For Immediate Release
January 28, 2009
Contact:
Aketa Marie Simmons
202-226-6709
Rep. Fudge Votes for the American Recovery and Reinvestment Act
WASHINGTON, DC – Today, Congresswoman Marcia Fudge (D-OH) stood by her promise to the 11th District of Ohio. Rep. Fudge was one of 244 members of Congress who voted to pass the American Recovery and Reinvestment Act out of the United States House of Representatives. Rep. Fudge vowed to bring jobs to the 11th District and she views the recovery package as a solid start in that effort.
"President Obama and his economic team deserve an opportunity to put in place an economic package to address the current crisis. While the recovery plan is not a 'magic bullet' it is a positive first step on the long road towards recovery." stated Rep. Fudge. "The people of Ohio are crying for relief and this package begins to address our areas of need."
This historical investment in the nation comes at a time of tremendous financial strife. In the last year alone, 2.6 million jobs were lost in the United States – the worst year in more than 60 years.
As a bellwether state, Ohio has felt the economic recession deeply. Ohio's unemployment rate in December was 7.8%, slightly higher than the national average. Unemployment has reached levels not seen for 23 years, while the state continues to rank near the top in foreclosures.
The American Recovery and Reinvestment Plan will offer much needed relief to millions of working families and unemployed workers who have been hurt by the economic downturn. It will also provide incentives for businesses to grow and create new jobs.
"There is something in the recovery plan for every American and direct aide for our cities," said Rep. Fudge. "Of course, the 111th Congress will monitor the American Recovery and Reinvestment Plan's real world effect and if it needs modification I will be the first member at the table."
Ohio will receive expanded services and aide in the plan, aspects of which are highlighted below.
PUTTING AMERICANS BACK TO WORK
Real Training and Real Employment Services: The recovery plan includes $4 billion for job training including formula grants for adult, dislocated worker, and youth services. This also includes $1.2 billion to create up to one million summer jobs for youth. (Ways and Means Committee)
Expansion of Educator Workforce: $100 million is allocated for competitive grants for states to address teacher shortages and modernize the teaching workforce. These monies can be used to save many teacher jobs threatened by budget shortages. (Ways and Means Committee)
Employment Services Grants: $500 million is allocated to match unemployed individuals to job openings through state employment service agencies and allow states to provide customized services. Funds are targeted to states with the greatest need based on labor force, unemployment, and long-term unemployed rates. (Ways and Means Committee)
ASSISTING THOSE OUT OF WORK
Unemployment Benefits Extension: A total of 91,704 Ohioans will receive an extension to their unemployment benefits. Money from the recovery package will continue the current extended unemployment benefits program – which provides up to 33 weeks of extended benefits - through December 31, 2009. (National Employment Law Project)
COBRA Healthcare for the Unemployed: Healthcare for the unemployed is expensive, but absolutely necessary. So, we have taken steps to make it more affordable. $30.3 billion is allocated to extend health insurance coverage to the unemployed, extending the period of COBRA coverage for older and tenured workers beyond the 18 months provided under current law. Specifically, workers 55 and older, and workers who have worked for an employer for 10 or more years will be able to retain their COBRA coverage until they become Medicare eligible or secure coverage through a subsequent employer. In addition, it will subsidize the first 12 months of COBRA coverage for eligible persons who have lost their jobs on or after September 1, 2008 at a 65 percent subsidy rate, the same rate provided under the Health Care Tax Credit for unemployed workers under the Trade Adjustment Assistance program. (Ways and Means Committee)
Increased Benefits: In Ohio 666,416 individuals will received a $25 per week increase in their unemployment insurance benefits. (National Employment Law Project)
Strengthening Medicaid: In a recession, more people need Medicaid, but the state revenues available generally decline. The recovery plan will bring $2,826,900 to Ohio in order to prevent the state from cutting provider payment rates, eliminate services, and cut eligibility levels. The recovery plan will temporarily raise the federal matching rate for each state through the end of 2010. (Center on Budget and Policy Priorities)
ASSISTING OUR FAMILIES
Afterschool Meals: $726 million is allocated to increase the number of states that provide free dinners to children in afterschool programs and to increase snack reimbursement rates. (Ways and Means Committee)
Child Care Development Block Grants: Over two years, Ohio will receive $68,140,840 to provide child care services for 8,180 children, during a two year period, in low-income families while their parents go to work. (Center for Law and Social Policy)
Community Services Block Grant: $1 billion is allocated for grants to local communities to support employment, food, housing, and healthcare efforts serving those hardest hit by the recession. Community action agencies have seen dramatic increases in requests for their assistance due to rising unemployment, housing foreclosures, and high food and fuel prices. (Ways and Means Committee)
Community Development Block Grants: $1 billion is allocated for community and economic development projects including housing and services for those hit hard by tough economic times. (Ways and Means Committee)
Low-Income Home Energy Assistance: $1 billion is allocated to help low-income families pay for home heating and cooling at a time of rising energy costs. (Ways and Means Committee)
ASSISTING OUR STUDENTS
Invigorating Ohio School District: Approximately $1,725,900,000 will be infused into Ohio schools for student advancement, school tools and school modernization. The breakdown of funds are below.
o Title I - $478,600,000
o IDEA - $512,300,000
o School Modernization - $515,400,000
o Higher School Modernization- $219,600,000
(Center on Budget and Policy Priorities)
Pell Grants: Pell Grants will be increased by $500, for a maximum of $5350 in 2009 and $5550 in 2010. That increase will affect well over 205,000 Ohioans. (Ohio Board of Regents)
College Work-Study: The recovery plan will infuse $490 million to support undergraduate and graduate students who work. (Ways and Means Committee)
Stafford Loan Limit Increases: To further help students, the recovery plan increases limits on unsubsidized Stafford loans by $2,000. This will affect over 450, 000 students and bring over $900 million to those Ohio students. (Ohio Board of Regents)
Head Start: $2.1 billion to provide comprehensive development services to help 110,000 additional children succeed in school, including $1 billion for Early Head Start, infant and toddler programs. (Ways and Means Committee)
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