Some states in no hurry to spend stimulus road funds

The U.S. House Transportation and Infrastructure Committee has been keeping track of how states are spending the stimulus funds allocated for roads. On September 2 the committee released a report ranking the states according to how much of the American Recovery and Reinvestment Act funding for highways and bridges had been put to work as of July 31. This pdf file contains the state rankings. For each state, the chart shows the percentage of allocated funds for highway and bridge projects that had been put out to bid, were under contract, or were underway by the end of July. The top five states were Wyoming, Iowa, Tennessee, New Hampshire and Oklahoma.

The national average was to have about 40 percent of the stimulus road money under contract and 32 percent funding construction that had already begun by the end of the July. Only 11 states had put even 50 percent of their stimulus road funds to work by that time.

Yesterday's report from the House Transportation and Infrastructure Committee doesn't explain why some states have allocated their stimulus money faster than others. The states near the bottom of the list (Hawaii, Virginia, Delaware, Ohio and Massachusetts) hadn't even spent 20 percent of their stimulus road funds as of July 31. Perhaps they are slow to approve projects and bids, or hoarding the cash to help support their 2010 budgets. Whatever the reason, the point of the stimulus bill was to get money into the economy quickly.

Tags: American Recovery and Reinvestment Act, Economic Policy, Economy, roads, stimulus bill, transportation, transportation policy (all tags)

Comments

4 Comments

There were lots of good ideas of

how to do the stimulus better. Here'd be a funny one to address the problem you mention above.

Allocate the money on a first spend fist come basis until all is spent. Meaning that someone else would get yours if you didn't hop to it.

That would get it spent fast. Do a sort of round robin offer. "You ready to spend on something? No. Next in line?" Then when all fifty states had a chance you'd start all over again offering until the budgeted amount was spent.

by Jeff Wegerson 2009-09-03 08:00AM | 0 recs
Re: There were lots of good ideas of

Sounds like a recipe for a million 'bridges to nowhere'...

by dvkenned 2009-09-03 08:33AM | 0 recs
Re: There were lots of good ideas of

you know, that is just a million times more succinct than what I said.  Should have read your post first.

You see?  Yet ANOTHER problem with the "spend first, draw up a plan later" approach.

by Jess81 2009-09-03 08:51AM | 0 recs
Re: There were lots of good ideas of

I know red tape is a bad thing, but you really do have to do at least a little preliminary work to make sure Rep. so-and-so isn't handing out make work contracts to his cousin in the waste management business.

Obstructionist politics aside, that method would have all the stimulus money going to states with no accountablility like Alaska, Lousiana, and Texas.  Rick Perry would build a high-speed rail line to the grave of H.L Hunt.

Yeeeeeeeeeeeehaw!

by Jess81 2009-09-03 08:50AM | 0 recs

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