Washington, DC – Seven months after the stimulus passed, jobs continue to be lost in states with the highest unemployment.
U.S. Rep. John L. Mica (R-FL), the Republican Leader of the Transportation and Infrastructure Committee, in a hearing on stimulus spending said, “Job losses in the 10 states with the worst unemployment, by and large, are higher than they were in May. Ironically, of those ten states, South Carolina has seen the least amount of infrastructure stimulus money spent, but has experienced a slight decrease in unemployment. We may need to better target investment to areas with the worst unemployment to help spur much needed job growth."
Unemployment chart
“We also must address the issue of red tape,” Mica continued. “Cutting the length of time to get a project underway will create more jobs more quickly, and allow us to invest now in more significant projects. Repaving projects, while often necessary, are short-term projects that will not sustain many jobs over long periods of time.
“Of the $48 billion in transportation stimulus funds, so far DOT has paid out only $3.4 billion, or seven percent of the total. Meanwhile, the latest unemployment figures due out tomorrow are expected to show a national level of 9.8 percent, far above the eight percent that the Administration projected if this stimulus bill was passed,” Mica said.
Mica echoed some of the testimony received at today’s hearing. Jeff Taylor, Manager of Transportation for Elkhart County, Indiana, testified about dealing with the bureaucracy in trying to move even simple projects forward.
“It was my understanding, along with millions of other Americans, that the ARRA was a jobs creation and jobs retention bill,” Taylor. “If it is true we are in an economic crisis, we should expedite the paperwork process, and target those areas hardest hit by the economic downturn.”
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