EFFECTIVENESS OF ECONOMIC STIMULUS PROGRAMS 95-2 HEARINGS BEFORE THE TASK FORCE ON ECONOMIC POLICY OF THE COMMITTEE ON THE BUDGET NINETY-FIFTH CONGRESS SECOND SESSION FEBRUARY 18 AND 20, 1978 Printed for the use of the Committee on the Budget Cooksey, Jim, director of manpower for the county of Dallas, accom- panied by Mary Jane Barnett, assistant director. Folse, Steve, counselor, WIN programs. Harris, William, Regional Administrator, Employment and Training Administration, accompanied by Richard Flores, Associate Regional Administrator for Operations; Vernon Walling, Deputy Administra- tor, State of Texas; and Lawrence Rogers, Acting Administrator, Office of Field Operations, U.S. Department of Labor, Washington, James, Sue, educational coordinator, Rape Crisis Center; Clarence Akins, executive director, Dallas Opportunities Industrialization Center; Frank Ramirez, executive director, SER Jobs for Progress; Elizabeth Criswell, director, Deaf Action Center, accompanied by John Criswell, grant writer and volunteer, Deaf Action Center; and Margaret Anderson, community volunteer worker. Jones, Joyce, CETA employee, Dallas Housing Authority. Schrader, George R., city manager, Dallas, Tex., accompanied by Stoner, William, consumer counselor, Dallas Legal Services- Swanner, Joseph B., Regional Director, Economic Development Administration, accompanied by Jack Look, attorney, regional office; and David McIlivain, local public works coordinator for the Ferguson, I. O., district director, Texas Employment Commission, report entitled: "Responsibilities of the Texas Employment Com- mission Under Title VI of the Comprehensive Employment and Ramirez, Frank, prepared statement with enclosed exhibits_ Exhibit I-SER-Dallas Jobs for Progress-Consolidated Characteristics, Fiscal Year 1977__ Exhibit II-Consolidated-Summary of Selected Data- Exhibit IV-Cost Savings-Position Paper with enclosed Schrader, George R., prepared statement_ 125 138 139 140 27 EFFECTIVENESS OF ECONOMIC STIMULUS PROGRAMS SATURDAY, FEBRUARY 18, 1978 HOUSE OF REPRESENTATIVES, Dallas, Tex. The task force met, pursuant to notice, at 10 a.m., at room 6e South, City Hall, Dallas, Tex., Hon. Jim Mattox, presiding. Mr. MATTOX. The Task Force on Economic Policy of the Budget Committee of the U.S. House of Representatives begins today the first of a series of hearings into the effectiveness of job stimulus programs. Over the past few years, Congress has responded to economic difficulties and national recession by passing a number of special laws. These laws were designed to deal with the problem of high rates of unemployment through three principal programs: Countercyclical revenue sharing; accelerated public works projects; and emergency public service jobs programs. The House Budget Committee recommended that these programs be passed by Congress, and they were, and that money be appropriated for them, and it was. What Congress doesn't know is how well or how poorly these programs really work. Congress passes a lot of laws but rarely takes a good, hard, second look. That's one of the reasons there is a Budget Committee: To sort out our national priorities and to recommend good programs. Here in Dallas, today and Monday, we're going to be looking especially at the public service jobs programs. The national target for emergency jobs under the Comprehensive Education and Training Act-known at CETA-was raised from 310,000 jobs last year to 725,000 jobs this year. Appropriations were raised to $4.1 billion. Most of the money and jobs under this act go to areas of the country that have high overall rates of unemployment. However, certain provisions of the act make money and jobs available to deal with the special problems of pockets of unemployment and with disadvantaged groups. In the Dallas area, we are fortunate. We do not have high overall unemployment. The latest official figures show overall unemployment rates in the Dallas-Fort Worth metropolitan statistical area at only 3.2 percent in November 1977; down from 4.0 percent a year earlier. But in Dallas we do have pockets of unemployment, areas that have not shared in the economic good fortune of their neighbors. We have higher rates of unemployment among certain disadvantaged groups, primarily young, black, and Hispanic people. (1) |