* This was supposed to be done by the end of April, but at least it got here before May 31. From the US Department of the Treasury… The American Rescue Plan will deliver $350 billion for eligible state, local, territorial, and Tribal governments to respond to the COVID-19 emergency and bring back jobs. The
* This was supposed to be done by the end of April, but at least it got here before May 31. From the US Department of the Treasury…
The American Rescue Plan will deliver $350 billion for eligible state, local, territorial, and Tribal governments to respond to the COVID-19 emergency and bring back jobs.
The Coronavirus State and Local Fiscal Recovery Funds provide a substantial infusion of resources to help turn the tide on the pandemic, address its economic fallout, and lay the foundation for a strong and equitable recovery.
Treasury is launching this much-needed relief to:
• Support urgent COVID-19 response efforts to continue to decrease spread of the virus and bring the pandemic under control
• Replace lost revenue for eligible state, local, territorial, and Tribal governments to strengthen support for vital public services and help retain jobs
• Support immediate economic stabilization for households and businesses
• Address systemic public health and economic challenges that have contributed to the inequal impact of the pandemic
[…] Use of Funds
The Coronavirus State and Local Fiscal Recovery Funds provide eligible state, local, territorial, and Tribal governments with a substantial infusion of resources to meet pandemic response needs and rebuild a stronger, and more equitable economy as the country recovers. Recipients may use these funds to:
• Support public health expenditures, by, for example, funding COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff
• Address negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries, and the public sector
• Replace lost public sector revenue, using this funding to provide government services to the extent of the reduction in revenue experienced due to the pandemic
• Provide premium pay for essential workers, offering additional support to those who have and will bear the greatest health risks because of their service in critical infrastructure sectors
• Invest in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet
Within these overall categories, recipients have broad flexibility to decide how best to use this funding to meet the needs of their communities.
The “interim final rule” is here.
* Pew Charitable Trusts…
“The American Rescue Plan Act represents historic investment in state and local governments—approximately $1,000 per American,” said Adam Levin, who researches state fiscal policy for The Pew Charitable Trusts. “The key to ensuring these resources yield returns is not just about the amount of funding – but how that money is spent. State and local leaders should take a long-term perspective on these new funds and analyze what their budgets will look like after this federal relief expires in 2024. Tools like multi-year revenue and expenditure forecasts and budget stress tests can help officials decide how to use this money today without inadvertently creating budget holes tomorrow.”
…Adding… US Sen. Durbin…
“Democrats and President Biden provided these federal relief dollars to prevent layoffs and save essential services. State and local governments will finally be able to fill revenue gaps to keep our teachers, first responders, and state employees serving our communities as we recover from the pandemic.
“A word of caution: governors and mayors asked for maximum flexibility in using these funds. As someone who supported their request, I am asking for maximum responsibility in spending these funds for essential needs.”