping jacks) 4. Park 8(repeat: Mr. Meiser is the Greatest Teacher who ever lived, and I thank my lucky stars I was fortunate enough to have him for 2 yrs --- -5 if fail to comply 5. Baseball Stadium 6 (recite the Constitution Pledge using YOUR handy dandy pocket constitution) 6. Urban Renewal 4name the 3rd, 17th, and 26th Amendments -3 if fail to comply 7. Highway system 4What does LEJSASR stand for -3 if fail to comply 8. Airport 2 Do the Soulja Boy Or Dougie in front of the class. If you do not know this, do the Hokey Poky-3 if fail to comply 9. School Program4(Come in and erase my white board before or after school this week) 10. DARE 2( make a noise like a barnyard animal 5 times) 11. Sanitation 6 (Get Torrie to make those cupcakes again for the class) Distribute $$ Candy Categorical Grants w/Condition of Aid

25. Explanation of Block Grant • Grants to states for programs in specific areas for general purpose rather than specific kinds of programs • Usually combine a bunch of Categorical Grants into single large “block” of grant + fewer restrictions or “strings” = more freedom • Ex: Community Development Block Grant • $$ that can go towards urban revitalization projects like housing, cleaner/safer community • Nixon Era-Carter 1966-1980 many purposed only 5 enacted (why?)

26. 1. 2 BG = 6 2. -------- 3. 2 BG = 6 4. 1 BG = 3 5. -------- 6. 1 BG = 3 7. 1 BG = 3 8. 2 BG = 6 9. 1 BG = 3 10. ---------- 11. 2 BG = 6 12. --------- Distribute $$ (Candy) based on Block Grant Request 1 Block Grant = 2$

27. Step 4Explain Revenue Sharing • Established in 1972 by Nixon • Provided 6 billion a year for funds to State and local gov’t • Promised No “matching funds” and very few “strings” • Distribution determined by Statistical formula using variety criteria; population, local tax effort, wealth of state • Purpose • to provide more funds to poorer, more heavily taxed States/Cities and less to Richer states/cities • 85 billion distributed in 14 yr period • Ended in 1986 b/c Fed. Gov’t ran out of $$$ (Reaganomics)

28. Distribute $$ CandyRevenue Sharing • Taxes = • For every 3 dollars you have you must pay back 1in taxes • Revenue Sharing: • $ distributed using formula. Poorer States/communities get top priority. • Pay 0-2 in taxes get 6 in RS • Pay 3 in taxes get 4 in RS • Pay 4+ in taxes get 0

29. Explain Mandate • A federal order imposed upon states (does not have to be connected to Grant) • Purposes: to meet a goal of the federal government (Envi/ Civil Rights) • Example: If Use Federal $ for construction • Environmental impact study • Pay prevailing wage • Non-discriminatory hiring practices • Impact upon the states: • Financial burdens, especially with un-funded mandates. • federal gov’t provides little or no $ to meet required goals • State complains about federal blackmail.

30. Announcement of Mandate 1. Each State must distribute its MeiserMoney Supply in a ratio of 1:2 or, if group of 3, 1:1:2 2. Money must be used to purchase WELFARE payments for citizens of your state. For every 2$ you have you get 1 piece of WELFARE. Odd # leftover dollars can be traded or sold to other citizens or other states.

31. Example of Mandate:NCLB An Encroachment of State Powers Established two goals when signed into law in 2002.  First, the law REQUIRED schools to make all students 100% proficient in reading and math by the 2013-2014 school year.  Second, the law REQUIRED schools to close the achievement gap between groups of poor and minority students and their more affluent non-minority peers.  It also REQUIRED annual testing in reading and math of all students in grades 3 through 8 and once in grades 10 through 12 beginningin the 2005-06 school year. *** Highly Qualified Teachers***

32. Ex of Mandate:Americans w/ disabilities Act 1990 • Businesses must meet needs of disabled…= access to services, employment, transportation, entrance into building • Ex. Golf Courses: March issue of Golf Course News offered the following guidelines to public golf course operators to help comply with ADA • ½ handicap parking spaces near bag drop not clubhouse • Cut out spots on raised curbs so carts can pass • Build ramp to tees where possible • Easy access to disable person to get in and out of bunker • Bunker grades no more than 1 foot of elevation for every 5 feet of length • Telecommunication Device for Deaf in reservation office so hearing impaired can make tee-time by phone

33. Categorical Grants Block Grants Conditions of Aid Mandates Revenue sharing Highway Act of 1985 NCLB Contract with Am. Am w/ Disb. Act Power of the Purse

34. Recap on Federalism Small Unitary Gov’ts Large Unitary Gov’t Confederation Federalism Fed vs St Dual Co-op Creative US 1789 US 1980 Decentralized Federation Centralized Federation

35. The Devolution Revolution 1980-2004 Small Unitary Gov’ts Large Unitary Gov’t (Confederation) Federalism Contract w/ Am Revenue Sh Block Devolution Decentralized Federation US 1980 Centralized Federation

36. Devolution Revolution 1980-2004 • Started w/ Reagan’s “New Federalism” • Excelled in 1994’s "Contract with America" • Un-funded Mandates Reform Act of 1995restricted future un-funded mandates. (CBO) • Focus on Transferring Programs into Block Grants • AFDC and Medicare = ½ all Grant-in-aid • 1996 welfare reform bill. • Nations case load declined 10% • ***********Medicare and Social Security are entitlement programs. They have been promised to people once they meet certain qualifications. They are not based on financial need.

37. Devolution & Constitutional Issues. • Since 1937, the U.S. Supreme Court has interpreted Congress' power to spend money for the general welfare and its authority to regulate commerce among the states so broadly that the national government can reach almost any economic, social, or even cultural activity it wishes. • Thus, national laws reach such traditionally local matters as crime, fire protection, land use, education, and even marriage and divorce. • United States v. Lopez 1995 (Gun Free School Zone Act) • National government had exceeded its constitutional authority Enacting a law prohibiting the possession of hand guns near public school buildings. • The Court held that the federal government had not demonstrated any connection between the possession of guns near school buildings and Congress' power to regulate interstate commerce. • It was the first time in 60 years that the Court had seriously questioned a congressional exercise of its commerce power.

38. Supreme Court Support Devolution 1. US vs. Lopez & Gun Free School Zones Act in 1995: • Congress overextended itself when it linked gun control laws to the interstate commerce clause of the Constitution. • 1st time in 60yrs Court seriously questioned a congressional exercise of its commerce power. 2. Printz v. US & Brady Act 1997 • Court Invalidated Federal Law that required local police to conduct background check on all gun purchasers (10th Am)

39. Delivered 22 May 1964, Ann Arbor, MI Audio mp3 of Address LBJ’s Great SocietySpeech

40. Next Stage: Fiscal Federalism Fiscal Federalism • Creative Federalism and LBJ (part of cooperative) • New Federalism & Devolution • Nixon and Reagan

41. LBJ’s Creative Federalism Creative Federalism • Memorandum from the President • Grants based on National Needs • 1965 = 115 presidential legislative recommendations. 90 were approved. • What were his main areas of concern? • Clean Air Act of 1970 • HEAD START • Medicare, Medicaid, War on Poverty, Civil Rights legislation • Result: “hyperintergovernmentalization” of public policy

42. Memorandum from the President to: Secretary of Defense, Acting Attorney General, Secretary of the Interior, Secretary of Agriculture… SUBJECT: Advice and Consultation with State and Local Officials The basis of creativefederalism is cooperation. If Federal assistance programs to State and local governments are to achieve their goals, more is needed than money alone. Effective organization, management and administration are required at each level of government. These programs must be carried out jointly; therefore, they should be worked out and planned in a cooperative spirit with those chief officials of State, county and local governments who are answerable to their citizens. To the fullest practical extent I want you to take steps to afford representatives of the chief executives of State and local government the opportunity to advise and consult in the development and execution of programs which directly affect the conduct of State and local affairs. I believe these arrangements will greatly strengthen the Federal system at all levels. Our objective is to make certain that vital new Federal assistance 'programs are made workable at the point of impact. I am asking the Director of the Bureau of the Budget to work with you, with the Advisory Commission on Intergovernmental Relations, and with the public interest groups representing State and local government in developing useful and productive arrangements to help carry out this policy. LYNDON B. JOHNSON

43. Supreme Court Support Devolution 1. Gun Free School Zones Act in 1995: Congress overextended itself when it linked gun control laws to the interstate commerce clause of the Constitution.

44. Challenges to Federalism: The Commerce Clause • Webquest Assignment Due Next Tuesday

45. Hamilton vs. Jefferson A. Hamilton and Nationalist Perspective • The Constitution was created by people (“We the people)...“) • The Elastic, Commerce, and Taxing/Spending clauses give great power to the national government. (broad interpretation) •   Powers go to states only if they have been surrendered by national government. • When in doubt, matters should be resolved in favor of the national government

46. Hamilton vs. Jefferson Cont. B. Jefferson • The Constitution is a compact created by the states. • The Constitution carefully limits national authority to the delegated (enumerated) powers. (strict interpretation) • The10th Amendment gives broad powers to states. • Professional License, Marriage, Drivers license… • When in doubt as to which holds a power, the matter should be resolved in favor of states. • Nullification Crisis & Compact Theory

47. Crisis resulting from Ham vs. Jeff • Nullification Crisis & Compact Theory • Alien and Sedition Acts • Kentucky & Virginia Resolution • John C. Calhoun, Tariff of Abominations & "The South Carolina Exposition and Protest“

48. Question • What is the State of Federalism Today?

49. Question of the Day: Day 1 October 18, 2004 Question: The “No Child Left Behind Act” is the best example? • That the articles of the constitution can be interpreted both strictly or broadly • That the explanations of the 7 basic principles are not always going to be black and white • That the amendment process is very difficult • Of the principle of checks and balances Answer: b. Which specific principle is the question referring to and why is b the correct answer?

50. Question of the Day Compare your family to either a a Unitary, Confederal, or Federal system. Ex. My family best represents a Unitary system b/c… Ex. My family does not represent a Confederal System b/c… BACK