Washington, D.C. – U.S. Senators Jeanne Shaheen (D-NH) and Lisa Murkowski (R-AK) introduced legislation today that would address the “maximum allotment” provision that is significantly limiting the amount of (CARES) Act relief funds that can be awarded to smaller states through the Community Services Block Grant program.
A news release from Murkowski’s office said the bill would allow Alaska and each of the other 11 small-population states to receive an extra $3.625 million in the grants from the CARES Act, which currently is being withheld from the states due to the application of the maximum allotment provision.
“States like New Hampshire with smaller populations have been unfairly cut out of critical federal aid that we need to help our frontline organizations and workers respond to the full scope of the economic and health crisis created by the COVID-19 pandemic,” Shaheen said. “This legislation is a smart, bipartisan fix to the law to ensure communities dealing with the fallout from this unprecedented emergency have access to the resources they need to weather this storm.”
Murkowski said: “Due to statutory constraints in the Community Services Block Grant formula, states with smaller populations such as Alaska have been unable to receive their entire share of funding appropriated in the CARES Act. This legislation will make a small but necessary change to clarify that the maximum allotment provision does not apply to supplemental appropriations for FY2020, allowing ‘small’ states to receive their fair share of funding. It’s pivotal that Alaska receives their remaining $5 million CARES Act CBSG funding, that’s currently being withheld at HHS – these are critical dollars to support impoverished and economically impacted communities across the state.”
The legislation is also co-sponsored by Senators Sanders (I-VT), Barrasso (R-WY), Hirono (D-HI), Cramer (R-ND), Cortez Masto (D-NV), Sullivan (R-AK), Hassan (D-NH), Rosen (D-NV) and Hoeven (R-ND).