State governments will receive large sums of money from the $ 1.9 trillion COVID-19 aid package, which could suddenly enable them to implement large, costly projects that have long been on their to-do list, including high-speed Internet for rural areas. drinking water improvements.
The aid program, approved by Congress by a close vote of the party and signed by President Biden on Thursday, includes $ 195 billion for states, plus separate funds for local government schools.
Although the package includes significant short-term financial assistance to individuals affected by the outbreak of business, its pro-democracy supporters also see it as a rich opportunity to help states more broadly tackle poverty and accomplish the great things the government has done in the past.
Since most of the state budgets are not in the area that many feared last spring, states can use their share of the money to balance books and deal with the direct costs of the coronavirus epidemic.
“There are no words to describe the impact it has had on a state that has long had extreme, persistent poverty,” said New Mexico Gov. Michel Luzhan Grisham, a Democrat. “This is exactly the investment we have always deserved, which we need more now than ever.”
Even Republican governors who oppose the plan have ambitious plans, such as those on the Democratic legislature և governor’s wish lists.
In Democrat-controlled California, GOP-controlled Idaho-Vermont, with a Republican governor and a Democratic legislative majority, prioritizes broadband rural drinking water programs.
Officials in New Mexico expect to use $ 600 million to pay off debts to the state unemployment fund. A move that will hinder business payroll taxes և still’s over $ 1 billion for projects such as economic development grants, road improvements և others has yet to be decided.
Although the CARES law passed last March included $ 150 billion for state, local and tribal governments, that aid was limited mainly by epidemic costs. The new package gives states much more flexibility.
Republican governors argue that the economy is already recovering, that all expenses will eventually have to be paid by taxpayers. They also oppose a resolution that would distribute more money per capita to countries with higher unemployment rates, which they say would punish them for keeping most of their economies open through the epidemic.
“Instead of using a bipartisan bill on former Coronavirus federal bills, this bill is literally a wish list for California and New York,” said Georgia Gov. Brian Kemp. “That is my Georgian slap.”
Republicans overseeing state governance are developing tax cuts. Something that is being pursued in other GOP-led states, including Arizona and Iowa. But it could hurt the provision of the aid package, which prohibits the use of money to pay for tax cuts.
In the country, it turns out that the picture of the state budget is generally not as bleak as expected. Last year’s aid costs helped by sending money directly to governments, businesses and individuals. It helped keep employees on their payroll and paid taxes.
Moreover, investors in states like New York և California, which provided most of the tax revenue, which announced a $ 15 billion surplus in January, had a good year due to the growth of the stock market. And job losses as a result of the epidemic were the deepest among low-wage workers, who account for a small share of tax revenue.
The analysis of the tax fund, which is a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit, a non-profit.
The sums that countries match to receive from the COVID-19 aid package outweigh the revenue declines in each state, են more than 100 times the gross revenue loss, the group said.
Even in the face of general democratic measures, Idaho Gov. Brad Little outlined the same priorities as his Democratic counterparts.
“We know the debt is pledged by our grandchildren,” he said. “I will try to use those funds directly to support them through long-term investment in education, broadband and water infrastructure.”
Mulvihil reported from Cherry Hill, New Jersey. Follow her at http://www.twitter.com/geoffmulvihill
Associated Press reporters in Jeff Emin, Atlanta; Adam Beam in Sacramento, California; Susan Montoyan in Brian Albuquerque, New Mexico; Andrew Demillo, Little Rock, Arkansas; Keith Ridler in Boise, Idaho; Wilson Ring in Montpellier, Vermont, contributed to this story.