North Carolina Senate approves COVID-19 relief package

The North Carolina Senate voted unanimously Wednesday to approve a $2.4 billion coronavirus relief spending package.

Senate Bill 704, dubbed the COVID-19 Recovery Act, outlines a spending plan for the state’s federal aid from the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act.

North Carolina received more than $4 billion of direct aid from the CARES Act and $1.2 billion for state agency grants and programs. Excluded from the Senate’s relief package is about $480 million of the federal aid that must be allocated to local governments in metro areas. The balance will be used to establish the Coronavirus Relief Fund, to be used only for COVID-19 relief efforts.

The Senate plans to use the fund to support small businesses, education, smaller local governments, health care, social services, tourism, research and unemployment compensation for North Carolinians.

“Today’s consensus vote is the product of weeks of good-faith negotiations. It is the first step in what will be a lengthy road to recovery, and we appreciate the positive, collaborative spirit in which all sides approached this,” Senate Leader Phil Berger, R-Rockingham, and Senate Minority Leader Dan Blue, D-Wake, said in a joint statement. “We’ve come together to fund immediate needs, support research, and lift up those hit hardest by the virus’ economic impact.”

The measure would reserve $600 million in the state’s General Fund – $300 million each – for transportation and the economic backing for local governments. Schools will benefit from more than $800 million, mostly grants already written into the CARES Act, and small businesses in the state would get access to $125 million in emergency loans.

The $1.2 billion directed to various state agencies from the CARES Act provides supports grants and programs that will deliver meals to North Carolinians, grants to public schools and higher learning institutions, community development, child care, airports, help for dislocated workers and additional unemployment benefits.

It also supports programs that offer aid to people living with HIV or AIDS, domestic violence victims, family caregivers, child welfare services, low-income home energy assistance, and the elderly and other programs for low-income people, such as Supplemental Nutrition Program for Women, Infants, and Children.

State allocations in the bill also include:

  • $70 million for state operations, including covering overtime payments at mental health institutions, prisons, juvenile facilities and veterans’ homes, purchasing sanitation and hygienic supplies, and a call center for the Division of Employment Security;
  • $50 million to purchase supplies and equipment such as ventilators, touch-free thermometers, gowns, disinfectants and sanitizing wipes;
  • $20 million for the Department of Agriculture and Consumer Services to address animal depopulation and disposal;
  • $15 million for the North Carolina Collaboratory for COVID-19 research, including vaccine development;
  • $9 million for broadband;
  • $6 million for North Carolina food banks;
  • $5 million for Visit North Carolina marketing;
  • $2.25 million for foster care;
  • $290,000 for the LINKS program, a youth foster care support program;
  • $250,000 for the Department of Information Technology for Wi-Fi hotspots.

Health care allocations in the bill:

  • $25 million for the Department of Health and Human Services for testing and monitoring COVID-19;
  • $20 million to Wake Forest University to expand its COVID-19 study;
  • $15 million to Duke University for vaccine development;
  • $15 million for health care facilities that accept special assistance;
  • $10 million for free and charitable clinics to help treat uninsured individuals;
  • $5 million for community health centers to cover costs of treatment;
  • $1.8 million to the Old North State Medical Society for outreach, health education and testing to address COVID-19 disparities in rural areas and African American communities.

The bill now heads to the House for approval. The Senate vote was 48-0.

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