Research Briefing

Stimulus Funds Wasted In Ohio As Jobs Continue To Be Lost

STIMULUS FAILURE BY THE NUMBERS: JOBS CONTINUE TO BE LOST IN THE BUCKEYE STATE 

Since The Stimulus Was Passed Last February, Ohio Has Lost Over 166,000 Jobs. (U.S. Bureau Of Labor Statistics, www.bls.gov, Accessed 2/12/10)

Unemployment In Ohio Has Increased By Over 14 Percent. (U.S. Bureau Of Labor Statistics, www.bls.gov, Accessed 2/12/10)

Unemployment Rate Has Jumped From 9.5 Percent To 10.9 Percent. (U.S. Bureau Of Labor Statistics, www.bls.gov, Accessed 2/12/10)

AND OHIO IS NO STRANGER TO STIMULUS WASTE, FRAUD AND ABUSE

Stimulus Funds Go To Ten Phantom Districts In Ohio. “You might be a stimulus fan, you might be a stimulus foe, but you've got to admire the sweep of stimulus spending in Ohio. It has provided more than $1.2 million and added three jobs in Ohio's 21st Congressional District. Never mind that there is no such district. There also isn't a 20th, 49th, 54th, 56th, 69th, 85th, 87th or 99th, even though the federal government's Web site for tracking stimulus money lists them as getting funding. And there most certainly is not a district numbered ‘00,’ even though the government's Web site says it got $1.86 million, which helped create or save eight jobs.” (Stephen Koff, “Stimulus Is Working In Ohio- Even In Phantom Districts,” The Cleveland Plain Dealer, 11/17/09)

Ohio School Reports Saved Jobs Even Though Jobs Were Not In Danger. “The Columbus City Schools, for example, reported to the feds that of the 212.5 full-time-equivalent jobs that the district expected to fund with part of the $64 million in stimulus it expected, about 65 percent were saved jobs, including 36 school administrators. But when the district was asked whether it was on the verge of laying off 36 administrators, it said no, the money for those positions would have come from another part of the budget. But ‘saved’ and ‘created’ were the only two options for reporting how the funds were used.” (Editorial, “Overstimulation,” The Columbus Dispatch, 12/2/09)

Ohio Stimulus Project Touted By Biden Fails To Create Jobs. “Last July, Vice President Joe Biden stood in front of a hulking, five-story abandoned factory in Northside with good news: The federal government had approved $1.6 million in stimulus money to help transform the American Can Building into new stores and apartments.  The project would create 100 construction jobs - proof, Biden said, that the stimulus was putting people to work.  Seven months later, the project remains stalled, and has yet to make good on that promise.”  (Gregory Korte, “Northside Stimulus Bogs Down,” The Cincinnati Enquirer, 2/7/10)

Stimulus Funds “Quiet Zone” In One Ohio Town, Despite Mayor Saying “It’s A Long Way From The Top Priority.” “Mayor David Gillock admitted this week that creation of a so-called ‘quiet zone’ at each of the city`s four major railroad crossings hadn’t been at the top of the city’s wish list when it comes to getting some of the billions of dollars being handed out in federal stimulus money.  ‘It was a long way from the top priority,’ Gillock said.” (Steve Fogarty, Stimulus Grant Funds A Quieter North Ridgeville,” The Chronicle Telegram, 5/22/09)

In March, Obama Claimed Stimulus Saved Columbus Police Jobs. “So for those who still doubt the wisdom of our recovery plan ... I ask them to come to Ohio and meet the 25 men and women who will soon be protecting the streets of Columbus because we passed this plan.” (President Barack Obama, Remarks At Graduation Of The Columbus Police Division’s 114^th Class, Columbus, OH, 3/6/09)

• But Despite Stimulus, Layoffs Of Those Police Are Still On The Table. “The booklet also mentions the ‘police academy graduates in Ohio’ whose graduation ceremony President Obama attended in March, heralding how the stimulus enabled the city of Columbus to hire 25 cadets. But this week Police Chief Walter Distelzweig told the Columbus Dispatch that unless residents approve a tax increase, those 25 cadets face the real possibility of layoffs.” (Jake Tapper, Blog Posting, “Stimulus Overhype?” ABC News, 5/28/09)