An intergovernmental perspective on federal education grants

Abstract

Few things in this world are inevitable. The notable exceptions are death, taxes, and debates about American federalism. Although the critical task of balancing the responsibilities among the federal, state, and local governments predates the American Constitution, the essential questions of American government remain: What should be the role of different levels of government in domestic policy? What is the appropriate balance of authority between the Federal Government and the 50 states? The Reagan Administration's proposal of a New Federalism is simply the most recent effort to sort out governmental roles. While discussions of federalism date back to our early history, the debate has intensified in recent years to a large degree because of the proliferation of federal grants-in-aid. Between 1965 and 1980, grants to state and local governments increased from $11 billion, or 9.2% of the federal budget, to $91 billion, or 15.8% of the budget. In elementary and secondary education, the increases were from about $2.1 billion to $8.7 billion over this same period (ACIR, 1981 p. 5; ECS, 1981, p. 30). As important as the dollar amount of grants is the fact that many of the programs developed in the last two decades have been designed to carry out federal purposes rather than assist state and local governments in carrying out their own priorities. Most grants have been categorical in nature and have included extensive regulations controlling program design and administration, finance, and the delivery of services. Layered on top of program requirements are a set of cross-cutting requirements, estimated by the Advisory Commission on Intergovernmental Relations