Senate "Stimulus Supplemental" Details Released (July 31, 2008)

Yesterday, Senate Appropriations Committee Chairman Robert Byrd (D-WV) released the details of a new $24.1 billion domestic spending measure.  The package – characterized as a “stimulus supplemental” – is intended to be a follow-up to the previously enacted fiscal year 2008 war supplemental appropriations bill.

 

In a positive development for California’s counties, the proposed legislation includes funding for a number of key priorities, including $400 million for a one-year extension of the Secure Rural Schools program.

 

The package also would provide $3.6 billion for highway investments (dollars would be sent to all states via formula from the general fund to improve deficient roads and bridges).  Additionally, the measure includes a provision that would transfer dollars from the general treasury to the ailing Highway Trust Fund to keep it solvent through fiscal year 2009.  The bill also includes $893 million for transit agencies to address capital and operating needs to meet growing demands.

 

Other key details include:

 

·         $910 million for the U.S. Department of Interior and the U.S. Forest Service to fund firefighting, rehabilitation, and risk reduction programs.

·         $490 million for Byrne Justice Assistance Grants (to restore program funding to fiscal year 2007 levels).

·         $100 million to help communities along the Southwest border fight drug and gun crimes.

·         $300 million for competitive grants to county, city, state and tribal governments for innovative energy efficiency and renewable-energy demonstration projects.

·         $792 million in loans and grants for rural community facilities, including hospitals, health clinics, health and safety vehicles and equipment, public buildings, and child and elder facilities.

·         $250 million for employment and training activities for dislocated workers.

·         $250 million to support part-time jobs after school, paid internships, and community service jobs for older youth and to help low-income youth acquire work skills.

·         $450 million for the Women, Infants and Children (WIC) program to prevent more than 625,000 low-income families from losing benefits (and to prevent states from creating waiting lists due to funding uncertainty).

·         $1.25 billion for an additional 2.9 million low-income households to obtain energy assistance.

 

It should be noted that Chairman Byrd has indicated his intention to move the stimulus-supplemental to the Senate floor sometime in September.

 

Across Capitol Hill, Speaker Pelosi has expressed her support for advancing a similar economic stimulus/supplemental spending measure totaling at least $50 billion.  House leaders have yet to release the details of such a plan.

 

Joe

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Joe Krahn

Waterman & Associates

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