JOHN E. SETTLE JR.
On March 11 President Joe Bidn signed into law the American Rescue Plan of 2021.
The $1.9 trillion package is inteded to combat the COVID-19 pandemic, including the public health and ecomomic impacts.
The U.S. Department of the Treasury will oversee and administer payments to state and local goverments.
Municipalities and counties will receive funds in two trances--with 50 percent this year and the remaining 50 percent no earlier than 12 months form the first payment.
The act provides for $65.1 billion in direct federal aid to all counties in the U.S. based on the county share of the U.S. population. Another $45.57 will be funded to cities with a population of at least 50,000 and $19.53 billion to those with populations below $50,000.
The National Association of Counties has published the following estimates for local parishes: Bossier $24.6 million; Caddo $46.5 million; Desoto $5.3 million; Webster $7.4 million.
It is anticipated that the city of Shreveport will be funded $48 million.
The recovery funds can be used for the following:
a. respond to or mitigate the public health emergency with respect to the COVID-19 emergency or its negative economic impacts, including assistance to households, small businsses, and nonprofits, or aid to impacted industries such as tourism, travel and hospitality.
b. provide government services to the extent of the reduction in revenue dur to the public health emergency.
c. make necessary investments in water, sewer, or broadband infrastructue.
d. respond to worker performing essential work during the COVID-19 public health emergency by providing premium pay to eligible workers.
The act provides reporting guidelines and repayment penalites for any expenditures not in complaince with the legislation and the rules and regulations that are being promulgated for the disburement of funds.
The deadline to spend funds is Dec. 31, 2024.
The first tranche must be paid to parishes no later than May 10th of this year.
The Caddo Commission and the Shreveport City Council will determine how these funds will be expended.
THIS ARTICLE WAS PUBLISHED IN THE March 19 ISSUE OF FOCUS SB - THE INQUISITOR.