The Nebraska Compromise and the Constitution

John Park /

Sen. Ben Nelson (D-NE)

In a letter to House Speaker Nancy Pelosi (D-CA) and Senate Majority Leader Harry Reid (D-NV), dated December 30, 2009, the Attorneys General of 13 States have objected to the so-called Nebraska Compromise that reportedly won the crucial support of Senator Ben Nelson (D-NE) for the Senate health care takeover bill. The deal is said to involve an agreement that the Federal Government’s taxpayers will assume indefinitely the full share of the costs that Nebraska will incur as the result of the expansion of Medicaid that is one of the Act’s effects. The result is not only preferential treatment for Nebraska but it also hurts the rest of us because the other States will have to make up the difference.

Such preferential treatment is constitutionally suspect; it cannot be reconciled with several important principles incorporated in the Constitution. The Founders would not have dreamed of taking a burden that all of the States should share and allocating it to only some of them. Likewise, they would not have seen the spending of taxpayer money for the benefit of only one State to be in the general interest. Instead, the Founders understood the notion that Congress can spend funds to “provide for the common Defence and general Welfare” to mean that the spending had to be for the general or national benefit, not for purely local or regional benefit. This understanding is reflected in veto messages from Presidents from Madison to Buchanan. In fact, the relatively free-spending ways of President John Quincy Adams contributed to his defeat by Andrew Jackson in the election of 1828. (more…)