Posted: | December 9, 2021 10:49 AM |
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From: | Senator Art Haywood |
To: | All Senate members |
Subject: | Municipal Rescue Plan |
In the near future, I will introduce legislation to create a mid-sized municipality rescue plan for communities just missing out on American Rescue Plan funding. The federal American Rescue Plan used the Community Development Block Grant program to push money out to municipalities quickly. This gave 70% of the funding available directly to municipalities over 50,000 people ("entitlement communities"), using the state as a conduit for distributing the remaining 30% to everywhere else with less ("nonentitlement communities"). This put many nonentitlement communities at a disadvantage, despite having the same key issues as municipalities only slightly larger. This bill will distribute $500 million of unspent American Rescue Plan funds to mid-sized municipalities between 19,000 and 49,999 people to recover from pandemic-related losses. The funding will allow 75 mid-sized municipalities from all regions of the Commonwealth to maintain essential services as well as provide infrastructure and budget relief. This would include common expenditures such as:
This is merely one step to begin leveling the playing field for smaller municipalities, which require much more to recover fully. Please join me in co-sponsoring this critical legislation for local governments. |