Tennessee governor establishes group to oversee stimulus funds
JACKSON, Tenn. — With the newest stimulus bill, the state of Tennessee will be receiving billions of dollars.
Gov. Bill Lee has now created the Financial Stimulus Accountability Group to provide oversight of the billions of dollars the state has received in federal funding since the start of the pandemic.
The group held a meeting Monday morning, reviewing the money they’ll be receiving as part of the newest round of government stimulus.
The result? With the American Rescue Plan, Tennessee will be getting over $6 billion in additional funding.
“But we have a big job ahead of us now. We have significantly more funding, but we have significantly more time. We’ll begin that process today,” Gov. Lee said.
The presentation broke it down by sectors.
First, the Tennessee Housing Development Agency recapped the beginning of their Rental Relief Program for residents who need financial assistance in paying rent.
“As of close of business Friday, we have 17,587 applicants in process. They are requesting an average of $5,800 in relief,” said Ralph Perrey, the Executive Director for the THDA.
They also unveiled plans to help homeowners who fell behind on their mortgage with a program they’re hoping to launch soon.
Next, they discussed the state’s plan to divide the funding sources from the Coronavirus Relief Fund, and the American Rescue Plan.
One key difference: Tennessee might be able to use this newest funding for more infrastructure projects.
“From the perspective of the treasury, that’s something they really discouraged and denied under the Coronavirus Relief Fund. So we’re very interested to see what the treasury guidance will provide,” said Tennessee Comptroller Jason Mumpower.
Local governments will be directly receiving around $2.2 billion, and the state says they plan to advise cities and counties to use that money on one-time expenditures.
“It’s important that they don’t purposely or inadvertently create an ongoing obligation from these funds. We want to help local governments as much we can handle this influx of money, and make sure it is used appropriately for the citizens,” Mumpower said.
It also means your local school districts will be receiving a large amount of extra money, providing them a one-time opportunity to invest for the long term.
“Our Department of Education is deeply engaged with local school leaders in this process, to help them work through those administrative pitfalls and hurdles that do come with federal funds,” said Tony Niknejad, Policy Director for the Governor’s Office.
The state is still waiting for directions from the treasury on how certain funds can be used.
They expect those clarifications in the next month.
