Network News

X My Profile
View More Activity
2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Cities: Give Us Money, Too

Philadelphia, Atlanta and Phoenix are asking Treasury for some of the $700 billion bailout/rescue to help them pay bills and and finance construction projects.

The three cities want Treasury to provide $50 billion to cities nationally to spend on infrastructure and loans.

“The federal government is providing support for the financial industry,” said Luke Butler, a spokesman for Philly Mayor Michael Nutter, who's behind the effort. “Cities could use some support, too.”

What chance do the cities have of getting any money?

Zero.

Treasury Secretary Hank Paulson has said such requests are beyond what the bailout allows.

The cities could try this tack, though: If they stop being cities and turn themselves into bank-holding companies, like American Express did earlier this week, then they would qualify for federal funds.

It's an idea.

-- Frank Ahrens

The Ticker is Twittering!

By Frank Ahrens  |  November 14, 2008; 5:32 PM ET
Categories:  The Ticker  
Save & Share:  Send E-mail   Facebook   Twitter   Digg   Yahoo Buzz   Del.icio.us   StumbleUpon   Technorati   Google Buzz   Previous: Buffett Buys Oil, Sells Drywall
Next: Auto Workers Union Issues Warning

No comments have been posted to this entry.

The comments to this entry are closed.

 
 
RSS Feed
Subscribe to The Post

© 2010 The Washington Post Company