Federal Aid Creates Central‐Planning Power
The Trump administration is threatening to cut federal aid to cities that do not follow its approach to policing and civil unrest. The administration also wants to cut aid to public schools that do not follow its approach to reopening. Previously, the Obama administration tried to micromanage neighborhoods and housing through control over federal aid dollars.
As a general matter, there is no reason to think that federal politicians have superior knowledge to state-local leaders regarding how to run policing, schools, housing, and other local activities. Unfortunately, having power over an armada of 1,386 aid-to-state programs makes federal politicians think they are national central planners. Trump, Obama, and other presidents exude self-confidence, but they do not know how to run the affairs of 50 states and 19,000 cities and towns across our huge nation.
This study argues that Congress should repeal all federal aid-to-state programs for many reasons, including that aid comes with costly strings attached that destroy local democracy. Richard Epstein and Mario Loyola noted about aid programs: “When Americans vote in state and local elections, they think they are voting on state and local policies. But often they are just deciding which local officials get to implement the dictates of distant and insulated federal bureaucrats, whom even Congress can’t control.”
I came across a table (p. 82) in New Jersey’s budget that lists the $15 billion the state received in 2020 from each of almost 400 federal aid programs. The data reproduced below illustrates the vast reach of the federal government’s tentacles.
One of the line items includes $10,000 for circus training in Camden. Is there anything that the federal government doesn’t subsidize?
| Federal Aid for State-Local Governments in New Jersey, 2020 | $000 | |
| Child Care | 104,700 | |
| Child Nutrition - School Breakfast | 130,000 | |
| Child Nutrition - School Lunch | 375,000 | |
| Child Nutrition - Special Milk | 1,300 | |
| Child Nutrition - Summer Programs | 14,047 | |
| Child Nutrition Administration | 13,395 | |
| Child Nutrition Technology Grant | 2,000 | |
| Farm Risk Management Education Program | 282 | |
| Food Stamp - The Emergency Food Assistance Program (TEFAP) | 3,596 | |
| Fresh Fruit and Vegetable Program | 5,400 | |
| Indemnities - Avian Influenza | 600 | |
| National School Lunch Program- Equipment Assistance | 1,000 | |
| Produce Safety Rule Implementation | 770 | |
| Specialty Crop Block Grant Program | 1,600 | |
| Trade Mitigation Food Purchase and Distribution Program | 2,000 | |
| Various Federal Programs and Accruals | 8,761 | |
| Restricted Federal Grants | 49,911 | |
| Social Services Block Grant | 42,868 | |
| Title IV- B Child Welfare Services | 12,117 | |
| Title IV- E Foster Care | 176,937 | |
| Community Development Block Grant - Super Storm Sandy | - - - | |
| Community Services Block Grant | 20,500 | |
| Continuum of Care Program | 4,000 | |
| Emergency Solutions Grants Program | 4,000 | |
| Family Self Sufficiency Program Coordinator | 350 | |
| Housing and Urban Development Recovery Initiative | - - - | |
| Lead-Based Paint Hazard Control | 4,800 | |
| Low Income Home Energy Assistance Program | 140,000 | |
| Mainstream 5 | 450 | |
| Moderate Rehabilitation Housing Assistance | 9,500 | |
| National Affordable Housing - HOME Investment Partnerships | 6,000 | |
| National Housing Trust Fund | 8,500 | |
| Section 8 Housing Voucher Program | 265,000 | |
| Small Cities Block Grant Program | 8,023 | |
| Weatherization Assistance Program | 5,550 | |
| Anti- Heroin Task Force | - - - | |
| Body Worn Cameras | 156 | |
| Defense Tactical Training | 750 | |
| Diversity Training | 100 | |
| Father/Child Visitation Program | 165 | |
| Federal Reentry Initiative | - - - | |
| Health, Safety and Wellness | - - - | |
| Inmate Vocational Certifications | 350 | |
| Innovative Reentry Initiatives | 125 | |
| Offender Reentry | 600 | |
| Prison Rape Elimination Grant | 145 | |
| Promising Reentry | 750 | |
| Responsible Parenting Program - Temporary Assistance for Needy Families | 110 | |
| Smart Supervision | 500 | |
| Special Investigations Division - Intelligence Technology | 250 | |
| Special Operations Tactical Equipment | 200 | |
| State Criminal Alien Assistance Program | 4,300 | |
| Swift, Certain, and Fair Sanctions Program | 600 | |
| Technology Enhancements | 500 | |
| Various Federal Programs and Accruals | 200 | |
| 21st Century Schools | 26,497 | |
| AIDS Prevention Education | 120 | |
| Bilingual and Compensatory Education - Homeless Children and Youth | 2,150 | |
| Career and Technical Education Teacher Pathway | - - - | |
| Head Start Collaboration | 275 | |
| Hurricane Relief | - - - | |
| Improving America’s Schools Act - Consolidated Administration | 5,040 | |
| Individuals with Disabilities Education Act Basic State Grant | 382,000 | |
| Individuals with Disabilities Education Act Preschool Grants | 11,675 | |
| Language Acquisition Discretionary Administration | 18,193 | |
| Mathematics and Science Partnerships Grants | - - - | |
| Migrant Education - Administration/Discretionary | 2,327 | |
| Race to the Top - Early Learning Challenge | - - - | |
| Race to the Top - Preschool Development Grant | - - - | |
| STOP School Violence Grant | 2,750 | |
| School Violence Prevention Program | 500 | |
| State Assessments | 8,650 | |
| Student Support & Academic Enrichment State Grants | 25,798 | |
| Supporting Effective Instruction State Grants | 44,840 | |
| Title I - Grants to Local Educational Agencies | 362,950 | |
| Title I - Part D, Neglected and Delinquent | 1,861 | |
| Vocational Education - Basic Grants - Administration | 25,450 | |
| Various Federal Programs and Accruals | 2,213 | |
| Air Pollution Maintenance Program | 10,500 | |
| Artificial Reef Program - PSE&G/NJPDES Permit Fees | 985 | |
| Atlantic Brant Migration Ecology Study | 240 | |
| Atlantic Coastal Fisheries | 300 | |
| Beach Monitoring and Notification | 700 | |
| BioWatch Monitoring | 700 | |
| Boat Access (Fish and Wildlife) | 1,000 | |
| Bobcat Hair Snare Study | 240 | |
| Brownfields | 1,000 | |
| Clean Diesel Retrofit | 500 | |
| Clean Vessels | 1,000 | |
| Clean Water State Revolving Fund | 68,000 | |
| Coastal Zone Management - Special Merit | - - - | |
| Coastal Zone Management Implementation | 3,965 | |
| Community Assistance Program | 600 | |
| Connecting Habitat Across New Jersey (CHANJ) Assessments | 200 | |
| Consolidated Forest Management | 500 | |
| Cooperative Technical Partnership | 3,000 | |
| DOT Reconstruct Ferry Slips LSP | 6,000 | |
| Development Compensatory Mitigation Technical Manual | - - - | |
| Development of Coastal Ecological Restoration | - - - | |
| Drinking Water State Revolving Fund | 28,200 | |
| Endangered Species | 355 | |
| Endangered and Nongame Species Program State Wildlife Grants | 1,070 | |
| FEMA Port Security Grant LSP | 1,100 | |
| Fish and Wildlife Action Plan | 135 | |
| Fish and Wildlife Health | 380 | |
| Fish and Wildlife Technical Guidance | - - - | |
| Forest Legacy | 4,245 | |
| Forest Resource Management - Cooperative Forest Fire Control | 1,230 | |
| Framework for Increased Risk Reduction | 1,200 | |
| Hazardous Waste - Resource Conservation Recovery Act | 4,750 | |
| High Hazard Dams Grants/Loans | - - - | |
| Historic Preservation - Super Storm Sandy | - - - | |
| Historic Preservation Survey and Planning | 1,000 | |
| Hunters’ and Anglers’ License Fund | 13,530 | |
| Improving Marsh Restoration | - - - | |
| Land and Water Conservation Fund | 5,000 | |
| Landscape Restoration | 350 | |
| Marine Fisheries Investigation and Management | 1,750 | |
| Mighty Waterfowlers Project | - - - | |
| Multimedia | 750 | |
| NJ - FRAMES - Monmouth County | 900 | |
| NJ Outdoor Heritage Program | 3,800 | |
| National Coastal Wetlands Conservation | 3,500 | |
| National Dam Safety Program (FEMA) | 120 | |
| National Geologic Mapping Program | 674 | |
| National Recreational Trails | 1,900 | |
| New Jersey Atlantic and Shortnose Sturgeon | 365 | |
| New Jersey’s Landscape Project | 990 | |
| Nonpoint Source Implementation (319H) | 3,830 | |
| Particulate Monitoring Grant | 1,000 | |
| Pesticide Technology | 500 | |
| Port Security Sector NY | - - - | |
| Preliminary Assessments/Site Inspections | 1,000 | |
| Radon Program | 500 | |
| Recovery Land Acquisition | 2,500 | |
| Remedial Planning Support Agency Assistance | 1,000 | |
| Species of Greater Conservation Need - Mammal Research and Management | 340 | |
| Statewide Habitat Restoration and Enhancement | 700 | |
| Superfund Grants | 5,020 | |
| Underground Storage Tank Program Standard Compliance Inspections | 1,250 | |
| Underground Storage Tanks | 3,157 | |
| Water Monitoring and Planning | 970 | |
| Water Pollution Control Program | 4,675 | |
| Wildfire Risk Reduction | 300 | |
| Wildlife Management Area Conservation Program | 2,000 | |
| Wildlife and Sport Fish Restoration Outreach | 390 | |
| Wildlife and Sport Fish Restoration Partnership Exhibit Development | 300 | |
| Various Federal Programs and Accruals | 1,262 | |
| AIDS Drug Distribution Program | 2,000 | |
| Abstinence Education - Family Health Services (FHS) | 1,700 | |
| Addressing the Opioid Crisis Statewide | 1,310 | |
| Asthma Surveillance and Coalition Building | 769 | |
| Bioterrorism Hospital Emergency Preparedness | 14,786 | |
| Birth Defects Surveillance Program | 508 | |
| Breast and Cervical Cancer Early Detection Program | 3,400 | |
| Breastfeeding Peer Counseling | 1,271 | |
| Chronic Disease Prevention and Health Promotion | 3,350 | |
| Clinical Laboratory Improvement Amendments Program | 617 | |
| Comprehensive AIDS Resources Grant | 46,311 | |
| Conformance with the Manufactured Food Regulatory Program Standards | 340 | |
| Coordinated Integrated Initiative | 2,255 | |
| Core Injury Prevention and Control Program | 300 | |
| Early Hearing Detection and Intervention (EHDI) Tracking, Research | 250 | |
| Early Intervention for Infants and Toddlers with Disabilities (Part C) | 13,000 | |
| Ebola Hospital Preparedness and Response | 6,022 | |
| Electronic Patient Care | 350 | |
| Emergency Medical Services for Children (EMSC) Partnership Grants | 200 | |
| Emergency Preparedness for Bioterrorism | 29,581 | |
| Enhanced HIV/AIDS Surveillance- Perinatal | 213 | |
| Enhancing & Making Programs & Outcomes Work to End Rape | 96 | |
| Federal Lead Abatement Program | 440 | |
| Food Emergency Response Network - E Coli in Ground Beef | 165 | |
| Food Inspection | 676 | |
| Fundamental & Expanded Occupational Health | 985 | |
| HIV/AIDS Events without Care in New Jersey | 373 | |
| HIV/AIDS Prevention and Education Grant | 17600 | |
| HIV/AIDS Surveillance Grant | 3318 | |
| Heart Disease and Stroke Prevention | 450 | |
| Housing Opportunities for Incarcerated Persons with AIDS | 1958 | |
| Housing Opportunities for Persons with AIDS | 1764 | |
| Immunization Project | 9909 | |
| Improving Mental Health for Older African Americans | 240 | |
| Lab Biomonitoring Program - Impact of Biohazards on New Jersey Citizens | 1,000 | |
| Maternal and Child Health (MCH) Early Childhood Comprehensive System | 140 | |
| Maternal and Child Health Block Grant | 13,000 | |
| Maternal, Infant and Early Childhood Home Visiting Innovation Grant | 4,000 | |
| Maternal, Infant and Early Childhood Home Visiting Program | 10,582 | |
| Medicare/Medicaid Inspections of Nursing Facilities | 14,500 | |
| Morbidity and Risk Behavior Surveillance | 1,071 | |
| National Cancer Prevention and Control | 6,889 | |
| National HIV/AIDS Behavioral Surveillance | 512 | |
| National Program of Cancer Registries | 1400 | |
| New Jersey Cancer Education & Early Detection (NJ CEED) | 197 | |
| New Jersey Childhood Lead | 316 | |
| New Jersey Personal Responsibility Education Program | 1426 | |
| New Jersey Plan for Private Well Programs | 290 | |
| New Jersey State Maternal Health Innovation Program | - - - | |
| New Jersey’s Reducing Health Disparities Initiative | 160 | |
| Nurse Aide Certification Program | 1000 | |
| Oral Health Grant | 500 | |
| Overdose Data - Action | 7486 | |
| Pandemic Influenza Healthcare Preparedness | 1935 | |
| Pediatric AIDS Health Care Demonstration Project | 2350 | |
| Pediatric Mental Health Care | 445 | |
| Pregnancy Risk Assessment Monitoring System | 750 | |
| Preventative Health and Health Services Block Grant | 5683 | |
| Prevention & Public Health Fund - Coordinated Integrated Initiative | 1187 | |
| Prevention & Public Health Fund - Immunization and Vaccines for Children | 9600 | |
| Prevention and Management of Diabetes, Heart Disease and Stroke | 1715 | |
| Public Employees Occupational Safety and Health - State Plan | 900 | |
| Public Health Crisis - Opioids | 4524 | |
| Public Health Crisis Response | 5470 | |
| Public Health Laboratory Biomonitoring Planning | 2156 | |
| Rape Prevention and Education Program | 1896 | |
| Ryan White Part B - Emergency Relief | 1300 | |
| Ryan White Part B - Supplemental | 1500 | |
| Senior Farmers’ Market Nutrition Program | 2000 | |
| Supplemental Food Program - Women, Infants, and Children (WIC) | 151608 | |
| Surveillance, Epidemiology and End Results (SEER) | 1319 | |
| Tobacco Age of Sale Enforcement (TASE) | 2357 | |
| Tuberculosis Control Program | 2595 | |
| Venereal Disease Project | 3882 | |
| Viral Hepatitis Surveillance | 400 | |
| Vital Statistics Component | 1498 | |
| West Nile Virus - Laboratory | 200 | |
| West Nile Virus - Public Health | 1942 | |
| Women, Infants, and Children (WIC) Farmers’ Market Nutrition Program | 2600 | |
| Zika Surveillance and Intervention | - - - | |
| Various Federal Programs and Accruals | 24029 | |
| Block Grant Mental Health Services | 19,289 | |
| Child Care Block Grant | 160,662 | |
| Child Support Enforcement Program | 178,077 | |
| Clinical High Risk For Psychosis | 400 | |
| Cures Grant | 12,995 | |
| Developmental Disabilities Council | 1,649 | |
| Electronic Health Records Provider Incentive Payments | 20,000 | |
| Grants to Prevent Prescription Drug/Opioid Overdose Deaths | 1,000 | |
| Health Information Technology (HIT) | 5,661 | |
| Medication Assisted Drug and Opioid | 950 | |
| National Family Caregiver Program | 5,200 | |
| National Strategy Grant- Suicide Prevention | 471 | |
| New Jersey Mental Health Awareness Training | 125 | |
| New Jersey Money Follows the Person | 12,941 | |
| New Jersey State Opioid Response | 48,998 | |
| Older Americans Act - Title III | 34,106 | |
| Program Integration of Primary and Behavioral Health Care | 2,000 | |
| Projects for Assistance in Transition from Homelessness (PATH) | 2,141 | |
| Refugee Resettlement Program | 2,578 | |
| Social Services Administration | 40,868 | |
| Strategic Prevention Framework | 2,260 | |
| Substance Abuse Block Grant | 49,000 | |
| Supplemental Nutrition Assistance Program | 174,420 | |
| Supplemental Nutrition Assistance Program - Education | 9,500 | |
| Supplemental Nutrition Assistance Program - Fraud Grant | 1,000 | |
| Temporary Assistance for Needy Families Block Grant | 441,915 | |
| Title XIX Child Residential | 114,000 | |
| Title XIX Community Care Program | 781,895 | |
| Title XIX ICF/MR | 221,166 | |
| Title XIX Medical Assistance | 8,338,551 | |
| Title XXI Children’s Health Insurance Program | 488,853 | |
| United States Department of Agriculture Older Americans | 4,350 | |
| Vocational Rehabilitation Act, Section 120 | 13,322 | |
| Various Federal Programs and Accruals | 6,202 | |
| Assistive Technology | 600 | |
| Current Employment Statistics | 2,417 | |
| Disability Determination Services | 74,553 | |
| Disabled Veterans’ Outreach Program | 3,337 | |
| Employment Services | 26,717 | |
| Employment Services Grants - Alien Labor Certification | 789 | |
| Independent Living | 600 | |
| Local Veterans’ Employment Representatives | 1,594 | |
| National Council on Aging - Senior Community Services Employment Project | 4,040 | |
| Occupational Safety Health Act - On- Site Consultation | 2,674 | |
| One Stop Labor Market Information | 1,046 | |
| Public Employees Occupational Safety and Health Act | 2,872 | |
| Redesigned Occupational Safety and Health (ROSH) | 385 | |
| Reemployment Eligibility Assessments - State Administration | 3,550 | |
| Rehabilitation of Supplemental Security Income Beneficiaries | 5,000 | |
| Supported Employment | 975 | |
| Trade Adjustment Assistance Project | 8,220 | |
| Unemployment Insurance | 156,545 | |
| Vocational Rehabilitation Act of 1973 | 54,207 | |
| Work Opportunity Tax Credit | 746 | |
| Workforce Investment Act | 116,166 | |
| Workforce Investment Act - Adult and Continuing Education | 18,250 | |
| Various Federal Programs and Accruals | 1,802 | |
| Anti- Methamphetamine | 500 | |
| Body Cameras | 1500 | |
| Community Oriented Policing (COPS) Anti- Gang Initiative | 1000 | |
| Community Oriented Policing (COPS) Anti- Heroin Task Force Program | 3000 | |
| Community Oriented Policing (COPS) Hiring Program | - - - | |
| Community Policing Development | 500 | |
| Coverdell Competitive | 250 | |
| Disaster Assistance -- Other | - - - | |
| Disaster Assistance - Super Storm Sandy | - - - | |
| Emergency Management Performance Grant - Non Terrorism | 9000 | |
| Encouraging Innovation | 500 | |
| Enhancement of Data Analysis Center | - - - | |
| Equal Employment Opportunity Commission | 300 | |
| Fatality Analysis Reporting System (FARS) | 350 | |
| Flood Mitigation Assistance | 9000 | |
| Forensic DNA Laboratory | 2300 | |
| Hazardous Materials Transportation | 550 | |
| Highway Traffic Safety | 41150 | |
| Homeland Security Grant Program | 7993 | |
| Incident Command | - - - | |
| Intellectual Property | 450 | |
| Internet Crimes Against Children | 600 | |
| Justice Assistance Grant (JAG) | 4700 | |
| Juvenile Justice Delinquency Prevention | 1013 | |
| Medicaid Fraud Unit | 4913 | |
| National Crime Statistics Exchange | 2750 | |
| National Criminal History Program - Office of the Attorney General | 500 | |
| Non- Motorized Safety | 1500 | |
| Opioids | 5396 | |
| Paul Coverdell National Forensic Science Improvement | 550 | |
| Port Security | 3000 | |
| Pre- Disaster Mitigation Grant (Competitive) | 5000 | |
| Prescription Drug Monitoring Program | 1000 | |
| Preventing Wrongful Convictions | 250 | |
| Project Safe Neighborhoods | 700 | |
| Public Safety Innovation Acceleration Program | - - - | |
| Recreational Boating Safety | 3800 | |
| Residential Treatment for Substance Abuse | 480 | |
| STOP School Violence Prevention Program | 500 | |
| Sex Offender Registration and Notification Act (SORNA) | 655 | |
| Training for Juvenile Prosecution | 250 | |
| UASI Nonprofit Security Grant Program (NSGP) | 8685 | |
| Urban Area Security Initiative (UASI) | 22750 | |
| Urban Search and Rescue | 12500 | |
| Victim Assistance Grants | 87800 | |
| Victim Centered Law Enforcement Training | 750 | |
| Victim Compensation Award | 2900 | |
| Victims of Crime Act - Building State Technology | 344 | |
| Victims of Crime Act - Training Discretionary | 1000 | |
| Violence Against Women Act - Criminal Justice | 3890 | |
| Various Federal Programs and Accruals | 1550 | |
| Antiterrorism Program Manager | 198 | |
| Armory Renovations and Improvements | 7700 | |
| Army Facilities Service Contracts | 5000 | |
| Army National Guard Electronic Security System | 350 | |
| Army National Guard Statewide Security Agreement | 950 | |
| Army National Guard Sustainable Range Program | 80 | |
| Army Training and Technology Lab | 414 | |
| Atlantic City Air Base Environmental | 70 | |
| Atlantic City Air Base Operations and Maintenance | 200 | |
| Atlantic City Air Base Service Contracts | 1900 | |
| Atlantic City Air Base Sustainment, Restoration and Modernization | 700 | |
| Brigadier General Doyle Memorial Cemetery Building Project | 5,000 | |
| Dining Facility Operations | 250 | |
| Facilities Support Contract | 22,100 | |
| Federal Distance Learning Program | 447 | |
| Firefighter/Crash Rescue Service Cooperative Funding Agreement | 2,000 | |
| Hazardous Waste Environmental Protection Program | 2,953 | |
| Lakehurst Readiness Center | - - - | |
| McGuire Air Force Base Operations and Maintenance | 202 | |
| McGuire Air Force Base Service Contracts | 1,492 | |
| Medicare Part A Receipts for Resident Care and Operational Costs | 10,699 | |
| National Guard Communications Agreement | 400 | |
| New Jersey National Guard ChalleNGe Youth Program | 3,200 | |
| Sea Girt Energy Grid Upgrade | - - - | |
| Sea Girt Regional Training Institute - Construction | 10,000 | |
| Training Site Facilities Maintenance Agreements | 120 | |
| Training and Equipment - Pool Sites | 540 | |
| Veterans’ Education Monitoring | 600 | |
| Warren Grove/Coyle Field | 60 | |
| Various Federal Programs and Accruals | 1,055 | |
| Americorps Grants | 6,053 | |
| Foster Grandparent Program | 1,200 | |
| Gaining Early Awareness and Readiness for Undergraduate Programs | 5,000 | |
| Help America Vote Act | 2,800 | |
| John R Justice Grant Program | - - - | |
| National Endowment for the Arts Partnership | 900 | |
| National Health Service Corps - Student Loan Repayment Program | 255 | |
| State Trade and Export Promotion Pilot Grant Program | 850 | |
| Student Loan Administrative Cost Deduction and Allowance | 9,511 | |
| Airport Fund | 2,000 | |
| Boating Infrastructure Program (New Jersey Maritime Program) | 1,600 | |
| Commercial Drivers’ License Program | 1,100 | |
| Development and Implementation Grant - Federal Transit Administration | 1,527 | |
| Motor Carrier Safety Assistance Program | 9,506 | |
| Financing Advanced Microgrids | 300 | |
| Pipeline Safety | 950 | |
| State Energy Conservation Program | 1,321 | |
| Underserved Communities Electric Vehicle Affordability Program | 100 | |
| Various Federal Programs and Accruals | 1,325 | |
| Total Federal Aid | 15,096,959 |
Note: some of the line items may be aggregations of multiple programs, and some small number are contracts, not grants.
