CMM Intergovernmental Relations 2 — Questions and Answers
Question 1: Which federal legislation established the framework for intergovernmental grant management and financial oversight now codified as 2 CFR Part 200?
- The Anti-Deficiency Act
- The Single Audit Act
- The Uniform Guidance (OMB Circular A-133 successor) (Correct answer)
- The Government Performance and Results Act
Correct answer: The Uniform Guidance (OMB Circular A-133 successor)
The Uniform Guidance (2 CFR Part 200) consolidated and replaced multiple OMB circulars to standardize federal grant management requirements for state and local governments.
Question 2: A city manager wants to formally coordinate policy with neighboring municipalities on regional stormwater management. Which mechanism is MOST appropriate?
- A mutual aid agreement limited to emergency services
- An interlocal agreement under state enabling law (Correct answer)
- A memorandum of understanding with no legal binding
- A home rule charter amendment
Correct answer: An interlocal agreement under state enabling law
Interlocal agreements authorized by state enabling legislation create legally binding frameworks for joint service delivery and policy coordination between municipalities.
Question 3: The Dillon's Rule doctrine primarily affects municipal governments by:
- Granting cities broad authority to act on any matter not prohibited by state law
- Limiting cities to only those powers expressly granted by the state legislature (Correct answer)
- Allowing cities to override conflicting county ordinances
- Requiring cities to obtain federal approval before issuing bonds
Correct answer: Limiting cities to only those powers expressly granted by the state legislature
Under Dillon's Rule, municipalities possess only the powers explicitly granted by state law, fairly implied from granted powers, or essential to the declared objectives of the corporation.
Question 4: Which federal agency serves as the primary point of coordination for state and local governments on homeland security grants and emergency preparedness?
- The Government Accountability Office (GAO)
- The Federal Emergency Management Agency (FEMA) (Correct answer)
- The Department of Housing and Urban Development (HUD)
- The Office of Management and Budget (OMB)
Correct answer: The Federal Emergency Management Agency (FEMA)
FEMA administers major homeland security and emergency preparedness grant programs and serves as the primary federal liaison for state and local emergency management.
Question 5: Preemption occurs in intergovernmental relations when:
- A municipality adopts an ordinance before the state acts on the same subject
- A higher level of government occupies a field of regulation, displacing local authority (Correct answer)
- A county transfers a function to a special district
- Federal block grants replace categorical grants in a program area
Correct answer: A higher level of government occupies a field of regulation, displacing local authority
Preemption — federal or state — occurs when a higher governmental authority occupies a regulatory field, preventing or superseding local regulation on the same subject.
Question 6: A city receives a Community Development Block Grant (CDBG). Which federal agency administers this program?
- U.S. Department of Transportation (DOT)
- U.S. Department of Housing and Urban Development (HUD) (Correct answer)
- U.S. Economic Development Administration (EDA)
- U.S. Department of Agriculture (USDA)
Correct answer: U.S. Department of Housing and Urban Development (HUD)
HUD administers CDBG, which provides annual grants to entitled communities to develop viable urban communities by providing decent housing, a suitable living environment, and economic opportunity.
Question 7: In the context of fiscal federalism, which type of federal grant gives the recipient government the MOST discretion in how funds are spent?
- Categorical grant
- Formula grant
- Block grant (Correct answer)
- Project grant
Correct answer: Block grant
Block grants provide funding for broad functional areas with minimal restrictions, giving recipient governments maximum discretion compared to categorical or project grants.
CMM Intergovernmental Relations 2
Which federal legislation established the framework for intergovernmental grant management and financial oversight now codified as 2 CFR Part 200?