The intergovernmental grant system as seen by local, State, and Federal officials : Page: 17
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Yet, this view must also be modified, because the
replies to the question on use of 100 percent local
funds are susceptible to an additional interpretation.
It can be argued that localities which would
provide such funding are demonstrating that the
terminated Federal program had had a sustained
stimulative effect. Thus, localities responding
"Yes" to the second question may not necessarily
be indicating that the Federal grant had little skewing
effect on their budget. On the contrary, they
may be suggesting a lasting stimulative or distorting
The Fiscal Impact of Categorical Grants: A Summary.
Looking at these local officials' responses to
the total cluster of questions on the fiscal impact of
Federal categorical programs, there is little question
that they see a powerful effect. Two-thirds of
the city officials and four-fifths of the county respondents
believe they would allocate Federal
grant funds differently if they had the chance.
More than three-fourths of both groups think the
reallocation would be moderate or substantial. In
addition, over two-thirds of the city respondents
and over three-fourths of their county counterparts
Five Federal Categorical Grant Program Areas that Most Affected Spending of
Local Funds, as Seen by City and County Officials,
Water pollution control
development and planning
Community development planning,
Income security and
Water pollution control
development, and planning
General health services
Number of Respondents
Respondents Who Said Use of
Local Funds Was Increased:
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United States. Advisory Commission on Intergovernmental Relations. The intergovernmental grant system as seen by local, State, and Federal officials :, book, March 1977; Washington, D.C.. (https://digital.library.unt.edu/ark:/67531/metadc1368/m1/25/: accessed April 26, 2019), University of North Texas Libraries, Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.