Concerns raised on pace of stimulus

WASHINGTON -- The federal government has committed $60 billion so far for projects from the $787 billion economic stimulus package President Obama signed two months ago, prompting concerns that the money isn't moving fast enough to halt the deepening recession.

USA TODAY reviewed federal spending reports from April 10 though 14 that offer a first, broad view of the massive injection of federal aid.

The money — nearly $1 billion a day — has gone mainly toward highway repairs, financial aid for states, nuclear waste cleanup and other public works, the reports show. In the package, $499 billion is for new spending — the rest is to finance tax cuts, which are reflected starting this month in lower withholding from workers' paychecks.

Critics say the government should speed up spending. "It's disappointing, given the urgency ... that we've only been able to spend $60 billion," says Brookings Institution economist Isabel Sawhill. She says the government must hire contractors and get projects reviewed — safeguards that slow the flow of money.

The Obama administration says it's pleased with the pace. "We're on track. We're moving nicely," says Ed DeSeve, an adviser to Obama who oversees recovery efforts.

The U.S. government has spent about $13 billion of the $60 billion it promised for specific projects, nearly all to help states pay for health care for elderly and low-income Americans. The reports do not say how many jobs have been created.

A handful of agencies — including the U.S. Department of the Interior and the U.S. Department of Veterans Affairs — still have not promised money for any stimulus projects, the reports show.

Chris Henderson, who supervises the Interior Department's $3 billion stimulus effort, says his agency will start hiring contractors within the next three months for projects such as national park repairs. "We're all committed to the objective of creating jobs as quickly as possible," he says.

The government wants most stimulus aid to be spent by September 2010. The Obama administration has emphasized the need to move quickly.