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CRF Update: E-Board Scheduled for Monday, Next Round of Reimbursement Requests Due August 21

The legislative Joint Emergency Board is scheduled to meet Monday, August 17 at 1 p.m. to consider Coronavirus Relief Fund (CRF) spending.  You can watch the hearing and see meeting materials on the Legislature’s website.  Cities and counties are asking for an additional $200 million in direct allocation and will be submitting a bipartisan letter from legislators to that effect. The LOC is again asking for your help to secure additional resources for local government.

If you have not already done so, please sign up for the CRF Program on the Oregon Department of Administrative Services website.  All the information you need to sign up is in this Bulletin article.  Please note that the U.S. Treasury FAQ was updated this week; they have now added numbers to the guidance and questions 49 to 52 are new.  The next round of monthly reimbursements is open now and requests are due next Friday, August 21.  This will cover eligible expenses from March 1 through August 7.  Cities that miss this deadline can claim expenses back through March 1 in the next round, but it is important that cities show progress in utilizing these funds. 

The LOC is still asking cities to complete this survey that came out last week.  It will give us the additional information we need to advocate on your behalf.  This survey is primarily meant for cities receiving funds from the state, but cities in Multnomah and Washington counties are encouraged to complete it, referencing the funds being redistributed across the Metro area.
 
In addition, the LOC is still asking all elected officials to contact their legislators, especially Democratic members of the E-board, starting today and continuing through the start of the hearing next Monday at 1 p.m.  Letters submitted to the E-board on behalf of a city should be addressed to “Honorable Senate President Courtney, Honorable Speaker Kotek, and Members of the Joint Emergency Board” and submitted by 9 a.m. on Monday (hard deadline) to ken.g.rocco@state.or.us with a copy to the LOC at the e-mail below.  Please also note in subject line and body of the email to Mr. Rocco that it is testimony for the August 17 E-board meeting.  Getting more resources will be difficult and will depend on your work. 
 
Below are some talking points for your use:

  • Cities have been on the front lines of the pandemic, we know the needs of our community and want to be partners with the state in the response, but we cannot do this without resources.
  • The CARES Act gave $1.38 billion in funding to the state, including 45% (almost $625 million) that was intended for distribution to local governments.  (See US Treasury FAQ, page 7, first paragraph)
  • The Legislature had set aside $400 million for local government, less than 2/3 of what we should have received. So far, cities and counties have received $46 million, and there is another $156 million currently in the process of distribution, this leaves $200 million remaining that needs to be allocated to cities and counties across the state.
  • The state is proposing to spend the second $200 million on cities’ behalf.  If this is truly a local share, then restrictions on how local governments may spend the money beyond what is in the CARES Act “are not permissible.” (See US Treasury FAQ, page 7, third paragraph)
  • We are asking that the additional $200 million in local share be distributed to local governments and that those local governments be able to spend those funds based on the particular needs in their individual communities for the full range of uses allowed under U.S. Treasury guidance.
  • Talk about the needs in your community and how you plan to put your current allocation to use.  
  • Share any unmet needs you are unable to address with your current share and what you might do with additional resources.

If you hear: “But the state needs to spend this money for PPE, testing, tracing and quarantine.”

  • Of course, we agree health-related costs should be prioritized, but the state received $1.38 billion in CRF funding. If local government receives $400 million, total the state would have almost $1 billion dollars to cover this cost.
  • We all need to live within our means; the state may need to rethink some of its other priorities.
  • Most health-related costs are FEMA reimbursable, so why can’t the state cover these costs with reserves and seek reimbursement through the Stafford Act and FEMA public assistance?
     

If you hear: “Cities have not even spent the money we already shared with them.”

  • Cities did not know their actual round two allocation until July 10. The idea that they would have spent their entire share in less than a month is absurd.
  • Cities do not know if they will have any additional funding through December, and many are being prudent in how they spend not knowing what the fall will bring in terms of cases.
  • Other cities have already gone through their entire allocation, some having spent on programs not even knowing if they would be reimbursed (if includes your city, say so).
  • The use of CRF money is complicated, and many of these programs require legal review and cannot be stood up overnight.
  • The state has not given an accounting of what portion of their share has been spent so far, so we think they also have significant funds remaining.
     

Thank you in advance for taking these steps, we will not succeed without your work.  If you have questions, please reach out.  

Contact: Mark Gharst, Lobbyist – 503-991-2192 or mgharst@orcities.org

Last Updated 8/14/20​​​​​

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