Citizens can report stimulus fraud

Federal Web site tracks spending of funds as well

Friday, Oct. 30, 2009

The federal Recovery Accountability and Transparency Board on Monday also announced a hot line to report fraudulent use of stimulus dollars.

"The new Web site will be very interactive and user-friendly and will allow the public to find detailed information on projects in their states, congressional district and even in their own neighborhoods," recovery board Chairman Earl E. Devaney said in a statement.

The improved site, at Recovery.gov, includes links to YouTube, Twitter, Facebook and MySpace.

Individuals can call the toll-free hotline, 877-FWA-DESK, from 7 a.m. to 10 p.m., seven days a week from anywhere in the United States to report fraud, waste or mismanagement of recovery funds.

Recipients of recovery grants, loans or contracts of $25,000 or more must file quarterly reports at www.FederalReporting.gov.

Data from reports on contracts was posted on www.Recovery.gov on Oct. 15. Data on grants and loans will be posted Oct. 30.

States had until Oct. 10 to submit reports to the recovery board outlining how they have spent stimulus money and how many jobs have been created or saved as a result.

According to the Office of Management and Budget, the $787 billion recovery package includes about $288 billion in tax relief; about $275 billion for contracts, grants and loans; and $224 billion for entitlements such as Medicaid and student loans.

The federal government is at about the halfway point of stimulus spending, said G. Edward DeSeve, a top advisor to President Obama's administration on stimulus implementation. The success of the stimulus will be measured largely on how quickly the economy rebounds, he told a group of reporters in Washington, D.C., at a forum examining state economic issues.

Job growth is the biggest variable in that determination. From the depth of the recession, it could take as little as 18 months for jobs to pick up or as long as 32 months, DeSeve said.

Although some states have shown job losses leveling off in recent months, DeSeve warned not to mistake that with the end of the recession. "Less worse is not better," he said.

"What we want to do is move from stimulus to recovery, providing a lift to the economy and then have the private sector do what it's supposed to do and create jobs," DeSeve added.

Chris Whatley, director of the Washington office of the Council of State Governments, agreed that the stimulus needs to spur long-term economic growth.

"This needs to be more than a shot of adrenaline into the arm of a sick patient," he said.

abrody@somdnews.com