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Larry Summers and Congressman Oberstar in shouting match??

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Thrill Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:06 PM
Original message
Larry Summers and Congressman Oberstar in shouting match??
Who's responsible for allocations in the stimulus package? Who decided that roads would get $30 billion, transit would get $9 billion, and that the "smart grid" would get $11 billion? According to transit advocates who've talked with House transportation committee chair James Oberstar, D-Minn., it was Lawrence Summers, director of the White House's National Economic Council.

So far, Summers' hand has been largely hidden, with House leaders simply attributing input to "the Obama team." But as details of the stimulus bill have emerged, it's become clear that Summers' own skepticism about what can be spent when has shaped some of its smallest details.

Transit advocates say Oberstar — a supporter of transit himself — has been telling them he had a "shouting match" with Summers, who doubted whether transit money could be spent fast enough to stimulate the economy. And, as least so far, the Summers view is reflected in the House bill, H.R. 1.

According to Oberstar's spokesman James Berard, Oberstar met with Summers two weeks ago, on January 13, and "expressed his concern" about the level of transit funding in the bill. Oberstar wanted $12 billion, plus $5 billion for inter-city railroads.

When the House bill was unveiled last week, it had forty percent fewer funds: $9 billion for transit and another $1 billion for rail.

"There was discussion between Mr. Oberstar and Mr. Summers," Berard said. "I don't know the level of emotion involved."

But according to five people Mr. Oberstar spoke with about the meeting, the emotional dials were in the red. The individuals asked not to be identified because Oberstar is an ally in their efforts to increase federal transit funding and they didn't want to jeopardize the relationship. "A shouting match," is how one of them said Oberstar described it. "He left the impression it was not a friendly conversation," said another transit supporter.

http://www.thetakeaway.org/stories/2009/jan/27/shovelwatch-stimulus-bill-transportation-infrastructure-summers/
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Barack_America Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:15 PM
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1. Summers has a point.
There are more road construction projects than transit projects that are "ready to go". The point of this bill is to fund projects that will create jobs now, not years down the road.

I'm all for better planning and funding for transit projects, but that should be the focus of a separate bill, IMO.
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Kashka-Kat Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:21 PM
Response to Reply #1
2. Oh fer god sakes - THE JOBS CAN BE THE R& D to develop the new systems
sorry for shouting, I just am starting to see what could be a tragically missed opportunity for redevelopment / retooling of the economy in a real and substantial way.

More roads/ perpetuation of oil economy isn't it.
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Barack_America Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:23 PM
Response to Reply #2
3. R&D aren't the people who are hurting the most right now.
R&D is highly specialized such that people need significant training in order to do this.

The stimulus package, as I understand it, seems to be more focused on creating manual labor projects.
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karynnj Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 06:04 PM
Response to Reply #3
7. Not all the unemployed are low skilled workers either
The entire economy has lost jobs - do you think that every scientist and engineer already has a job? These are good new jobs. Many of the energy jobs will be R & D too.
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liskddksil Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:33 PM
Response to Reply #1
4. there is 15 billion dollars of ready to go transit projects
Edited on Tue Jan-27-09 05:33 PM by liskddksil
as shown by the American Public Transit Association. Listen to Defazio on Maddow's show last week, who brings up transit agencies, like Chicago, who have busses and train cars ready to order.
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Barack_America Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 05:42 PM
Response to Reply #4
5. And how many billions of dollars of critical road and bridge repairs do we have ready to go?
Looks like transit is getting roughly 50% of what they need to fund their ready-to-go projects. Something tells me that the money roads and bridges are getting doesn't begin to approach 50%.
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flpoljunkie Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Jan-27-09 06:02 PM
Response to Reply #1
6. Krugman has pointed out we expect continued high employment for the next couple of years, or more.
Edited on Tue Jan-27-09 06:03 PM by flpoljunkie
So, infrastructure projects for the next couples of years will work just fine--plus we will have something to show for our tax dollars.
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