Fiscal federalism refers to an economic building block in a federal government for the discernment of the association among federal, state and local governments. Its main perturbation is the division, spending and taxing powers of these governments (Palermo & Valdesalici, 2018). Federal agencies are special government establishments that are set up for specific objectives such as management of resources, financial delinquency of industries or national security issues. The greenbacks that the government avails to each state for meeting inquisitions and projects payments are known as federal funds. Upon budget allocation, the federal agencies are charged with the responsibility of overseeing the resources allocated to them. They do so by setting the rules and regulations within their departments to adhere to when spending the resources. Consequently, the federal agencies disseminate funding to chosen local and state departments after intricate review of the submitted proposals.
Due to the complexity of the US healthcare system, the funding of public health services falls under four broad categories. They are based on their source and use of funds and whether in government or in the non-governmental sector. In the financing of state and local public health departments, the allocation committee shooting match is primarily based on these four categories. The spending both state and local health departments are financed as a part of the federal government while the expenses of the local health departments are in turn catered in part by the state government. Lastly, Federal agencies play an important role in ensuring the funding of local and state services. As much as public health is a complex service, the federal agencies, ensures that the sector gets the necessary available resources for conducting operations (Meit et al., 2013).
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References
Palermo, F., & Valdesalici, A. (2018). Comparing fiscal federalism .
Meit M, Knudson A, Dickman I, Brown A, Hernandez N, and Kronstadt, J. An Examination of
Public Health Financing in the United States. (Prepared by NORC at the University of Chicago.) Washington, DC: The Office of the Assistant Secretary for Planning and Evaluation. March 2013.
