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Another stimulus fund RR construction delay
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<p>[quote user="Phoebe Vet"]</p> <p><span style="color:#800000;">At the risk of moving onto a political tangent, the newly empowered Republicans are trying to kill the previously approved rail construction plans in NC.</span></p> <p><span style="color:#800000;"><a href="http://www.newsobserver.com/2011/03/30/1091073/debate-cut-short-on-bill-to-kill.html">http://www.newsobserver.com/2011/03/30/1091073/debate-cut-short-on-bill-to-kill.html</a> </span></p> <p><span style="color:#800000;"><a href="http://www.wral.com/news/state/nccapitol/story/9309458/">http://www.wral.com/news/state/nccapitol/story/9309458/</a> </span>[/quote]</p> <p>There are two key points with respect to taking ARRA monies. The first is the extent to which they cover the capital cost of the proposed project. The second is the operating liability that may be imposed on the recipient. If the recipient has to cover additional operating deficits generated by the capital improvement, the project probably is not a good investment.</p> <p>Jobs are important. But if they are created for projects that lay on a never ending liability, i.e. a commercial project that the users will not pay for, then the investment is not wise. </p>
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