Six billion dollars of the $825 billion stimulus bill moving through the House of Representatives is aimed at building broadband networks. The idea is to create jobs and spur business investment through government grants to build high speed networks in rural areas that don’t already have them. It would also provide grants to states to boost service in “under-served” areas.
What’s “under-served”? To define that, the Commerce Department’s National Telecommunications and Information Administration (NTIA) would create a national broadband inventory map. The map would be public and online. After that’s done, the Federal Communications Commission would have 135 days to decide which areas are “under-served.” To make the map and administer the grant program, the NTIA will receive $350 million. The NTIA will issue a total of $2.825 billion dollars in broadband grants to states. The Department of Agriculture’s Rural Utilities Service (RUS) will get an equal amount to provide grants, loans and loan guarantees.
Critics say this spending won’t be effective since it will be years before the money will be spent and companies are likely to absorb for themselves any subsidies they receive. Supporters say the spending will have a “multiplier” effect, boosting confidence and being a catalyst for innovation.
The House is expected to vote on the stimulus bill next week.
Comments
Lions' Fan:
Well, they'll still need people to direct traffic around all those construction sites. Ever notice that the sign holders are almost always women? Lol.
Personally, if I - a woman myself - am laid off from my job in IT and can't get hired elsewhere, it might be a nice change of pace to do some physical labor for a while. True, I can only lift about 100 lbs worth of stuff at a time, but with the shape some of our roads and bridges are in, a lot of the funds earmarked for "Brick and Mortar" will likely be used for road/highway/freeway work. If necessary, I'm sure a lot of women could learn to lay asphalt and pour concrete with the best of them...
Or we could always just stand around and supervise.
Another perspective-- How much is $825 billion? It is almost 40% larger than the cost to date of the War in Iraq.
Another question--- I read where $325 billion is earmarked for "bricks and mortar." I assume that means construction jobs. What does that do for all the women who have lost their jobs or can't find jobs?
Stephanie,
Consider that one-one hundreths of 1% of a $100 is $.01... a penny... a throw away. Apply that to the $50 billion Madoff says he stole and one-one hundreths of 1% equals $5 million, or more than a school teacher and a cop earn in a lifetime. The amounts that are being thrown around are incomprehensible, especially when put in some perspective.
You're right when you say you remember when $6 billion was "real money." We're not dealing with real money--we're dealing strictly in numbers. Real money has lost all of its identity. These stimulus packages throw billions of dollars here and there and we don't grasp the magnitude of the numbers we're talking about. And quite Frank-ly, I don't think Congress does either.
Wow - I still remember when $6 billion was "real money".
Six billion dollars out of $825 billion represents about seven-tenths of one percent. That's rounding error and hardly worth worrying about...unless there are a bunch of these in the bill.