Legislative Updates

From Jean Jones
DVR/DVS Legislative Information Representative

2009 ~ 2008 ~ 2007

March 16, 2009

President Obama signed the American Recovery and Reinvestment Act (ARRA) into law on February 17th, 2009. This economic stimulus package is wide-ranging, but below are some provisions that may affect DRS, our clients and Americans with disabilities in general. Estimates of funds for Oklahoma are provided when available.

2009 American Recovery and Reinvestment Act (ARRA)
Oklahoma

ARRA Funding of Interest to DRS and Clients Estimated for OK

• Title I ESEA Grants to Local Education Agencies $ 109,455,646
• Educational Technology State Grants $ 7,069,804
• IDEA Part B Grants to States $ 147,924,906
• IDEA Part B Preschool Grants $ 3,881,940
• IDEA Part C Grants for Infants and Families $ 5,272,256
• Vocational Rehabilitation State Grants $ 7,583,851
• Independent Living State Grants $ 242,913
• Independent Living Centers ($87,500,000 nationally) center $$ pending
• Independent Living Services for Older Blind $ 430,314
• Federal Work Study $ 2.168,697
• State Fiscal Stabilization Fund $ 578,020,433
• Oklahoma’s Total from ED (mostly common ed) $ 862,050,760

Other ED Funds

• Federal PELL Grants for OK Students $ 338,844,800
  An increase in 2009 appropriated funds is also projected.
• Federal work-study funding $ 2,168,697
  Some of the State Fiscal Stabilization funds can be used for institutions of higher education.
• Increased federal share of Medicaid (FMAP) $ 960,000,000
• Social Security and SSI recipients one-time $250 to be distributed in phases ending in late May 2009.
• Making Work Pay Tax Credit - a refundable tax credit for 2009 and 2010 of $400 for individuals and $800 for families; phasing out at incomes of $75,000 for individuals and $150,000 for married couples filing jointly. May be obtained as reduced withholding tax on paycheck, or by claiming the credit on the tax return.
• Temporary increase in Earned Income Tax Credit, for families with 3 or more children.
• First-Time Homebuyer Credit - Increases maximum value of the tax credit for first-time homebuyers to $8,000 until 12/1/2009.
• Sales Tax Deduction for Vehicle Purchase - a deduction for state and local sales and excise taxes paid on purchase of new cars, light trucks, recreational vehicles and motorcycles, through 2009.
• Under the Work Opportunity Tax Credit, the ARRA creates two new targeted groups for 2009 and 2010 - unemployed veterans and disconnected youth (at least age 16 but under 25, lacking basic skills, mostly unemployed or out of school/training for 6 months prior to hire). A low level of formal education suffices for lacking basic skills.
• Transportation
  Public Transit Capital Assistance - OKC $ 10,021,473
  Public Transit Capital Assistance - Tulsa $ 8,853,448
  Lawton $ 1,466,299
  Norman $ 1,864,030
  Rural $ 16,923,315
  Oklahoma Total for Transit Infrastructure $ 39,163,565
  Highway Infrastructure (roads and bridges) $ 464,655,225
• COBRA Premium Assistance: The ARRA will subsidize COBRA premiums by 65% for certain eligible persons who have lost their jobs and enrolled in a COBRA health insurance plan. The subsidy is paid as a tax credit to the insurance plan or employer, so persons who have been recently terminated or who lose their jobs this year and take COBRA can inquire with their former employer or the insurance plan.
• Community Health Centers in Lindsay, Porter, McAlester, Oklahoma City, Hulbert and Fairfax will receive grants under the ARRA. For amounts go to www.hhs.gov/recovery/hrsa/applicant.html 
• Home weatherization: $5 billion nationally for home weatherization. Agencies are required to raise their income eligibility standard from 150% of poverty to 200% of poverty. Community action agencies in each state will disperse weatherization funds. $ 63,300,000
  Community Development Block Grant (distributed to states and cities and used for housing, economic development and community services, focus on low-moderate income families) $8,200,000
• $1 billion nationally for the Community Services Block Grant, which helps fund community action agencies. These agencies may increase their income eligibility criteria from 125% to 200% of poverty for persons getting services funded by ARRA. 11,900,000
• Added one-time funds for Community Service Employment for Older Workers (usually part-time minimum wage jobs in public service areas for low-income elderly). $ 1,600,000
• Emergency Food and Shelter $ 1.000,000
  Added funds for Head Start/Early Head Start,
• Temporary increase in food stamps (SNAP) - those getting the maximum benefit will see a 13% increase until September 2009. (Food banks and nonprofit food closets will also get some commodities.)
• Elderly nutrition: Congregate Meals and Home Delivered Meals will get some one-time funds. $1,000,000

Some sources of further detail on ARRA provisions include:
Federal site: www.recovery.gov
Oklahoma site: http://oklahoma.gov/recovery/
U.S. Dept. of Ed.: http://www.ed.gov/policy/gen/leg/recovery/index.html
National Conference of State Legislatures: http://www.ncsl.org/statefed/2009economicstimulus.htm