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Frequently Asked Questions

Q: What is the American Recovery and Reinvestment Act?

The American Recovery and Reinvestment Act (ARRA) was signed into law by President Barack Obama on February 17, 2009. Designed to stimulate the economy and create new jobs through spending and tax relief, the $787 billion will be divided among states across the nation with the nation’s governors serving as the conduit.

The ARRA includes two different types of funding: one is formula funding, which is based on criteria such as demographics, population and statistics and is automatic to the states; the other is competitive grants.

The State of Hawai‘i is well positioned to take maximum advantage of funds that will stimulate our economy in the short-term and help realize the goals of long-term initiatives important to our state’s future.

 

Q: What is Hawai‘i’s plan to take advantage of funds from the federal stimulus plan?

The state’s goal is to pursue competitive grants wherever possible and maximize the use of formula funding to help boost Hawai‘i’s economy and create jobs. At the same time, the state is carefully evaluating which funds to go after, as we do not want to accept funds that will result in a financial burden for Hawai‘i after the federal stimulus funds run out. Funds from the American Recovery and Reinvestment Act are not recurring.

 

Q: How much money will Hawai‘i receive?

The Lingle-Aiona Administration will pursue federal funds and compete aggressively for grants as part of the federal stimulus.

The ARRA includes billions of dollars for some of the Lingle-Aiona Administration’s key initiative areas, such as renewable energy, broadband access and our infrastructure modernization. The State of Hawai‘i is leading the nation in many of these issues, and is well positioned to receive these funds.

 

Q: Why don’t we know the amounts for sure?

Definitive dollar figures are difficult to calculate at this early stage, as federal agencies continue to work out how the different components of the federal stimulus plan will be allocated in order to ensure that your money is spent wisely. In addition, the total funding Hawai‘i’s receives from the federal stimulus plan will be based in part on the number and amount of competitive grants the state wins.

This website features links to the resources we have currently and will provide you with more specific data as it becomes available from the federal agencies.

 

Q: How will this spending be made transparent?

The federal government has made clear it will demand stringent reporting requirements from funding recipients, including state governments, for the American Recovery and Reinvestment Act. In order to ensure accountability at the state level, our nation’s governors have been asked to make five assurances (see Accountability) before allocating stimulus funds to any given project.

Governor Lingle’s Chief of Staff Barry Fukunaga is heading the state’s efforts to coordinate and expedite the process to effectively utilize the federal funds to stimulate the local economy. This website will complement these efforts by providing continuously updated information on how all stimulus funds are being used and the specific status of Hawai‘i projects.

 

Q: How can my community/organization apply for grant money?

As part of the American Recovery and Reinvestment Act, Hawai‘i is receiving formula funding as well as additional competitive grant funds. Depending on the program, individuals, schools, local governments, nonprofits, higher education and research institutes, state agencies, and businesses may be eligible to compete for grant money. In addition, contractors and other organizations will be able to bid on RFP opportunities. Check the program descriptions and the summaries of the stimulus package referenced on this website to determine for which programs you or your group may qualify.

 

 

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