This story was originally published on Minnesota Reformer. [1]

This story was originally published on Minnesota Reformer. [1]
Published here under Creative Commons License CC BY-NC-ND 4.0
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Minnesota to receive more than $2.8 billion in federal relief funds
By: ['Rilyn Eischens Is A Data Reporter With The Reformer. Rilyn Is A Minnesota Native', 'Has Worked In Newsrooms In The Twin Cities', 'Iowa', 'Texas', 'Most Recently Virginia', "Where She Covered Education For The Staunton News Leader. She'S An Alumna Of The Dow Jones News Fund Data Journalism Program", "The Minnesota Daily. When Rilyn Isn'T In The Newsroom", 'She Likes To Read', 'Add To Her Plant Collection', 'Try New Recipes.']
Date: None

Minnesota will receive more than $2.8 billion in federal relief funds, roughly $200 million more than expected, the U.S. Treasury Department announced Monday.

The $1.9 trillion American Rescue Plan Act includes $350 billion in emergency funding for state, county and city governments. The final funding totals and guidance on how the money can be spent come amid budget negotiations at the Legislature, where lawmakers have to hash out a compromise on the two-year, $52 billion budget and get Gov. Tim Walz’s approval before the fiscal year ends June 30.

Another $1.1 billion will go to counties, including $245.8 million for Hennepin County and $106.8 million for Ramsey County. Twenty-one cities across Minnesota will receive a total of $644 million, including $271.1 million for Minneapolis, $166.6 million for St. Paul and $58.1 million for Duluth.

State and local governments can use the funding to cover public health costs, replace revenue lost because of the pandemic, provide financial support for businesses and families and address health and economic disparities that contributed to the pandemic’s disproportionate effects on some communities.

The money can’t be used to offset tax cuts or put into pension funds.

Democrats in Minnesota have pushed for increased spending to help the state recover from the pandemic — paid for with higher taxes on the wealthy and corporations — while Minnesota Republicans have cited the incoming federal money as reason to keep spending flat.

“We are getting $200 million MORE than initially expected. There are zero reasons, absolutely none, to ask for more money from Minnesotans,” Senate Majority Leader Paul Gazelka, R-East Gull Lake, said in a statement.

[1] Url: https://minnesotareformer.com/briefs/minnesota-to-receive-more-than-2-8-billion-in-federal-relief-funds/