McMaster says state will request COVID relief dollars for smaller SC cities
Federal COVID-19 relief money set aside for smaller cities in the American Rescue Plan Act could finally be coming to South Carolina.
Gov. Henry McMaster said Tuesday that he would direct the Department of Administration to formally request the $435 million in COVID-19 relief money that has been set aside for 254 municipalities that have to receive their allocations through the state.
Larger cities, generally larger than 50,000 people, and counties all are able to get direct payments from the federal government.
As of Monday, South Carolina was one of three states that had yet to request funding, according to the U.S. Treasury Department.
McMaster made his announcement on Tuesday as the AccelerateSC Committee, a group formed to give recommendations on how to spend COVID-19 relief money, issued its report.
“This document .... will provide small towns, municipalities and others with direction and information on how the state is likely to spend the ARPA funds,” McMaster said.
“So, also I will ask the Department of Administration to immediately begin the process of drawing down the $435 million in (American Rescue Plan Act) funds that are intended for the 254 small towns and municipalities that will be drawn down to the state but will not be spent until the various plans come in and all of which have to go through a process,” McMaster said.
Smaller municipalities, referred to as non-entitlement units, had been waiting for the state to request the allocations.
However, the Department of Administration had previously said the request had not been made because of ongoing discussions on coming up with an overall plan on how to spend COVID relief money in a way that maximizes the investment.
Example of a matching program for infrastructure had been suggested, where cities and the state share in the cost of water and sewer projects.
The AccelerateSC report does include a recommendation of spending $400 million of the state’s share of COVID relief dollars on a rural water, sewer and wastewater grant program.