The federal government transfers considerable sums to local governments in the form of intergovernmental grants. With the exception of health and welfare programs, most intergovernmental grants to local governments are classified as discretionary spending. In its annual appropriations process, Congress decides how funding for discretionary spending will be broken up among the various agencies, but more detailed decisions about specific uses of funds are left to the executive branch.
Working Paper Number
Working Paper 12
Gordon, Steven, "The Returns to Lobbying: Evidence from Local Governments in the "Age of Earmarks"" (2017). Institute for the Study of Free Enterprise Working Papers. 17.