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Stimulus elevates local government

As the American Recovery and Reinvestment Act and its $787 billion enter the financial stream, North Carolina governments are lining up with a long wish list.

N.C. Gov. Beverly Perdue has already announced $466 million in road and bridge improvements, with $14.4 million earmarked for the widening and turn-lane improvements to East King Street in Boone. The state must obligate the 70 selected projects within 120 days, with another similar payout expected from the federal government later this year.

Perdue has launched www.NCRecovery.gov to allow people to follow the disbursement of stimulus funds as part of the stimulus package. It will also allow people to learn about local contract and grant opportunities. People will also be able to recommend projects for funding.

The N.C. Office of Economic Recovery & Investment was developed to coordinate and track the state’s handling of federal stimulus funds.

The federal recovery package provides about $6.1 billion in direct aid to North Carolina to create and save jobs and rebuild and expand the state’s infrastructure.

It also provides for targeted federal tax cuts, additional grants from federal agencies and direct funding to local governments for specific federal programs in North Carolina.

King Street was the top priority on the Watauga County Board of Commissioners’ priority list, which was recommended for local governments in anticipation of the adoption of the stimulus package.

The county’s other priorities were about $2 million worth of road improvements near the entrance of the new high school, the proposed Boone bypass, and capital projects like a recreation center.

The town of Boone is seeking grant money for water improvements, including help with a $21 million raw-water intake proposed for the South Fork of the New River. Town voters approved a $25 million bond referendum in November.

The town council also placed a $3.5 million water-treatment upgrade on its priority list during its February planning retreat. The upgrade would allow the town to treat an additional 1.5 million gallons of water per day. The town is currently permitted to draw 3 million gallons per day from the New River near Boone. The raw-water intake, if permitted, could add an additional 4 million gallons of water per day when fully operational.

The town of Blowing Rock is seeking more funds for a planned water interconnection between Boone and Blowing Rock, a $4 million project that has been partially funded by grants. It also is seeking about $1.1 million for wastewater plant upgrades, as well as an additional $1 million for sidewalks and streetscape improvements.

North Carolina is slated to receive $65 million in water infrastructure funding and another $71 million in clean-water management. About $53 million will be set aside for affordable-housing projects.

In addition to road money, North Carolina will get $439 million for Medicaid, which should ease the immediate burden on local governments. The state had agreed to take on a portion of the counties’ Medicaid burdens on the way to fully funding the low-income health-care program, but with the state budget deficit approaching $2 billion or more, the state might have delayed or withheld Medicaid funding.

The stimulus package is projected to save or create 105,000 jobs in North Carolina, including 7,600 in the 5th Congressional District.

Follow the money
Stimulus spending in North Carolina

FISCAL STABILIZATION FUND
General Purpose (Flex Fund): $258,522,671
Education: $1,161,931,000

MEDICAID
FMAP: $2,255,000,000
DSH: $14,630,000

TRANSPORTATION
Highways and Bridges: $735,527,000
Transit Capital Grants: $103,304,000

WATER AND SEWER
Drinking Water SRF: $65,625,000
Clean Water SRF: $71,279,000

ENERGY
Weatherization: $136,715,178
State Energy Program: $70,430,139

HEALTH AND HUMAN SERVICES
Emergency Food and Shelter: $3,069,986
Commodity Assistance/TEFAP: $3,325,602
Food Stamp Administration: $9,400,000
Food Stamp Benefits: $616,000,000
Immunization: $11,379,000
Child Care: $67,543,000
Child Support Enforcement: $52,700,000
Foster Care/Adoption Assistance: $11,774,000
Elderly Nutrition: $3,669,000
Community Services Block Grant: $26,245,000
Community Development Block Grants: $19,435,916
Independent Living: $402,640

HOUSING
Affordable Housing Construction: $52,095,000
Homelessness Prevention: $29,225,000
Public Housing Capital: $83,848,000

EDUCATION
Head Start: $16,823,828
ESEA Title I: $334,129,360
IDEA Special Education: $339,211,862
Vocational Rehabilitation: $18,029,000
Education Technology: $16,359,000
School Lunch Equipment: $2,879,955
Work Study: $4,777,000
Education of the Homeless: $1,290,000

STATE AND LOCAL LAW ENFORCEMENT
Crime Victims Assistance: $1,762,488
Internet Crimes Against Children: $744,000
Violence Against Women: $6,350,000
Byrne / Justice Assistance Grants: $85,839,952

WORKFORCE/EMPLOYMENT SERVICES
UI State Admin Grants: $14,761,000
Employment Service: $10,873,000
Service for Older Americans: $3,166,307
WIA – Adult: $10,441,582
WIA – Youth: $25,323,937
WIA Dislocated Workers: $39,839,549
Source: The Governor’s Office





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