1. FEDERALISM Chapter 3

2. Introduction:  What did Hurricane Katrina reveal about the issue of federalism?

3. American Federalism  Does federalism, the vertical division of power, enhance democracy in the United States?  Does the additional layer of policymakers make governments more responsive to public opinion or merely more complicated?  Does it enhance the prospects that a national majority of Americans have their way in public policy?  What are the implications of federalism for the scope of the national government?  Why has the national government grown so much in relation to state governments, and has this growth been at the expense of the states?

4. Defining Federalism  What is Federalism?  Federalism: a way of organizing a nation so that two or more levels of government have formal authority over the land and people. Only 11 of 190 nations have a federal structure. States derive power from Constitution not national government  Unitary governments: a way of organizing a nation so that all power resides in the central government. State Gov’ts are unitary  Confederation: The United Nations is a modern example.  Intergovernmental Relations: the workings of the federal system- the entire set of interactions among national, state and local governments

5. Defining Federalism

6.  Why Is Federalism So Important?  Decentralizes our politics More opportunities to participate  Decentralizes our policies Federal and state governments handle different problems. States regulate drinking ages, marriage, and speed limits. States can solve the same problem in different ways and tend to be policy innovators. Democracy Laboratories

7. The Constitutional Basis of Federalism  The Division of Power  Supremacy Clause, Article VI of the Constitution states the following are supreme: The U.S. Constitution Laws of Congress Treaties  Yet, national government cannot usurp state powers. Tenth Amendment

8. Powers Under Federalism 1. Delegated Powers  Powers that the Constitution gives to the National Government 2. Reserved Powers  Powers that are not given to the National Government and aren’t denied to the states either  Because of the 10 th Amendment these belong to the states 3. Concurrent Powers  Powers that both the National and State Governments share

9. Typical Model of Federalism National Government State Governments “Delegated Powers” enumerated implied “Reserved Powers” (the police powers) ConcurrentPowers Exclusive Powers

10. Powers Activity 1. You will be given a power. 2. Take your power and go to the category that your power belongs. 3. You will then come back to the middle and we will put the powers in a pile. 4. You will draw another power and go to that category. 5. We will do this a few times.

11. The Constitutional Basis of Federalism

12. Super Powers!!!!  It’s a bird, it’s a plane, no it’s a SUPERPOWER!!!  Click picture for video...

13. Draw Your Superhero Team 1. On the blank sheet of paper, draw a superhero for each type of power (Delegated, Reserved, & Concurrent). 2. Give each superhero at least 4 superpowers based on the ones that we did in the powers activity. For example, levy taxes, create federal courts, etc.

14. The Constitutional Basis of Federalism  States’ Obligations to Each Other  Full Faith and Credit: Each state must recognize official documents and judgments rendered by other states. Article IV, Section I of Constitution  Privileges and Immunities: Citizens of each state have privileges of citizens of other states. Article IV, Section 2 of Constitution  Extradition: States must return a person charged with a crime in another state to that state for punishment.

15. Gay Marriage

16. Why has the federal government gained power relative to the states?  Establishing National Supremacy  Implied and enumerated powers McCulloch v. Maryland (1819)  Commerce Powers Gibbons v. Ogden (1824)  The Civil War (1861-1865)  The Struggle for Racial Equality Brown v. Board of Education (1954)

17. McCulloch v. Maryland (1819) Background  Bank of the US operated in Maryland  Maryland did not want BoUS to operate in state, competition unwanted, unfair  Maryland taxed the bank to put it out of business  McCulloch, BoUS employee, refused to pay the state tax

18. McCulloch v. Maryland (1819)  Is a Bank of the US Constitutional? YES. The national gov’t has certain implied powers that go beyond delegated powers. US needs a national bank for borrowing, lending, holding minted money, etc. All of which are delegated powers.

19. McCulloch v. Maryland (1819) Can a state tax the federal gov’t? -NO. The federal gov’t is supreme. Since the BoUS is constitutional, only the feds may tax it. -John Marshall reaffirmed Supremacy Clause and Elastic Clause -National (Federal) Gov gets STRONGER

20. Commerce clause  Art. I, Sec. 8, Cl. 3 – ‘The Congress shall have power - To regulate commerce with foreign nations, and among the several states, and with the Indian tribes.”  Congress has used the elastic clause to stretch this power  What is commerce? “Buying and selling of goods and services.”  Congress given the power to regulate commerce between foreign countries and US as well as state to state… they control business law.

21. Gibbons v. Ogden (1824)  1824 – aka “The Steamboat Case”  Ogden received a state licensed monopoly to run a ferry across the Hudson River  Gibbons also saw the potential of the traffic between NJ and NY and obtained a federal license.  Ogden sued saying he had the valid state license, even though Gibbons had US license

22. Gibbons v. Ogden (1824) Result – Gibbons wins  Expanded national power in all areas of commerce law because nation overruled state in interstate trade issues  Fed Gov’t gets STRONGER  All trade today is primarily controlled by national law

23. Commerce Clause  Who cares? Why is it important?  Gibbons v. Ogden ruling makes a loop hole giving Congress power to take control over any issue involving the movement of people, or things  Fed gov’t power increased

24. Intergovernmental Relations Today  Dual Federalism  Definition: a system of government in which both the states and the national government remain supreme within their own spheres, each responsible for some policies  Like a layer cake  Narrowly interpreted powers of federal government  McCulloch v. Maryland increased the power of the federal government in relation to the states.  Ended in the 1930’s

26. Intergovernmental Relations Today  Cooperative Federalism  Definition: a system of government in which powers and policy assignments are shared between states and the national government  Like a marble cake  Shared costs and administration  States follow federal guidelines 1933-1939-FDR and the New Deal. In response to widespread poverty and unemployment, FDR responded with series of sweeping national programs such as social security, public works… The Supreme Court eventually confirmed FDR’s right to actively intervene in areas traditionally left to states on the basis of the federal government’s constitutional right to regulate interstate commerce (Article I, Section 8 and the elastic clause)  Made possible by the 16 th Amendment (1913): Federal Income Tax

28. Fiscal Federalism  Definition: the pattern of spending, taxing, and providing grants in the federal system; it is the cornerstone of the national government’s relations with state and local governments. Intergovernmental Relations Today

32.  Fiscal Federalism (continued)  The Grant System: Distributing the Federal Pie Catalogue of Federal Domestic Assistance-massive volume listing federal aid programs available to local & state gov’ts. Categorical Grants: federal grants that can be used for specific purposes; grants with strings attached Project Grants: based on merit, competitive applications Formula Grants: amount varies based on formulas Block Grants: federal grants given more or less automatically to support broad programs Grants are given to states & local governments.

33. Intergovernmental Relations Today  Fiscal Federalism (continued)  The Scramble for Federal Dollars $460 billion in grants every year Grant distribution follows principle of universalism—a little something for everybody…even though some money goes where its not really needed.  The Mandate Blues Mandates direct states or local governments to comply with federal rules under threat of penalties or as a condition of receipt of a federal grant. Underfunded mandate—states would rather not receive federal funds. Unfunded mandates Ex: Clean Air Act of 1970, Americans with Disabilities Act of 1990, No Child Left Behind.

34. Understanding Federalism  Advantages for Democracy  Increases access to government  Local problems can be solved locally  Hard for political parties or interest groups to dominate all politics  Disadvantages for Democracy  States have different levels of service  Local interest can counteract national interests  Too many levels of government and too much money

35. The National Drinking Age  Let’s look at your packet...

36. Understanding Federalism

40.  Federalism and the Scope of Government  What should the scope of national government be relative to the states? National power increased with industrialization, expansion of individual rights, and social services. Most problems require resources afforded to the national, not state governments.

41. Understanding Federalism

42. Summary  American federalism is a governmental system in which power is shared between a central government and the 50 state governments.  The United States has moved from dual to cooperative federalism; fiscal federalism.  Federalism leads to both advantages and disadvantages to democracy.