Block Grants: From Brookings

The Brookings Institution has a new study out on federal block grants.  The study is entitled "Block Grants: Flexibility and Stability in Social Services.'   

The policy brief tracks the history of federal block grants in the area of social services and their underl ying philosophy.  They're designed to give states and localities more flexibility and to increase efficiency.  Proponents of block grants also see them as a way to reduce the interest of Congress in funding such services by limiting Congress' ability to "take credit" for the resulting services and thereby limiting the likelihood of expansion.  They also anticipate lower federal expenditures in time (trading money for flexibility).

The brief also summarizes recent history with block grants, including the significant decline in purchasing power of social service block grants, experience under President Reagan, and President Bush (W)'s proposals for further changes for further reform (consolidating block grants for Head Start, Food Stamps, Child Welfare, Assisted Housing, and Job Training among other things, and providing for a "superwaiver").  The report concludes that "Many stakeholders desire the flexible ends of block grant funding, yet oppose using means that typically threaten the stability of services.  Unfortunately, it is not yet clear how to achieve flexibility while ensuring federal funding levels and accountability for outcomes."