State Policies Affecting Cities and Counties in 1991: Shifting Federalism

States experienced considerable fiscal distress in 1991 as the recession led to widespread revenue shortfalls. In this environment, discretionary spending did not fare well. This article discusses five major policy areas: (1) state financial aid; (2) major changes in the "sorting out" of responsibilities between the state and local governments; (3) revenue diversification; (4) changes in limitations imposed on local taxes; and (5) new mandates handed down to cities and counties.     

State and Local Governance Fifteen Years Later: Enduring and New Challenges

This article draws on the contributions to this issue and related evidence to assay the extent to which the states and larger local governments have moved in directions endorsed by the Winter Commission in 1993 . The commission’s recommendations targeted (1) the political context of state and local governance, with a particular focus on executive leadership, campaign finance reform, and citizen engagement; (2) the specifics of public administration, with primary emphasis on empowering managers through internal deregulation and bolstering human resource capacity; and (3) the nature of the relationship between the national government and the states in a key policy arena. Significant changes in the fabric of state and local governance have occurred in each of these three areas over the last 15 years. Many of these modifications are consonant with the thrust of the Winter Commission report, but the evidence also points to the limits of state and local reform. Further reform initiatives should be built on systematic efforts to advance knowledge concerning the origins, nature, and outcomes of the array of institutions and processes present at the state and local levels.     

State and Local Government Organizations and the Formation of the Help America Vote Act

Several state and local government organizations lobbied Congressduring the formation of the Help America Vote Act (HAVA). Thisarticle distinguishes between "general" government organizations(those that represent the general interests of state and localgovernments) and "functionalist" organizations (those that implementspecific programs or functions). Whereas generalists soughtto advance "spatial" interests, functionalists sought to advance"administrative" interests. We also apply theories of congressionalorganization and committee leadership to explain the accessof state and local governments to Congress and their influenceover policy. The organizations had more access to, and influencein, the House Committee on Administration than in the SenateRules and Administration Committee. The differences were primarilythe result of three factors: informational demands, partisanconsiderations, and the personal qualities of committee leaders.     

Urban government and market reforms in China

Chinese reformers wish through their economic programme to create a new form of developmental state in China and a new relationship between state and economy. This paper examines these issues through a study of the impact of Chinese economic reforms on the structure and behaviour of local government, focusing on urban government at the district level. It looks at three aspects of the issue—the trend towards financial decentralization, institutional changes in district administration and changes in the relationship between local government and the urban economy. It concludes (contrary to arguments which regard bureaucratic response to the reforms as one of pure inertia and obstruction) that urban local government has changed in several major ways, the most obvious being a trend towards institutional expansion and proliferation. From the point of view of the reform process, some institutional changes have been positive, others negative, resulting in a ‘dualistic’ state which contains elements of both old and new forms of developmental state. There is a need for systematic analysis of the specific future needs and evolution of China's urban government which would guide a process of politico-administrative reform comparable to the current economic reform.     

Tax and Expenditure Limitations and State and Local Fiscal Structure: An Empirical Assessment

The tax and expenditure limitation (TEL) "movement" of the 1970s and 1980s can be characterized in part as a struggle between local autonomy and state control. Undeniable shifts have occurred over the same period in state and local revenue systems and functional responsibilities. This article places these shifts within the context of this movement, using pooled, cross-sectional, time-series techniques for the period between 1970 and 1990, in an effort to assess its impacts. Findings suggest that TELs have resulted in increased centralization, lessened local responsiveness, increased use of local non-tax sources of revenue, and a sector less accommodating to the needs of dependent populations. TELs may have also had dubious effects on both the allocative efficiency and equity of the state and local public sector.     

American Federalism: From Johnson to Bush

Intergovernmental developments for more than twenty-five yearshave produced a nation-centered federalism—strongly sofrom 1964 to 1978, somewhat less so from 1969–1988, anda little more so during the past two years. The reasons forthis fundamental systemic transformation include: (1) the demiseof the earlier, 150-year old, confederative party system andthe rise of a new political system with weak federative parties,but other more powerful political actors; (2) an operationaland local representational renaissance of the states, but alsoa concomitant decline of state and local political influencein Washington; (3) a steadily centralizing Supreme Court, withonly a few pro-state decisions until 1989; and (4) a rapid risein national preemptions and of a "new social regulation" thatwas aimed at state and local governments as much as at the privatesector, even as the states were used to implement them. Theonly real constraint on national activism since 1982 has beenbudget-driven federalism, not planned reform efforts. The currentsystem then requires political, representational, judicial,and constitutional reforms if the centralizing, cooptive, andpermissive features of contemporary federalism are to be corrected.     

A New Start Toward a More Decentralized Federalism in Brazil?

Brazil's political history can be read as a cyclical alternationbetween centralization and decentralization—a contestbetween the center and the periphery. Centralizing tendenciesreached one height under the "Estado Novo" of GetúlioVargas (1937–1945) and peaked again under a series ofmilitary governments from 1964 to 1985. Forces favoring regionalismand more state and local autonomy have been given impetus duringthe 1980s by trends of regional differentiation, popular mobilization,return to civilian government in 1985, several key elections,and state and local financial crises. The constitution promulgatedin October 1988 features decentralizing fiscal provisions thatgive reason to believe that federalism may be revitalized inthe next several years in response to grassroots demands fromstate and local governments. However, these federalism reformsmay be threatened by the national government's attempts to thwartthe constitution's decentralization provisions and by nationaleconomic and political instability.     

Early Voting Changes and Voter Turnout: North Carolina in the 2016 General Election

North Carolina offers its residents the opportunity to cast early in-person (EIP) ballots prior to Election Day, a practice known locally as “One-Stop” voting. Following a successful legal challenge to the state’s controversial 2013 Voter Information and Verification Act, North Carolina’s 100 counties were given wide discretion over the hours and locations of EIP voting for the 2016 General Election. This discretion yielded a patchwork of election practices across the state, providing us with a set of natural experiments to study the effect of changes in early voting hours on voter turnout. Drawing on individual-level voting records from the North Carolina State Board of Elections, our research design matches voters on race, party, and geography. We find little evidence that changes to early opportunities in North Carolina had uniform effects on voter turnout. Nonetheless, we do identify areas in the presidential battleground state where voters appear to have reacted to local changes in early voting availability, albeit not always in directions consistent with the existing literature. We suspect that effects of changes to early voting rules are conditional on local conditions, and future research on the effects of election law changes on turnout should explore these conditions in detail.

     

TexPool's Experiences in the 1990s: Policy Implications for Other State Investment Pools

The State of Texas's local government investment pool, TexPool, has faced major challenges in the 1990s. This article provides an overview of two major events involving TexPool: (1) a $2.2 billion "run" on the pool in 1994 and (2) the out-sourcing of TexPool's functions in 1997. The article describes these events and analyzes potential implications for other state-administered investment pools. The article addresses issues such as: (1) the need to develop investment policies and practices that are suitable for a particular pool's objectives and purpose, (2) whether a state government has a responsibility to ensure that participants in a state investment pool do not incur losses, (3) the possible implications of having an elected official as the person with primary responsibility for overseeing the pool, and (4) concerns related to the outsourcing of state investment pools. This article is intended to encourage debate on the policies and practices of state investment pools, which currently are serving more than 15,000 local governments in the United States.     

Constitutional Law and the Protection of Subnational Governments in the United States and West Germany

In Garcia v. San Antonio Metropolitan Transit Authority (1985),the U.S. Supreme Court concluded in a 5–4 decision thatthe Tenth Amendment does not protect state and local governmentsfrom federal intervention into their "traditional governmentfunctions." The Court majority insisted instead that the protectionof state and local functions lies in the political process and,thus, reversed the previous majority decision in National Leagueof Cities v. Usery (1976). Constitutional provisions in WestGermany grant the states a general protection rather comparableto the Tenth Amendment. These provisions also give explicitprotection to local governments. In spite of the apparent differencesthat suggest greater legal protection for their autonomy, Germanstates and local governments are now sharing most of their protectedfunctions with the federal government in a complex system ofintergovernmental relations. The Federal Constitutional Courthas allowed numerous federal and/or state incursions in localgovernment decisionmaking based on considerations of the commongood.     

The Challenge of Strengthening Nonprofits and Civil Society

The Winter Commission Report was centrally concerned with improving the performance of state and local governments. Since the issuance of the commission’s report in 1993, the delivery of services by state and local government has been substantially changed by the growing role of nonprofit organizations in providing public services and representing citizen interests. As a result, state and local governments and nonprofit agencies are faced with complex governance challenges. The central argument of this paper is that despite the dramatic changes in the relationship between government and nonprofit organizations in recent years, the key tenets of the Winter Commission report—the need for improved training and education, greater transparency and accountability, more emphasis on performance, and improved citizen engagement—remain deeply relevant in improving the governance of the public services in an increasingly complex policy process and service delivery system at the state and local levels.     

Local Government in Tasmania: Reform and Restructuring

Tasmania has a long history of failed attempts at restructuring local government boundaries yet managed a major reform process of 'modernisation' between 1990 and 1993 that incorporated major changes to council operations together with a restructuring of boundaries and a reduction from 46 to 29 councils. This process can be compared with a recent attempt to reduce further the number of local governments. In April 1997 the Liberal Premier announced reforms ('Directions for Tasmania') that led to a further reduction in the number of councils. This process collapsed following legal challenges and the proroguing of parliament prior to the 1998 state election. The defeat of the Liberal government saw the abandonment of the proposed amalgamations and establishment of 'partnerships' between the new ALP state government and councils. This paper compares the 1990–93 and 1997–98 reform processes and evaluates the outcomes of the amalgamations in 1990–93. It argues that the success of amalgamation and reform in local government has been strongly influenced by the degree of local government involvement and support in the reform process, lessons that have wider application.     

Does Anthropology Still Exist?

In response to Roger Sandall’s critical analysis, the problematic notion of culture in modern anthropology is examined in terms of cultural resistance to globalization. The example of McDonaldization is taken to be a potent instance of cultural globalization. Three conditions for successful cultural resistance to cultural standardization are proposed. The first is cultural in the shape of a strong aesthetic tradition of (national) resistance. This dimension involves some degree of cultural conservatism. The second condition is political, namely a viable and robust civil society that provides the basis for decisive (cultural) leadership. The third element is the involvement of the state in policies that promote and sustain a national heritage. Without this state involvement, global market conditions will largely shape the erosion of local and national cultures. Without a political response to cultural globalization, global market commodities will in all likelihood oust local goods and services. Those societies that lack both a strong aesthetic and an effective political leadership can offer little effective resistance to negative globalization and their local traditions are quickly destroyed. This argument is then examined in terms of a number of societies especially Turkey, China and Japan where the erosion of national cultures is proceeding rapidly. These critical assertions against global standardization require a strong first-order notion of culture which modern anthropology appears to be unable or unwilling to provide.

Does the flypaper model stick? A test of the relative performance of the flypaper and conventional models of local government budgetary behaviour

Two of the most widely referred to models of local (or state) budgetary behaviour are developed and tested. The models considered are a variant of the flypaper model (see, for example, Courant et al., 1979 and Oates, 1979) and a conventional model which builds on the seminal work of Wilde (1969, 1971). The models are developed in a manner which allows them to be tested empirically using data for English local governments. Two types of test are employed: the ability of the two models to explain the variations in expenditure levels across local governments within any given fiscal year; the ability of the models to predict future levels of expenditure given changes to local government budget constraints (as brought about, for example, by changs in grants-in-aid from central government).     

Property Tax Responses to State Aid Cuts in the Recent Fiscal Crisis

Many states experienced fiscal crises at the beginning of this decade. Some responded by cutting state aid to local governments. This paper explores the extent to which local governments responded to these aid cuts by raising property taxes. The authors hypothesize that changes in aid help explain the observed differences in per capita property tax revenue changes across states. They find that on average school districts increased property taxes by 23 cents for each dollar cut in state aid. These results highlight the important role that the property tax plays in maintaining the stability of the state and local sector.     

Managing Carrots and Sticks: Changes in State Administrators' Perceptions of Cooperative and Coercive Federalism During the 1990s

The so-called devolution revolution was a significant themein American federalism in the 1990s. Opinions on the issue varywidely. Some suggest that "major changes" occurred in intergovernmentalrelations. Others were pessimistic about the occurrence of anydevolution during the decade. We investigated changes in intergovernmentalrelations between the national and state governments in the1990s on the basis of Elazar's approach to American federalisminvolving: (1) administration, (2) cooperation and coercion,and (3) regulation. We used American State Administrator's Project(ASAP) data collected in 1994 and 1998 to access state administrators'perceptions of national fiscal and regulatory impacts on stateagencies. We conclude that state administrators' perceptionof national fiscal and regulatory impacts changed only moderatelyfrom 1994 to 1998, and that evolution rather than revolutiondescribes better the character of state-national intergovernmentalchanges during the 1990s.     

The Federal, and the State and Local Roles in Government Expenditures

This article compares government expenditures by functional category of the federal government relative to state and local governments and the changes in their respective roles since 1955. The article includes a review of the federal role relative to the state and local role on a function-by-function basis for these three and a half decades. This analysis demonstrates considerable stability in the federal sector and the state and local sector, but also the capacity for change.     

FINANCIAL INDICATORS AND TRENDS FOR LOCAL GOVERNMENTS: A STATE-BASED POLICY PERSPECTIVE

Recent federal reports, the projected "new" federalism, research in financial and economic trends, and the emerging consensus concerning local government distress have highlighted the fact that no comprehensive or systematic federal, state, or local policies exist to deal with the problems that have been identified. The purpose of this article is to perform a statebased study of financial patterns and trends in local governments that have implications for state policy. Included in the analysis were correlations between constant dollar financial indicators and an instability index for four data points. The results of the analysis and trends suggest that certain consistent patterns which have implications for state policy exist.     

Local Government Complexity: Consequences for County Property-Tax and Debt Policies

This article examines the consequences of local government complexityon county revenue decisions in fourteen Texas counties comprisingthe Dallas-Fort Worth and Houston metropolitan areas. Thereare significant differences in the configuration of local governmentsin the two areas traceable to when cities, school districts,and special districts were created. County revenue decisionsare also affected by the different configuration of governmentsin the two areas. These findings challenge the conventionalwisdom that states create local governments. Local choices areinstrumental in shaping local government complexity. What government-typesare chosen, and when, produce distinctive patterns of governancefrom one metropolitan area to the next, even in the same state.Consequently, reforms aimed at making the county the "localgovernment of the future" would require perhaps insurmountablechanges in state and local structures     

Constitutional Dimensions of State and Local Tax Deductibility

President Reagan's proposal to eliminate the deduction of stateand local taxes for the purpose of assessing federal incometaxes will vastly enlarge the scope of the federal government,unduly burden state and local governments, and greatly harmthe federal system. The essence of the federal idea is thatthere are arenas of government that must not be invaded by othergovernments. Yet the Treasury Department would have us believethat the most fundamental activities of state and local governmentsare in some significant sense paid for by the federal governmentthrough "subsidies" provided by the federal tax code.