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View Full Version : States to get first stimulus boost this week


Richard Tafoya
Feb 23rd, 2009, 05:13 PM
CNN:
http://www.cnn.com/2009/POLITICS/02/23/obama.governors/?iref=hpmostpop

President Obama announced Monday that cash-strapped state governments will see the first influx of federal stimulus-related assistance later this week.

The money, Obama noted at a White House meeting with governors, will be distributed starting Wednesday in the form of more than $15 billion in new Medicaid assistance.

"That means that by the time most of you get home, money will be waiting to help 20 million vulnerable Americans in your states keep their health care coverage," Obama told the governors.

But the money, Obama warned, is "not a blank check" to state governments. The money is "intended to go directly toward helping struggling Americans keep their health care coverage. ... We're going to work with you closely to make sure that this money is spent the way it's supposed to."

The president said he would not hesitate "to call out" state governments that spend the money in a wasteful or inappropriate manner.

In that vein, Obama announced the appointment of former Interior Department Inspector General Earl Devaney to head a new Recovery Act Transparency and Accountability Board, to ensure the $787 billion stimulus package is spent in an open, efficient manner.