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COMMITTEE ON THE BUDGET

EDMUND S. MUSKIE, Maine, Chairman WARREN G. MAGNUSON, Washington HENRY BELLMON, Oklahoma FRANK E. MOSS, Utah

ROBERT DOLE, Kansas WALTER F. MONDALE, Minnesota

J. GLENN BEALL, JR., Maryland ERNEST F. HOLLINGS, South Carolina JAMES L. BUCKLEY, New York ALAN CRANSTON, California

JAMES A. MCCLURE, Idaho LAWTON CHILES, Florida

PETE V. DOMENICI, New Mexico JAMES ABOUREZK, South Dakota JOSEPH R. BIDEN, JR., Delaware SAM NUNN, Georgia

DOUGLAS J. BENNET, JR., Staff Director

JOHN T. McEvoy, Chief Counsel
ROBERT S. BOYD, Minority Staff Director
W. THOMAS FOXWELL, Director of Publications

(UI)

IV

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55

Distribution of the civilian labor force and recession-induced unem-

ployment among age groups.
Unemployment rates of household heads-
Number of unemployed household heads -
Distribution of the anti-unemployment budget outlays.

32
35
35
38

FEDERAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS

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65

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70

1

Preface.

I. Introduction and summary--

II. Current programs and the President's proposals ...

III. Objectives of Federal assistance-----

IV. Fiscal year 1977 budget issues and options:

A. General revenue sharing-

B. Anti-recession assistance.--

C. Law enforcement assistance..

D. Exclusion from Federal income taxes of interest on municipal

bonds ---

E. The President's proposals for categorical grants.

V. Conclusion..

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Tables:

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68

Federal grants to State and local governments (outlays)
Grant outlays by function.---
Cost of major Federal tax expenditures aiding State and local govern-

ments, fiscal years 1967 and 1976.--.

Federal grants-in-aid outlays by function.

Comparison of anti-recession programs.--

Comparison of President's policy for block grants proposals ---

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70

77

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