$35 million will support the 25 percent required match for COVID-related expenses incurred by eligible organizations in Maine.
The Mills Administration announced today that it is dedicating $35 million of Maine’s $1.25 billion in Coronavirus Relief Funding (CRF) provided through the CARES Act to help local and tribal governments and other qualified entities cover costs incurred as a result of COVID-19.
Under the Disaster Declaration requested by Governor Mills and approved by the President, the Federal Emergency Management Agency (FEMA) traditionally provides 75 percent reimbursement of disaster costs with a 15 percent state match and a 10 percent local match. With today’s announcement, the Administration will use Federal funds allocated to cover the local match, providing financial relief to municipalities and others that are confronting stretched budgets.
“Municipalities across Maine are on the frontline of battling COVID-19,” said Governor Janet Mills. “With this action, I hope State government can somewhat ease the financial burden that budget-crunched municipalities face as we continue to confront this pandemic together. I also hope the Federal government will provide greater financial support and more flexibility in the use of Federal funds so that the State may be able to be more helpful in the future.”
“Our Administration continues to look for ways to support local and tribal governments and other qualified entities during this challenging time, and we believe this is a helpful step,” said Kirsten Figueroa, Commissioner of the Department of Administrative and Financial Services.
Coronavirus Relief Funds were provided to states through the Coronavirus Aid, Relief and Economic Security Act ( FAQs posted on U.S. Treasury’s website.
On May 20, 2020, the U.S. Treasury Department issued new guidance that the CRF can be used for this 25 percent local match and written assurance of that guidance is expected in the near future. Given that CRF cannot be used to backfill for government revenue losses, many local government expenses directly related to COVID-19 are likely eligible for FEMA reimbursement.
Applicants who may be eligible are encouraged to apply for assistance by contacting the Maine Emergency Management Agency (MEMA) at maine.recovery@maine.gov. More information about the match assistance provided with CRF can be found on the State of Maine Bureau of the Budget website.
For information on the FEMA Public Assistance process and eligible applicants and expenses, please visit the MEMA website.
For information regarding the use of CARES Act funding in Maine to date, please visit the Maine Bureau of Budget website, which is updated weekly.