Action Alert

ACTION ALERT: ECONOMIC DEVELOPMENT ADMINISTRATION

URGE MEMBERS OF CONGRESS TO INCLUDE FUNDING IN ECONOMIC STIMULUS BILL
CONTACT REPRESENTATIVES AND SENATORS
UPDATED NOVEMBER 14, 2008

BACKGROUND:

House and Senate Democratic leaders revealed that they expect Congress to consider a second economic stimulus package that could be ready for consideration the week of November 17 when the chmabers are expected to return for a "lame duck" session. The measure would follow a stimulus package (PL 110-185) that was enacted in February that provided tax rebates to individuals.

Prior to recessing for the elections, the Senate attempted to take up a $56 billion stimulus package (S 3604) that contained $50 million in funding for the Economic Development Administration’s (EDA) Economic Adjustment program. The chamber failed to achieve the 60 votes needed for a quorum and the measure never received floor consideration. House members approved a $60 billion stimulus package (HR 7110) that did not contain EDA funding.

Speaker of the House Nancy Pelosi (D-CA) has raised the idea of developing a new $150 billion stimulus package focused on increased infrastructure spending as well as extending unemployment insurance and food stamp programs. House Minority Leader John Boehner (R-OH) has also indicated that he is drafting a GOP version that would increase the Child Tax Credit and reduce the corporate tax rate. Democrats and Republicans have agreed that a new stimulus package should focus on ready-to-go infrastructure projects that could be initiated quickly.

On October 29, the House Committee on Transportation and Infrastructure held a hearing examining how infrastructure investments contribute to job creation and economic recovery. NADO submitted testimony to the committee urging that increased resources be provided to EDA (to access the testimony, visit www.nado.org/legaffair/juoneda.pdf).

ACTION NEEDED:

Regional development organizations are asked to contact members of their congressional delegations (U.S. Representatives and Senators) and urge them to request funding for the Economic Development Administration (EDA) in the second economic stimulus package currently being developed by Congress that maybe considered after the elections (a sample fax letter is provided below or visit the NADO website at www.nado.org/legaffair/edastim2.pdf).

For additional information, contact NADO Legislative Director Jason Boehlet at 202.624.8590 or jboehlert@nado.org.
[Return to Top]

SAMPLE LETTER

Sample Fax Letter for Members of Congress

For U.S. Senators:
The Honorable (First Name) (Last Name)
United States Senate
Washington, DC 20510

For U.S. Representatives:
The Honorable (First Name) (Last Name)
U.S. House of Representatives
Washington, DC 20515

Via Facsimile: (insert fax number)

Dear (Senator or Representative) (Last Name):

On behalf of the (insert organization name), I am writing to request that economic stimulus legislation currently being developed by Congress include supplemental funding for the economic development assistance programs of the Economic Development Administration (EDA). Specifically, I respectfully urge you contact Congressional leaders and leaders of the Appropriations Committee to request additional funds for EDA to finance pending and “ready-to-go” infrastructure projects.

As the only federal agency with the sole mission of private sector job creation, EDA is uniquely positioned to create and retain U.S. jobs and spur private sector investment in our nation’s distressed communities. According to the agency, EDA investments in FY2007 alone are predicted to create 52,124 jobs at a cost of just $4,000 per job and attract $28 of private capital investment for every dollar the agency spends.

According to EDA congressional testimony, the agency helps “create new American jobs at a cost of only $2,825 per job” and “leverages over $28 in private sector investments for every taxpayer dollar we invest.”

Since FY2001, overall funding for EDA has declined more than 35 percent, roughly $160 million. Using EDA’s job creation and leveraging ration figures, this represents a one year loss of $4.4 billion in private sector investment and the setback of saving or generating more than 56,000 jobs in distressed areas across the nation.

For example, in our region alone, additional investment resources are needed for Add brief language on
* description of project(s)
* EDA role in project(s)
* # of jobs saved or created
* private sector amount invested

It is for these reasons we urge you to contact Congressional leaders and request that funding for EDA infrastructure and public works investments be included in supplemental economic stimulus legislation being development by Congress.

Thank you for your consideration of this request.
[Return to Top]