When the Senate returns to their duties after their winter break on January 19, one of the first issues on their agenda will be is to sort through the $154 billion job-creation stimulus package. The House has already passed the package and now it’s the Senate’s turn to take a stab at it and determine just what it will include.
Why the New Stimulus Package?
Despite some criticism from members of Congress, President Barack Obama decided to push for an addition to the original stimulus package to create more jobs. His idea was to push more money into various job sectors to get the ball rolling.
Shortly thereafter, the new job creation package appeared and rather quickly passed in the House. Now that the ball has landed in Senate’s court, it’s up to them to determine just what will be in the new package to make it as effective as possible.
What’s in the New Package So Far?
To get a better idea of what the Senate will be taking a stab at after their holiday break, let’s take a closer look at the new package as it stands.
The following aspects of the bill will go to job creation:
- $27.5 billion will go to create new construction jobs to billion highways and help with new public transit.
- $200 million for Americorps volunteer program.
- $500 million to create summer jobs for disadvantaged youth.
However, some parts of the bill will be used to keep current workers employed:
- $1.18 billion will be used to keep police officers on the job.
- $23 billion will be used to prevent teachers from being laid off.
And then other parts of the bill will be used for miscellaneous economic improvement projects:
- $800 million for Amtrak to replace and rehab railroad cars and engines.
- $2 billion to back up loans for green technology.
- $500 million for airport projects.
- $2 billion in loans and grants to improve water quality.
- $1 billion to build and rehab rental housing for the most poor.
- $65 million in rental assistance for the most poor.
The House bill is also estimated to add $65 billion to the deficit over the next 10 years.
There are expectations out there that the Senate will make some drastic changes to the final bill. One assumption is that members will rewrite the bill to include job creation measures that Obama called for in December, including offering tax breaks to small businesses that create new jobs.
Do you think the new stimulus bill will help?