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

FlixBus vehicles in a parking garage.
ManagementApril 13, 2026

Intercity Bus Industry Outlook: A Mix of Apprehension & Optimism

Industry leaders see both promise and peril ahead as intercity bus travel rebounds, but unpredictable market forces threaten to reshape the sector.

Read More →
Cover Photo for Bus Tech Talk
ManagementApril 9, 2026

Bus Tech Talk: AC Transit’s Cecil Blandon on Leadership, Mentorship, and a Career in Transit

In Part 1, Blandon shares his journey from the U.S. Marines to a leadership role in public transit, along with insights on mentorship and professional growth within the industry.

Read More →
A blurry TransLink R2 rapid bus
Managementby StaffApril 8, 2026

Vancouver's TransLink Fast-Tracks RapidBus Line to Metrotown

Funded through the 2025 Investment Plan, the new R2 Marine–Willingdon RapidBus is expected to begin service in September, more than three months ahead of schedule.

Read More →
Ad Loading...
Complete Parts logo
Busby StaffApril 1, 2026

Complete Coach Works Unveils Reimagined Parts Department with Expanded Capabilities

Complete Parts features new branding with a new logo, a new contact telephone number, a dedicated order desk, enhanced processes and inventory, all designed to provide the parts bus operations need.  

Read More →
frontrunner bus
SponsoredApril 1, 2026

Breaking Accessibility Barriers with the Low Floor Frontrunner Minibus

Accessible transit isn’t a feature—it’s a responsibility. This whitepaper explores how the Low-Floor Frontrunner is redefining mobility with a breakthrough design that removes barriers, empowers riders, and delivers measurable operational advantages for agencies. Discover why this next generation minibus is setting a new standard for inclusive transportation.

Read More →
A shot of ENC's manufacturing facility
Busby StaffMarch 31, 2026

ENC Named 'Partner of Choice' to Support Philadelphia SEPTA’s $43M FTA Grant

SEPTA was awarded $43 million in competitive grant funding from the FTA's FY25 Low and No Emission and Bus and Bus Facilities grant programs to support this procurement.

Read More →
Ad Loading...
Cover photo for Bus Tech Talk with Cecil Blandon
Managementby Alex RomanMarch 27, 2026

AC Transit’s Cecil Blandon on Leadership, Mentorship, and a Career in Transit

In part 1 of a two-part conversation, AC Transit’s director of maintenance joins co-hosts Alex Roman and Mark Hollenbeck to discuss his journey from the U.S. Marines to public transit and the role mentorship plays in developing the next generation of industry leaders.

Read More →
An MBTA bus with a passenger boarding at shelter.
Busby StaffMarch 27, 2026

MBTA Confirms Funding for Upgraded Arborway Bus Facility

When construction is complete, battery-electric buses will operate from the Arborway facility on Day One, providing cleaner, quieter, and more reliable service for riders, the MBTA said. After completion, the old facility will be demolished, and the land will be made available for redevelopment.

Read More →
Nadine S. Lee
Managementby StaffMarch 26, 2026

DART's President/CEO Announces Departure from Agency

Nadine S. Lee, who has served as president/CEO since July 2021, said the decision comes after careful reflection on the agency’s progress and its path forward.

Read More →
Ad Loading...
Assemblywoman Castillo and ENC officials at California facility.
Busby StaffMarch 23, 2026

ENC Hosts California Assemblywoman, Celebrates American Manufacturing and Economic Growth

The visit underscored ENC's role as a major employer in Assembly District 58 and its commitment to American manufacturing and skilled local jobs.

Read More →