Reed: Additional Flexibility & Direct Federal Aid to States Needed to Ease COVID-19 Strain
WASHINGTON, DC - As cases of the novel coronavirus (COVID-19) continue to spike in many states nationwide and as American families, businesses, communities, and states continue to struggle to cover costs during the pandemic, U.S. Senator Jack Reed (D-RI) is urging President Trump and Congressional Republican leaders to jumpstart talks on the next COVID-19 relief bill, which Reed says should be a targeted, multi-trillion package aimed at combating COVID-19 and getting the country back on its feet.
Senator Reed led the successful efforts to create the $150 billion Coronavirus Relief Fund (CRF) in the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law No. 116-136). He recently introduced the $600 billion State & Local Emergency Stabilization Fund Act (S. 3671), which would also cut needless red tape that was bureaucratically imposed by the Trump Administration to try to constrain states from spending the CRF money that Congress unanimously approved to save lives and help rescue our economy. It also extends the time horizon states and local governments have to spend the money in order to ensure they have the flexibility to use the funding to help communities combat COVID-19 and also provide a boost to the economy.
Today, Senator Reed stated:
“First, President Trump tried to dismiss the threat of COVID-19. Then he tried to downplay it. The result has been catastrophic for public health and the health of our economy.
“Now Republicans are in danger of repeating the same mistake when it comes to diagnosing the economic impact of this pandemic.
“First, Senate Republicans called for zero state stabilization funds and tried to block the inclusion of state and local aid. President Trump then sought to needlessly restrict and constrain it. Now, Republicans have delayed additional fiscal relief and created needless uncertainty that has held back opportunities for responsible planning and recovery. What that means is Republicans have left Governors of both parties facing an untenable situation where billions of federal funds can’t be used where they’re most urgently needed. I’ve called for the Administration to use the same flexibility its used time and time again for the PPP program, but it’s been a combination of “no” and radio silence.
“It is time for Congress to provide a healthy dose of stability to the economy by passing a bipartisan COVID-19 relief bill that includes substantial federal assistance for families, communities, and state and local budgets.
“If Republicans continue to delay, deny, and obstruct, it will lead to more layoffs and deeper cuts to essential services, and could further prolong this deep recession.
“All across the country, Americans are rising to the challenge and helping neighbors in need. But here in Congress, a bloc of partisans won’t even allow a vote on lifesaving aid to help rescue the very people they represent. Schools, public health services, public safety, and infrastructure – all of it is being put at risk by the Trump Administration’s unwillingness to provide states and local governments with the flexibility they need. The Trump Administration imposed needless, partisan restrictions on states and local governments, and it is hurting communities across the nation.
“Majority Leader McConnell should not wait until late July to act. He should keep the Senate in session and convene a bipartisan negotiating group to hammer out a new COVID-19 relief package that includes direct aid to states and communities. If the Majority Leader allows an up or down vote on another coronavirus response package, it would pass the Senate and House overwhelmingly.”