Congress Applauds ALEC Efforts to Address a Federal Bailout of States
Last year, ALEC released a letter signed by more than 200 state lawmakers that addressed the policy concerns with a potential federal bailout of the states.
In 2021 the issue remains, as do the potential consequences. State bailouts would be harmful to taxpayers, federalism and ultimately, the states themselves. Over 200 state legislators and nearly 1,500 additional state leaders and activist signers have raised concerns around a federal bailout for this very reason.
Today, Indiana Congressman Jim Banks sent a letter applauding the letter signers who stood with ALEC and addressed the policy concerns of a federal bailout of state and local governments. Congressman Banks encouraged others to reaffirm their commitment to fiscal responsibility and the rights of citizens:
“As ALEC has correctly brought to public attention, the creation of new federal grants come with strings attached in the form of new regulations. State and local governments that would want to turn down these grants would then find themselves at a disadvantage. They would be left watching their taxpayer’s money forcibly sent to finance boondoggles in other states. The states that do take these funds would have their power limited under the weight of federal regulations.”