Tax Reform

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.”

Read the full letter from Congressman Jim Banks in support of the ALEC letter addressing the federal bailout of states here.

You can sign the ALEC letter here.

In Depth: Tax Reform

Mainstream economists, small business owners and taxpayers across the country understand that growth-oriented reforms mean increased opportunity for all. As demonstrated by the annual Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index, sound tax and fiscal policies are critical to economic health, allowing businesses and households to flourish. A…

+ Tax Reform In Depth