Millions of jobs were promised after the Stimulus laws were passed. Stimulus money was set aside for these jobs. But the bitter reality is- unemployment has increased since the Stimulus passed. Where are these jobs? The stimulus money was sent to various local and state governments. These jobs are free for these various government agencies- they have no burden of paying for these jobs. Handing out these jobs will create wonderful good will for these elected officials. But still no jobs. Because most of these public employees have no incentive to use innovative methods to help the unemployed get these jobs. They just follow the old bureaucratic rules.
Here is an example: $12.7 billion of Stimulus that was created for construction jobs in housing. This money was supposed to go from the Department Housing and Urban Development to local Public Housing Authorities. Where is the money? Where are these jobs? these jobs are still absent.
Total: $12.7 billion is to be spent as follows:
- $4 billion to the Department of Housing and Urban Development (HUD) for repairing and modernizing public housing, including increasing the energy efficiency of units.
- $2.25 billion in tax credits for financing low-income housing construction
- $2 billion for Section 8 housing rental assistance
- $2 billion to help communities purchase and repair foreclosed housing
- $1.5 billion for rental assistance and housing relocation
- $510 million for the rehabilitation of Native American housing
- $200 million for helping rural Americans buy homes
- $130 million for rural community facilities
- $100 million to help remove lead paint from public housing
Have you noticed any of the $2 Billion being spent locally for repairing foreclosed homes? Although you may have seen many pictures on TV of neighborhoods being devastated by foreclosures and cannibalization of empty foreclosed houses.
Like any legislation, laws are not self-executing. Although Congress may congratulate itself for the Stimulus, but that does not create jobs. There must be zealous execution of these new laws. Obviously that has not happened.
That is where millions of unemployed Americans are, waiting for the promised jobs. While public employees wasted a year while doting i’s and crossing t’s following old bureaucratic rules required to spend the Stimulus money! Or if the agencies would have changed the rules necessary to to get the jobs soon after they received the allocation. What about the delays caused by the Obama administration’s elaborate competition for these Stimulus funds? Did anyone consider the incentives and speed of action created if the Stimulus money went to private business rather than pubic employees and their complex rules?
Imagine you are a Massachusetts unemployed construction worker- there are many, many of these. You are excited by the February 2009 announcement by President Obama that construction jobs will be soon available. You tell your creditors to hold on, the President has promised many new construction jobs. That was a year ago, still no job, now you have lost credibility with your creditors. How do you think you would have voted in the special U.S. Senate election on January 19th, 2010?
Yesterday I talked to a two man shop heating and cooling company that was ready to fold after 30 years in business. Why? No business. Do you think it would have taken them more than a year to start to spend the $4 Billion for increasing energy efficiency?
We have to get off our hands-