Massive as it is, the $787 billion federal stimulus package hammered out in Congress last week is likely to fund only a small portion of infrastructure projects that Colorado cities and counties have identified as “shovel ready.”
A Denver Post analysis found that the state’s portion of the stimulus money for transportation would fund just 15 percent of projects submitted by cities and counties.
There also is little money for some popular proposals of local governments, such as replacing aging government buildings, sprucing up parks and building jails.
Colorado is expected to receive about $1.97 billion in stimulus money this year, with $404 million going to transportation, according to the U.S. Senate Democratic Policy Committee. The Obama administration estimates the spending will create or save 60,000 jobs in the state.
Colorado cities and counties submitted at least $4.4 billion in ready-to-go projects to Congress recently through Colorado Counties Inc. and the U.S. Conference of Mayors. Represented on the wish lists are 12 cities and 34 of the state’s 64 counties.
Requests ranged from $125 million for street widening in Colorado Springs to $50,000 to re- insulate Chaffee County homes. The lists identified hundreds of road projects, more than 100 bridge repairs and replacements, at least 65 water and sewer upgrades and scores of other capital-improvement and green-oriented projects.
“I’ve told county commissioners they ought to make up their own minds about whether the bill is good for the country,” said Larry Kallenberger, executive director of Colorado Counties Inc., which lobbies for county governments. “They may be disappointed if they’re expecting a big chunk of cash made out to county governments.”
Cities, counties feel left out
Some city and county officials were disappointed that federal and state agencies will distribute all the money.
“I had hoped that there would be some money set aside for cities and counties,” said Durango City Manager Ron LeBlanc. “We’ve got projects that would create jobs faster than anything coming from Washington.”
The excess of unfunded local projects highlights a worsening financial problem for cities and counties. The backlog of infrastructure needs has grown as construction costs have risen, revenues from sales and property taxes have fallen, tight credit markets have made it more difficult to issue bonds and weary taxpayers have become less willing to accept tax increases.
But local governments are hardly being shut out of the stimulus party.
The Colorado Municipal League estimated that as much as $170 billion of the original House stimulus proposal, which was pared down in the final bill, could have ultimately benefited municipalities nationwide. That included $87 billion in Medicaid assistance to states, $39 billion for transportation and transit, $7 billion for housing, $6 billion for water and sewer projects and billions more for broadband improvements, law enforcement and energy-efficiency works.
It doesn’t include educational funding, a major part of the stimulus package.
“On balance, the viewpoint of municipal officials is being heard,” said Sam Mamet, executive director of the Colorado Municipal League. “That also extends to conversations we’ve had with the state.”
Getting creative with proposals
Local governments that get creative in searching and applying for stimulus funding are likely to benefit the most. Many are scrambling to find which agencies could fund their pet projects.
Boulder is working with Xcel Energy on a $6 million stimulus proposal under the federal Smart Grid Investment Program to retrofit 60 hybrid electric vehicles so they can be plugged in for charging. It’s working with the Army Corps of Engineers on a creek restoration plan.
“We’re doing our homework and making preparations so we can submit our applications if the funds are there,” said Carl Castillo, a policy adviser with Boulder. “I’ve been trying to coordinate with the various city departments to make sure they’re aware of opportunities.”
Clear Creek County plans to apply for $4.5 million in stimulus funding for its Guanella Pass paving work through the Central Federal Lands Highway Division of the U.S. Department of Transportation, said County Commissioner Harry Dale.
Local communities nationwide hope to renovate government buildings with green improvements through a $30 billion stimulus program for energy-efficient projects.
Transportation money lacking
The most coveted money — to repair crumbling highways, roads and bridges — will be in shortest supply. Roughly $2.7 billion of the $4.4 billion in projects submitted by Colorado cities and counties is for transportation projects. The state expects to receive a maximum of $404 million for transportation, or enough to fund about 15 percent of the requests.
The cities that submitted projects said about 21,000 jobs would be created by their 200 road, water, transit and other projects. Job durations were not provided, and each city used different calculations to make the estimates.
The transportation money will be disbursed in part by the Colorado Department of Transportation and in part by three metropolitan planning organizations, including the Denver Regional Council of Governments, that represent the state’s biggest urban areas.
CDOT has ranked critical road projects across the state and indicated that 50 to 60 will receive stimulus money. Those are primarily improvements to interstates and state highways, though some high-volume street intersections are included. CDOT looked for projects that can be started and completed relatively quickly.
None of the road projects proposed by Clear Creek County are on CDOT’s list, though a few are close, and county officials expect their proposals to move up thanks to the stimulus. They want to finish improvements to Colorado Boulevard, Idaho Springs’ main street, and construct a roundabout in Georgetown near the exit from Interstate 70, Dale said.
“If we had our druthers, we’d love to see some county projects funded, but we understand that statewide projects have priority,” he said.
Kallenberger of Colorado Counties Inc. said rural areas would benefit from Gov. Bill Ritter’s Funding Advancement for Surface Transportation and Economic Recovery bill, which would give cities and counties set proportions of state transportation funding each year.
Some officials in less populated parts of the state remain uncertain they’ll see much direct benefit from the stimulus money.
Gunnison County Commissioner Hap Channell said some colleagues in rural county government are concerned they won’t get their fair share compared with urban areas.
Meanwhile, residents expect their local governments to act quickly to secure stimulus money and begin major infrastructure projects.
Gunnison County needs a new jailhouse and a new building for its public works department, Channell said. He thinks U.S. 50 needs resurfacing, but it is not on the state’s list.
“There is a sense of urgency,” he said, “that if we don’t have things ready to go, we’ll be left out in the cold.”
Greg Griffin: 303-954-1241 or ggriffin@denverpost.com
Quotes
Colorado’s congressional delegation split along party lines Friday in voting on the compromise version of the economic-recovery plan. In the House, the five Democrats voted “yes,” and the two Republicans voted “no.”
HOUSE MEMBERS
“In order to get our economy back on track, not only do we need to make the broad investments provided for under this legislation in health care, education and infrastructure, we need to continue working with the administration to address foreclosures and the troubled financial sector.” Rep. Diana DeGette, Denver Democrat
“By creating 3.5 million jobs, giving 95 percent of working families a much-needed tax cut and investing in our infrastructure — physical and human — we are taking immediate action to restore growth and prosperity to the American people.” Rep. Jared Polis, Boulder Democrat
“We have spent billions of dollars rebuilding the infrastructures and economies of other countries in the past few years. Now, it’s time to spend American money on American jobs.” Rep. John Salazar, Manassa Democrat
“These are not ordinary times in America. The severity of this economic crisis demands bold action, and I am proud to pass this bill today to begin putting Americans back to work and our country back on its feet.” Rep. Betsy Markey, Fort Collins Democrat
“This spending bill is a sorry substitute for a comprehensive economic- stimulus plan to help American families and businesses. My constituents are looking to Congress for real solutions. Instead, the Democrats have delivered them a big government spending spree.” Rep. Doug Lam born, Colorado Springs Republican
“The final version is too weak, where needed, to make a difference to stimulate our economy, but it definitely has enough wasteful deficit spending in it to plunge our nation deeper into debt, ultimately making a full recovery that much harder.” Rep. Mike Coffman, Aurora Republican
“The bottom line is this measure is a substantial step forward in getting our country on track so people can afford to sell their homes, pay for college and retire when they want to.” Rep. Ed Perlmutter, Golden Democrat
