The American Recovery and Reinvestment Act of 2009 presentation to March 13, 2009

American Recovery and Reinvestment Act AGENDA  Introduction to Smith Dawson & Andrews – Jim Smith, Brian Hannigan, Mike Alvarez  Overview of ARRA  ARRA Funding Specifics  ICCSN Strategy  Q & A

American Recovery and Reinvestment Act Introduction to SDA – Jim Smith  Illinois Background and Ties  Founded in 1981  Expertise in Transportation, Education, Energy  Strong Relations with Illinois Delegation  Represent Several Illinois Local Governments

American Recovery and Reinvestment Act Overview of ARRA – Brian Hannigan  Emergency Stimulus/Recovery Bill  Unprecedented in Size and Scope  $787 Billion in New Spending and Tax Relief  Contrast to President’s FY2010 Budget: $3.6 Trillion Total, of which $675 Billion is Non-Defense Discretionary Spending

American Recovery and Reinvestment Act Overview of ARRA  No Earmarks - Funds to flow through competitive Federal Agency processes and through states Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 Continuing Resolution Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 Continuing Resolution Stated goal is to use at least 50% of funds for activities that can be initiated within 120 days of enactment of Act Stated goal is to use at least 50% of funds for activities that can be initiated within 120 days of enactment of Act

American Recovery and Reinvestment Act ARRA Spending - $499 Billion $144 Billion – State and Local Fiscal Relief $111 Billion – Infrastructure and Science $81 Billion – Protecting the Vulnerable $81 Billion – Protecting the Vulnerable $59 Billion – Health Care $59 Billion – Health Care $53 Billion – Education and Training $53 Billion – Education and Training $43 Billion – Energy $43 Billion – Energy $8 Billion – Other $8 Billion – Other

American Recovery and Reinvestment Act $ 499 Billion

American Recovery and Reinvestment Act ARRA Tax Relief - $288 Billion* Includes: $15 Billion - Infrastructure and Science $15 Billion - Infrastructure and Science $25 Billion - Education and Training $25 Billion - Education and Training $22 Billion – Energy $22 Billion – Energy * Tax Provisions could be used by private entities in partnerships with Community Colleges

American Recovery and Reinvestment Act Purpose and Goals of ARRA Purpose Preserve and create jobs and promote economic recovery Preserve and create jobs and promote economic recovery Assist those most impacted by the recession Assist those most impacted by the recession Spur technological advances in science and health Spur technological advances in science and health Invest in transportation, environmental protection, and other infrastructure that will provide long-term economic benefits Invest in transportation, environmental protection, and other infrastructure that will provide long-term economic benefits Stabilize State and local government budgets, in order to minimize and avoid reductions in essential services and counterproductive State and local tax increases Stabilize State and local government budgets, in order to minimize and avoid reductions in essential services and counterproductive State and local tax increases

American Recovery and Reinvestment Act Purpose and Goals of ARRA Goals Create or save more than 3.5 million jobs over 2 years Create or save more than 3.5 million jobs over 2 years Computerize health records - reducing medical errors and saving billions in health care costs (Building Block for Healthcare Reform) Computerize health records - reducing medical errors and saving billions in health care costs (Building Block for Healthcare Reform) Revive the renewable energy industry and provide the capital over the next three years to eventually double domestic renewable energy capacity Revive the renewable energy industry and provide the capital over the next three years to eventually double domestic renewable energy capacity Undertake largest weatherization program in history by modernizing 75 percent of federal building space and more than one million homes Undertake largest weatherization program in history by modernizing 75 percent of federal building space and more than one million homes

American Recovery and Reinvestment Act Purpose and Goals of ARRA Goals Increase college affordability for seven million students by funding Pell Grants, increasing the maximum award level by $500, and providing a new higher education tax cut to nearly 4 million students Increase college affordability for seven million students by funding Pell Grants, increasing the maximum award level by $500, and providing a new higher education tax cut to nearly 4 million students Invest $150 Billion in new infrastructure - roads, bridges, mass transit systems Invest $150 Billion in new infrastructure - roads, bridges, mass transit systems Provide an $800 Making Work Pay tax credit for 129 million working households, and cut taxes for the families of millions of children through an expansion of the Child Tax Credit Provide an $800 Making Work Pay tax credit for 129 million working households, and cut taxes for the families of millions of children through an expansion of the Child Tax Credit Require unprecedented levels of transparency, oversight, and accountability. Require unprecedented levels of transparency, oversight, and accountability.

American Recovery and Reinvestment Act ARRA Guiding Principles Create and Preserve Jobs Create and Preserve Jobs Establish Unprecedented Transparency and Reporting Requirements Establish Unprecedented Transparency and Reporting Requirements Make Funds Available as Quickly as Possible - Consistent with Prudent Management and Financial Practices Make Funds Available as Quickly as Possible - Consistent with Prudent Management and Financial Practices Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 Continuing Resolution Stimulus funds do not affect any fiscal year appropriations or amounts under FY 2009 Continuing Resolution Stated goal is to use at least 50% of funds for activities that can be initiated within 120 days of enactment of Act Stated goal is to use at least 50% of funds for activities that can be initiated within 120 days of enactment of Act

American Recovery and Reinvestment Act ARRA Time Line February 13 – Congress Enacts H.R. 1 February 17 – President Obama signs ARRA into law; recovery.gov website activated February 19 – Federal Agencies begin reporting formula block grant awards February 25 – Federal Agencies establish Recovery websites March 3 – Federal Agencies begin reporting use of funds Weekly Updates to include: *Breakdown of Funding *Major Actions Taken to Date *Major Planned Actions

American Recovery and Reinvestment Act ARRA Time Line May 1 – Agency Recovery Plan deadline May 5 – Agencies to Provide all ARRA assistance transactions to USASpending.gov May 15 – Detailed Agency Financial Reports Become Available May 20 – Federal Agencies begin to report competitive grants and contracts June 17 – Target Deadline to Begin Activities Funded with 50% of ARRA Monies July 15 – Recipients of Federal Funding begin reporting on their use of funds September 30, 2010 – Funds Spent

American Recovery and Reinvestment Act ARRA Funding Specific Opportunities for Community Colleges and the Illinois Community College Sustainability Network

American Recovery and Reinvestment Act  $750M- “Green” and Health Care Worker Training Program - worker training and placement in high-growth industry sectors.  Priority given to projects that prepare workers for careers in energy efficiency and renewable energy Specific Opportunities – Dept. of Labor

American Recovery and Reinvestment Act  Energy Efficiency and Renewable Energy- $16.8B -$2.5B applied research -$800M biomass projects -$400M geothermal activities and projects -$50M information and communication technology -$3.2B EECBG – Energy Efficiency and Conservation Block Grants -$2.8 B by Formula -$400 M Competitive Grants Specific Opportunities – Dept. of Energy

American Recovery and Reinvestment Act  Energy Efficiency and Renewable Energy- $16.8B (Cont.) -$5B Weatherization Assistance Program -$3.1B State Energy Program -$2B Advanced Battery Manufacturing grants -$300M Alternative Fueled Vehicles Pilot Grants -$400M Transportation Electrification -$300M Energy Efficiency Appliance Rebate and Energy Star Program Specific Opportunities – DOE (Cont.)

American Recovery and Reinvestment Act  Electricity Delivery and Energy Reliability -$4.5B Smart Grid Investment Program -$100M Worker training activities -$80M resources assessment and analysis of future demand   Fossil Energy Research and Development -$1B R & D Programs -$800M Clean Power Coal Initiative -$1.52B Competitive grants for carbon capture and energy efficiency improvement projects -$20M Geologic sequestration training and research grants Specific Opportunities – DOE (Cont.)

American Recovery and Reinvestment Act  Office of Science - -$400M Advanced Research Projects Agency for high-risk, high-payoff research for alternative energy innovation  Innovative Technology Loan Guarantee Program -$6B loan guarantees for renewable technologies and transmission technologies – expected to support more than $60B in loans Specific Opportunities – DOE (Cont.)

American Recovery and Reinvestment Act National Telecommunications and Information Agency  Broadband Technology Opportunities Program - $4.7B Total to accelerate broadband deployment in underserved areas and to strategic institutions likely to create jobs or provide significant public benefits -$200M – Grants to expand public computer center capacity, specifically including community colleges and public libraries Specific Opportunities – Dept. of Commerce

American Recovery and Reinvestment Act  $200M-Academic Research Facilities Modernization- All research divisions and advancements in supercomputing technology  $60M- Robert Noyce Scholarship Program to encourage K-12 math/science teachers (incl. undergrad scholarships)  $25M- Math and Science Partnerships Program – supports innovative partnerships to improve K-12 student achievement in math and science Specific Opportunities – National Science Foundation

American Recovery and Reinvestment Act  Student Financial Assistance- $15.84B - $15.64B Pell Grants – maximum raised to $5,350 - $200M- College work-study  Higher Education- $100M - $250M - Institute of Education Sciences - data coordination Specific Opportunities – Department of Education

American Recovery and Reinvestment Act  National Health Service Corp - $500M for Health Professions Training Programs * Includes Nursing Specific Opportunities – Department of Health and Human Services (HHS)

American Recovery and Reinvestment Act  $53.6B – State Fiscal Stabilization Fund Distributed directly to states  $8.8B - to states for high-priority needs (public safety, education) and modernization, renovation and repair of public schools and higher education facilities  $1.8B - Illinois Funding Share Funding through the State of Illinois

American Recovery and Reinvestment Act  $5B – Weatherization Assistance Program Illinois Share - $248.6M  State Energy Program Illinois Share $103.0M  $2.95B – Workforce Investment Act Grants Illinois Share: Adults - $26.0M Youth - $62.8M Dislocated Workers - $65.3M Funding through the State of Illinois

American Recovery and Reinvestment Act  Advanced Energy Investment Credit- Up to $2.3B in credits. A 30% investment tax credit for manufacturing of advanced energy property.  Long-term Extension and Modification of Renewable Energy Production Tax Credit- Extends the placed-in-service date for wind facilities and other renewable energy facilities for 3 yrs (through 12/31/12) * Tax Provisions could be used by private entities in partnerships with Community Colleges Tax Provisions *

American Recovery and Reinvestment Act  Temporary Election to Claim the Investment Tax Credit in Lieu of the Production Tax Credit  Subsidized Energy Financing Limitation on the Investment Tax Credit  Removal of Dollar Limitations on Certain Energy Credits  Clean Renewable Energy Bonds (“CREBs”)  Qualified Energy Conservation Bonds  Addition of Permanent Sequestration Requirement to C02 Capture Tax Credit Tax Provisions (Cont.)

American Recovery and Reinvestment Act  Agencies now ramping-up to process funding requests  New information available daily  Need to monitor websites and explore contacts Funding Process What Should ICCSN Do?

THE WHITE HOUSE THE WHITE HOUSE Office of the Vice President ________________________________________ For Immediate Release March 12, 2009 Administration Announces Nearly $8 Billion in Weatherization Funding and Energy Efficiency Grants Will support energy efficiency efforts nationwide that will create 87,000 jobs and cut energy bills for families Washington DC -- Vice President Joe Biden and Energy Secretary Chu today detailed an investment of nearly $8 billion in state and local weatherization and energy efficiency efforts as part of the President’s American Recovery and Reinvestment Act. With an investment of about $5 billion through the Weatherization Assistance Program and about $3 billion for the State Energy Program, the Department of Energy will partner with state and local governments to put 87,000 Americans to work and save families hundreds of dollars per year on their energy bills. To jump-start job creation and weatherization work, the Department of Energy is releasing the first installment of the funding – about $780 million -- in the next few days. The Department will release additional funding over time as states demonstrate that they are using the funding effectively and responsibly to create jobs and cut energy use.

THE WHITE HOUSE THE WHITE HOUSE Office of the Vice President ________________________________________ For Immediate Release March 12, 2009 Obama-Biden Administration Announces Nearly $344 Million in Weatherization Funding and Energy Efficiency Grants for Illinois Part of nearly $8 billion in Recovery Act funding for energy efficiency efforts nationwide that will create 100,000 jobs and cut energy bills for families Washington DC -- Vice President Joe Biden and Energy Secretary Chu today announced Illinois will receive $343,847,619 in weatherization and energy efficiency funding – including $242,526,619 for the Weatherization Assistance Program and $101,321,000 for the State Energy Program. Washington DC -- Vice President Joe Biden and Energy Secretary Chu today announced Illinois will receive $343,847,619 in weatherization and energy efficiency funding – including $242,526,619 for the Weatherization Assistance Program and $101,321,000 for the State Energy Program.

American Recovery and Reinvestment Act ICCSN Strategy ICCSN Initiatives  Illinois Congressional Delegation Letter to Governor Pat Quinn – 100% Support! Signed by All 18 Current Members of Congress  Proposed Network Expansion and Green Collar Workforce Grant Program Now Pursuing with DCOE and Office of Governor Pat Quinn

American Recovery and Reinvestment Act Questions and Answers Conclusion

Thank You