METRO Magazine Logo
MenuMENU
SearchSEARCH

Stimulus working, now we need a new authorization bill

I have never understood why these same people say the New Deal didn't help get us out of the Depression and that it took World War II -- conveniently forgetting that war spending is more government spending!

by Frank Di Giacomo, Publisher
May 11, 2010
3 min to read


Just before this was written, a blog entry by U.S. Secretary of Transportation Ray LaHood flew around the Internet. It had a great note from Denny Howard, CEO of Gillig LLC, about how the stimulus has directly affected his employees and suppliers. Along with IMPulse

NC LLC President Jeff Wharton's similar testimony in a Congressional hearing, it shows how the stimulus created or saved jobs, not just in local government transit agencies but also the private sector.

Ad Loading...

Don't let critics lie about the stimulus

Because of the stimulus bill, which was passed by Congress and signed by the president in 2008, manufacturers, private sector transit suppliers, contractors and consultants have been able to retain their workforces and have even added workers. According to government and American Public Transportation Association sources, stimulus grants have allowed transit agencies to purchase more than 12,000 new vehicles, including buses, railcars and vans for rideshare and demand-response services. Economists all across the spectrum, including those who advised Sen. John McCain (R-AZ), say the stimulus worked the way it was designed.

In his blog post, LaHood continued, he decided to place a phone call to Howard to discuss his note further. Here's what he had to say: "I've been with Gillig for 32 years, so I've been watching the transit industry for decades. I meet with managers from transit agencies every day, and I have never seen the local funding in such desperate straits as today.

"A typical year industry-wide, agencies buy about 5,000 buses a year. With the stimulus, it's up to 7,000 for last year, this year and next year. But, if the stimulus hadn't come through, the market would have dropped 40 percent to 3,000 buses a year for last year, this year and, at least, through next year."

 Similar stories have been reported by other companies, in all sectors and modes.

Ad Loading...

Howard made another point worth repeating here: "And, there's a multiplier effect, too. Every base manufacturing job is worth five jobs down the supply chain."

I bring all this up, even though most of you have probably seen it already, for two reasons. First, we need to share this story every time we hear conservative commentators assert that this law didn't help the economy or create jobs "that were not government jobs." I have never understood why these same people say the New Deal didn't help get us out of the depression and that it took World War II - conveniently forgetting that war spending is more government spending! 

Authorization now, for the same reasons

The second reason is that our industry is coming to another economic cliff, unless Congress passes and the president signs an authorization bill. This economy is not even close to being out of the woods; a check of the unemployment rate greatly underlines this point.

For the same reasons that we needed the stimulus bill to pass, we need a new transportation authorization bill — and soon.

 

Subscribe to Our Newsletter

More Bus

Finding the Right Balance: Optimizing Transit Maintenance
ManagementAugust 14, 2026

Finding the ‘Happy Medium’: Optimizing Maintenance Without Sacrificing Reliability

The key to maintenance optimization isn’t doing less work—it’s doing the right work at the right time on the right assets.

Read More →
AI Powers Bus Lane Enforcement
Technologyby Alex RomanAugust 12, 2026

LA Metro, City of West Hollywood, and Partners Advance Smarter Bus Lane Enforcement

The award-winning partnership combines AI-powered detection with human oversight to improve bus reliability, accessibility, and enforcement efficiency.

Read More →
PSTA employees clocking in.
Managementby Alex RomanAugust 10, 2026

PSTA Modernizes Workforce Management with Digital Bidding System

The award-winning Workforce Transit Modernization project replaced paper bidding with a transparent digital platform, cutting administrative effort while improving access for operators.

Read More →
Ad Loading...
A Community Transit Swift Green Line bus
Busby Staff and News ReportsAugust 7, 2026

Washington's Community Transit Sets Six-Year Roadmap for Growth, Expansion

Approved TDP targets more bus service, new mobility options, Swift BRT expansion, and a potential Everett Transit annexation.

Read More →
Managementby Alex RomanAugust 6, 2026

DART Customer Satisfaction Reaches Six-Year High

Overall satisfaction rose to 74.9%, while the agency’s Net Promoter Score reached a record 33.7.

Read More →
Innovative Solutions Awards: DART, Kuba Pay Launch Next-Gen Fare Payment
Technologyby Alex RomanAugust 5, 2026

How DART's GoPass Is Redefining Regional Mobility

Serving 14 transit agencies, GoPass simplifies multimodal travel by allowing riders to plan, pay for, and manage an entire trip through one app.

Read More →
Ad Loading...
An OCTA ZEB.
Technologyby Alex RomanJuly 31, 2026

Biz Briefs: OCTA Taps Clean Energy for Hydrogen Station, Stadler to Supply Via Rail Vehicles, and More

From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.

Read More →
Driving Change: Award Winners Redefine Industry Standards
Technologyby Staff and News ReportsJuly 29, 2026

METRO Magazine Announces 2026 Innovative Solutions Awards Winners

Projects Recognized for Advancing Mobility Through Technology, Accessibility, Workforce Innovation, and Operational Excellence

Read More →
A photo of an Amtrak train with a logo
Managementby Alex RomanJuly 24, 2026

Biz Briefs: STV teams with Amtrak, Motorcoach Operators Boost Fleet and Land Contracts, and More

From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.

Read More →
Ad Loading...
LA Metro at State of the Agency event.
Managementby Alex RomanJuly 23, 2026

LA Metro Marks Banner Year, Sets Ambitious Goals for New Fiscal Year

Incoming LA Metro Board Chair and Los Angeles Mayor Karen Bass joined outgoing Board Chair Fernando Dutra and LA Metro CEO Stephanie Wiggins to review accomplishments from fiscal year 2026, which included the opening of new rail extensions, advancement of major transit projects, expanded safety programs, and new rider amenities.

Read More →