Recovery Act puts people back to work in good-paying jobs

I was disappointed to read today that the Associated Press does not believe that the Recovery Act is doing a good job creating work for Americans who are unemployed.

Nothing could be further from the truth.

At the Department of Transportation, we’ve got $48 billion to rebuild roads, bridges, highways, airport runways, ports and transit projects. And we have already signed off on transportation projects in all 50 states. Just 12 weeks after President Obama signed the American Recovery and Reinvestment Act into law, we have approved 2,800 road projects and another 300 airport projects.

That’s over $10 billion out the door and countless Americans going back to work. By this summer, Americans won’t be able to drive down the street without seeing people working at good-paying jobs, thanks to this money.

Unfortunately, the AP’s analysis is misguided. Its reporters looked at 5,500 transportation projects from state lists and concluded that the transportation money is going to counties with low unemployment. But until the states make a request and the experts at the Department of Transportation certify that a project meets the criteria for Recovery dollars, those lists are not the final word.

Basically, their work amounts to nothing more than an academic exercise.

For people who are out of work and at risk of losing their jobs, this construction work is a godsend. Sadly, unemployed workers can be found all over our nation in these difficult economic times - even in counties that don’t have the highest unemployment rates.

Governmental boundaries are often arbitrary, and workers know that. People who work construction jobs often drive to wherever they can find work in a metropolitan area or region. Our idea is to drive down unemployment, period.

I told Brett Blackledge from the Associated Press about a recent trip I took to New Hampshire for a groundbreaking on highway 101. I shook hands with men and women who are going back to work thanks to the Recovery Act. One man told me that he drives all over New England for construction jobs. Another said he is the father of four children and was unemployed until this project began. Now that he has this job, he will be commuting from Wolfeboro.

Unfortunately, Brett didn’t think it was worth quoting me when I told him that the point of the program is to put people to work. And that’s something I’m proud of.

Comments

[Ken Lefko]

Question Sir - Are you a professional Manager or an Obama Cheer Leader? Your predecessor, Mary Peters, was far more professional and forthright. She said what she thought, not the party line giberish. I have yet to see a release from you that was candid, direct and professional. Please remember who ultimatly pays your salary - the taxpayers - Not King Obama. Dont't pass me off as some crackpot - I have a degree in Finance, a MBA and served our Country for 12 years and am now a Human Resources executive. If you are open and honest, you will post this. If you don't, then "happy cheerleading".

[mvenable]

While I'm sure the Recovery Act is helping some people, I think the Associated Press has a reason to express concerns and discuss failures.

For example, look at NC. The NC Governor is telling everyone that even with millions of dollars awarded to the local contractor from the Recovery Act; her State still can not afford to pay its own employees.

In addition, the State can not afford the rising health care cost for the employees so they are going to raise the rates for dependent coverage. If that’s not bad enough, the State is going to cut deeper into the employees by adding reducing benefits to employees that smoking and/or obesity.

While the Recovery Act is putting some people to work, other are still being sent home, or asked to work for less with increasing expenses. So how can you blame the AP for reporting that everything is not a bed of roses?

See link - DOT and other State employees furlough

http://www.osp.state.nc.us/State%20Employees%20Furlough%20Letter%20to%20all%20employees.pdf

[barry]

Sounds like typical gov't BS to me.

[eric olsen]

Oh, my God. I am totally ashamed at your arrogant and ignorant remarks about how the DOT is helping spend stimulus funds. You are totally out of touch with Mainstream America. You are taking billions from hard working Americans and spending on government created jobs which are part time at best. Granted this will employ a few thousand here and there but in meantime over 600,000 are going on unemployment weekly. Tell me again how this helps? You are bankrupting America in the name of what? Why dont you guys look inside and cut your budget by fifty percent and then write us an updated note that you did some good. America suffers so why don't you?

[Ken Simonson]

AP STIMULUS STORY DOESN’T TAKE INTO ACCOUNT UNIQUE FACTS ABOUT THE CONSTRUCTION INDUSTRY

Today’s Associated Press story detailing the geographic distribution of stimulus transportation funds fails to acknowledge several unique facts about the construction industry.

First, construction jobs are not site-specific. While a construction worker from Bethlehem may be paving a road in Philadelphia today, he is just as likely to be working on a bridge project in Allentown next week, for example. Regardless of where the project is, that worker still spends most of his or her money in their home town. That is why the economic benefits of investing in construction have long been more geographically dispersed than manufacturing jobs linked to a single factory site.

Second, the Associated Press analysis fails to take into account the significantly higher unemployment levels within the construction sector than the rest of the economy. Construction unemployment is now nearing 19 percent, while the overall U.S. unemployment rate remains below 9 percent. As a result, even in counties where overall unemployment may be low, construction unemployment may be significantly, and surprisingly, higher.

And third, construction materials that are incorporated into transportation projects are not typically produced in the area where the project is being built. Aggregate, concrete, steel and a variety of other products needed to complete construction projects create jobs in those areas where the products are produced and for the shippers who move the product to the job site.

The intent of the infrastructure portion of the stimulus was clear; put unemployed construction workers back on the job. So far, as early reports from our members make clear, the stimulus’ transportation investments are doing just that.

Ken Simonson, chief economist for the Associated General Contractors of America

[Robert Allen]

Jobs are being created now in transportation because of ARRA that are not being credited to the stimulus package. In Texas, about half a billion dollars in projects that had been scheduled to be spread out over the rest of the fiscal year were all moved up and bid out in February so that the rest of the year could be devoted to ARRA projects.

Because the February letting was not ARRA funded, the work is not credited to ARRA. Just the same, people are working now who would not have been working if not for the ARRA and the ARRA is not being given credit for this fast-forward of road funding.

[Tracy]

Would the Associated Press rather that:
a) Workers need to commute further to job sites where the taxpayer-financed stimulus transportation funds are spent on projects that the States have identified as high-priority needs
or
b) The money be spent on local projects that may be low priority-needs or questionable needs (i.e., proverbial "bridges to nowhere") so the workers don't have to commute?

If the latter were occurring, the AP would likely be writing about how transportation agencies are wasting taxpayer dollars on unnecessary projects.

[andru]

Jobs are being created now in transportation because of ARRA that are not being credited to the stimulus package. In Texas, about half a billion dollars in projects that had been scheduled to be spread out over the rest of the fiscal year were all moved up and bid out in February so that the rest of the year could be devoted to ARRA projects.

--------------

ANDRU

Auto Insurance

[David]

Actually, I made a similar comment about Mary Peters constantly cheerleading for public private partnerships as the panacea for all of our transportation problems. I questioned the value of her blog if it was just being used to trumpet the party line and provided no real insight on the issues or facilitated serious debate on the pros and cons of various proposals. My comment was never published.

At least the Obama adminstration allowed Mr. Lefko's dissenting viewpoint to see the light of day. That's a dramatic improvement when compared to the previous regime.

[jamie]

Respectfully, sir, your arguments are hogwash -- and not consistent with the law that Congress passed. Congress said that State's should give priority to economically distressed areas.

FHWA Division Offices are signing off on anything that the State certifies, and no one is holding the states' feet to the fire about an equitable distribution of the funds to the hardest hit areas. Has FHWA or USDOT rejected a single state plan or project?

[C GOTT]

ALL OF THE CHEERLEADING COMMENTS FOR THE STIMULUS HANDOUTS ARGUE THAT THE TRICKLED DOWN MONEY WILL PAY WORKERS AT NEW JOBS WHICH ARE CREATED TO BUILD NEW PUBLIC ROADS. WHAT WOULD HAVE HAPPENED IF THE STIMULUS MONEY HAD BEEN JUST TAX-HOLIDAY COVERAGE FOR PRIVATE AMERICANS AND THEIR VENTURES? WHAT IF IT HAD BEEN MORTGAGE INSURANCE FOR A PERIOD OF TIME TO COVER INTEREST LOSSES TO BANKS ON MISSED MORTGAGE PAYMENTS AND INVESTMENT LOANS FOR A YEAR OR TWO. WHAT IF GOVERNMENT JUST STOOD STRONG AND LET US ALL LOSE OUR BLOATED LIFESTYLES AND HOMES SO WE COULD BUILD FROM SCRATCH AGAIN AND OUR CHILDREN COULD REAP THE BENEFIT OF GROWTH INSTEAD OF OUR DEBT. THE LOSSES OF GOVERNMENT ENTITIES ARE GENERATED BY THE LOSS OF REVENUE DUE TO LOST BUISNESS TAXES AND FEES. DOESN'T ANYBODY OUT THERE KNOW THAT? NEW PUBLIC CONSTRUCTION IS AFFORDED BY BOOMING PRIVATE BUSINESS POURING ITS REVENUE TAX INTO THE COFFERS. PUBLIC ROAD CONSTRUCTION (THOUGH NECESSARY)DOES NOT PRODUCE PRODUCT OR REVENUE AND IS ONLY AFFORDED BY REVENUE OF PROFIT-MAKING PRIVATE VENTURES. THE DYNAMICS OF A FREE ENTERPISE SYSTEM WORK OR DON'T WORK ACCORDING TO GOVERNMENT INTERFERENCE OR NONINTERFERENCE REGARDLESS OF WHO IS SITTING IN THE WHITEHOUSE OR EXCERCISING FREE SPEECH.

[Sybil]

Sec LaHood and DOT - THANK YOU!

It's sad to know that because of previous administration's mistruths and misappropriations that there is a fundamental disblief and distrust of our government.

There was a quote today, "The people don't mind the government being there, but they do care when it doesn't work for them". So true.

The jobs that you are creating are coming in handy and families are grateful to being able to keep their homes while supporting their local communities with the paycheck.

Many of the "dis'rs" on this page have neglected to remember - for every $1 put into a community (being via paycheck, purchasing, etc.) $3 is generated to the local economy.

Thank you and thank you for thinking of our future rather than just "today".

[serial numbers]

The State can not afford the rising health care cost for the employees so they are going to raise the rates for dependent coverage. If that’s not bad enough, the State is going to cut deeper into the employees by adding reducing benefits to employees that smoking and/or obesity.

[Nevil]

I wish there were more jobs...not just jobs for a few.

[Gloria Klanskoll]

Actually, I made a similar comment about Mary Peters constantly cheerleading for public private partnerships as the panacea for all of our transportation problems. I questioned the value of her blog if it was just being used to trumpet the party line and provided no real insight on the issues or facilitated serious debate on the pros and cons of various proposals. My comment was never published.

At least the Obama adminstration allowed Mr. Lefko's dissenting viewpoint to see the light of day. That's a dramatic improvement when compared to the previous regime.