Carson Announces Over $80 Million in Stimulus Funds to Support Economic Development
June 12, 2009
June 12, 2009
Washington, D.C. – Today, Congressman André Carson issued the following statement to announce that Indianapolis will be receiving over $80 million in Recovery Zone Bonds as a part of the American Recovery and Reinvestment Act:
"I am extremely pleased that once again the American Recovery and Reinvestment Act is fulfilling its original purpose—to create long-term economic stability in communities across the country. As we continue to struggle through an ongoing recession, these Recovery Zone Bonds will provide critical assistance to economic development efforts across Indianapolis. I look forward to working with our city to see that these new resources are used to quickly begin growing businesses, creating jobs and put unemployed Hoosiers back to work."
Indianapolis will be receiving two types of Recovery Zone Bonds:
Recovery Zone Economic Development Bonds are a type of taxable Build America Bond that allows state and local governments to obtain lower borrowing costs through a new direct federal payment subsidy, for 45 percent of the interest, to finance a broad range of qualified economic development projects, such as job training and educational programs.
Recovery Zone Facility Bonds are a type of traditional tax-exempt private activity bond that may be used by private businesses in designated recovery zones to finance a broad range of depreciable capital projects.
Recovery Zone Bonds are targeted to areas particularly affected by job loss and will help local governments obtain financing for much needed economic development projects, such as public infrastructure development, at lower borrowing costs.
The American Recovery and Reinvestment Act, passed by Congress and signed into law by President Obama in February, will create 75,000 jobs across Indiana, including 7,400 in the Seventh Congressional District.
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