The Recovery Act in Michigan June 2009

Michigan Recovery and Reinvestment Plan 2 The American Recovery and Reinvestment Act (ARRA) of 2009 President Obama signs the Recovery Act on February 17, 2009 The largest investment in America’s infrastructure in 50 years The most significant expansion in tax cuts for low and moderate income households ever It aligns perfectly with Michigan’s economic plan to diversify our economy, train our citizens and protect our families

Michigan Recovery and Reinvestment Plan 3 Visit michigan.gov/recovery often for grant applications and the latest updates! Through existing programs In competitive grants In tax cuts How Are the Funds Flowing to Michigan?

Michigan Recovery and Reinvestment Plan 4 How much will Michigan receive? Total minimum estimated benefit for Michigan: $18 billion Funding available for existing programs: more than $7 billion Will create or save 109,000 jobs over the next two years

Michigan Recovery and Reinvestment Plan 5 Financial Help for Families $400 tax cut for workers earning less than $75,000 Expanded Earned Income Tax credit $1,000 per-child tax credit available to more families $250 payment to seniors and people with disabilities First-time Home Buyer Tax Credit increased to $8,000 American Opportunity Tax Credit – up to $2,500 of college expenses now tax deductible Pell Grants – maximum award for low income students will increase from $4,850 to $5,350 this fall

Michigan Recovery and Reinvestment Plan 6 Help for Unemployed Workers Unemployment eligibility extended by up to 20 weeks (maximum of 79 weeks) $25 per week increase in unemployment benefits First $2,400 in unemployment benefits exempt from income tax

Michigan Recovery and Reinvestment Plan 7 Funding For Education & Training More than $2.2 billion for Michigan schools –Special education –Programs for at-risk students –Mitigating budget cuts –Head Start and Early Head Start No Worker Left Behind – $182 million expanded job training, including summer youth employment –More than $1,000,000 available to tribes through WIA

Michigan Recovery and Reinvestment Plan 8 Help for Citizens in Need Increased Food Assistance -helping more than 1.3 million Michigan citizens $36.8 million for local community service providers to help families in poverty; more than $200,000 to tribes $4.2 million to provide housing services for tribal members $390,000 for expanded child care services for tribal members $95,000 for senior nutrition services for tribal members

Michigan Recovery and Reinvestment Plan 9 Saving Energy & Creating Jobs Weatherization Assistance – a family of four making less than $44,000 can receive up to $6,500 for upgrades to save money on energy –$243 million for Michigan; 30,000 homes Energy Efficient Improvement Tax Credits –maximum credit tripled to $1,500 Energy Efficient Conservation Block Grant – to improve energy efficiency of public buildings –almost $1.4M for tribes

Michigan Recovery and Reinvestment Plan 10 Providing Health Care Pays for 65% of continued health coverage for citizens who have lost their jobs (COBRA) Significant Medicaid funding boost –1.6 million Michigan citizens rely on Medicaid health coverage Over $9 million for health clinics and $6.4 million for hospitals that serve large numbers of low-income patients $2.2M for Indian Health Services in Michigan

Michigan Recovery and Reinvestment Plan 11 Investing in Public Safety $67 million to expand public safety services $6 million to help rural communities upgrade or purchase public safety equipment $4.5 million for child support enforcement in Michigan

Michigan Recovery and Reinvestment Plan 12 Roads & Infrastructure $873 million for road & bridge projects, creating 25,000 jobs Over 843 lane miles will see improvements $135 million for public transit $142 million for road and bridge maintenance on tribal lands across the country.

Michigan Recovery and Reinvestment Plan 13 And that’s just the beginning … Through competitive grants, we can create additional jobs and provide additional help to citizens in need … High Speed Rail Broadband Advanced Battery Technology Community Priorities

Michigan Recovery and Reinvestment Plan 14 Competitive Grants are available … Tribal Transit Grants –Funds for public transportation capital projects or operations USDA Rural Housing Preservation Grants –Funds to address vacant or foreclosed properties to stabilize communities Indian Community Development Block Grant Program –expand quality housing and economic opportunities for low- income citizens Strengthening Communities Fund –Help local communities, non-profits or tribes build capacity to better serve citizens in need Early Head Start –Funds to expand early childhood education services

Michigan Recovery and Reinvestment Plan 15 Learn More … State of Michigan Recovery Portal: White House Recovery Portal: