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Legislature advances $772M pandemic relief funding package, final passage expected this week

MONTGOMERY — During Tuesday’s legislative day of the current special session, both chambers of the Alabama Legislature passed their respective appropriations bills concerning the allocation of the state’s portion of American Rescue Plan Act (ARPA) funding.

The $772 million package will be considered in legislative committees Wednesday morning. Senate President Pro Tem Greg Reed (R-Jasper) advised members of the upper chamber that the legislature is aiming for final passage on Thursday.

Fiscal Recovery

Under the current framework, which is expected to remain unchanged throughout the legislative process, more than $443 million will be delegated from the Coronavirus State Fiscal Recovery Fund.

The Alabama Hospital Association and the Alabama Nursing Homes Association would receive a total of $80 million in pandemic relief dollars to be divided evenly. The Alabama Department of Economic Development and Community Affairs (ADECA) would be allotted $51 million for broadband expansion from the fund.

For water and sewer projects, the Alabama Department of Environmental Management would receive $225 million.

The Alabama Unemployment Compensation Trust fund is set to be allotted $79.5 million. Additionally, over $7.8 million will be utilized for the reimbursement of costs associated with pandemic relief reporting requirements.

Revenue Replacement

More than $136 million is set to be delegated in COVID-19 fiscal recovery and revenue replacement funding.

Under this funding category, an additional $34 million would be appropriated to ADECA for broadband expansion efforts.

For the facilitation of telemedicine services, $5 million would be allotted to the Alabama Department of Public Health or other health care providers that perform related services.

The package specifically calls for more than $36.7 million to be provided to “the Alabama Department of Public Health, the Alabama Department of Mental Health, the Alabama Department of Rehabilitation Services, or any other state entity of competent jurisdiction, health care association, or health care provider.”

Rural hospitals would receive $30 million in assistance funding. $20 million is set to be divided between volunteer fire departments and other emergency response providers.

The proposed amount for the reimbursement of county jails for housing inmates from March 3, 2021 to December 31, 2021, is $11 million.

Capital Projects

Receiving its third allocation of pandemic relief funding would be ADECA for the purpose of broadband expansion with more than $191 million appropriated from the Coronavirus Capital Projects Fund.

According to State Sen. Greg Albritton (R-Amore), who chairs the Senate Finance and Taxation General Fund Committee, the proposed package should remain unchanged throughout the legislative process.

Dylan Smith is a staff writer for Yellowhammer News. You can follow him on Twitter @DylanSmithAL

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