Home
/
RELIGION & LIBERTY ONLINE
/
States’ rights, federal behavior: Alabama and COVID-19 spending
States’ rights, federal behavior: Alabama and COVID-19 spending
Dec 3, 2025 2:39 PM

“Power tends to corrupt, and absolute power corrupts absolutely” – Lord Acton.

Former Chicago Mayor Rahm Emanuel is known for saying, “You never want a serious crisis to go to waste. And what I mean by that, it’s an opportunity to do things you think you could not do before.” As President Joe Biden signs the $1.9 trillion COVID-19 relief bill, the $350 billion in direct grants to state, local, and tribal governments should not lead us to assume that the money will be effectively allocated. For many states, the federal government’s COVID-19 relief grants will be an opportunity for states to be just as reckless as the federal government. According to a recent study by the Alabama Policy Institute, for example, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, if Alabama’s CARES spending gives us a window into how states behave when flooded with cash, local residents may not see the relief promised by the Biden administration.

According to the study – titled “Alabama’s Use of CARES Act Funds: Grow Government or Help All Alabamians?” – the state misallocated more than half of the money given to the state. After the state received $1.9 billion from the federal government, like lions and hyenas at an animal kill, state politicians began to fight over the bounty. Both Gov. Kay Ivey and the legislature initially had plans to spend the money. However, the legislature hardly convened for multiple months during the pandemic. When they did meet, a proposal came out including hundreds of millions of dollars of the relief money for capital renovations and a new state house building. What did that have to do with the pandemic? The legislature eventually sent Gov. Ivey a better proposal, giving her control over a portion of the funds. In a move that undermines the concept of federalism, state legislators handed virtually all authority to determine how the money would be allocated to the governor and unaccountable, unelected state government agency bureaucrats.

As noted in the study, “much of the money has been used to grow government, not to help citizens and businesses within the state that have faced hardships as a result of the pandemic.” Only 23.7% of the funds went to the private sector, mostly toward grants where government bureaucrats decide who wins and who loses. Sadly, these grants were poorly publicized, not given to those most in need, and not large enough to make too much of a difference. (Maximum grants were $15,000.) Additionally, 29.5% ($389 million) reimbursed state and local governments. The legislature was reimbursed over $985,000 for equipment purchases, including a tablet system for socially distanced voting, even though officials only met for two weeks from the beginning of the pandemic to January 2021. Approximately $300 million was transferred to the state’s Unemployment Compensation Trust Fund. Again, what does that have to do with the pandemic? Overall, the proportion of funds used to “reimburse state government” rose to 52% ($689.7 million). That is, as the study rightly concludes, “over half of the money has thus far been used to support government, rather than citizens.” Never allow a serious crisis to waste the opportunity for more taxpayer money to balloon the scope of government.

It seems that Alabama failed the men and women of Alabama who needed the money the most. On March 1, 2020, Alabama’s unemployment rate was only 3.5%. A few weeks later on March 27, 2020, Gov. Ivey ordered what she determined to be non-essential businesses to close. By the end of April, unemployment rose to 13.8%, a nearly 300% increase, according to the study. Instead of the state using federal money to help taxpayers, the funds were used for government officials and bureaucrats to help themselves with little to no legislative input. In the final analysis, we see that we are not necessarily better off when power is decentralized and given over to the states, only for states to turn around and behave like the federal government.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Pope Francis and Free Economy in the Evangelii Gaudium
1. Introduction Francis’ Apostolic ExhortationEvangelii Gaudium[1](EG) is not a text on economy: it is a fine and substantial magisterial reflection about the topic of evangelization in our days, a most extensive subject whose analysis exceeds the humble purposes of this article, and must await a later occasion. However, Francis’ diagnosis of current circumstances holds some judgments on economic issues that have once again caused admiration and adhesion among free market critics, as well as concern or outright rejection among free...
Yes, New York Times, for Christians Scripture Is Indeed the Rule of Law
“If any of you has a dispute with another, do you dare to take it before the ungodly for judgment instead of before the Lord’s people?” The Apostle Paul asked the church in Corinth. “Or do you not know that the Lord’s people will judge the world?” Paul continues, And if you are to judge the world, are you petent to judge trivial cases? Do you not know that we will judge angels? How much more the things of this...
Review: That’s a Great Question
A couple of months ago Arkansas’ Secretary of State rejected the request from the Universal Society of Hinduism to erect a statue on state capitol grounds. A good friend from college, himself a Hindu, sent me an email asking me what I thought about it. What could I say? It seemed patiently unfair: Arkansas had approved a monument for the Ten Commandments on state grounds, but rejected the Hindu organization’s privately funded statue. miserated with my friend, saying only that...
Radio Free Acton: Jay Nordlinger On The Children of Monsters
Jay Nordlinger speaks at the Acton Lecture Series This week on Radio Free Acton, National Review Senior Editor Jay Nordlinger joins the podcast to talk about his latest book,Children of Monsters: An Inquiry Into the Sons and Daughters of Dictators, a book I enjoyed enough to create the “Radio Free Acton 5 Star Award of Excellence” in order to have an award to bestow upon it. Nordlinger joined us here at Acton on October 29 to deliver an Acton Lecture...
Russell Kirk: Conservative, Humanist, Christian
Reading Bradley J. Birzer’s Russell Kirk, one might quibble with the subtitle: An American Conservative, but only because the term “conservative” has been worried like a rag doll in the maw of a Doberman puppy since Kirk mitted ink to paper on the conservative matter nearly 75 years ago. In the context of his times and eventual legacy, “conservative” plete sense since Kirk’s genius for connecting the dots of political philosophy and history exploded fully formed in 1953 with his...
Review: ‘No Fear Allowed’
Fear is inevitable. We can either let it stop us in our tracks or use it as “feedback” that we have to do something to move forward. That’s the message in Laura Herring’s new book No Fear Allowed: A Story of Guts, Perseverance, & Making an Impact (Morgan James Publishing, 2015). It’s an inspiring read for entrepreneurs, aspiring entrepreneurs, and “intrapreneurs” (employees with an entrepreneurial mindset) who know they’d like to make their mark in the world through business. Laura’s...
Front Porch Economy: The Power of Simplicity
The global economy is ever-growing in plexity and interconnectedness, leading to a range of positive and transformative effects. Yet even as this web of human relationships expands and intensifies, many of the latest innovations are prodding us back to the simple and personal. Whether we look to the various offspring of the “sharing economy” (e.g. Uber, Airbnb) or the range of bottom-up trading tools and crowdfunding platforms (Craigslist, Kickstarter), we see an eager appetite for simple and direct exchange. In...
Green America’s War on Restaurants
The network of leftist shareholder activism plex and wide-ranging. In the name of progressive causes, they panies to forfeit profitability, reduce investment returns, raise costs to customers and threaten both actual and potential jobs. It’s heartbreaking that religious shareholder groups not only willingly but passionately lend their support to secular causes promoted by US SIF: The Forum for Sustainable and Responsible Investment and Ceres. As I have noted previously, both organizations count religious shareholder groups among their respective membership rosters...
Welcome to Cuba: Where doctors earn less than taxi drivers
In Cuba, taxi drivers earn far more than doctors, raking in more money in one day than a doctor will make in an entire month. The reason? Unlike most of the Cuban economy, taxi licenses are privately held and wages are not set by the state. Johnny Harris explains: Although Cuba offers fewopportunities for private enterprise — outside of itssprawling black market, that is — the number of self-employed workers has slowly grown in recent years. Seven years after Raul...
Shareholder Activists’ Scare Tactics
Global warming alarmists at the U.S. Department of Energy are seeking to harsh Halloween’s mellow this year. The DOE’s website this week features stories on costuming children as solar panels and methane emissions from rotting jack-o’-lanterns contributing to climate change. I’m not kidding. It seems there’s no limit to the scarifying lengths some will go in their predictions for climate catastrophe. For example, Ceres – an organization that “mobilizes a powerful network of panies and public interest groups to accelerate...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved