Posts Tagged ‘President Obama’

As you are well aware, a year ago President Obama signed into law a very controversial stimulus package to the tune of $787 billion dollars. This plan was to stimulate business and save jobs in all 50 states. So, how is that working where you live?

 Here is what is happening in Florida.

 

Last year, the state of Florida was awarded $5.54 billion in federal stimulus money and has spent about 19% or $1.03 billion dollars.

                                                                  

Agency /Department Purpose Spent Jobs Created/Saved
Education Employ teachers $778.4 M (24%) 25,912
Transportation Build roads/bridges     93.4 M (7%)     866
Agency Workforce Training/child care     96.5 M (36%)  2,881
Environmental Improve water/sewer     15.3 M (7%)  330
Community Affairs Low-income weatherization     16.5 M (8%)  196
Office of Governor Energy efficiency programs      6.9 M (4%)     60
Law Enforcement Law enforcement support      2.8 M (3%)     81
Children & Families Homeless/Domestic Violence      4.8 M (17%)    87
Agriculture Expand wildfire control       3.1 M (22%)    18
10 other agencies        13.4 M (43%)  115
TOTAL         1 B (19%)  30,647

 

STATE SPENDING RATES

In 2009 the federal government sent stimulus grants totaling $161 million to state and local governments. Here is the spending rates compare for the states that received the most money.

 

 

Agency Stimulus Money Awarded & Spent
1. California $7 B (50%)
2. New York   991.8 M (9%)
3. Texas        1.3 B (15%)
4. Florida        1.2 B (14%)
5. Illinois        2.5 M (36%)
6. Michigan        1.8 B (25%)
7. Pennsylvania   939.1 M (15%)
8. Ohio        1.1 B (18%)
9. North Carolina        1.1 B (21%)
10. Georgia        1.3 B (29%)
40 other states      19.7 B (24%)

The process is definitely slow and of course the need is great every where. Hopefully the “shovel-ready” projects will get started soon in every state and get some people back to work.

How is the stimulus project working in your state? Please let me hear from you.

 

 

*Through December 31, based on preliminary reports.SOURCES: Florida Office of Economic Recovery and U.S. Recovery/Accountability and Transparency Board

 Orlando Sentinel

*NOTE: Florida’s totals, obtained from federal data, differ from those being reported in Florida’s state reports.

** Also includes District of Columbia and 7 territories

SOURCE: U.S. Recovery Accountability and Transparency Board

 

           

Republican criticism has increased lately concerning the $787 billion economic stimulus and it’s ineffectiveness in the U.S. economy. Now talk is turning to a second spending stimulus plan.

Nearly five months after Democrats used their majorities in Congress to push through the stimulus, the two-year package has had little impact. Americans have watched the country’s unemployment rate surge to 9.5 percent, and it is expected to go higher.

Although we have been asked to have patience, when you have no job, no money, no food to feed your family or a home to provide shelter, it is difficult to wait and hope for the best. Continually being asked to wait raises doubts that the first stimulus package was implemented properly and about its ability to stimulate the economy. Constitution

The Obama administration expected the U.S. unemployment rate to peak at around 8.0 percent when it pushed through the $787 billion plan. But unemployment could hit 11 percent and the country may need a second stimulus package, according to news reports.

It has been reported that only about $100 billion of the $787 billion has been spent so far, and in the coming months a more rapid pace of funds may be released. It cannot come soon enough!

Warren Buffett, the billionaire founder of Berkshire Hathaway, said in an interview on ABC’s Good Morning America that we have suffered “a shock to the system” from the economic problems in the last quarter of last year but felt we had started to rebound.

“We’re not in a free fall, but we’re not in a recovery either,” he told Good Morning America.

“I think a second one may well be called for. It is not a panacea. A stimulus is the right thing. You hope it doesn’t get watered down,” he said.

“We’re going to come out of this better than ever. The best days of America lie ahead but not next week or next month,” Buffett concluded.

Maybe we need a different approach. Maybe this second stimulus package, if selected, should be given directly to the people: you and me and every other tax-paying American. I’ve shared this before, but perhaps we should consider a simpler approach like the one described in an article in the St. Petersburg Times.

The Business Section asked readers for ideas on “How Would You Fix the Economy?” Here is one of the responses: Piggy Bank

Dear Mr. President,
Please find below my suggestion for fixing America’s economy. Instead of giving billions of dollars to companies that will squander the money on lavish parties and unearned bonuses, use the following plan. You can call it the Patriotic Retirement Plan.

There are about 40 million people over the age of 50 in the work force. Pay them $1 million each severance for early retirement with the following stipulations:

1) They MUST retire. Forty million job openings – Unemployment fixed.
2) They MUST buy a new American CAR. Forty million cars ordered – Auto Industry fixed.
3) They MUST either buy a house or pay off their mortgage – Housing Crisis fixed.

It can’t get any easier than that!