SENATOR COLLINS CALLS ON PRESIDENT-ELECT TO CONSIDER ADDITIONAL MEASURES FOR STIMULUS PACKAGE
U.S. Senator Susan Collins yesterday sent a letter to President-Elect Barack Obama requesting that he consider additional ideas as he works to compile details of his proposed stimulus package. Senator Collins noted that she supports President-Elect Obama’s belief that the Congress and the new Administration should work together to get the economy moving again. Among the provisions Senator Collins is calling for is funding for transportation infrastructure, similar to an economic stimulus bill she introduced earlier this year.
A copy of the letter follows:
The Honorable Barack Obama
President-elect
Obama-Biden Presidential Transition Team
Washington, D.C. 20270
Dear President-elect Obama:
I share your view that Congress and the new Administration should work together on actions that would help get the economy moving again. In your recent public statements, you have emphasized the importance of funding not only “shovel ready” projects to upgrade our nation’s infrastructure, but also forward-looking projects designed to improve America’s competitive position in the long-term. I ask that you consider the ideas outlined in this letter as you put together your stimulus package.
Transportation Infrastructure
Any proposal to stimulate the economy should help to fund transportation infrastructure projects, which are a proven means of creating good jobs while providing needed assets in communities across the country. Every dollar spent on transportation infrastructure generates about $5.70 in economic activity, and more than 47,000 jobs are created for every $1 billion provided. Not only will this funding serve as a catalyst for thousands of good jobs today, but it also will improve our transportation infrastructure, which is critical to economic development over the long term. Earlier this year, I introduced legislation calling for a $50 billion investment in roads, bridges, transit, rail, and waterways through new transportation bonds. Such an infrastructure investment should be a core component of the stimulus legislation.
Energy Efficiency and the Environment
Increased funding for the following programs also ought to be included in the economic stimulus package:
• The Department of Energy’s Weatherization Assistance Program (WAP). This program has an exceptional track record of helping low income Americans decrease their energy bills by as much as 30 percent by increasing the efficiency of their homes. Increased funding for WAP would create jobs for energy auditors and for installers of weatherization products while helping to decrease our nation’s reliance on foreign oil.
• Section 432 of the Energy Independence and Security Act of 2007. Section 432 requires federal energy managers to conduct comprehensive energy audits on 75 percent of federal facilities at least every four years and to reduce their building energy consumption by 30 percent by the year 2015.
• The Department of Energy’s Energy Efficiency and Conservation Block Grants program. This program, authorized at $2 billion in the Energy Independence and Security Act of 2007, would provide support to cities, counties, states and tribes to achieve greater energy efficiency, increase the use of renewables, and lower greenhouse gas emissions. Funding this program will help get local projects off the ground and immediately put people to work.
• The Environmental Protection Agency’s Clean Water State Revolving Fund (CWSRF) and the Drinking Water State Revolving Fund (DWSRF). These vital programs provide funding to capitalize state clean water and drinking water loan programs which in turn fund water quality protection projects for wastewater treatment, nonpoint source pollution control, and watershed and estuary management, as well as funding public water system infrastructure improvement projects. I urge you to designate some of the increased CWSRF funds for sewer overflow financial assistance, as described in S. 836, the Water Quality Investment Act. Many communities across the nation have projects ready to begin, but need the loan funding to start the projects. This funding is critical to helping communities continue upgrading their water infrastructure to meet Clean Water Act requirements.
Targeted Temporary Increase in the Federal Medicaid Matching Rate
Loss of jobs often means loss of health insurance, and it is well established that the number of persons relying on Medicaid increases in a poor economy. Moreover, this increased demand for services occurs at precisely the point when State budgets are under the most pressure. I therefore believe that it is critical that the economic stimulus package provide assistance to States through a targeted, temporary increase in the federal Medicaid matching rate. Putting money in the hands of the States is a good way to stimulate economic growth. Moreover, this temporary increase would help States avoid cutting back on health care coverage and services at the very time that the number of families needing help is increasing. Congress provided a similar increase in 2003 that proved effective in staving off drastic cuts in Medicaid services and eligibility, and we need to provide similar assistance again.
Innovation and Cluster Development
I especially invite your attention to S. 3078, the National Innovation and Job Creation Act of 2008, which Senator Clinton and I introduced earlier this year. This legislation is designed to help spur the adoption of innovative technologies and practices, accelerate productivity gains, and boost the creation of the high-paying jobs for American workers.
We must build upon what has always given America its competitive edge -- innovation. It is only by doing this that we can raise our productivity rate, and ultimately, continue to create the high-paying jobs that Americans need and deserve.
That is what the National Innovation and Job Creation Act aims to do. The bill would create a new “Cluster Development” program to help foster and support strong regional economies. Silicon Valley in California, Route 128 around Boston, and the Research Triangle Park in Raleigh-Durham, North Carolina are famous examples of clusters in the high-tech sector. But cluster development is not just a phenomenon of the high-tech industry – successful clusters can and do arise in any sector of the economy. Cluster development could be particularly valuable in fostering innovation in “clean technologies” that could help reduce the nation’s dependence on fossil fuels and strengthen environmental sustainability.
Thank you for your consideration of these proposals. I look forward to working with you and your administration to help craft legislation to restore our nation’s economic growth.
Sincerely,
Susan M. Collins
United States Senator
A copy of the letter follows:
The Honorable Barack Obama
President-elect
Obama-Biden Presidential Transition Team
Washington, D.C. 20270
Dear President-elect Obama:
I share your view that Congress and the new Administration should work together on actions that would help get the economy moving again. In your recent public statements, you have emphasized the importance of funding not only “shovel ready” projects to upgrade our nation’s infrastructure, but also forward-looking projects designed to improve America’s competitive position in the long-term. I ask that you consider the ideas outlined in this letter as you put together your stimulus package.
Transportation Infrastructure
Any proposal to stimulate the economy should help to fund transportation infrastructure projects, which are a proven means of creating good jobs while providing needed assets in communities across the country. Every dollar spent on transportation infrastructure generates about $5.70 in economic activity, and more than 47,000 jobs are created for every $1 billion provided. Not only will this funding serve as a catalyst for thousands of good jobs today, but it also will improve our transportation infrastructure, which is critical to economic development over the long term. Earlier this year, I introduced legislation calling for a $50 billion investment in roads, bridges, transit, rail, and waterways through new transportation bonds. Such an infrastructure investment should be a core component of the stimulus legislation.
Energy Efficiency and the Environment
Increased funding for the following programs also ought to be included in the economic stimulus package:
• The Department of Energy’s Weatherization Assistance Program (WAP). This program has an exceptional track record of helping low income Americans decrease their energy bills by as much as 30 percent by increasing the efficiency of their homes. Increased funding for WAP would create jobs for energy auditors and for installers of weatherization products while helping to decrease our nation’s reliance on foreign oil.
• Section 432 of the Energy Independence and Security Act of 2007. Section 432 requires federal energy managers to conduct comprehensive energy audits on 75 percent of federal facilities at least every four years and to reduce their building energy consumption by 30 percent by the year 2015.
• The Department of Energy’s Energy Efficiency and Conservation Block Grants program. This program, authorized at $2 billion in the Energy Independence and Security Act of 2007, would provide support to cities, counties, states and tribes to achieve greater energy efficiency, increase the use of renewables, and lower greenhouse gas emissions. Funding this program will help get local projects off the ground and immediately put people to work.
• The Environmental Protection Agency’s Clean Water State Revolving Fund (CWSRF) and the Drinking Water State Revolving Fund (DWSRF). These vital programs provide funding to capitalize state clean water and drinking water loan programs which in turn fund water quality protection projects for wastewater treatment, nonpoint source pollution control, and watershed and estuary management, as well as funding public water system infrastructure improvement projects. I urge you to designate some of the increased CWSRF funds for sewer overflow financial assistance, as described in S. 836, the Water Quality Investment Act. Many communities across the nation have projects ready to begin, but need the loan funding to start the projects. This funding is critical to helping communities continue upgrading their water infrastructure to meet Clean Water Act requirements.
Targeted Temporary Increase in the Federal Medicaid Matching Rate
Loss of jobs often means loss of health insurance, and it is well established that the number of persons relying on Medicaid increases in a poor economy. Moreover, this increased demand for services occurs at precisely the point when State budgets are under the most pressure. I therefore believe that it is critical that the economic stimulus package provide assistance to States through a targeted, temporary increase in the federal Medicaid matching rate. Putting money in the hands of the States is a good way to stimulate economic growth. Moreover, this temporary increase would help States avoid cutting back on health care coverage and services at the very time that the number of families needing help is increasing. Congress provided a similar increase in 2003 that proved effective in staving off drastic cuts in Medicaid services and eligibility, and we need to provide similar assistance again.
Innovation and Cluster Development
I especially invite your attention to S. 3078, the National Innovation and Job Creation Act of 2008, which Senator Clinton and I introduced earlier this year. This legislation is designed to help spur the adoption of innovative technologies and practices, accelerate productivity gains, and boost the creation of the high-paying jobs for American workers.
We must build upon what has always given America its competitive edge -- innovation. It is only by doing this that we can raise our productivity rate, and ultimately, continue to create the high-paying jobs that Americans need and deserve.
That is what the National Innovation and Job Creation Act aims to do. The bill would create a new “Cluster Development” program to help foster and support strong regional economies. Silicon Valley in California, Route 128 around Boston, and the Research Triangle Park in Raleigh-Durham, North Carolina are famous examples of clusters in the high-tech sector. But cluster development is not just a phenomenon of the high-tech industry – successful clusters can and do arise in any sector of the economy. Cluster development could be particularly valuable in fostering innovation in “clean technologies” that could help reduce the nation’s dependence on fossil fuels and strengthen environmental sustainability.
Thank you for your consideration of these proposals. I look forward to working with you and your administration to help craft legislation to restore our nation’s economic growth.
Sincerely,
Susan M. Collins
United States Senator
