Skip to Content
Streetsblog Los Angeles home
Streetsblog Los Angeles home
Log In
DC Streetsblog

Republicans Deem Transpo Stimulus — 6% of Total Spending — a ‘Failure’

Republicans on the House transportation panel held a press
conference today to deem the economic stimulus law a failure, citing
low infrastructure spending in the nation's highest-unemployment states.

Unemployment_DOT_Stimulus_Spending.JPGRep. John Mica (FL), the committee's senior GOPer,
and six colleagues displayed a chart (depicted at right) that used
estimates of stimulus money spent so far by state DOTs -- as opposed to
the amount obligated.

Tallying obligated money might have gotten in the way of the GOPers' argument, since states are beating the White House deadline for obligating transport funds.

But the press conference also hit on a theme that auditors at the Government Accountability Office (GAO) noted this week:
Stimulus cash has not been steered to the nation's most economically
devastated areas, largely because of an emphasis on getting money out
the door quickly.

Transportation Secretary Ray LaHood responded quickly to the GAO report, asking governors late yesterday to redirect money to infrastructure in struggling areas.

This political firestorm over the stimulus' success obscures two crucial decisions that helped seal its fate as a job creator.

First, as Mica and his committee chairman, Jim Oberstar (D-MN), often pointed out during the stimulus, more cash for infrastructure would have generated more jobs.

The duo's proposed $85 billion
transportation stimulus was ultimately cut to $48 billion to make room
for extra tax cuts. That $48 billion represents just 6 percent of the
total stimulus measure, as the AP points out in a fact check of today's event.

Judging
the effectiveness of the entire law based on such a tiny slice of the
pie -- no matter how economically potent transportation spending is --
seems misguided at best.

Second, investing more in transit would have given greater benefits
to the urban areas that are the nation's economic workhorses. Transit
also creates about 19 percent more jobs than road projects on a
dollar-for-dollar basis, according to research by the Surface Transportation Policy Project.

Still, Mica's statement this morning made a compelling point, one that House Speaker Nancy Pelosi (D-CA) referenced yesterday:

Some leading Democrats are talking about the possibility of another huge stimulus, despite
the current package’s failure to put money on the streets quickly and
create jobs. 

In addition, the Administration wants to doom a major
transportation bill -- the only real jobs bill this Congress could
consider -- to an 18-month delay.

If
House Democrats decide to focus on a new transportation bill as a de
facto second stimulus, there could be some drama in the offing over the
next few weeks.

Stay in touch

Sign up for our free newsletter

More from Streetsblog Los Angeles

Koreatown Community Rallies To Reclaim Our Streets From ICE Terror

"This is an attack on Los Angeles. This is an attack on California. On all of us."

July 11, 2025

Give Input on Metro Sepulveda Rail Plan to connect Valley and Westside

Metro is still deciding between some low-performing monorail alternatives and some high-performing heavy rail alternatives. What do you want to see?

July 10, 2025

Whittier Councilmember Fernando Dutra Is New Metro Board Chair

Board Chair Dutra: "[Metro is] not just a train and a bus company. We also manage projects on the freeways... Our projects along the 5, the 605, 91, and 105 Freeway are very very important... I'll be focusing on making sure we keep our freeways moving freely."

July 9, 2025
See all posts