What’s the latest from the National League of Cities regarding
future stimulus legislation?
According to NLC, “the House Oversight and Reform Committee
provided new details on the state and local government aid section of the COVID-19 emergency aid reconciliation package. The state
and local section meets NLC’s top legislative priority of delivering federal
emergency aid to every city, town, and village, with no minimum population
NLC staff are reporting the following details:
-$350 billion in total for all cities, counties, states,
tribes, and territories. Of that amount, $130 billion is set aside for
local governments, equally divided between cities and counties.
-The $65 billion for cities will be allocated to all 19,000
cities, towns, and villages according to a modified Community Development
Block Grant formula.
-Under the modified formula, $45.5 billion will be split among
all cities that are designated CDBG entitlement cities (generally cities with
a population of at least 50,000) and $19.5 billion will be split among
non-entitlement cities (generally cities with a populations below 50,000).
-There will be no deadline for spending down funds.
-Lost revenue replacement will be an eligible expenditure.
-The U.S. Treasury Department will allocate funds similarly to
CDBG, with entitlement cities’ share determined by that formula and
non-entitlement cities’ share based on population.
The Oversight and Reform Committee will vote on the state and
local aid section, including amendments, tomorrow (February
12). Following passage, the section will be delivered to the House
Budget Committee to be assembled into the broader emergency aid package.
What’s the latest from the comptroller on sales tax
Texas Comptroller Glenn Hegar announced yesterday (February
10), that “he will send cities, counties, transit systems, and special
purpose taxing districts $1.05 billion in local sales tax allocations for
February, which is 0.7 percent more than in February 2020.”