The Federalist Structure of U.S. Government

Federalism: Division of political authority between a central government and state or provincial governments. Federalism is in contrast to unitary political systems where there are no quasi-sovereign governmental units that co-exist with the national government.

• Federalism is a political solution to large and diverse nations.
• Federalism provides a degree of representation and political autonomy for ethnic and other territorially based cultural groups.
• In U.S., federalism gained credence through the Constitution. Prior to the Constitution, the Confederal form of government gave significant powers to states; the central government was weak (limited to foreign policy). Coordination between the independent state governments (for example, for commerce) was seriously hindered and national laws were unenforceable in state courts. The Constitution overcame this problem by devising federalism with three central features: (a) State sovereignty: the federal government will oversee the "enumerated" powers in Constitution, and all other powers will be vested with the states; (b) Bicameral Congress, with the Senate and House of Representatives, wherein states are represented; and (c) Direct power over citizens (rather than through state governments). Without the state sovereignty, it is unlikely that the initial 13 states would have ratified constitution.
• The form of federalism has evolved since its initial setup due to Constitutional amendments and political contingencies. Legal decisions weigh heavily on how the federalism has ultimately been shaped into the form it is today.

Forms of federalism in the United States:

•  1789 -1933: Dual federalism:
  • Federal role limited to "enumerated" powers prescribed in Constitution; all other powers vest with the state
  • Also referred to as "layer cake" model, wherein each level of government (national/ state) is supreme within its domain of responsibility
  • Separation of powers between national and state governments; neither level interferes in the affairs of the other
  • Federal and state governments are competitive in their relationships
  • Overall, state centered form
• 1933-1964: Cooperative federalism
  • Federal powers expanded to deal with the aftermath of Great Depression
  • Also referred to as "marble cake" model, where Federal role is to provide resources [for example, through the federally supported New Deal programs (e.g. social security, job welfare, infrastructure development) of Roosevelt]
  • Sharing of powers between the national and state governments
  • Federal and state governments are cooperative in their relationships
  • Overall, nation-centered form
• 1964-1980: Creative federalism
  • Federal role expanded to deal directly with subnational local governments through provision of categorical grants, bypassing the states (Lyndon Johnson's Great Society programs)
  • Also referred to as "picket fence" model, wherein the federal government directly deals with local governments in specific policy categories (pickets), such as housing, transportation, health care, poverty reduction, etc.
  • "Creative" due to provision of grants-in-aid directly to local governments, bypassing states; the grants are "categorical" since these are specified by the federal government; states and local governments had to use money for such specific purposes
  • Direct linkage between federal and local governments
  • Weaker states
• 1980-present: New federalism (Competitive federalism)
  • Federal decision on policies curtailed by converting categorical grants (i.e. special purpose) to block grants (general, fairly open-ended grants) where states and local governments have more discretionary power to use the funds
  • Also referred to as the "pineapple upside down cake" model (frosting on the top), wherein federal government deals directly with local governments, but state and local governments have greater degree of discretion
  • "Competitive" due to competition between state/ local governments for jobs (i.e. businesses) and workers
  • Governments are competitive in their relationships
  • Overall, competitive governments

Government structure

• Federal government (National): Executive, Legislative, Judiciary
• State government: Executive, Legislative, Judiciary
• County government: Executive, Legislative [the relationship between Executive and Legislative varies vastly; the functions of County courts are quite distinctive from the Judiciary at State or National government levels]
• Municipal government (city/ village/ township): Usually integrated Executive/ Legislative
• Special Districts (single purpose agencies, like School Districts; Air Quality Management Districts; Water Management Districts; Fire Districts; Library Districts)
• Councils of governments (COGS)--Regional agencies, usually advisory in scope; have little implementation powers
• Third Party governments (Contracts with service providers; Private governing agencies, like Home Owners Associations)

Federal government structure (Executive)

• Executive office of President
• Cabinet-level Departments (15 departments)
• Independent Regulatory Boards (e.g. FAA, FCC, SEC, FTC) & Agencies (EPA, SBA, NASA, OPM, NSF)
• Government Corporations (TVA, FDIC, Fannie-Mae)

Government functions

• Federal: Redistribution (i.e. welfare programs, particularly entitlement) and defense [From 1963 to 2003, entitlement programs grew from 32% to 59%; defense fell from 48% to 19%; interest on debts accounts for 7%]
• State: Funding of services (Welfare; higher education; highways); managing federal programs and distributing aid to local governments.
• Local: Involved in direct provision of services, either general (General purpose, such as zoning, utilities, health, etc.) or single-purpose (Special Districts, such as schools, sewage, water, etc.).

Inter-governmental fiscal relations

• Categorical grants: Single purpose grants for specific purposes; recipient has little flexibility in using the funds
• Block grants: General purpose, within specified policy areas; recipient has great flexibility in using the finds (e.g. Community Development Block Grants)
• Revenue sharing: Federal disbursement to state and local governments, based on a predetermined revenue sharing formula (phased out in 1987)
• Three ways by which the grants are distributed:
  • Formula grants: based on a decision rule (say, based on population count)
  • Project grants: local/ state governments seek funding for specific projects
  • Matching grants: recipient needs to contribute some of the resources (to show commitment)
• Unfunded mandates: New responsibilities to state/ local governments without concomitant funding
• Entitlements: Federally funded programs for individuals entitled by law (Social Security and Medicare)

Forms of Municipal government

• Mayor-Council
  • Mayor--executive functions
  • Council--legislative functions; council members elected at large
  • Two forms:
    • Strong mayor: Mayor appoints departmental heads, subject to council approval; mayor responsible for execution
    • Weak mayor: Heads of departments directly elected; mayor's control and decision making is limited
• Commission
  • Elected commissioners (usually 5), with one serving as Chair
  • While commission as a whole is legislative body, each commissioner has executive responsibilities for specific department
• Council-manager
  • Reflects the managerial approach
  • Elected council (5-9), presided by a mayor (a council member) who is largely ceremonial with little executive powers
  • Appointed city manager, who is the executive chief

Problems of Federalism

• Federal-state relations: Supremacy of national laws vs autonomy of states
• State-state relations: Coordination between states (full faith and credit clause)
• State-local government relations: State preferences vs local autonomy
• Local government to local government relations: Coordination between local governments (spill over effects)