Thursday, January 22, 2009

Brown Calls for Stimulus Funds to be Allocated by Unemployment & Foreclosure Rates

January 16, 2009

WASHINGTON, D.C.—U.S. Senator Sherrod Brown (D-OH) today called on his colleagues to allocate economic recovery funds to states based on unemployment and foreclosure rates. In a letter to Senate leadership, Brown called for relief funds to be targeted to states like Ohio that have been disproportionately suffering from the economic downturn.

“Just as the recession has disproportionately affected certain industries, so too have certain states felt this downturn more acutely than others,” wrote Brown in a letter to Senator Majority Leader Harry Reid (D-NV) and Minority Leader Mitch McConnell (R-KY). “In Ohio, this is evidenced by above-average unemployment and home foreclosure rates, swelling jobless rolls, increased reliance on the food stamp program, and a number of other economic indicators.  Unfortunately, these problems are not limited to our state.”  

Ohio is among the states hardest hit by the current recession. Since 2000, the state has lost more than 200,000 manufacturing jobs. The state’s unemployment rate of 7.3 percent is the tenth highest in the nation. Ohio’s foreclosure rate is the tenth highest in the nation, and significant water and sewer infrastructure needs—including $11.6 billion in documented clean water needs and $6.3 billion in unmet sewage upgrade costs.

In December, Brown sent a letter to President-elect Barack Obama advocating for specific priorities to be included in the final bill. The letter also was sent to Senate Majority Leader Harry Reid (D-NV) and House Speaker Nancy Pelosi (D-CA).

In the letter today, Brown outlined how stimulus funds could be most effectively allocated to alleviate the economic downturn.  The letter was also signed by Senator George V. Voinovich (R-OH).

“Factors like unemployment and foreclosure rates should be given great weight as stimulus funding is determined,” the letter continued. “The effects of the economic crisis have been uneven across the country.  To be effective, our nation’s economic stimulus strategy should reflect this reality.”

1 comment:


This article is very timely and relevant. As I quote Cameron Muir, an economist, "Home sales are unlikely to fall much further..That being said we expect home sales not to decline much further."

But it's never too late, with the right business plan set up, it will lead to valuable outcome. This is what most counselors would give as an advise.