Neil's Notebook Hawaii meets Recovery Act milestone
June 25, 2009
The following news release was issued by the U.S. Department of Transportation today:
Vice President Biden Applauds Hawaii for Meeting Recovery Act Milestone Ahead of Schedule
Hawaii Obligated Half of Its Highway Funds on June 19
Washington, DC – Vice President Joe Biden and Transportation Secretary Ray LaHood today announced that transportation projects funded under the American Recovery and Reinvestment Act (ARRA) are putting people to work and building a foundation for the country’s long-term economic strength.
As part of the Administration’s effort to infuse Recovery Act funds swiftly into the economy, states are required under ARRA to obligate 50 percent of their highway funds by June 29, 2009. Working in coordination with the U.S. Department of Transportation, all 55 U.S. states and territories successfully beat this deadline at least 10 days ahead of schedule.
Nationwide, to date, $19 billion has been obligated to fund over 5,300 approved for highway and other transportation projects nationwide. Of those, 1,900 projects are already underway. Already in Hawaii, the state has put to work $46.2 million in highway funds – or 52.5 percent -- of the funds required under the Act.
“Our number one priority with the Recovery Act is getting folks back to work – and there is no better way to do that in these early days than by putting shovels in the ground and jump-starting projects like these that create jobs and boost local communities,” said Vice President Biden. “By delivering on these projects ahead of schedule and under-budget, we have been able to do even more than we expected -- create more job opportunities more quickly, with more dollars left over to put toward more projects that put people back on the job.”
As of today, Hawaii’s largest ARRA-funded project is the H1 seismic retrofit on the Farrington Highway near Honolulu on the island of Oahu. This $829,000 project will improve driver safety.
Across the country, many transportation projects funded by the Recovery Act are coming in under budget and ahead of schedule. Reports continue to show that contractor bids to build and repair transportation networks are coming in substantially below the original engineering estimates. In some cases, thanks to fierce competition for the work, bids are 10, 20 and even 30 percent lower than expected. That means states are able to stretch taxpayer dollars, completing additional projects and creating even more jobs.
“Every state not only met the 120-day deadline, they beat it,” said Secretary LaHood. “This is a testament to the fact that we’re putting money out there quickly and helping to get the economy back on track.”
President Obama signed ARRA on February 17, 2009, and funding was made available on March 3. ARRA funding for highway projects may be used for restoration, repair, construction, and other activities under the Surface Transportation Program. Each proposed project must be approved by the Federal Highway Administration (FHWA). Governors must certify that proposed projects meet certain conditions and that the state will use ARRA funds in addition to, not in replacement of, state funding of transportation projects.
Priority is given to projects that are projected to be completed within three years, are located in economically distressed areas, or will maximize job creation and economic benefits.
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AMERICAN RECOVERY AND REINVESTMENT ACT (ARRA) TRANSPORTATION MILESTONES JUNE 25, 2009
The Obama Administration is committed to injecting American Recovery and Reinvestment Act (ARRA) dollars into the economy as quickly as possible to help get the economy back on track. A group of senior officials from the U.S. Department of Transportation (DOT), known as the Transportation Investment Generating Economic Recovery (TIGER) team, is monitoring the Department’s Recovery program to make sure its money is rapidly made available and the spending is closely monitored and transparent to the public.
The U.S. Department of Transportation has made $48.1 billion available for highway, road, transit, bridge and airport construction and repairs nationwide. Of that, $19 billion already has been obligated to fund more than 5,300 approved projects in 53 U.S. States and Territories.
Currently, more than 1,900 transportation projects, using $6.4 billion in Recovery Act funds, are underway across the country.
Many transportation projects funded by the Recovery Act are coming in under budget and ahead of schedule. State DOTs and airport sponsors are routinely receiving low bids for highway and airport construction projects that are below initial estimates by 10 to 20 percent and, in some cases, 30 percent. These lower-than-expected bids are allowing states to stretch taxpayer dollars, complete additional projects, and create even more American jobs.
The DOT has made more ARRA money available to states more quickly than any of its routine programs. The highway portion of the stimulus package is flowing at the rate of nearly $4 billion a month.
The Federal Aviation Administration has selected projects comprising 99.5 percent of its total ARRA funding. Nearly $1 billion has been allocated to airports throughout the country. Already, 310 airport projects have been approved.
The Federal Highway Administration has obligated $15.8 billion to date for more than 4,800 projects.
The DOT is accepting applications until September 15 for $1.5 billion in the TIGER Discretionary Grants Program. The DOT will award TIGER Grants on a competitive basis to projects that have a significant impact on the nation, a region or metropolitan area, in particular, those located in economically-distressed areas and with strong job-creation potential.
The Federal Transit Administration has awarded 114 grants to transit agencies for a total obligation to date of $1.4 billion in ARRA funds.
On June 17, the Federal Railroad Administration released guidance for applicants interested in the $8 billion in competitive grants for High Speed and Intercity Passenger Rail. Initial awards will be made by mid-September.
The Federal Railroad Administration has approved $1.1 billion for eight ARRA-funded Amtrak projects.
