Tuesday, July 28, 2009

New $31 Billion Capital Construction Plan Will Mean More Than 439,000 Jobs

From the Office of Governor Pat Quinn

July 27, 2009 - Governor Pat Quinn has signed into law bills that create the $31 billion Illinois Jobs Now! plan, which will revive the state’s ailing economy by creating and retaining more than 439,000 jobs over the next six years. At a bill signing ceremony, Governor Quinn stressed this is the first statewide capital construction effort to become law in more than a decade.

“This is a crucial economic recovery initiative that will generate what’s needed most in Illinois: jobs, jobs, jobs,” said Governor Quinn. “Illinois Jobs Now! provides many long-awaited improvements to our bridges and roads, transportation networks, schools and communities.”

The road and bridge construction projects will be overseen by the Illinois Department of Transportation, while the state facility, university and school construction programs will be administered by the state’s Capital Development Board (CDB).

“We will prioritize projects based on three factors: Those that are ready for bidding right away, so construction jobs can be created immediately; the most pressing repair and maintenance projects that will help protect state property; and the grants to school districts who have waited for nearly eight years for promised state funds,” said CDB Executive Director Jim Riemer.

Governor Quinn added that Illinois Jobs Now! will create many new “green” weatherization jobs, protect and improve the state’s fresh water supplies, and advance high-speed rail from Chicago to St. Louis, which will cut down on auto traffic and emissions.

“With Illinois Jobs Now!, our state rises to the challenge of building a viable green economy for the 21st Century that serves our people and strengthens our businesses,” said Governor Quinn.

Illinois Jobs Now! will invest $31 billion in the Illinois economy over six years; access more than $3.7 billion in American Recovery & Reinvestment Act (ARRA) funds; and support more than 439,000 Illinois jobs. It features $14.3 billion for roads and bridges, including $9.8 billion for the multiyear road program, $4 billion for new projects, and $500 million for local projects.

The plan’s $7 billion for developing a 21st century transportation network includes $2.7 billion to Chicago-area public transit and $300 million to downstate transit districts, leveraging up to $2.7 billion in additional federal funds; $400 million for high-speed rail, which could access up to $2 billion in ARRA funds; $380 million for airport improvements and $110.5 million for the third Chicago airport project; $322 million for the Chicago Region Environmental and Transportation Efficiency Program (CREATE); $150 million for conventional intercity rail transit (AMTRAK); and $10 million for an electrification transportation alternative fuel car-sharing program.

The capital program also features $3.6 billion for preschool through 12th grade education, including $3 billion for the school construction program; $200 million for the school maintenance program; $196 million for charter schools; $100 million for a new school energy efficiency retrofit program; $75 million for vocational education at Chicago Public Schools; $45 million for a new early childhood facilities program; and $10 million for student laptop computers.

The plan’s $1.5 billion for higher education features $788 million for public universities, $400 million for community colleges, and $300 million for private universities.

The $830 million available for community development includes $300 million for parks and recreational facilities; $150 million for health care facilities; $130 million for affordable housing, including projects for veterans and persons with disabilities; $100 million for museums; $100 million for public libraries; and $50 million for community health center construction.

A total of $2.5 billion has been allocated for economic development projects, including $715 million for state facilities; $425 million for weatherization and energy efficiency programs; $50 million for broadband deployment; $38 million for River’s Edge and Brownfield projects to clean up contaminated sites; $25 million for the Prime Sites program to develop local infrastructure and create jobs; $15 million for the creation or retention of jobs in economically depressed areas; and $10 million for a fresh food program to bring grocery stores and other fresh food retailers into communities that need them.

Environmental projects are funded to the tune of $1.3 billion, including $516 million for drinking water and wastewater revolving loans; $250 million for projects such as levees, flood walls and drainage structures; $225 million for the Conservation Reserve Enhancement Program; $128 million for Army Corps restoration programs; $75 million for the leaking underground storage tank program; $41 million for dam removal and repair; $25 million for the Open Land Trust Program; $10 million for dam safety programs; and $8 million for the “Mud to Parks” parkland restoration program.

Funding for the $31 billion Illinois Jobs Now! plan will be provided by a combination of state debt and federal and local matching funds. The 20-year bonds issued to provide funding for the State’s $13 billion share of this six-year capital program will be supported from fee and tax increases. Existing monies deposited into the Road Fund will provide up to $150 million per year for the repayment of the debt. Debt repayment will also come from fee increases. Motor Vehicle Certificate of Title fees will increase from $65 to $105; transfer of registration fees will increase from $15 to $30; passenger and “B” truck registration fees will increase from $79 to $99; and drivers’ license fees will double. Additional sales taxes on candy, sweetened tea, coffee, grooming and hygiene products, wine, spirits and certain beer products will also help retire the debt, and video gaming terminals should raise about $300 million annually.

A complete list of specific projects can be found at http://www.jobsnow.illinois.gov/.

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