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State Budget Bill Positioned to Appropriate NEU Portion of ARP Funding

Posted on June 16, 2021 by Dene Westbrook

Late yesterday afternoon, the Michigan House of Representatives moved a new version of a supplemental appropriation bill, Senate Bill 37, that appears to represent a deal on a number of outstanding federal stimulus items from last December’s federal stimulus effort and includes appropriating the first installment of the American Rescue Plan Act’s Non-Entitlement Unit funding aimed at Michigan cities, villages, and townships that were not classified as Metropolitan Cities under the federal stimulus.

Senate Bill 37 appropriates the first half of the NEU funds that will be distributed on a per capita basis by the Michigan Department of Treasury.  The appropriation of this $322 million is a necessary first step before Treasury can distribute these dollars to the eligible NEUs identified by the US Treasury late last month.  The League is co-hosting a webinar with Michigan Department of Treasury staff on Thursday, June 17th to further discuss how local units can apply/request these funds and some of the reporting and calculation details that communities will need to follow to receive and utilize these funds.  League members are strongly encouraged to attend this webinar as they begin strategy and community planning conversations around these dollars.

Senate Bill 37 also includes additional Coronavirus-related FEMA Disaster Assistance funding and over $378 million for emergency rental and utility assistance.  With the House’s action yesterday, this bill now goes back to the Senate for an expected concurrence vote today and the Governor’s signature.

Chris Hackbarth is the League’s director of state & federal affairs. He can be reached at 517-908-0304 and chackbarth@mml.org.

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