Wyoming braces for stimulus cash

Wednesday, February 25, 2009

By Henry Sweets

Jackson Hole, Wyo.-Like every other state in the U.S., Wyoming is trying to figure out how much money it will get from the American Reinvestment and Recovery Act (House Bill 1). And despite the efforts of “a lot of smart people” who are trying to decipher the more than 1,000-page bill, a spokesperson for the Governor said it could be days or weeks before an official number will be announced.

House District 23 Representative Keith Gingery said Teton County will likely receive money for a terminal expansion at the Jackson Hole Airport and all four phases of a new child care facility in Rafter J.

Senator John Barrasso told the Wyoming state legislature Friday that the bill could bring up to $540 million to Wyoming, but the Governor’s office will not announce a figure yet. A team of state office executives must first add up how much each of their offices will receive before a total is announced.

A table released by the Obama Administration claims that Wyoming will get 8,000 new jobs. Cara Eastwood, the Governor’s press secretary, said the governor’s office has no idea where that figure comes from.

“We don’t know what that number is based on,” Eastwood said. “A lot of totals that are being batted around have fine print on how that number was reached that is difficult to read.”

Some estimates include tax breaks, student loans and other potential savings, but Freudenthal’s office is trying to formulate a number that reflects the actual totals of federal money that will come in to Wyoming, Eastwood said. Most of the arithmetic falls on the shoulders of those who already get a lot of federal funding; like the departments of health, transportation and environmental quality among many others.

About 30 officials, many of them chief executives of Wyoming departments, now sit on the “reinvestment and recovery team” that is working together to find that number by deducing what piece each individual office will get.

“Basically, what we have at the table …  is the experts in Wyoming in all these areas … someone from the law enforcement community, the transportation department, health and social services etc.,” Eastwood said. “Each of those members on the team are keeping tabs on the best information they can gather on what the picture looks like in terms of funding for Wyoming in that particular area.”

Once the entities know what is available Gov. Fruedenthal will decide what money the state actually accepts. The governor said he supports the bill but might refuse some cash with “strings” attached that could either force Wyoming to change state laws, match federal funds with the state coffers or start programs that would then have to be supported by state funds once the federal money dries up.

All members of Wyoming’s Republican delegation to Washington said they weren’t given enough time to read the bill, don’t support it, and are critical of its financial scope and political intent.

A press release filed jointly by Barrasso and Wyo. Senator Mike Enzi said the bill will “increase government debt and escalate government control in the lives of Americans, all under the guise of stimulating the economy.”

Cynthia Lummis’ press secretary, Ryan Taylor, said in an e-mail that Lummis only received a copy of the bill at midnight before the vote. She has observed that some governors will not accept some of the cash and offered advice for Freudenthal.
“Rep. Lummis believes that each governor, including Wyoming’s, will have to make a decision whether or not to keep the money based on two critical points: will the funds actually create jobs or will it burden the state with mandated programs long after the money runs out?” Taylor wrote.

Larry Sabato, director of University of Virginia’s Center for Politics, said in an e-mail that some Republican governors have threatened to refuse some of the cash, but that Wyoming’s moderate Democratic governor does not fit that mold.

“If a state doesn’t have the matching funds needed for a program, it shouldn’t take the federal money,” Sabato wrote. “But overall, the odds are that Wyoming will end up accepting the vast majority of the funds apportioned to it. Most taxpayers say, ‘We paid into the treasury. If they are going to give some back, we should get ours.’”

Eastwood assured that Fruedenthal’s hesitance was not influenced by any outside pressure, but because he is wary of how some funds will affect state government and might force unwanted policy changes. He supports the bill, she said.

“I can definitely say that the governor believes this funding could be put to work for the benefit of people who live in Wyoming,” Eastwood said. PJH
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