Economic Stimulus Contracts on a Slow Track Spending on road improvements under the Recovery Act is moving as slowly as the traffic on some clogged freeways. Construction has begun on only about one-third of the highway projects that have been approved by the U.S. Department of Transportation, the Los Angeles Times reported. After a project receives federal approval, state and local governments must advertise for bids and award contracts, then contractors have to assemble personnel, materials and equipment before work can start. The Transportation Department has $21 billion available, but had paid out only $683 million on July 10, according to the official website www.recovery.gov. Approximately 2,000 of 5,600 federally approved projects were underway on that date, the Times said. Some Obama administration critics have pointed to the slow pace of spending as a sign that the stimulus plan is not working. But White House economic adviser Lawrence Summers says the program is “on track.” “Given lags in spending and hiring, the peak impact of the stimulus on jobs was expected not to be achieved until the end of 2010,” Summers said in a Washington speech July 17. He said the plan envisions distributing 70% of the $787 billion dollar package in the first 18 months after President Obama signed the Recovery Act in February. The Recovery Board, which oversees stimulus spending, reported $64.4 billion had been paid out as of July 10. Board chairman Earl Devaney unveiled a new feature on www.recovery.gov that allows users to view major contract and grant awards in their hometowns. “You’ll find the names of the recipients, the amounts of the awards, the locations of the work and much more,” Devaney said.