A Case for Equity in Federal-Local Relations in Urban Policy Development

An examination of federal-local relations from an historical perspective shows that shared responsibility between the different levels of government has been fundamental to the American system of government. Strengthening this partnership ought to be a principal goal of the Carter Administration as it seeks to reorganize the government and develop an effective policy for the nation's third century. This paper proposes three basic reforms: (1) Shifting certain costs of local government to the state and federal levels; (2) infusing new capital into the central cities for urban development; and (3) adjusting the tax structure at all levels to make the cost of living and doing business in the cities more attractive. These reforms are premised on a juridical concept of equality as the necessary guiding principle in federal-local relations and as indispensable to the revitalization of urban America.