Slow Stimulus: Where's the Money?
It's been ten months since the government unveiled the massive $787 billion dollar stimulus plan. The goal was to spread the money out to all sectors of the economy -- both to government and private interests to create as many jobs as possible.
The jury is still out how all of this will ultimately work, and in the meantime, we're learning that the process is slow going.
States report that yes, they are getting the money. But spending the cash on job-creating projects is a lengthy process. So far, states have spent just under 19 percent of the money they have received. What's the hold up? Part of it is the red tape involved in securing government money and projects, according to state officials and private companies alike.
The applications for the money are daunting, and private companies that are not used to dealing with the government are having a hard time. In addition, the projects are not yet plentiful, according to various construction companies in Arizona.
Tim Muller who heads the southwest division for Austin Bridge and Road construction says the company is looking to bid on every stimulus project out there, but are waiting for more to be green-lighted. But Muller says the whole industry is hopeful the $138 billion dollar infusion of cash will help create new jobs and save existing ones.