Beaufort is getting $6.5 million in COVID aid. ‘Pandemic impact grants’ one way to spend it
Water and sewer projects would get the bulk of the $6.5 million coming to the city of Beaufort in federal COVID-19 recovery money. But housing grants for residents hardest hit by the pandemic also are proposed, drawing praise from some city officials.
“I suspect there are people who lost their homes because they lost work,” Councilman Mitch Mitchell said.
The American Rescue Plan (ARP), signed into law on March 11, provides funding to local governments to assist in responding to the COVID-19 public health emergency.
One of the focuses of ARP, Mitchell noted, is to provide money for populations directly hit by the national health crisis. As the process of deciding how to spend the federal funds proceeds, Mitchell said, city officials should use that directive as a guide.
On Tuesday, the city released 17 projects it is recommending for funding.
Mayor Stephen Murray called the recommendations “as firm as warm Jello” but added that the list was the start of a community conversation.
“It needs to be comprehensively reviewed,” Councilman Mike McFee added.
The funding recommendations, at this point, do not include bonuses or hazard pay for city employees who dealt directly with the pandemic.
City Manager Bill Prokop said the city felt that it could not pay bonuses to one group of employees and not pay another. In addition, he said, the bonus requirements were focused on Covid-19 response, while spending in other categories wasn’t limited to COVID-19-related activities.
“We felt it better to utilize our funds in other approved areas for the good of the community,” Prokop said.
The largest amount, $4 million, or 61.5%, would go toward water and sewer projects. Funding would supplement various capital improvement projects, the city said.
The second largest amount, $1 million, or 15%, would go for “pandemic impact grants,” including grants for affordable housing. The city, Finance Director Kathy Todd said, is proposing assistance with housing, utilities, childcare, education and food related to pandemic impacts.
Larry Holman, president and CEO of the Beaufort County Black Chamber of Commerce, said residents in the Northwest Quadrant who can’t afford to renovate their homes deserve help. The neighborhood, Holman said, has been neglected and gentrified.
Funding also should go to minorities who want to start businesses or to assist minority-owned businesses with cash flow, Holman added.
Ian Scott, president of the Beaufort Regional Chamber of Commerce, commended the city’s focus on affordable housing and water and sewer infrastructure, which will “make an enduring impact” but won’t add costs to the city in the future.
The public will be given the chance to comment before the city spends any funds, Murray said.
The city must decide how to spend all of the money by Dec. 31, 2024 and spend the money by Dec. 31, 2026. Activities eligible for funding must have occurred between March 3 and Dec. 31, 2024.
Beaufort recently received $3.2 million of its $6.5 million allocation, Prokop said. It is expected to receive the other half in a year.
The city has created a bank account for the money, Murray said. The City Council will need to approve each appropriation of funds, and each proposal will require a public hearing, Murray said.
“It will be a completely transparent process where the public can weigh in,” Murray said.
The city proposes to put the money into three categories: public health emergency, lost revenue, and water and sewer infrastructure.
Here is the amount proposed by category, and project:
- Investing in water, sewer and broadband infrastructure, $4 million.
- Addressing negative impacts caused by the public health emergency, $1.5 million: Paramedic training ($40,425); firefighter and EMT personal protective equipment ($18,000); firefighter and EMT supplies ($16,200); COVID testing, ($25,000); police police personal protective equipment ($25,000); pandemic impact grants ($1 million); supplement to accommodations tax grants ($100,000) that the city gives out annually to not-for-profits; cardiac monitors ($120,000); security camera upgrades citywide ($167,000).
- Replacing lost public sector revenue, $1 million: Bucket truck ($165,000); GIS database set-up and training (a computer system for analyzing spatial and geographic data), $200,000; 53 body cameras for police ($91,000); cameras for police cars ($325,000); license plate readers ($114,470); air conditioning unit replacements at the city’s Downtown Operations office, 500 Carteret St. ($108,000); painting of pavilion and metal above swings.
The city estimates it lost about $1 million in revenues during Covid-19. It can spend those replacement funds at its discretion.
The expenditures will be one-time costs, city officials say, to avoid having the financial burden fall back onto local taxpayers once the federal funding runs out.
Guidelines for spending
Guidelines for spending American Rescue Plan funds say money can be spent on:
- Supporting urgent COVID-19 response efforts to continue to decrease spread of the virus and bring the pandemic under control
- Replacing lost public sector revenue to strengthen support for vital public services and help retain jobs
- Supporting immediate economic stabilization for households and businesses.
- Addressing systemic public health and economic challenges that have contributed to the unequal impact of the pandemic on certain populations.
- Addressing negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries and the public sector
- Providing premium pay for essential workers, offering additional support to those who have born and will bear the greatest health risks because of their service in critical infrastructure sectors.
- Investing in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet.
- The money can’t be spent to directly offset or to reduce taxes or deposited to a pension fund.
