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Urgent Updates
What additional information do you have about the federal
stimulus bill?
The National League of Cities (NLC) has prepared a
comprehensive web page with the latest information. The page includes
an excellent, 14-slide presentation with what we know thus far. These
are a few highlights:
Cities will receive $65.1 billion nationally in direct
funding:
1. All cities are entitled to a federal grant from the new Coronavirus
Local Fiscal Recovery Fund.
2. Aid obligated to cities is not mingled with aid obligated
to state or county governments.
3. Aid for cities is protected from state or county
interference by “ironclad statutes” compelling states to comply, including
penalties for states that fail to carry out their responsibilities to small
cities.
Grant calculations will be based on a modified CDBG formula:
-70 percent of funds, or $45.5 billion, is obligated to cities
with 50,000 or more residents based on population size, poverty rates, and
measures of housing instability. (Prioritizes need.)
-30 percent of funds, or $19.5 billion, is obligated to cities
with less than 50,000 residents based on population size only. (Prioritizes simplification.)
Small city funding cap:
-Small city grants cannot be greater than 75 percent of the
city’s most recent pre-pandemic budget.
-This is a “blunt instrument” to overcome unavailability of
precise data for small localities.
Two-year funding certainty:
-Grants will be released in two tranches.
-Half will be released following enactment and half 12 months
following receipt of first payment.
Spending Deadline:
-Money remains available until December 31, 2024, with
unexpended funds being returned to Treasury.
You can sign up here to receive the NLC Federal Advocacy Newsletter
directly.
Further Updates
Cities are seeing rising numbers of fraudulent unemployment
benefits claims from current employees, recently-retired employees, and even
elected officials. Where do we report a suspected fraudulent claim?
The Texas Workforce Commission (TWC) has become aware of the
fraudulent activity through reports of individuals or businesses receiving
correspondence from TWC when no claim has been filed and the individuals are
employed.
The agency encourages anyone who suspects potential fraudulent
activity involving unemployment benefits to report it through the TWC fraud submission portal. You can also email TWC.fraud@twc.state.tx.us
or leave a message at the TWC Fraud Hotline at 800-252-3642.
Where can I find archived issues of the TML Coronavirus
Updates?
TML Coronavirus Updates are archived by date here and by subject here.
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