Bipartisan bill targets virus aid for state, local governments

WASHINGTON — Counties, cities, towns and villages would get direct federal coronavirus aid regardless of their size as the U.S. House crafts another massive relief package, according to bipartisan legislation to be announced Thursday by New York congressional lawmakers.

That House Democrats’ new funding package could include as much as $1 trillion nationally for state and local governments, including those that were too small to get funding from the $150 billion pool of money in the CARES Act enacted in March.

The bill, which outlines a formula for distribution of funds but not a dollar amount, will be announced Thursday by New York Democrats Sen. Chuck Schumer, Sen. Kirsten Gillibrand, Rep. Anthony Delgado of Rhinebeck and Republican Rep. Lee Zeldin of Shirley.

“Local governments are hamstrung trying to deal with lost revenue and mounting costs in the face of the pandemic,” Schumer, the Senate Democratic leader, said in a statement.

“Under our proposal, counties, cities, towns, and villages of all sizes could count on direct, guaranteed financial relief, instead of having to layoff vital workers, cut important services, or raise taxes and fees at absolutely the worst time,” he said.

Zeldin and other Republicans in the House support federal aid to New York’s state and local governments, bucking Senate Majority Leader Mitch McConnell (R-Ky.) and President Donald Trump, who call that funding a “blue-state bailout.”

In a Zoom meeting between the five Long Island members of the House and Long Island mayors Tuesday, Zeldin endorsed a proposal by Delgado that would remove the CARES Act minimum of 500,000 population for a local government to get federal coronavirus aid.

“There is some talk by some in Congress to reduce the 500,000 population threshold to 50,000,” Zeldin said. “We need to drive funding directly to that lowest level of government on the front lines here fighting coronavirus, so it's not just about reducing the 500,000 population to 50 [thousand]. In my opinion, it’s about getting rid of it.”

The legislation would require the local relief funds in the next federal coronavirus aid package to be split evenly, with counties getting half and cities, towns and villages getting half.

The amount for counties would split based on their population or their community development block grant allocation, whichever is higher.

The amount for cities, towns and villages would give 70% percent to local governments with federal community development blocks grants and those without those grants the rest.

Meanwhile, the U.S. Department of Housing and Development said Tuesday it was releasing $42 million to 138 public housing authorities — including $1.2 million to 22 Long Island authorities — for administrative fees and new costs to protect families and employees during the coronavirus pandemic from the CARES Act.

That followed the $164.5 million that HUD’s announced Friday it would distribute to 73 New York public housing authorities — including in $1.2 million to nine Long Island authorities — in CARES Act funding to address the coronavirus pandemic.