09.03.20

Sullivan Applauds Updated Treasury Guidance, Giving States & Local Governments More Flexibility

FAIRBANKS, AK – Today, U.S. Senators Dan Sullivan (R-Alaska) and Martha McSally (R-AZ) announced that the Department of the Treasury has granted additional flexibility to state, local, and tribal governments in allocating resources from the Coronavirus Relief Fund (CRF) included in the CARES Act. This is a direct result of a request by Sens. Sullivan and McSally to the Treasury Department and the Trump administration to allow states and local governments to utilize funding to meet their specific needs. 

“I have heard from local leaders all throughout Alaska that their communities need additional flexibility to use federal relief funds in the ways most useful for their residents and specific circumstances, and I have been fighting for months to get them this flexibility,” said Senator Sullivan. “As I’ve repeatedly said, the people on the ground best know how to use funds to strengthen their communities. I appreciate the Trump administration for responding to our requests and for trusting our communities. In Alaska, our rural communities—with traditionally strong seasonal economies—have been devastated with reduced revenues. This updated guidance and greater flexibility gives them a lifeline.”

“When I spoke to Arizona’s state, local, and tribal leaders regarding the funding we allocated in the CARES Act, they reiterated that they need more flexibility to meet their current demands,” said Senator McSally. “I made it my mission to ensure that we provided more flexibility to help keep these communities afloat. States, local, and tribal governments know their area’s needs best, and I am glad to have partnered with the Treasury Department to provide our communities in Arizona and nationwide with the ability to look at their budget, identify any funding gaps, and give them the authority to allocate as needed.” 

 BACKGROUND:

  • The Coronavirus Relief Fund (CRF) allocations can now be used to prevent layoffs of public safety officers, firefighters, other first responders, and public health workers during the pandemic. 
  • The CRF allocations can be used for personal protective equipment (PPE) to reopen schools.

  • The CRF allocations can be used for public health infrastructure, specifically running water, which is particularly important for tribal governments. 

On August 21, Sullivan and McSally sent a letter to Treasury Secretary Steven Mnuchin urging him to increase flexibility of CARES Act funds for states, tribes, and local governments. 

On May 12, Sullivan attended a meeting at the White House with President Trump on increasing flexibility of CARES Act funds for states, tribes, and local governments. 

On May 6, Sullivan introduced S. 3638, the Coronavirus Relief Fund Flexibility Act, legislation that would allow the federal relief funds provided in the Coronavirus Aid, Relief, and Economic Security (CARES) Act to be used to replace revenue shortfalls resulting from the pandemic.

To view the Department of Treasury’s Coronavirus Relief Fund Frequently Asked Questions Page, CLICK HERE 

To view the Department of Treasury’s Coronavirus Relief Fund Guidance for State, Territorial, Local, and Tribal Governments, CLICK HERE. 

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