How will stimulus package benefit region?

Area officials are getting closer to figuring out just how they can get their hands on some federal economic stimulus money.
Ridge Schuyler, district director for U.S. Rep. Tom Perriello, D-Ivy, explained how the $787 billion economic stimulus package would be allocated to localities during a Thursday meeting of the Planning and Coordination Council. The group, which was established in 1986, consists of Charlottesville, Albemarle County and University of Virginia officials.

Schuyler said that roughly 38 percent of the bill would be designated for tax cuts. About an equal portion will be given to states to meet counter-cyclical needs of the economy — which Schuyler explained as bolstering money behind services that may be increasingly necessary in a suffering economy but could face cuts as revenue declines — and the rest, roughly 20 percent, will be spent on infrastructure.
“This bill has no earmarks,” Schuyler said.
Charlottesville has requested more than $64 million for projects and Albemarle also compiled a list of projects worth about $164 million. The White House estimates that the federal funding will save or create 7,800 jobs in the 5th District.
However, City Manager Gary O’Connell said earlier this week, after the proposed fiscal 2010 budget was released, that there is still uncertainty about which projects may get funded.

“I’m not sure if any of our projects will get funded, but we’ll see,” he said.
Much of the money will have to be accessed through a grant-like process, where localities apply for funding for projects they think will help invigorate the economy. Many of the applications will be done through existing programs to avoid creating another confusing step for local officials.
“These are existing programs that hopefully you have some familiarity with,” Schuyler said. But, he added, “we could fumble it away if we don’t do it right.”
Additionally, Perriello’s team has a new staffer to work with 5th District localities so they can properly access the stimulus funds.
There are some new programs being created at the federal level, including a $4.7 billion broadband technology program to install equipment across the country. Schuyler also noted that there are provisions in the stimulus for affordable housing, just as the committee was about to discuss the regional affordable housing report that was released last month.

The extensiveness of the affordable housing issue led officials to say that if stimulus funding is coveted for that purpose, the request should be made as a region.
“I think it’ll be stronger if we go into that as a region,” Albemarle Supervisor Dennis S. Rooker said.
Stimulus funding for local school divisions is estimated to be about $3.8 million for Albemarle and $2.5 million for Charlottesville over two years, according to a Congressional Research Service analysis. However, those funds would be designated for Title-I programs and grants under the Individuals with Disabilities Education Act, not school construction. Local school construction projects will have to compete for funding with others that request money.
“Instead of being automatic, it’s a fight,” Schuyler said.

Under the package, which was signed by President Barack Obama on Tuesday, funding that comes by way of a set formula has to be allocated within 30 days. Grant proposals must also be responded to in 120 days, with the monetary award attached. As such, Schuyler said, “we’ve got to scramble.”
Infrastructure projects must also still be “shovel ready” to be eligible for the funds.