When Jackson Mayor Derek Dobies learned that his city was receiving $ 32 million from the federal stimulus package, worth $ 1.9 trillion, he wondered if his math was wrong.
It was not.
While Checks for $ 1,400 per person Perhaps this is the most popular part of the plan. Cities celebrate the inflow of money that local governments will see. In Michigan alone, the package will award US $ 4.4 billion to cities, towns, villages and counties.
The state government is getting nearly $ 6 billion for itself, bringing the total to Michigan in funding of $ 10.3 billion.
“It’s definitely necessary,” said Dobies. “It’s probably the biggest injection of stimulus dollars I’ve ever seen – and probably in modern history. I can’t even name a time when we had the opportunity to invest in Jackson again. It was kind of amazing. “
The US House Oversight Committee has made estimates of how much each ward will receive.
Take a look at the database below to see how much your city or town could get. ((Can’t see the database? Click here)
This database below shows how much each county government will receive. ((Can’t see the database? Click here)
The amounts are based in part on population size, but factors such as poverty rates and housing instability are also taken into account for metropolitan areas.
Villages are not included in the estimates, but receive financial support. Your money will come from estimates for the community that surrounds each village. All numbers are subject to change, said Chris Hackbarth, director of state and federal affairs for the Michigan Municipal League.
“Wait for the government to finalize the numbers before relying on them or making plans for those specific dollars,” Hackbarth said.
It is still unclear what the funds can and cannot be used for, Hackbarth said. While it is clear that the money cannot be used for expenses such as pension obligations, the US Treasury Department has not yet published its guidelines on how the money is used.
Dobies hopes to use the money for projects such as road construction, pipeline replacement, housing stability and economic development. But the city will have “listening sessions” on public contributions before giving it out, he said.
“We have no shortage of challenges here in Jackson,” said Dobies, calling the funding “transformative.”
The $ 32 million is larger than Jackson’s overall overall fund budget for that year and a quarter the size of his overall annual budget.
The stimulus plan provides that the funds will be used to cover lost revenue caused by the pandemic, help ailing businesses or improve water, sanitation and broadband infrastructure.
Cities, municipalities and counties have argued that they have been underfunded in the past few decades and therefore had to delay improving infrastructure. This could help communities tackle some of these projects, Hackbarth said.
The money will come in two parts, Hackbarth said, the first half in 2021 and the second in 2022. It has to be spent by December 31, 2024.
While businesses may recover from the pandemic sooner, Michigan communities may not, as they are largely funded by tax revenues. With many of these not getting paid until the end of the year, governments are likely to feel the sting until 2022 or later, Hackbarth said.
Cities with local income taxes also suffer. The Michigan Treasury Department estimates these 24 cities combined lost $ 250 million because employees either worked from home, outside of the city limits, or lost their jobs entirely.
Governor Gretchen Whitmer proposed giving these cities $ 70 million to fill in the loopholes, but lawmakers have not approved the funding. Federal funding could help with this deficit, Hackbarth said.
It was not said when exactly the funds would arrive. Bigger cities get the money direct from the federal government, while smaller communities let it run through state law – but Hackbarth notes that penalties will be imposed if law stops funding.