Kudos to Dan Froomkin for his recognition that government investment plays a key role in boosting the economy. (Joys of Retrofitting; Reasonable Stimulus Spending)
When it comes to retrofitting, he is absolutely right: Investment in green essentially costs the government nothing over the life cycle of the improvement even though it immediately creates jobs and improves the economy. He is also right when he talks about the value of stimulus spending, a point underscored by the latest White House report showing that Recovery Act funds are being used effectively and efficiently.
Some of the best and most concrete examples of both can be seen in the innovative work public housing authorities are doing across the country. Awarded $4 billion in capital funds, housing agencies are saving and creating thousands of jobs and homes at a time when both are sorely needed.
A significant reason that agencies received such a substantial award -- essentially double the average annual capital funding -- is research demonstrating the measurable impact this spending has on its communities. Every dollar in direct capital investment results in double the amount in local spending; every $1 million creates about 30 jobs.
- Camden is building a mixed income development with 68 family units in nineteen two-story buildings. Residents will have access to a new community center being built in the neighborhood, where the authority will hold workshops and educate residents on energy conservation. The authority is also significantly expanding community and supportive office space at its John F. Kennedy Tower, providing room for social and outreach workers and additional education courses.
(More examples here.)
It is not just Recovery Act funds. Using innovative programs like Energy Performance Contracts (EPCs) and HOPE VI, agencies are revitalizing neighborhoods, building service enriched environments, and leading the way in sustainable, green, development. They are also generating significant long-term energy savings, key when you look at the size of the bill: PHAs spent about $2 billion on 2008, more than 25% of actual operating expenditures. We know that older buildings that make up most of the public housing stock are less energy efficient than residential households, which means there are a lot of potential savings to be had.
- The Boston Housing Authority's current energy performance contract -- 63 million of water and energy conservation measures -- will save more than 56 million over the next 20 years and create an estimated 600 jobs.