Some county projects may benefit from Obama’s proposed stimulus

 

by Ben Wolfgang and Dustin Pangonis | Staff Writers
January 21, 2009

As inauguration fanfare dies down, agencies across the country — including some in Schuylkill County — look to secure themselves a piece of President Obama’s proposed $825 billion stimulus package.

If passed, about one-third of the package will come in the form of tax cuts, with the rest going to government spending intended to bolster the economy and create jobs.

U.S. Rep. Tim Holden, D-17, said last week legislators will not be able to earmark specific projects to receive funds, but that each state will receive its own portion of the funding for allocation.

“This is all very fluid,” Holden said.

Road improvements

Obama’s plan to patch up the country’s infrastructure is likely to include at least three road and bridge projects in Schuylkill County, according to the Pennsylvania Department of Transportation.

Bridge paving along Route 61 and Interstate 81 are likely, as are pavement repairs along Route 924 near Frackville and infrastructure repairs in Palo Alto Borough, according to information provided by PennDOT.

PennDOT estimates put the cost of the three projects, which include some work in Monroe County, at $8,490,000.

Pennsylvania is expected to receive about $1 billion in road and bridge repair money, Holden said.

“I wish it was higher,” Holden said last week, adding Pennsylvania’s expected share is “very favorable.”

Holden also said Congress will likely vote on the stimulus plan next week, but cautioned against high expectations, as many details have yet to be worked out.

In addition to the projects singled out by PennDOT, other improvement efforts along Route 61 could qualify as “shovel-ready” projects for which all the preliminary engineering work has been completed.

“All of that (Route) 61 corridor would meet the criteria,” said Mark Scarbinsky, Schuylkill County’s director of economic development. Scarbinsky said Route 61 from Frackville to Orwigsburg is in need of repair and could qualify for funding.

“I think we have to follow the lead of our Congressman,” Scarbinsky said.

Holden, however, said Obama’s war against earmarks — frequently championed by Holden — means Holden cannot pinpoint stimulus money to any particular project.

“I can’t direct money to go anywhere,” he said.

Holden’s outspoken support for earmarks was a key issue in his 2008 re-election campaign. Holden often said he felt earmarks were not only appropriate, but the “responsibility” of each member of Congress.

Sewer and water upgrades

The expansion of High Ridge Business Park could be accelerated, courtesy of the new president.

“We have a number of things on the shelf,” Frank Zukas, Schuylkill Economic Development Corp. president, said last week. “This is going to be a ground-up process.”

Zukas said expanding water and sewer lines — in preparation for more businesses to move into the park, just off Interstate 81 near Minersville — would likely fall into the stimulus plan’s parameters.

Like other projects, Zukas said details, including the price tag, remain murky.

“We still need to understand how, when and why,” he said.

SEDCO water and sewer line expansion might not be limited to Highridge, according to Scarbinsky.

“At some point, our goal would be to push water and sewer toward the airport,” Scarbinsky said of efforts to expand infrastructure toward to the Schuylkill County Airport, off I-81 in Foster Township.

Zukas said similar efforts could get under way in Tremont Township, near the Big Lots distribution facility at the west end of Schuylkill County.

“Unfortunately, we don’t how it’s (the stimulus money) going to be released,” Scarbinsky said.

Coal-to-oil

Another project that might get a kick-start via stimulus funds is the coal-to-oil plant proposed by John W. Rich Jr., according to Zukas.

The proposed plant, which would cost $1 billion to construct, would convert coal to liquid fuels and have a daily output of 3,700 barrels of diesel fuel, 1,300 barrels of the low-octane, zero-sulfur gasoline Naphtha, and 41 megawatts of electricity, as well as steam for industrial use.

Rich, president of Waste Management & Processors Inc., Gilberton, said he hasn’t heard any recent buzz about his project relating to the stimulus package, but said the plant came up when construction trade groups were asked about available projects by Obama’s transition team a few months ago.

The coal-to-oil project would be a good investment, Rich said, because it produces liquid fuel and would create jobs — 1,000 construction jobs and 660 permanent jobs, he said.

Rich fears, however, that the stimulus package won’t address the country’s core energy problems: American dollars being spent overseas, a reliance on foreign oil and the potential for OPEC to undermine the stimulus package by inflating the price of oil once the U.S. economy stabilizes.

“We’re in a boat, and there’s a leak, and all we’re doing is issuing more buckets. We’re not doing anything about the hole,” Rich said. “And OPEC has been offering to take a hacksaw and make the hole bigger.”

Rich would like to see the stimulus package prioritize projects that displace foreign oil, such as finding domestic sources and producing vehicles that get more more miles per gallon.

Hospital upgrades

There won’t be a shovel needed, but the Schuylkill Health System hopes it may get some help upgrading its own infrastructure.

The health system — which consists of the former Pottsville Hospital and the former Good Samaritan Regional Medical Center — is planning a $2 million computer upgrade meant to link the two facilities, which, as of now, operate with two entirely separate computer systems.

“There is a category for that,” Holden said, referring to specific information-technology projects which could qualify for funding.

Hospital officials, meanwhile, remain optimistic but guarded.

“It is far too early to know if our project will qualify under the proposed stimulus package,” said John E. Simodejka, president and CEO of Schuylkill Health. “Our initial thoughts are that it is possible. We plan to work closely with our congressional representatives as more details become available.”