Stimulus Details Emerging

The economic stimulus legislation has been reduced to writing, but it will be sometime next week before copies of the bill are available to the general public. By that time various Congressional committees will be in the process of marking up the legislation. Until the final bill is passed and enrolled, those of us relying on the Government Printing Office to keep us informed will remain relatively uncertain about all the details. Nevertheless, it now seems clear the appropriations of hard construction dollars will amount to at least $119 billion, and there is some chance of that total increasing as the legislation moves through Congress.

The total package is presently pegged at a value of $825 billion. Of that huge sum, $550 billion will be direct spending for state and federal procurement, and $275 billion for tax relief in various forms. Some Congressional leaders, including in particular House Transportation and Infrastructure Chairman James Oberstar of Minnesota, think the spending element is underrepresented, and will be seeking increases either through the committee markups of this bill or separate subsequent measures.

At this moment, the construction appropriations are broken down like this:

$40 billion for highway and transit construction

$32 billion for energy grid construction

$31 billion for federal government construction projects

$10 billion for science laboratory construction

$6 billion for rural internet access construction

Other spending measures include:

$87 billion for a temporary increase in Medicaid reimbursement to states

$79 billion to states to prevent reduction in key education programs

$43 billion for extended unemployment insurance benefits

$39 billion for COBRA health insurance assistance to people losing jobs

$20 billion for a 13% increase in food stamp benefits

$ 20 billion for computerizing medical records