How will this fictional Gov. Bailey do in November as a left-leaning candidate on a states' rights platform which historically has been something advocated by right wingers.
He'd be laughed right off the circuit. Not to be mean or anything, but the states would not be able to afford taking on those programs without increased federal aid. So, instead of having a standardized program which the government funds, you'll now have 50+ different forms of the same programs which the government funds. You're better off with leaving it at the federal level.