1. Federalism AMERICAN GOVERNMENT

2. What is it?  Federalism  Federalism is a way of organizing a nation so that two or more levels of government have formal authority over the same area and people It is a system of shared power between units of government  Intergovernmental relations These are the interactions between all levels of government (national, state, and local)  Unitary governments  Most governments throughout the world are unitary governments in which all powers reside in the central government

3. Types  Dual Federalism (layer cake federalism)  Dual federalism is the earliest type of relationship established between the federal government and the states  The federal government’s power was defined as delegated and the state government’s power was reserved (10 th Amendment)  Cooperative federalism (marble cake federalism)  Cooperative federalism was developed during the New Deal.  Cooperative federalism is characterized by the federal government becoming more intrusive in what were traditionally state powers i.e. terrorism, education, etc.  The Commerce Clause is an example of cooperative federalism This clause gives Congress the authority to regulate trade with foreign countries

4. Types  Competitive Federalism- (new federalism)  Competitive federalism is an approach that stressed the downsizing of the federal government and put more reliance on revenue sharing grants  Creative Federalism-  Creative federalism is characterized by the Great Society programs, which placed a major responsibility on federally funded programs  Developed under Lyndon Johnson

5. Types  Fiscal Federalism  Fiscal federalism is the cornerstone of the national government’s relations with state and local governments.  It covers the pattern of spending, taxing, and providing grants in the federal system  Devolution  Devolution is the belief that governmental power should be returned to the states

6. Categorical  Categorical grants  Categorical grants are the main source of federal aid to state and local governments  These grants can be used for only one of several hundred specific purposes, or categories, of state and local spending  Something generally tied to these grants is a non-discrimination clause  Project grants  A project grant is awarded on the basis of competitive applications

7. Formula  Formula Grants  Formula grants are distributed based upon a predetermined formula  These formulas may revolve around per capita income, percentage of rural population, or some other like factor  The formulas are highly contested in Congress, as each Congressman fights to make sure these formulas benefit their constituency  These types of grants provide power to the Federal government as they control how money is appropriated

8. Block Grants  Block grants  Block grants are a form of fiscal federalism where federal aid is given to the states with few strings attached  Block grants provide more power to the states as they can make decisions on how to spend their money

9. Mandates  Funded Mandates-  These are regulations that are passed by Congress or issued by regulatory agencies to the states, with federal funds to support them.  Unfunded mandates-  These are regulations passed by Congress or issued by regulatory agencies to the states, without federal funds to support them