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About Northwest labor press. (Portland , Ore.) 1987-current | View Entire Issue (March 5, 2010)
March 5, 2010:NWLP 3/2/10 10:17 AM Page 7 ...DeFazio speaks out on ARRA (From Page 1) prevailing wage on federally- funded construction projects.] I also think the money that went to keep teachers work- ing and educate our kids I look at as an investment in the future, and it pre- served a lot of jobs. But the tax cuts and a bunch of other stuff that was just tossed in with no thought, like $30 billion for health care information technology … what was that doing in a [recovery] bill? Right. Raising the cap that prevents the alternative minimum income tax from pinching middle-income families was in there, and that’s something Congress does every year. And the Making Work Pay tax credit — that was from Obama’s 2008 campaign, which wasn’t presented at the time as a stimulus proposal. I had staff say to me, “Well, he can say he gave the tax cut he promised.” I said, “Well, no one’s going to know they got it, it’s not going to put anybody back to work, and if you don’t have a job, it isn’t going to help you.” Of course, people might not know they got the tax cut but spend it any- way. It was designed to trick people into spending it. This was the brilliant Larry Summers idea. (Summers is director of the White House National Economic Council.) He came to the [Democratic] caucus and bragged about it. He said, “Look, we’re not going to do what they did back in the Bush era and send peo- ple a check for $400. They might save it. They might use it to pay down their debt. We want them to consume, be- cause that will put people back to work.” Buying junk made in China at Walmart is going to put people back to work, or a latte at Starbucks? That’s what it amounts to: two coffee drinks or some other small item per week. It seems the bill is aimed at almost everything but directly employing peo- was a mishmash of things, some of which were good, many of which were marginal, and a good number of which were bad. con construction jobs. ple. I’d think members of Congress You would just have a The Obama eco- would want to spend money on more much bigger multiplier nomic team thinks it’s projects that put people back to work. effect. “old school” to invest in What’s the holdup? Nervousness public infrastructure At other times in about the deficit? Why is there no and put people to work U.S. history, bold proj- move to free up resources by repealing rebuilding it. They ects were announced wanted to do different by the federal govern- things. We’ve got ment. Particularly in “Green Grid,” whatever the FDR era, that was that is. Nobody’s fig- an approach that put ured that out yet, and people back to work the Department of En- and galvanized public ergy has yet to spend spirit. But it seems in any of the money. There this case, everything P ETER D E F AZIO was money for wind- 7UHDWPHQW IRU SDLQ GXH WR consists of little tiny mills made in China. RYHUXVH DQG UHSHWLWLYH PRWLRQ grants. You had 23 fed- That’ll put a lot of Americans to work. &KLURSUDFWLF DGMXVWPHQWV eral agencies, all of which had their In all, it was a mishmash, hurriedly budgets plumped up by the stimulus 7UHDWPHQW IRU DFFLGHQW DQG thrown together. It could have been act, with formulas to distribute it to the VSRUWVUHODWHG LQMXULHV more targeted to produce a hell of a lot states. It’s not quite as dramatic. 5HKDELOLWDWLRQ H[HUFLVHV more jobs for a hell of a lot less money. Well, there was no coherent vision, 7KHUDSHXWLF PDVVDJH What’s the verdict you’re hearing nothing to transform the society or ,QWHUQDO GLDJQRVLV DQG WUHDWPHQW make long-term investments that pro- from constituents? About the same? vide future benefits. I suggested maybe /DE WHVWV DQG [UD\V There’s no affinity for it. They don’t know they got a tax cut, and they don’t they would want to have an objective in 0RVW ,QVXUDQFH think it’s had any impact. I mean, ex- transportation infrastructure, like re- 3ODQV $FFHSWHG cept for teachers. You can talk to teach- build all 160,000 bridges in the federal highway system that need either re- ers and … 'U 'DQ %HHVRQ &KLURSUDFWRU placement or substantial rehabilitation. 3 528'/< 6 (59,1* Yeah, I think some of the public em- Or build a high-speed rail network over 6( 7KLUWHHQWK $YH LQ 6HOOZRRG 3 257/$1' : 25.(56 ployees do realize that the aid to the the next 20 years and [use the stimulus states prevented layoffs. But local as] a major down payment. Instead it ) 25 2 9(5 < ($56 building trades union business man- agers are saying by and large that they see little or no impact from the infra- structure spending. NDEPENDENT ETIREMENT IVING Well, the other problem is it was all designed to be very short-term spend- ing, under this theory that we had to get Kirkland Westmoreland's it out there right away. I said we need Union Manors Union Manor more money for infrastructure and we 3530 SE 84th Ave. 6404 SE 23rd Ave. need to do more bigger projects. Rush- Portland 97266 Portland 97202 ing out with a bunch of projects that can be completed this construction season 503•777•8101 503•233•5671 … road resurfacing?Yes, the roads need resurfacing, but you get a lot fewer jobs per dollar doing something like road resurfacing as opposed to building a new light rail line and buying the rail ESTMORELAND S NION ANOR cars and the steel for the rails under Buy Opened in October of 1966 America requirements, and Davis-Ba- %HHVRQ &KLURSUDFWLF 7LUHG KHOSV EULQJ WKH UHOLHI \RX QHHG RI :RUNLQJ LQ 3$,1" &$// I R L Manors Make the Difference • Studio and One-Bedroom Apartments • Affordable Rent includes Utilities ( EXCEPT PHONE AND CABLE ) • Planned Events, Clubs, and Activities • Ideal Locations offer easy access to Bus Lines, Shopping, and Entertainment • No Costly Buy-In or Application Fees • Federal Rent Subsidies Available (M UST Q UALIFY ) MARCH 5, 2010 the three Bush tax cuts on the wealthy? Obama’s economic team is a Wall Street team. They don’t really believe in the “real” economy. So we’re having a very difficult time grinding any mean- ingful investments in the real economy out of these people. We’re basically having a battle for the soul of the Dem- ocratic Party. NORTHWEST LABOR PRESS W ’ U M L ABOR L EADERS IN THE P ORTLAND B UILDING T RADE M OVEMENT ORGANIZED THE U NION L ABOR R ETIREMENT A SSOCIATION IN 1962, WITH THE SOLE PURPOSE OF PROVIDING HOUSING FOR THE ELDERLY . “ We believe that everyone earns the right to retire, free from pressures of earlier years.” Kirkland Union Plaza Marshall Union Manor 1414 Kauffman Ave. 2020 NW Northrup Vancouver 98660 Portland 97209 360•694•4314 503•225•0677 WWW . THEUNIONMANORS . ORG TDD 503•771•0912 PAGE 7
