State lags badly on stimulus spending

US Representative James L. Oberstar, chairman of the House Committee on Transportation and Infrastructure, told Patrick that Massachusetts ranks 49th in the nation in putting highway stimulus money to work, committing only 23 percent of its funds so far.

“I strongly urge you to refocus your efforts . . . and use the available funds to create and sustain family-wage jobs,’’ Oberstar, a Minnesota Democrat, wrote in a letter he sent to the governor Thursday. “These jobs are critical to Massachusetts and the nation’s long-term economic growth.’’

Seven months after receiving $437 million in federal highway funds, Massachusetts had only about $99 million in construction work underway as of Aug. 31, according to the most recently available data. By contrast, New Hampshire had 78 percent and Maine 67 percent. The two states ranked third and fourth, respectively, in a congressional ranking of how quickly the 50 states and the District of Columbia have spent highway funds from the American Recovery and Reinvestment Act.

Aides to Patrick questioned the fairness of the congressional report, saying it ignores the administration’s effort to concentrate funds on larger projects that generate spinoff work and stimulate the creation of permanent jobs.

“It’s regrettable that folks, including the congressman, are looking at statistics and raw data as opposed to taking a look at what states are doing to make the stimulus work for them,’’ said Massachusetts Transportation Secretary James Aloisi.

Oberstar did not return a request for comment.

Aloisi said the administration is looking for highway projects that will allow developers to move forward with new shopping malls, offices, and other private complexes. For example, the state in July provided $15 million of the stimulus funds for an access road in Somerville that will feed the Assembly on the Mystic project, a 66-acre mixed-use development that will include an Ikea superstore.

“We know that by building significant infrastructure in Somerville we can attract an Ikea,’’ he said. “We’re spending stimulus with an eye toward creating longer-term growth.’’

But finding projects that fit the state’s goals has proved to be difficult and time consuming. In addition to the work in Somerville, only one other proposal has been funded, a $70 million interchange for Route 24 that will help a business park in Fall River expand.

Aloisi said the state expects to announce funding for similar projects in the next few months, but is still assessing which are ready to begin. And the credit crisis has made it difficult for many developers to borrow money in order to commence construction.

“We’re going to make some choices, and we’re going to make them soon,’’ Aloisi said. “The person that gets the best grade at the end of this is what’s going to be meaningful, and we are focusing on Massachusetts’ needs.’’

But the numbers so far are not flattering.

Massachusetts was among five states that received a letter of rebuke from Oberstar this week; only Delaware, the home state of Vice President Joe Biden, and Virginia scored worse.

By another measurement, Massachusetts was far behind in even deciding where it would spend the money, as only 44 percent, or $193 million, has been put out to bid.

The findings are based on reports states must file with Congress every month to show how they are spending federal highway money.

In a separate report filed with the Federal Highway Administration, Massachusetts indicated that in August it had funded about two dozen road projects employing 525 workers with a total payroll of $866,000.

In Maine, work is proceeding more briskly, with 100 percent of its funds allocated for projects already underway or soon to begin. In its most recent report to the Federal Highway Administration, Maine said that during August the approved contracts paid 1,645 employees a total of $2.1 million.

The poor grade in the report is a blow to Patrick as he prepares for reelection next year. He campaigned in 2006 promising to create jobs and reiterated that vow when Congress passed the stimulus bill early this year, saying the money would be quickly used to prime the state’s economy.

The transportation funds are a particularly important boost for Massachusetts, as the state does not have nearly enough money to fix all of its battered roads and bridges. Patrick’s aides said they have tried to pare this backlog by using more of the state’s own money, spending a record $720 million in the last fiscal year.

The stimulus funding will help with the backlog, but state officials believe that taking more time to find projects that will create additional work and long-term jobs is also a good use of the federal money.

Some congressional Democrats sprang to the governor’s defense yesterday. Senator John F. Kerry released a statement calling Patrick’s approach “strategic and wise.’’

“The governor is being responsible with tax dollars and looking for investments that give our economy the biggest bang for the buck,’’ Kerry said.

But a leading Republican in the state Legislature said the congressional knock on the Patrick administration is deserved.

“In the beginning, a lot of promises were made but nothing has really materialized,’’ said state Senate Minority Leader Richard Tisei. “It doesn’t seem like the state of Massachusetts is doing anything well right now from an operational standpoint. Everything that comes up is another blunder.’’

Casey Ross can be reached at cross@globe.com.