Budget

New federal coronavirus aid bill extends the time states have to spend coronavirus relief fund money

Congress has passed new COVID-19 aid, as part of the FY 2021 appropriation bill. The COVID-19 aid portion appropriates $900 billion. The hold-up in getting a new relief package has been disagreements over whether to include liability protections for businesses and funding for state and local governments. In the end, neither policy was included. However, […]

State and local funding continues to be a sticking point in Congressional relief package negotiations

The Wall Street Journal reports that Congress is getting closer to a new relief package, but state and local funding and liability protections are sticking points. “There are still some issues that are outstanding and it’s no secret generally speaking state and local and liability have always been the difficult issues,” said Rep. Tom Reed […]

More details on how federal funding will be used for economic support, as applications are open for a new round of small business grants

Last week I wrote about the additional allocations of the state’s share of the federal Coronavirus Relief Fund (CRF) that Gov. Inslee made for economic support. The Office of Financial Management has now posted the official allocations of these funds (here and here), totaling $135 million: $15 million for low income home energy assistance, $20 […]

How important is another federal relief bill to Washington’s budget?

Earlier this year, Congress enacted relief packages that appropriated trillions of dollars. But since the spring, Congress has failed to enact additional funding. A new federal aid package may be welcome for many reasons—including for businesses and individuals. State and local governments have asked for more funding as well. But such additional funding for state […]

Federal dollars replace rainy day fund appropriations; if the rainy day fund is replenished, there is no longer a budget shortfall

Gov. Inslee has allocated $122.2 million from the state’s share of the federal Coronavirus Relief Fund (CRF) to replace funds that the state Legislature appropriated from the rainy day fund in March. If the state funds are returned to the rainy day fund, the 2019–21 budget is back in balance over four years. In March, […]

Gov. Inslee allocates additional federal funds for economic support

On Sunday, Nov. 15, Gov. Inslee announced that he would allocate $50 million of the state’s share of the federal Coronavirus Relief Fund (CRF) for aid for businesses. As I wrote last week, a proposal for use of CRF dollars that the governor submitted to the Legislature on Nov. 17 also included $20 million for […]

More information on the proposed $50 million in business assistance

On Sunday, Gov. Inslee announced $50 million in aid for businesses but provided few details. Joseph O’Sullivan of the Seattle Times reports that the $50 million will come from the state’s share of the Coronavirus Relief Fund (CRF). The governor has not formally made the allocation, but he has shared his plan with the Legislature. […]

How will Washington fund the proposed $50 million in aid for businesses?

When Gov. Inslee announced new restrictions on business and other activities yesterday, he also said that the state will provide some additional relief for businesses: To help mitigate financial impacts on businesses and their employees, the state will commit $50 million in aid. In the short term, the state is commuting $20 million be dedicated […]

After the election, what are the prospects for more federal aid?

For Governing Magazine, Alan Greenblatt writes that additional federal aid for state and local governments may not be forthcoming, as “President-elect Joe Biden most likely will be dealing with a Senate led by Republican Mitch McConnell.” At a post-election news conference, McConnell said there was a need for further federal aid, but he specified supporting […]

Will the state use the CRF to backfill the rainy day fund?

After a new batch of allocations, the state has about $363.9 million left of its share of the Coronavirus Relief Fund (CRF). As I briefly noted last week, according to the Office of Program Research (OPR), it’s possible the state could use some of the remainder to backfill the rainy day fund. EHB 2965 was […]