Pmbr Conlaw - Federalism

Front 1

Federalism - Intergov't Immunities - State Reg. of Fed

Back 1

Fed Gov and its agencies are immune to stat taxation and regulation.

The state may tax federal contractors as long as the legal obligation does not fall on the fed gov.

Front 2

Federalism - Intergov't Immunities - Federal Property Power

Back 2

Art IV Sec 3 - Congress has the power to dispose of and make all needfull rules and regulations respecting the territory or other property of the fed.

Generally Applies to:

1. Wild Animals on Fed Land.
2. Military Ships and Airplanes
3. Indian Reservations
4. Federal Buildings and Federal Enclaves (group of Buildings)

Front 3

Federalism - Intergov't Immunities - Fed Reg. of State

Back 3

Main point: May tax: "A proprietary activity, one that could be carried on by a private citizen, generally for profit. Ex - Saratoga water is state owned, for profit, fed can tax it. But MAY NOT tax state governmental functions.

X does not immunize states from fed. reg. Fed can sue a state, states can sue another state.

Front 4

Federalism - Dormant Commerce Power

Back 4

Congress has plenary power to regulate interstate commerce, but where congress has not spoken, the states are free to regulate. Negatively framed doctrine.

State reg. of interstate commerce is valid if 2 prongs:

1. Non-discriminatory
2. No undue burden


Non Discriminatory -- May not discriminate against interstate commerce in favor of its own interests. Purposeful discrimination against - ding. More likely seen as - state law intended to achieve a legitimate objective, but produces a discriminatory effect. On this case, must be by least discriminatory means.

2. Undue Burden - Balancing test whereby state interest must not unduly burden interstate commerce.

Front 5

Federalism - Dormant Commerce Power - Discriminatory Effect Examples

Back 5

NJ case - law banned out-of-state garbage dumping, to protect interest in dumps as "precious natural resource," found unconst., not least discrim. alternative, could have taxed, etc.

*NC - Law - NC law - apples sold in NC must bear label with grade no higher than US grade. Wash apple dealers alleged discriminatory effect where US grade was much lower than WA state grade, law struck down for denying them a competitive advantage.

Other way - State building cement plant, money used derived from its own taxpayer funds, and used hiring practices favoring local employees.

Front 6

Federalism - Dormant Commerce Power - Undue Burden Examples.

Back 6

SC passes law banning restricting driving on highways by trucks . State interest was police power, safety where highways are narrow, burden was that trucks could not travel on SC highways. Balancing test was applied, safety interest was found to outweigh the burden.

Ex: Illinois vs. Bib - State required that all trucks driving on Illinois highways be equipped with rounded vs. contoured mud guards, interest in reducing debris scattered on roads, safety interest. Balancing, burden on commerce to change mud guards outweighed marginal interest.

Front 7

Federalism - Art IV Privileges and Immunities Clause

Back 7

Prevents one state from discriminating against citizens of another state regarding basic economic activities

Ex - SC case - SC required license fee 25$ for any resident who wanted a commercial fishing license. But the same license cost $2500 for out-of-state residents. Struck down

Baldwin vs. Montana fish and game, license price were different, but for recreation rather than commercial, more likely upheld.

Piper v. New Hampshire - Law said must satisfy 6-month residency requirement before sitting for the bar. Found to discriminate.

Look for economic discrimination against "citizens or residents." But usually wrong answer, much more commonly a commerce clause issue.

NOTE - Neither corporations or aliens are "citizens" under privileges and immunities.

Front 8

Federalism - State Taxation of Interestate Commerce

Back 8

General Rule: For tax to be valid if:

1. Reasonable and non-discriminatory (satisfies dormant commerce clause)
2. Substantial Nexus between state interest and activity being taxed. (satisfies due process)

Front 9

Federalism - State Taxation of Interestate Commerce - goods

Back 9

Goods, while in the stream, may not be taxed,

But may be taxed at the beginning of transit, at the end of transit andat the middle if there's a break.

Ex: Sofas shipped by train from Maine to Cali, can tax at beginning state, end state, or any state where the train has to stop. Purpose, to avoid excessive tax burdens, if every state along the way could tax.

Front 10

Federalism - State Taxation of Interestate Commerce - Instrumentalities

Back 10

Trains, Boats, planes.

May be taxed is fairly apportioned to taxpayer use.

To determine the extent of taxpayer use, look to things like # of track miles logged, or number of hours planes housed in hangars, or even road miles logged in a car

Front 11

Federalism - State Taxation of Interestate Commerce - Direct vs. Indirect Taxes

Back 11

Direct Tax (Income, property) - Must be apportioned to use.

Indirect (sales tax, use tax,) must be geographically uniform.

Front 12

Federalism - Supremacy Clause

Back 12

Art VI Sec 2 - Even the most trivial of federal laws predominated over the most important of state laws.

Preemption doctrine: Where congress intends to occupy a given field, any conflicting state law will be invalid. Rx: Where municipality decides to close its airport early, causing increased traffic at LAX, interfered with FAA policy, superceded and overruled.

Supercession Doctrine: Fed law will supercede any state law which is in direct conflict. Ex. FLA state law prohibited diet pill by proscription, whereas congress delegated its commerce power to FDA, which issued administrative order allowing sale of that drug by proscription. FDA order supercedes state law.

Ex. OK passes law saying that all beef must be cooked to a minimum temperature of 155 degrees, whereas a preexisting federal law said must be cooked to at least 150. Upheld because the fed law established a minimum standard. States can give greater protection than is required by federal law.