Good on them. Remind the federal government they get their power from the states and not the other way around. There is no point in paying for things like FEMA if FEMA is not going to pay out because of one idiot's stupid, greedy decisions.
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Yes, yes, please this. He's a rogue. He is not entitled to payments.
They need to stop being such little bitches and just do it.
Is it really doable? Federal income taxes go directly to the fed without state intervention
Payments available for withholding include the federal taxes collected from the paychecks of state employees, as well as grant payments owed back to the federal government.
As I read it: as a state employee my federal taxes would still come out of my paycheck, but the state would hold to the money. Sounds like it could get complicated for me come tax season.
I don't understand why there needs to be laws here. Couldn't the Governor just unilaterally paused payments to the federal government? What's the point of needing a bill when they already have that ability
I have no idea if this would even do anything.
The federal government prints money. If the states don't pay the federal government it doesn't actually mean the government will run out of money.
What will happen is the money supply will balloon, because federal payments are one of the ways the government controls the money supply. If those payments don't go back to the feds, the delayed payments will stay in circulation.
That might create inflation? Will it do anything else? Again, no idea.
Actually, no. What would happen is that the federal government would just intervene, contact the banks, and seize the funds.
But even in a situation where there's a fight over the money, that's not what would happen.
The Federal government is going to draw up and execute its budget as if they had the funds anyway. If any of the earmarked money is spent, it would just be added to the national debt until the federal government actually collects the state funds, through force if necessary. Then the seized funds would be applied accordingly.
In the meantime, the seized funds would just be frozen by court order in state bank accounts until the whole case is settled. And by "Settled", I mean that the SC would just rule that the states have to pay and order the banks to release the funds to the federal government.
This is what would happen regardless of who is President, regardless of who's on the SC bench. States don't have to like policies enacted by the federal government. There are deep red states like Florida and Tennessee that also give more federal funds than they receive, and they would not be allowed to withhold federal funding just because they don't like Democrat policies, either.
The courts aren't going to allow that, nor should they. Both red and blue states have multiple states that pay out more in federal funds than they receive. Allowing states to do this would only lead to a situation where blue states refuse to pay out whenever there's a Republican president and red states refusing to pay out when a Democrat is in charge.
The Federal government is going to draw up and execute its budget as if they had the funds anyway.
That's what I was getting at when I pointed out the fact that the feds print their own money. The federal government would be fine.
I was just running the thought experiment of "would this even do anything" under the assumption that it was successful. And it's a fantasy on its face, even in the best case scenario it accomplishes nothing.
And the best case isn't what would happen, because ultimately you're right and this won't be allowed. There are a lot of mechanisms the federal government has to compell the states to pay their dues.
Indian Reserve Banks