Some Preliminary Details Released of Proposed $1.9 Trillion American Rescue Plan
Lawmakers in Washington are in the process of developing and approving legislative language in response to the budget reconciliation resolution adopted last week.
Preliminary breakdown details from legislative committees are being released outlining what public finance entities can expect from the White House’s $1.9 trillion American Rescue Plan. Please keep in mind that these details are still preliminary, and the numbers we include below could change.
About 60% of the $350 billion for state and local governments would be allocated to states, about 40% would go to local governments, and remaining funds would go to tribal governments and U.S. territories. We included a more detailed summary by state based on preliminary Congressional estimates in a table on pages 5-6.
There could be $170 billion of education relief that will include $128 billion for elementary and secondary education and about $39 billion for higher education, based on the preliminary legislative language.
Additional potential spending includes: $50 billion for FEMA’s Disaster Relief Fund, $30 billion for mass transit, $8 billion for airports, $3 billion for economic development, and $3 billion for aerospace manufacturing payroll support.
COVID-19 numbers have been significantly improving in recent weeks, however health officials are continuing to warn that numbers could spike in 5-13 weeks as a result of the new variants.