June 12, 2009

Washington, D.C. – Today, Congressman Jerry McNerney (CA-11) announced that the City of Stockton is eligible for over $8.7 million in “Recovery Zone” economic development bonds from the American Recovery and Reinvestment Act, commonly referred to as the stimulus package. 

U.S. Department of Treasury “Recovery Zone” bonds are being directed to areas with significant job loss and are aimed to help local governments obtain capital for economic development projects.

“The availability of financing is critical for our area’s economy,” said Rep. McNerney.  “These bonds will help make funds available for important capital projects and job training programs.  It’s one more step that will help along the path to economic recovery.” 

Of the $8.7 million allocated to the City of Stockton, approximately $3.5 million is intended to be issued for economic development projects such as job training and educational programs.  The U.S. Treasury Department will finance 45% of the interest on this sum of money. 

Another $5.2 million is available to the City of Stockton to provide bonds that can be utilized by private businesses to finance a range of economic development capital projects.