State and local boost projected from stimulus package

The state and local market is likely to see a boost from President Barack Obama’s stimilus package as more spending goes to projects involving infrastructure and social instiutions.

A study by the research firm Onvia said that projects that can have the most immediate short-term impact will likely get the new funding that the federal government will distribute to the states.

“At this point, it is clear that investment in ‘shovel-ready’ infrastructure projects will be a primary objective, with education, technology and energy efficiency also garnering significant attention,” the report states.

The extra spending, however, will not fill the budget gap many states are facing, the report said. Onvia based its findings on interviews and surveys of 4,000 government officials.

Information technology companies can expect more spending on the state and local level for new computers in classrooms, the integration of electronic medical records and the expansion of broadband services to rural areas, the Onvia report said.

Demand for green technologies also should increase as agencies look to become more energy efficient, according to the report.

About the Author

Nick Wakeman is the editor-in-chief of Washington Technology. Follow him on Twitter: @nick_wakeman.

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