President Obama Signs the American Recovery and Reinvestment Act PDF Print E-mail
On February 17, President Obama signed the American Recovery and Reinvestment Act - also known as the Federal Stimulus Bill - which reflects the largest infusion of federal funds since the 1960s. Totaling $787 billion over two years, the bill includes approximately $462 billion in spending and $325 billion in tax cuts. New York State is expected to get approximately $24.6 billion in funding, based on estimates by the NYS Division of the Budget.

Major categories of spending and New York's estimated share include:

  • State and Local Fiscal Relief ($14 billion) - includes funding for Medicaid and to offset the cuts made to education as part of the 2009-10 Executive Budget;
  • Infrastructure and Energy ($3.97 billion) - includes funding for mass transit, highways, bridges, the clean water and drinking water revolving loan funds, weatherization and energy efficiency;
  • Health and Human Services ($4.43 billion) - includes funding for food stamps, unemployment benefits, child care and housing;
  • Education ($2.08 billion) - includes funding for high needs and special education students, tuition assistance and technology; and
  • Public Safety ($107 million) - includes funding for law enforcement, prosecution and other crime-related programs.

For the specific breakdown of program spending within these categories, go to www.economicrecovery.ny.gov.

To assist municipalities in accessing funding and to promote an equitable geographic distribution, the Governor has announced the creation of the New York State Economic Recovery and Reinvestment Cabinet to manage the development of state and local infrastructure projects financed through the federal stimulus package. The Cabinet will be comprised of State agency heads and senior staff from the Governor's Office. Timothy J. Gilchrist will serve as Senior Advisor for Infrastructure and Transportation, a position created to lead the cabinet. This entity will be charged with identifying project delivery problems, such as permits or regulatory approvals, and working to resolve such issues. The Cabinet will also work closely with local governments to ensure federal dollars reach critical projects and put people to work as quickly as possible.

At a time when New York's local governments are struggling to navigate these challenging economic times and doing all that they can to avoid tax shifting, it is refreshing to see the Federal Government take the opposite approach by investing in our communities and providing New York with the resources necessary to get back on track.