Governor Hochul Announces $387 Million in COVID-19 Relief Being Delivered to Local Governments

Governor Kathy Hochul today announced $387 million is being delivered to 1,452 local governments across the New York State to help boost their pandemic response infrastructure. The announcement is part of the State's ongoing preparation efforts to tackle any potential pandemic-related surges this fall and winter. This financial backing is made possible by the Coronavirus Local Fiscal Recovery Fund, part of the American Rescue Plan Act, which provides relief for smaller local governments who have shared in the public health response.

"We have been able to move safely forward through this pandemic because of our close coordination with partners at every level of local government," Governor Hochul said. "I want to thank Senators Schumer and Gillibrand and our Congressional delegation for their help in securing this critical funding, which will help cities, towns and villages across New York State respond to pandemic-related needs and deliver essential services. As we respond to new variants and plan for any potential surges this fall, this is yet another step we are taking to boost our preparation efforts and we will continue to work with local partners to keep New Yorkers safe."

The American Rescue Plan Act (ARPA) provided $350 billion for eligible state, local, territorial, and tribal governments to respond to the COVID-19 emergency, including $10.7 billion in relief for New York State's local governments.

While larger municipalities received their funding directly from the U.S. Treasury Department, the State is responsible for distributing allocations on a per-capita basis to non-entitled units of government (NEUs) — cities, towns and villages that did not receive a direct payment.

In July and August 2021, $387.1 million was distributed to over 1,450 local governments. Municipalities have received or can expect an identical amount in a second payment, which will conclude the State's responsibility for distribution.

Senator Chuck Schumer said, "After fighting this pandemic on the frontlines, New York's counties, towns and villages were loud and clear: they needed help and robust federal funding to strengthen public health, keep frontline workers on the job, prevent brutal service cuts, and make long overdue investments in infrastructure to jumpstart their recovery. As Majority Leader, I was proud to make state and local funding my top priority in the American Rescue Plan, and now over $380 million more of much deserved relief will continue to flow to New York's local governments to create and save good paying jobs, fix our water infrastructure, boost broadband, breathe new life into our Main Streets, and help our communities build back stronger than before."

Representative Jerrold Nadler said, "As we continue to work through this ongoing pandemic, it is more important than ever that we continue to provide relief to local government adequately. This much needed funding was made possible through the American Rescue Plan Act and I am proud to have played a part in passing that bill. The $387 million that will be dispersed to governments across New York will go a long way toward improving public health and much more. Governor Hochul continues to be a tremendous partner and I look forward to continuing to work with her on behalf of all New Yorkers."

Representative Carolyn Maloney said, "COVID-19 devastated New York families and communities," said Rep. Maloney. "As Chair of the House Committee on Oversight and Reform, I was responsible for crafting the portion of the American Rescue Plan Act that ensured Cities, States, Tribes, and Territories each got their fair share of the funding including tens of billions for New York State and City to help us build back better. I applaud Governor Hochul for getting these funds to the local governments who need them most and support an equitable recovery for our hardest-hit communities."

Representative Brian Higgins said, "We fought to include local funding in the American Rescue Plan to ensure relief reaches our neighborhoods where people need it most. This latest payment will deliver over $24.4 million in federal resources to smaller cities, towns and villages in Erie and Niagara Counties."

Representative Paul Tonko said, "When COVID-19 struck, Congress took swift action to provide direct assistance to Americans and their communities through the American Rescue Plan Act," Congressman Paul Tonko said. "I was proud to support this legislation that provided an essential lifeline for individuals, families, and small businesses, and I'm thrilled to now see it paying dividends right here in the Capital Region. My thanks to all those whose partnership is making certain that our communities get the relief and support they need."

Representative Gregory W. Meeks said, "I'm proud to have voted for the historic American Rescue Plan Act which provided relief to local governments across the country. New York City, once the epicenter to COVID-19, continues to rebuild from the economic impacts of the pandemic. I applaud Governor Hochul for distributing this much needed relief to localities across the state."

Representative Sean Patrick Maloney said, "While we have come a long way since the early days of 2020, many of our communities and local governments are still on the road to recovery and will benefit tremendously from this second installment of federal support. I am proud to have helped bring these critical funds home that will be used to expand access to behavioral health care, invest in clean water, sewer, and broadband infrastructure, and support small businesses that lost revenue during the public health emergency."

Representative Kathleen Rice said, "I was proud to vote in favor of the American Rescue Plan Act. This second installment of relief funds will help our local villages, towns, and cities take another step towards financial recovery. This money will allow our local governments to provide premium pay to essential workers, fill revenue gaps caused by the pandemic, strengthen pandemic mitigation plans, and bolster public infrastructure by investing in drinking water, wastewater, and stormwater projects."

Congressman Jamaal Bowman Ed.D said, “The American Rescue Plan Act will bring funds to District 16 that will be well-used to help alleviate some of the COVID issues that continue to resonate within our communities. The additional coronavirus relief for local governments that Governor Hochul is providing is much needed and appreciated, and it will reach communities and meet needs that had not received prior relief. The COVID pandemic is not in our rearview mirror yet; a new variant is here now and infecting a large number of people every day, bringing hardship on a personal level, to our families, and in our communities. These funds will help.”

Representative Ritchie Torres said, "The funds from the American Rescue Plan will directly benefit the lives of New Yorkers all over the state. The American Rescue Plan gives states the opportunity to support essential workers with the pay they deserve while also investing in public health, small businesses, and infrastructure. This comes at a critical time, as local municipalities budgets have been depleted following the pandemic. Thank you to Governor Hochul for ensuring the distribution of these funds to local municipalities across the state is a priority."

The Federal guidelines allow New York's cities, towns, and villages receiving ARPA funds to use this aid for purposes including but not limited to:

• Support public health expenditures. For example, funds may be used for COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff;
• Address negative economic impacts caused by the public health emergency; This includes economic harms to workers, households, small businesses, impacted industries, and the public sector;
• Replace lost revenue. Funds may be used to provide government services to the extent of the reduction in revenue experienced due to the pandemic;
• Provide premium pay for essential workers. Additional support may be offered to those who have and will bear the greatest health risks because of their service in critical sectors; and
• Invest in water, sewer, and broadband infrastructure. Funds may be used to make necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet.

The amount being sent to each non-entitlement local government, as well as their total allocation which includes the Summer 2021 payment, is available on the Division of the Budget website.