the american recovery and reinvestment act of 2009 presentation to march 13, 2009

The American RecoveryThe American Recoveryand Reinvestment Act of 2009and Reinvestment Act of 2009

presentation topresentation to

March 13, 2009March 13, 2009

American Recovery and Reinvestment ActAmerican Recovery and Reinvestment Act

AGENDAAGENDA Introduction to Smith Dawson & Introduction to Smith Dawson & Andrews – Andrews – Jim Smith, Brian Hannigan, Mike Jim Smith, Brian Hannigan, Mike AlvarezAlvarez Overview of ARRAOverview of ARRA ARRA Funding SpecificsARRA Funding Specifics ICCSN StrategyICCSN Strategy Q & AQ & A


Introduction to SDA – Jim SmithIntroduction to SDA – Jim Smith

Illinois Background and TiesIllinois Background and TiesFounded in 1981Founded in 1981Expertise in Transportation, Expertise in Transportation,

Education, EnergyEducation, EnergyStrong Relations with Illinois Strong Relations with Illinois DelegationDelegationRepresent Several Illinois Local Represent Several Illinois Local GovernmentsGovernments


Overview of ARRA – Brian HanniganOverview of ARRA – Brian Hannigan

EmergencyEmergency Stimulus/Recovery Bill Stimulus/Recovery BillUnprecedented in Size and ScopeUnprecedented in Size and Scope$787 Billion in New Spending and $787 Billion in New Spending and Tax ReliefTax ReliefContrast to President’s FY2010 Contrast to President’s FY2010 Budget:Budget: $3.6 Trillion Total, of which $3.6 Trillion Total, of which $675 Billion is Non-Defense $675 Billion is Non-Defense

Discretionary SpendingDiscretionary Spending


Overview of ARRA Overview of ARRA

No Earmarks - Funds to flow through competitiveNo Earmarks - Funds to flow through competitiveFederal Agency processes and through statesFederal Agency processes and through statesStimulus funds do not affect any fiscal year Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 Continuing appropriations or amounts under FY 2009 Continuing ResolutionResolutionStated goal is to use at least 50% of funds for Stated goal is to use at least 50% of funds for activities that can be initiated within 120 days of activities that can be initiated within 120 days of enactment of Actenactment of Act


ARRA Spending - $499 ARRA Spending - $499 BillionBillion

$144 Billion – State and Local Fiscal $144 Billion – State and Local Fiscal ReliefRelief

$111 Billion – Infrastructure and $111 Billion – Infrastructure and ScienceScience

$81 Billion – Protecting the $81 Billion – Protecting the VulnerableVulnerable

$59 Billion – Health Care $59 Billion – Health Care

$53 Billion – Education and $53 Billion – Education and TrainingTraining

$43 Billion – Energy$43 Billion – Energy

$8 Billion – Other$8 Billion – Other


$ 499 Billion$ 499 Billion

144

111

81

5953

43

8

0

20

40

60

80

100

120

140

160

State/LocalFiscal Relief

Infrastructureand Science

Protecting theVulnerable

Health Care Education andTraining

Energy Other


ARRA Tax Relief - $288 ARRA Tax Relief - $288 Billion*Billion*

Includes:Includes:$15 Billion - Infrastructure $15 Billion - Infrastructure and Scienceand Science$25 Billion - Education and $25 Billion - Education and TrainingTraining$22 Billion – Energy$22 Billion – Energy

* Tax Provisions could be used by private * Tax Provisions could be used by private entitiesentities in partnerships with Community Colleges in partnerships with Community Colleges


Purpose and Goals of ARRA Purpose and Goals of ARRA PurposePurpose Preserve and create jobs and promote Preserve and create jobs and promote economic recoveryeconomic recoveryAssist those most impacted by the Assist those most impacted by the recessionrecessionSpur technological advances in science Spur technological advances in science and healthand healthInvest in transportation, environmental Invest in transportation, environmental protection, and other infrastructure that protection, and other infrastructure that will provide long-term economic benefitswill provide long-term economic benefitsStabilize State and local government Stabilize State and local government budgets, in order to minimize and avoid budgets, in order to minimize and avoid reductions in essential services and reductions in essential services and counterproductive State and local tax counterproductive State and local tax increasesincreases


Purpose and Goals of ARRA Purpose and Goals of ARRA GoalsGoalsCreate or save more than 3.5 million jobs Create or save more than 3.5 million jobs over 2 years over 2 years

Computerize health records - reducing Computerize health records - reducing medical errors and saving billions in health medical errors and saving billions in health care costscare costs (Building Block for Healthcare Reform) (Building Block for Healthcare Reform)

Revive the renewable energy industry Revive the renewable energy industry and provide the capital over the next and provide the capital over the next three years to eventually double three years to eventually double domestic renewable energy capacitydomestic renewable energy capacityUndertake largest weatherization Undertake largest weatherization program in history by modernizing 75 program in history by modernizing 75 percent of federal building space and percent of federal building space and more than one million homesmore than one million homes


Purpose and Goals of ARRA Purpose and Goals of ARRA GoalsGoals

Increase college affordability for seven Increase college affordability for seven million studentsmillion students by funding Pell Grants, by funding Pell Grants, increasing the maximum award level by increasing the maximum award level by $500, and providing a new higher education $500, and providing a new higher education tax cut to nearly 4 million studentstax cut to nearly 4 million studentsInvest $150 Billion in new infrastructure - Invest $150 Billion in new infrastructure - roads, bridges, mass transit systemsroads, bridges, mass transit systemsProvide an $800 Making Work Pay tax Provide an $800 Making Work Pay tax credit for 129 million working households, credit for 129 million working households, and cut taxes for the families of millions of and cut taxes for the families of millions of children through an expansion of the Child children through an expansion of the Child Tax CreditTax CreditRequire unprecedented levels of Require unprecedented levels of transparency, oversight, and accountability. transparency, oversight, and accountability.


ARRA Guiding PrinciplesARRA Guiding PrinciplesCreate and Preserve JobsCreate and Preserve JobsEstablish Unprecedented TransparencyEstablish Unprecedented Transparencyand Reporting Requirementsand Reporting RequirementsMake Funds Available as Quickly as Make Funds Available as Quickly as Possible - Consistent with Prudent Possible - Consistent with Prudent Management Management and Financial Practicesand Financial PracticesStimulus funds do not affect any fiscal year Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 appropriations or amounts under FY 2009 Continuing ResolutionContinuing ResolutionStated goal is to use at least 50% of funds Stated goal is to use at least 50% of funds for activities that can be initiated within for activities that can be initiated within 120 days of enactment of Act120 days of enactment of Act


ARRA Time LineARRA Time Line

February 13 – Congress Enacts H.R. 1February 13 – Congress Enacts H.R. 1February 17 – President Obama signs ARRA into law; February 17 – President Obama signs ARRA into law;

recovery.gov website activated recovery.gov website activatedFebruary 19 – Federal Agencies begin reporting February 19 – Federal Agencies begin reporting

formula block grant awards formula block grant awardsFebruary 25 – Federal Agencies establish Recovery February 25 – Federal Agencies establish Recovery websites websites March 3 – Federal Agencies begin reporting use of March 3 – Federal Agencies begin reporting use of fundsfunds

Weekly Updates to include:Weekly Updates to include:*Breakdown of Funding*Breakdown of Funding

*Major Actions Taken to Date*Major Actions Taken to Date*Major Planned Actions*Major Planned Actions


ARRA Time LineARRA Time Line

May 1 – Agency Recovery Plan deadlineMay 1 – Agency Recovery Plan deadline

May 5 – Agencies to Provide all ARRA assistanceMay 5 – Agencies to Provide all ARRA assistancetransactions to USASpending.govtransactions to USASpending.gov

May 15 – Detailed Agency Financial Reports Become May 15 – Detailed Agency Financial Reports Become AvailableAvailable

May 20 – Federal Agencies begin to report competitive May 20 – Federal Agencies begin to report competitive grantsgrants

and contracts and contracts

June 17 – Target Deadline to Begin Activities June 17 – Target Deadline to Begin Activities Funded with 50% of ARRA Monies Funded with 50% of ARRA Monies

July 15 – Recipients of Federal Funding begin July 15 – Recipients of Federal Funding begin reporting reporting

on their use of fundson their use of funds

September 30, 2010 – Funds SpentSeptember 30, 2010 – Funds Spent


ARRA FundingARRA Funding

Specific Opportunities for Specific Opportunities for Community CollegesCommunity Colleges

and the Illinois Community and the Illinois Community College Sustainability College Sustainability

NetworkNetwork


$750M- “$750M- “GreenGreen” and Health Care Worker ” and Health Care Worker Training Program - worker training and Training Program - worker training and placement in high-growth industry sectors. placement in high-growth industry sectors. Priority given to projects that prepare Priority given to projects that prepare workers for careers in energy efficiency and workers for careers in energy efficiency and renewable energyrenewable energy

Specific Opportunities – Dept. of Labor


Energy Efficiency and Renewable Energy- $16.8BEnergy Efficiency and Renewable Energy- $16.8B

-$2.5B applied research-$2.5B applied research-$800M biomass projects-$800M biomass projects-$400M geothermal activities and projects-$400M geothermal activities and projects-$50M information and communication technology-$50M information and communication technology-$3.2B EECBG – Energy Efficiency and Conservation -$3.2B EECBG – Energy Efficiency and Conservation

Block GrantsBlock Grants-$2.8 B by Formula-$2.8 B by Formula-$400 M Competitive Grants-$400 M Competitive Grants

Specific Opportunities – Dept. of Energy


Energy Efficiency and Renewable Energy- $16.8BEnergy Efficiency and Renewable Energy- $16.8B(Cont.)(Cont.)

-$5B Weatherization Assistance Program-$5B Weatherization Assistance Program

-$3.1B State Energy Program-$3.1B State Energy Program

-$2B Advanced Battery Manufacturing grants-$2B Advanced Battery Manufacturing grants

-$300M Alternative Fueled Vehicles Pilot Grants-$300M Alternative Fueled Vehicles Pilot Grants

-$400M Transportation Electrification-$400M Transportation Electrification

-$300M Energy Efficiency Appliance Rebate and -$300M Energy Efficiency Appliance Rebate and Energy Star ProgramEnergy Star Program

Specific Opportunities – DOE (Cont.)


Electricity Delivery and Energy Electricity Delivery and Energy ReliabilityReliability-$4.5B Smart Grid Investment Program-$100M Worker training activities-$80M resources assessment and analysis of future demand

Fossil Energy Research and Development-$1B R & D Programs-$800M Clean Power Coal Initiative-$1.52B Competitive grants for carbon capture and energy efficiency improvement projects-$20M Geologic sequestration training and research grants



Office of Science - Office of Science - -$400M Advanced Research Projects Agency for high-risk, -$400M Advanced Research Projects Agency for high-risk, high-payoff research for alternative energy innovationhigh-payoff research for alternative energy innovationInnovative Technology Loan Guarantee ProgramInnovative Technology Loan Guarantee Program-$6B loan guarantees for renewable technologies and -$6B loan guarantees for renewable technologies and transmission technologies – expected to support more than transmission technologies – expected to support more than $60B in loans$60B in loans



National Telecommunications and Information National Telecommunications and Information AgencyAgency

Broadband Technology Opportunities Program - Broadband Technology Opportunities Program - $4.7B Total to accelerate broadband deployment in $4.7B Total to accelerate broadband deployment in underserved areas and to strategic institutions likely underserved areas and to strategic institutions likely to create jobs or provide significant public benefitsto create jobs or provide significant public benefits

-$200M – Grants to expand public computer center -$200M – Grants to expand public computer center capacity, capacity, specifically including community colleges specifically including community colleges and public librariesand public libraries

Specific Opportunities – Dept. of Commerce


$200M-Academic Research Facilities Modernization- All $200M-Academic Research Facilities Modernization- All research divisions and advancements in supercomputing research divisions and advancements in supercomputing technologytechnology $60M- Robert Noyce Scholarship Program to encourage $60M- Robert Noyce Scholarship Program to encourage K-12 math/science teachers (incl. undergrad scholarships)K-12 math/science teachers (incl. undergrad scholarships) $25M- Math and Science Partnerships Program – $25M- Math and Science Partnerships Program – supports innovative partnerships to improve K-12 student supports innovative partnerships to improve K-12 student achievement in math and scienceachievement in math and science

Specific Opportunities – National Science Foundation


Student Financial Assistance- $15.84BStudent Financial Assistance- $15.84B- $15.64B Pell Grants – - $15.64B Pell Grants – maximum raised to $5,350maximum raised to $5,350- $200M- College work-study- $200M- College work-study Higher Education- $100MHigher Education- $100M- $250M - Institute of Education - $250M - Institute of Education Sciences - data coordinationSciences - data coordination

Specific Opportunities – Department of Education


National Health Service CorpNational Health Service Corp - $500M for Health Professions - $500M for Health Professions Training Programs Training Programs * Includes Nursing * Includes Nursing

Specific Opportunities – Department of Health and Human Services (HHS)


$53.6B – State Fiscal Stabilization Fund$53.6B – State Fiscal Stabilization FundDistributed directly to statesDistributed directly to states

$8.8B - to states for high-priority needs $8.8B - to states for high-priority needs (public safety, education) and (public safety, education) and modernization, renovation and repair of modernization, renovation and repair of public schools and higher education public schools and higher education facilitiesfacilities

$1.8B - Illinois Funding Share$1.8B - Illinois Funding Share

Funding through the State of Illinois


$5B – Weatherization Assistance Program$5B – Weatherization Assistance ProgramIllinois Share - $248.6MIllinois Share - $248.6M

State Energy ProgramState Energy ProgramIllinois Share $103.0MIllinois Share $103.0M

$2.95B – Workforce Investment Act Grants$2.95B – Workforce Investment Act GrantsIllinois Share:Illinois Share:Adults - $26.0MAdults - $26.0MYouth - $62.8MYouth - $62.8MDislocated Workers - $65.3MDislocated Workers - $65.3M

Funding through the State of Illinois


Advanced Energy Investment Credit- Up to $2.3B in credits. Advanced Energy Investment Credit- Up to $2.3B in credits. A 30% investment tax credit for manufacturing of advanced A 30% investment tax credit for manufacturing of advanced energy property.energy property.

Long-term Extension and Modification of Renewable Energy Long-term Extension and Modification of Renewable Energy Production Tax Credit- Extends the placed-in-service date for Production Tax Credit- Extends the placed-in-service date for wind facilities and other renewable energy facilities for 3 yrs wind facilities and other renewable energy facilities for 3 yrs (through 12/31/12)(through 12/31/12)

* Tax Provisions could be used by private entities* Tax Provisions could be used by private entities in partnerships with Community Colleges in partnerships with Community Colleges

Tax Provisions *


Temporary Election to Claim the Investment Tax Temporary Election to Claim the Investment Tax Credit in Lieu of the Production Tax CreditCredit in Lieu of the Production Tax Credit

Subsidized Energy Financing Limitation on the Subsidized Energy Financing Limitation on the Investment Tax CreditInvestment Tax Credit

Removal of Dollar Limitations on Certain Energy Removal of Dollar Limitations on Certain Energy CreditsCredits

Clean Renewable Energy Bonds (“CREBs”)Clean Renewable Energy Bonds (“CREBs”) Qualified Energy Conservation BondsQualified Energy Conservation Bonds Addition of Permanent Sequestration Requirement Addition of Permanent Sequestration Requirement

to C02 Capture Tax Creditto C02 Capture Tax Credit

Tax Provisions (Cont.)


Agencies now ramping-up Agencies now ramping-up to process funding requests to process funding requests New information available dailyNew information available daily Need to monitor websites and explore contactsNeed to monitor websites and explore contacts

Funding ProcessWhat Should ICCSN Do?

THE WHITE HOUSETHE WHITE HOUSEOffice of the Vice PresidentOffice of the Vice President

________________________________________________________________________________For Immediate For Immediate

Release March 12, 2009Release March 12, 2009

Administration Announces Nearly $8 Billion in Administration Announces Nearly $8 Billion in Weatherization Funding and Energy Efficiency Weatherization Funding and Energy Efficiency

GrantsGrants

Will support energy efficiency efforts nationwide that Will support energy efficiency efforts nationwide that will create 87,000 jobs will create 87,000 jobs

and cut energy bills for familiesand cut energy bills for familiesWashington DC -- Vice President Joe Biden and Energy Secretary Chu today Washington DC -- Vice President Joe Biden and Energy Secretary Chu today detailed an investment of nearly $8 billion in state and local weatherization and detailed an investment of nearly $8 billion in state and local weatherization and energy efficiency efforts as part of the President’s American Recovery and energy efficiency efforts as part of the President’s American Recovery and Reinvestment Act. With an investment of about $5 billion through the Reinvestment Act. With an investment of about $5 billion through the Weatherization Assistance Program and about $3 billion for the State Energy Weatherization Assistance Program and about $3 billion for the State Energy Program, the Department of Energy will partner with state and local Program, the Department of Energy will partner with state and local governments to put 87,000 Americans to work and save families hundreds of governments to put 87,000 Americans to work and save families hundreds of dollars per year on their energy bills.dollars per year on their energy bills.

To jump-start job creation and weatherization work, the Department of Energy To jump-start job creation and weatherization work, the Department of Energy is releasing the first installment of the funding – about $780 million -- in the is releasing the first installment of the funding – about $780 million -- in the next few days. The Department will release additional funding over time as next few days. The Department will release additional funding over time as states demonstrate that they are using the funding effectively and responsibly states demonstrate that they are using the funding effectively and responsibly to create jobs and cut energy use.to create jobs and cut energy use.

THE WHITE HOUSETHE WHITE HOUSEOffice of the Vice PresidentOffice of the Vice President

________________________________________________________________________________For Immediate For Immediate

Release March 12, 2009Release March 12, 2009

Obama-Biden Administration Announces Nearly Obama-Biden Administration Announces Nearly $344 Million in Weatherization Funding and $344 Million in Weatherization Funding and

Energy Efficiency Grants for IllinoisEnergy Efficiency Grants for IllinoisPart of nearly $8 billion in Recovery Act funding Part of nearly $8 billion in Recovery Act funding for energy efficiency efforts nationwide that will for energy efficiency efforts nationwide that will

create 100,000 jobs and cut energy bills for create 100,000 jobs and cut energy bills for familiesfamilies

Washington DC -- Vice President Joe Biden and Washington DC -- Vice President Joe Biden and Energy Secretary Chu today announced Illinois Energy Secretary Chu today announced Illinois will receive $343,847,619 in weatherization and will receive $343,847,619 in weatherization and energy efficiency funding – including energy efficiency funding – including $242,526,619 for the Weatherization Assistance $242,526,619 for the Weatherization Assistance Program and $101,321,000 for the State Energy Program and $101,321,000 for the State Energy Program. Program.

American Recovery and Reinvestment ActAmerican Recovery and Reinvestment ActICCSN StrategyICCSN Strategy

ICCSN InitiativesICCSN Initiatives

Illinois Congressional Delegation Illinois Congressional Delegation Letter Letter to Governor Pat Quinn – 100% to Governor Pat Quinn – 100% Support!Support! Signed by All 18 Current Members Signed by All 18 Current Members of Congressof Congress Proposed Network Expansion andProposed Network Expansion and Green Collar Workforce Grant Green Collar Workforce Grant ProgramProgram Now Pursuing with DCOE and Now Pursuing with DCOE and Office of Governor Pat Quinn Office of Governor Pat Quinn


Questions and AnswersQuestions and Answers

Conclusion

Thank YouThank You

the american recovery and reinvestment act of 2009 presentation to march 13, 2009

Documents

reinvestment actpurpose

reinvestment actintroduction

billionamerican recovery

actamerican recovery

otheramerican recovery

homesamerican recovery

reinvestment actarra

goals of arra goalscreate