Cleveland Loses Stimulus Funds - More Money Going South

[Bill Call]

Short changed again:

http://blog.cleveland.com/metro/2009/06 ... tions.html

The City won’t be getting any stimulus money for the Opportunity Corridor or for the inner belt bridge. The State has told City officials that the money for those projects will come from other State funds. Really? What State funds? (I’m beginning to have doubts that Lakewood schools will see the $45 million. Where will the State get money it does not have?)

This region has been Southern Ohio's cash cow for years. The little money the State spends in North East Ohio is spent on widening freeways. Little is left for anything else.

It’s time for our elected representatives in the Ohio House and Senate to start fighting for a bigger piece of the action. They should make sure that nothing gets done unless we get our fair share of the loot. In a kleptocracy the better representative is the better burglar. Hmmm, maybe I’ll run for that seat myself under the slogan: “Bill, the better burglar” or maybe "Change you can believe in because spare change is all you gonna get"

[David Anderson]

I believe the proceeds raised from Ohio's gas tax and vehicle registration are dedicated sources of funding that can only be used for transportation purposes.

Now, whether these sources can cover ODOT’s maintenance program as well as any new projects remains to be seen. However, let's not assume that because the State of Ohio's budget is in shambles that ODOT's is as well.

[Bill Call]

I believe the proceeds raised from Ohio's gas tax and vehicle registration are dedicated sources of funding that can only be used for transportation purposes.

Now, whether these sources can cover ODOT’s maintenance program as well as any new projects remains to be seen. However, let's not assume that because the State of Ohio's budget is in shambles that ODOT's is as well.

You are correct. One of the little projects I never got around to was getting an exact definition of "transportation purpose".

The tax on fuel collected about 1.8 billion per year for 06, 07 and 08. Fuel tax receipts for January 09 are about 10% below the historical average. It is likely that the rest of this fiscal year will see similar declines.

At the risk of tripping on my own tongue:

ODOT was suppose to finance innerbelt improvements before there was stimulus package. When the State announced that they intended to use stimulus money to finance the inner belt project I thought that the State was then obligated to spend the innerbelt funds on other projects in this area. If they did not then this area gets no additional funding under the stimulus package.

The new news is even worse. Not only will the stimulus funds dedicated to this area be spent somewhere else but ODOT's funding squeeze puts other improvements in this area at risk.

[Brian Pedaci]

Bill, you may not always be right, but when you are, you're right on the mark. This is one of those times.

[Richard Cole]

Bill - this was one of my favorite books to read to my kids

[Bryan Schwegler]

Bringing this into perspective, let me quote a relevant part of the article:

"We're replacing the money dollar for dollar with other funds," said Strickland's spokeswoman, Amanda Wurst. "And without the stimulus, these investments might not have been possible."

ODOT's spokesman said the $20 million for Opportunity Corridor was pulled at the request of the U.S. Department of Transportation. The project is still in its planning stages and the federal officials preferred that the money go to construction-ready projects, said Scott Varner, ODOT spokesman.

"The bottom line is the investment that Ohio or ODOT is making in Cleveland will not change," he said.

Projects that will now be funded by stimulus money originally slated for Cleveland include a bridge on Ohio 18 in Lorain County, road and bridge improvements on U.S. 30 in Stark County, and an overpass upgrade on Ohio 539 and Interstate 71 in Wayne County.

Money for those projects will now move to the Inner Belt Bridge, which is estimated to cost a total of $400 million, and the $20 million for planning and development of the corridor, which is estimated to cost more than $300 million.

Emphasis added was mine. And you notice that the projects the money is being traded with are no in Southern Ohio? So in the end, the projects will still be done, we're not really losing anything.

[Donald Farris]

Hi,
How many "construction ready" projects did Lakewood's city government offer to the State to use the once in a lifetime stimulus dollars to help Lakewood's economy?

[Bill Call]

Emphasis added was mine. And you notice that the projects the money is being traded with are not in Southern Ohio? So in the end, the projects will still be done, we're not really losing anything.

Most of the money will be spent in Southern Ohio:

http://county-map.digital-topo-maps.com ... ty-map.gif

http://www.cantonrep.com/news/x70234274 ... s-projects

I must have tripped on my tongue. I’ll round out numbers.

The State was committed to spending $400 million for the inner belt bridge. Stimulus payments to Cleveland were estimated to be about $130 million. In my mind that meant $530 million in construction projects in the Cleveland area.

Then the State announced that they would use the $130 million in stimulus funds to help finance the inner belt bridge. That meant $400 million in construction projects for the Cleveland area. The same amount that was to be spent before there was a stimulus package. Now the State announces that the stimulus funds dedicated to the Cleveland area will be spent in Southern Ohio. But they tell us not to worry because the State still intends to fund the inner belt bridge.

The bottom line is that Cleveland now gets NO stimulus money.

ODOT blames the feds because the feds want shovel ready projects. Fair enough but when the State then spends that money in Southern Ohio they tell us they have no choice because there are no shovel ready projects in Cuyahoga County. Really? Lakewood alone had $70 million in shovel ready projects.

[David Anderson]

It has been proven over the years that Cuyahoga has been a donor to the state in terms of more fuel tax and vehicle registration fees leaving the county than returning. In other words, we are putting in more that we are getting out. Which means other counties must be donee's.

Of course, simply getting back exactly what we're putting in would undercut a primary purpose of state government - collect revenue and distribute it according to "need," whatever need means.

Your points regarding the shell game being played with ODOT revenues in the context of federal stimulus money seem right on, Bill.

[Donald Farris]

Hi,
We have a once-in-a-lifetime chance to get BILLIONS of dollars and all Lakewood can come up with is $70 million in projects? Lost opportunity. Good ad for next guy running for Mayor.

And as always discussion is on Cleveland and not Lakewood. We need to cut the cord and work for bettering Lakewood over all others first. Take care of Lakewood, then we can support helping others. JMHO.