Stimulus a Local Bust, Only 54 Jobs

The big federal stimulus is trickling down to a big local disappointment.

“Eugene has a list of over $200 million in ‘ready to go’ projects that fit the stimulus criteria,â€ Mayor Kitty Piercy said in her state of the city speech in January. â€œWe expect these projects, if funded, could create 4,404 well-paying jobs by the end of next year–with an emphasis on green industry.”

But two months later, after getting largely stiffed on stimulus by the state and Metropolitan Policy Committee, the city is looking at a total of only $5.4 million in direct stimulus creating an estimated 54 jobs.

With local unemployment at 11.9 percent, 54 jobs is only two-tenths of one percent of the 22,351 jobless people in Lane County, according to state data. The Lane Council of Governments (LCOG) estimates that each $100,000 in federal stimulus creates one job.

Other money from the $787 billion federal stimulus will go directly to other local agencies. LTD will get $6.5 million, for example. But LTD General Manager Mark Pangborn said the bus agency will not use the money for new jobs but rather to prevent layoffs of existing workers. Even with the stimulus, he said, LTD will cut services 3 percent.

Even after factoring in expected federal stimulus funds, Eugeneâ€™s 4J school district is looking at teacher layoffs to cover a $10 million deficit. Of course, without the stimulus 4J would have had to lay off even more teachers.

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