The study of Ethiopia’s political system since 1991 has focused on a number of issues revolving around its federal arrangement. For example, the federal state structure, often termed ‘ethnic federalism’ (Turton 2006), and federal–local relations including fiscal relations have been the focus of attention (Solomon 2006). The situation of minorities in the new regional states, boundary disputes and general relations between regional states, and the modalities of federal involvement in regional affairs have all been common themes in the study of Ethiopia’s federal political system (Markakis 2012). While such studies contributed to understanding the political dynamics in the post-1991 period in Ethiopia, the workings of subnational institutions, especially the regional state legislatures, have not been studied adequately. This chapter seeks to generate discussion on the inner workings of regional government institutions by exploring the role of state councils/legislatures vis-a-vis national power exercised through Ethiopia’s federal framework. It finds that despite two decades of institutionalization, these subnational state institutions lack autonomy and independence.