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GONFIDENTIAL
SU - 11th Draft
1/22/71
- 9 -
The time has come to reverse the flow of power and resources
from the States and communities to Washington, and start power and
resources flowing back from Washington to the Statesand communities
more
andmost important, to the people, all across America.
The time has come for a new partnership between the Federal
Government and the States and localities.
INSURT
I propose to the Congress tonight that we enact a plan of revenue
A
sharing historic in scope and bold in concept.
All across America today, States and cities are confronted with
$
financial crisis. Some already have been cutting back on essential
services -- for example, just recently San Diego and Cleveland cut
back on trash collections;
Los Angeles had to reduce its force of water
hald
and power workers.
Most are caught between the prospects of bank-
ruptcy on the one hand and adding to an already crushing tax burden
on the other.
As one indication of the rising costs of local government, I dis-
covered the other day that my home town of Whittier, California -- with
a population of only 67, 000 -- has a budget for 1971 bigger than the entire
Federal budget in 1791.
Now the time has come to take a new direction, and once again to
introduce a new and more creative balance in our approach to government.
CONFIDENTIAL
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"ocrText": "GONFIDENTIAL\nSU - 11th Draft\n1/22/71\n- 9 -\nThe time has come to reverse the flow of power and resources\nfrom the States and communities to Washington, and start power and\nresources flowing back from Washington to the Statesand communities\nmore\nandmost important, to the people, all across America.\nThe time has come for a new partnership between the Federal\nGovernment and the States and localities.\nINSURT\nI propose to the Congress tonight that we enact a plan of revenue\nA\nsharing historic in scope and bold in concept.\nAll across America today, States and cities are confronted with\n$\nfinancial crisis. Some already have been cutting back on essential\nservices -- for example, just recently San Diego and Cleveland cut\nback on trash collections;\nLos Angeles had to reduce its force of water\nhald\nand power workers.\nMost are caught between the prospects of bank-\nruptcy on the one hand and adding to an already crushing tax burden\non the other.\nAs one indication of the rising costs of local government, I dis-\ncovered the other day that my home town of Whittier, California -- with\na population of only 67, 000 -- has a budget for 1971 bigger than the entire\nFederal budget in 1791.\nNow the time has come to take a new direction, and once again to\nintroduce a new and more creative balance in our approach to government.\nCONFIDENTIAL"
}