🦂Texas Government Unit 11 – Federalism and Intergovernmental Relations

What is Federalism?

• System of government where power is divided between a central government and smaller regional governments (states, provinces)
• In the US, federalism balances power between the federal government and the 50 state governments
  • Federal government has authority over issues that affect the entire country (national defense, foreign policy, currency)
  • States have authority over issues within their borders (education, law enforcement, infrastructure)
• Federalism is based on the idea of shared sovereignty, where both levels of government have some independent powers
• Allows for diversity and experimentation in policies across different states
• Contrasts with unitary systems where the central government holds all power and local governments have limited authority (United Kingdom, France)

Historical Context of Federalism in the US

• Federalism emerged as a compromise between those who wanted a strong central government and those who favored state sovereignty
• The Constitution, ratified in 1788, established the federal system and divided powers between the national and state governments
  • Enumerated powers are specifically granted to the federal government (coining money, declaring war)
  • Reserved powers are held by the states (establishing local governments, regulating intrastate commerce)
• The 10th Amendment further clarified that powers not delegated to the federal government are reserved to the states or the people
• Throughout US history, the balance of power between federal and state governments has shifted
  • Dual federalism (1790s-1930s) emphasized distinct spheres of authority for federal and state governments
  • Cooperative federalism (1930s-1970s) involved greater collaboration and overlap between levels of government, often through federal grants and programs
  • New federalism (1970s-present) has seen efforts to decentralize power and give states more autonomy in certain policy areas

Key Players in Intergovernmental Relations

• Federal government agencies and departments (Environmental Protection Agency, Department of Education) implement policies and programs that affect states
• State governments, led by governors and state legislatures, work with federal officials and agencies to shape policies and secure funding
• Local governments (cities, counties) often rely on state and federal funding and must comply with regulations from higher levels of government
• Intergovernmental organizations (National Governors Association, U.S. Conference of Mayors) allow officials from different levels of government to collaborate and advocate for shared interests
• Interest groups and advocacy organizations (National Rifle Association, Sierra Club) seek to influence policies at multiple levels of government

Federal-State Power Dynamics

• Supremacy Clause in the Constitution establishes that federal law takes precedence over state law when they conflict
• States can challenge federal laws or actions through lawsuits, often arguing that the federal government has overstepped its constitutional authority
  • Example: Texas v. United States (2015), where Texas and other states challenged Obama administration's immigration policies
• Federal government can incentivize state cooperation through grants and funding, which often come with conditions or requirements
  • Example: Federal highway funding can be withheld from states that do not set a minimum drinking age of 21
• States can also influence federal policy through their congressional delegations and by experimenting with innovative policies that are later adopted at the national level
  • Example: Massachusetts' health care reform in 2006 served as a model for the Affordable Care Act

Texas and Federalism: A Unique Relationship

• Texas has a strong tradition of state sovereignty and resistance to federal authority, rooted in its history as an independent republic
• Texas Constitution, adopted in 1876, limits the power of state government and emphasizes individual rights and local control
• Texas has often challenged federal policies and regulations, particularly in areas such as environmental protection and immigration
  • Example: Texas sued the EPA in 2010 over its regulation of greenhouse gas emissions
• At the same time, Texas has relied on federal funding for various programs and infrastructure projects
  • Example: Federal funds account for about a third of Texas' annual budget
• Texas' size and economic importance give it significant influence in national politics and intergovernmental relations

Funding and Fiscal Federalism

• Fiscal federalism refers to the division of revenue sources and spending responsibilities between federal, state, and local governments
• Federal government collects income, payroll, and corporate taxes, while states rely on sales and property taxes
• Federal grants to states and localities help fund programs in areas like health care, education, and transportation
  • Categorical grants are restricted to specific purposes and often come with conditions (Medicaid, highway funding)
  • Block grants provide more flexibility in how funds are used (Temporary Assistance for Needy Families)
• Unfunded mandates are federal requirements that states must comply with, without providing additional funding
  • Example: Americans with Disabilities Act requires states to make public buildings accessible, but does not provide federal funds for renovations
• Debates over funding formulas, spending priorities, and revenue sharing are a key aspect of intergovernmental relations

Current Challenges and Debates

• Partisan polarization has made cooperation between federal and state governments more difficult, particularly when different parties control each level
• Disputes over issues like immigration, health care, and environmental regulation have led to increased tensions and legal battles between states and the federal government
  • Example: Sanctuary cities, where local governments limit their cooperation with federal immigration authorities
• Rising costs for programs like Medicaid and infrastructure have strained state budgets and led to calls for greater federal assistance
• The COVID-19 pandemic has highlighted the importance of intergovernmental coordination in responding to public health and economic crises
  • Federal government provided aid to states through the CARES Act and other relief packages
  • States and localities implemented varying policies on mask mandates, business closures, and vaccine distribution

Real-World Examples and Case Studies

• No Child Left Behind Act (2001) required states to implement standardized testing and school accountability measures in exchange for federal education funding
  • Criticized by some as an overreach of federal authority into traditionally state-controlled education policy
• Affordable Care Act (2010) sought to expand health insurance coverage through a combination of federal regulations, subsidies, and state-run marketplaces
  • Some states, including Texas, chose not to establish their own marketplaces or expand Medicaid eligibility
• Deferred Action for Childhood Arrivals (DACA) program, implemented by the Obama administration in 2012, granted temporary legal status to certain undocumented immigrants who arrived in the US as children
  • Texas led a lawsuit challenging the program, arguing that it exceeded the president's constitutional authority
• Flint, Michigan water crisis (2014-2019) involved failures at multiple levels of government to ensure safe drinking water for residents
  • Highlighted the importance of intergovernmental cooperation and oversight in protecting public health and safety