February 24, 2009

Giffords: Plan to help survive recession

Thelma Grimes/Vail Sun, February 20, 2009

U.S. Congresswoman Gabrielle Giffords, D-District 8, said the American Recovery and Reinvestment Plan recently passed by Congress and signed by President Barack Obama is not perfect, but it puts America’s economy on track to survive the current recession.

In one of four town hall meetings held in Tucson last week, the second-term Congresswoman said the most important thing Congress can do right now is pass a bill that will help create jobs.

In January alone, 598,000 Americans were put out of work. Since the recession began in Dec. 2007, Giffords said the number of unemployed Americans has climbed to more than 3.6 million, the largest 13-month increase on record.

Consumer confidence and spending fell in December for a record sixth consecutive month, and slid to another all-time low in January.

Giffords said so many of her constituents across Southern Arizona have asked her why the hurry to pass the $880 billion stimulus package.

“Many of you asked what is the big hurry?” she said. “Well, the hurry is that the economy cannot continue on its current trend. The problem is accelerating, hence the need to act.”

Now that the bill is reality, Giffords said residents, state lawmakers and elected officials from cities and counties across America are asking what it means.

Giffords agreed that the more than 1,000-page document is difficult, and there are a lot of questions.

“My goal is to let you know what is included in this enormous legislation,” she said. “This is not a perfect piece of legislation, and this problem did not come up overnight.”

The efforts to get the economy on track will take time, Giffords stressed, as she laid out the plans for education and statewide funding at Pima Community College on Thursday.

Over the next two years, the stimulus package is expected to create 70,000 jobs in Arizona, 8,100 of those in District 8.

Giffords said there also will be tax cuts of up to $800 for two million workers and their families, and 75,000 Arizona families will be eligible for a new $2,500 college tax credit. Unemployment insurance will be expanding, and there will be funding to allow 193 aging school districts across the state to modernize buildings.

Economists looking at the stimulus bill, have said the tax cuts will bring a $13 per week tax cut to the average household.

Giffords stressed during the meeting that a lot of the funding the state may be eligible for in education, road projects and to help the state balance a $3 billion deficit, will depend on the Arizona Legislature.

In a radio show in Tucson Friday morning, Rep. Frank Antenori, R-District 30, said if the federal government wants the state to increase spending they will reject the funds being offered.

Just this year, the state legislature has cut $136 million for public education, and another $225 million from the state’s universities.

With the possibility of the stimulus package bringing an added $803 million to education in Arizona, Giffords said this could prevent deeper cuts to the school system, and prevent teachers from being laid off.

School administrators statewide have said if state lawmakers move forward with proposed budget cuts next year, they will have no other choice than to cut staff and certified teachers.

Attending Thursday’s town hall with Giffords was Dr. Elizabeth Celania-Fagen, superintendent of the Tucson Unified School District (TUSD). TUSD is one of the largest districts in the state, and with the proposed state cuts, could lose up to $63 million next year.

Celania-Gagen said the stimulus bill approved by the federal government brings new hope.

Tucson Vice Mayor Karin Uhlich agreed, stating they now have hope that funding will trickle into the local economy and help with a growing budget deficit, and will pay for shovel-ready projects such as a $75-million trolley system.

Will any of the funds make their way into Cochise County? While no one from the rural county attended the town halls in Tucson, Giffords said it will come down to local governments’ applying for money.

Benson had originally submitted proposals for about $900,000 in projects, but Public Works Director Brad Hamilton said most of them were eliminated because they did not have the right classification.

A current list of road projects moving forward has Avondale receiving most of the funding with 50 approved projects. The lone project approved in Cochise County is in Tombstone.

Following Thursday’s town hall, Giffords said it’s still early, and she has been communicating with rural communities to get involved and request funding for various projects.

The points of this, she said, is not only to create jobs and improve infrastructure, but will also help local economies with a plan to buy supplies and equipment locally.

Besides education and other funding, Giffords said the massive stimulus bill also addresses the state’s social service agencies and will put more funding toward Medicaid and health insurance for unemployed workers.

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