State & Local Emergency Stabilization Fund Act of 2020

II 116TH CONGRESS 2D SESSION S. 3671 To amend title VI of the Social Security Act to provide additional funding for States, Tribal governments, and local communities due to the Coronavirus Disease 2019 (COVID–19) public health emergency, and for other purposes. IN THE SENATE OF THE UNITED STATES MAY 7, 2020 Mr. REED introduced the following bill; which was read twice and referred to the Committee on Appropriations A BILL To amend title VI of the Social Security Act to provide additional funding for States, Tribal governments, and local communities due to the Coronavirus Disease 2019 (COVID–19) public health emergency, and for other pur- poses. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘State & Local Emer- 4 gency Stabilization Fund Act of 2020’’. 5 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 2 •S 3671 IS SEC. 2. ADDITIONAL FUNDING FOR CORONAVIRUS RELIEF 1 FOR STATES, TRIBAL GOVERNMENTS, AND 2 LOCAL COMMUNITIES. 3 Title VI of the Social Security Act (42 U.S.C. 801 4 et seq.) is amended by adding at the end the following: 5 ‘‘SEC. 602. ADDITIONAL FUNDING FOR CORONAVIRUS RE- 6 LIEF FOR STATES, TRIBAL GOVERNMENTS, 7 AND LOCAL COMMUNITIES. 8 ‘‘(a) APPROPRIATION.— 9 ‘‘(1) IN GENERAL.—Out of any money in the 10 Treasury of the United States not otherwise appro- 11 priated, there are appropriated for making payments 12 under this section to States, Tribal governments, 13 and local communities described in subsection (c)(6), 14 $600,000,000,000 for fiscal year 2020. The amount 15 appropriated under this paragraph and paid in ac- 16 cordance with this section shall be in addition to the 17 amount appropriated under subsection (a) of section 18 601 and paid to States, Tribal governments, and 19 units of local government under that section. 20 ‘‘(2) RESERVATION OF FUNDS.—Of the amount 21 appropriated under paragraph (1), the Secretary 22 shall reserve— 23 ‘‘(A) $3,000,000,000 of such amount for 24 making payments to United States Virgin Is- 25 lands, Guam, the Commonwealth of the North- 26 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 3 •S 3671 IS ern Mariana Islands, and American Samoa 1 under subsection (c)(7); 2 ‘‘(B) $10,000,000,000 of such amount for 3 making payments to Tribal governments under 4 subsection (c)(8); 5 ‘‘(C) $59,000,000,000 of such amount for 6 the portion of the payments made to the 50 7 States, the District of Columbia, and the Com- 8 monwealth of Puerto Rico that is determined 9 under subsection (c)(5); and 10 ‘‘(D) $205,000,000,000 of such amount 11 for making payments to local communities 12 under subsection (c)(6). 13 ‘‘(b) DEADLINE FOR PAYMENTS.—The Secretary 14 shall make the payments determined under subsection (c) 15 not later than 15 days after the date of enactment of this 16 section. 17 ‘‘(c) PAYMENT AMOUNTS.— 18 ‘‘(1) IN GENERAL.—Subject to paragraph (2), 19 the amount paid under this section for fiscal year 20 2020 to a State that is one of the 50 States, the 21 District of Columbia, or the Commonwealth of Puer- 22 to Rico, shall be the sum of— 23 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 4 •S 3671 IS ‘‘(A) the relative population proportion 1 amount determined for the State under para- 2 graph (3) for such fiscal year; and 3 ‘‘(B) the relative coronavirus infection rate 4 proportion amount determined for the State 5 under paragraph (5) for such fiscal year. 6 ‘‘(2) MINIMUM PAYMENT.— 7 ‘‘(A) IN GENERAL.—No State that is one 8 of the 50 States, the District of Columbia, or 9 the Commonwealth of Puerto Rico, shall receive 10 a payment under this section for fiscal year 11 2020 that is less than $5,000,000,000. 12 ‘‘(B) PRO RATA ADJUSTMENTS.—The Sec- 13 retary shall adjust on a pro rata basis the 14 amount of the payments for each of the 50 15 States, the District of Columbia, and the Com- 16 monwealth of Puerto Rico, determined under 17 this subsection without regard to this subpara- 18 graph to the extent necessary to comply with 19 the requirements of subparagraph (A). 20 ‘‘(3) RELATIVE POPULATION PROPORTION 21 AMOUNT.—For purposes of paragraph (1)(A), the 22 relative population proportion amount determined 23 under this paragraph for a State for fiscal year 24 2020 is the product of— 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 5 •S 3671 IS ‘‘(A) the amount appropriated under sub- 1 section (a)(1) for fiscal year 2020 that remains 2 after the application of the reservations made 3 under subsection (a)(2); and 4 ‘‘(B) the relative State population propor- 5 tion (as defined in paragraph (4)) determined 6 for such fiscal year. 7 ‘‘(4) RELATIVE STATE POPULATION PROPOR- 8 TION DEFINED.—For purposes of paragraph (3)(B), 9 the term ‘relative State population proportion’ 10 means, with respect to each of the 50 States, the 11 District of Columbia, and the Commonwealth of 12 Puerto Rico, the quotient of— 13 ‘‘(A) the population of the State, District 14 of Columbia, or Commonwealth of Puerto Rico 15 (as applicable); and 16 ‘‘(B) the sum of the populations of each of 17 the 50 States, the District of Columbia, and the 18 Commonwealth of Puerto Rico. 19 ‘‘(5) RELATIVE CORONAVIRUS INFECTION RATE 20 PROPORTION AMOUNT.—For purposes of paragraph 21 (1)(B), the relative coronavirus infection rate pro- 22 portion amount determined under this paragraph for 23 each of the 50 States, the District of Columbia, and 24 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 6 •S 3671 IS the Commonwealth of Puerto Rico, for fiscal year 1 2020 is the product of— 2 ‘‘(A) the amount reserved under subsection 3 (a)(2)(C); and 4 ‘‘(B) the quotient of— 5 ‘‘(i) the coronavirus infection rate de- 6 termined for the State, District of Colum- 7 bia, or Commonwealth of Puerto Rico (as 8 applicable); and 9 ‘‘(ii) the sum of the coronavirus infec- 10 tion rates determined for each of the 50 11 States, the District of Columbia, and the 12 Commonwealth of Puerto Rico. 13 ‘‘(6) PAYMENTS TO LOCAL COMMUNITIES.— 14 ‘‘(A) IN GENERAL.—From the amount re- 15 served under subsection (a)(2)(D), the Sec- 16 retary shall pay— 17 ‘‘(i) 70 percent of the amount so re- 18 served directly to the metropolitan cities 19 and urban counties (as those terms are de- 20 fined in section 102 of the Housing and 21 Community Development Act of 1974 (42 22 U.S.C. 5302)) in the State that received 23 allocations under section 106(b) of the 24 Housing and Community Development Act 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 7 •S 3671 IS of 1974 (42 U.S.C. 5306(b)) for fiscal year 1 2019, pursuant to the same formula used 2 to make such allocations under that section 3 for such fiscal year; and 4 ‘‘(ii) subject to subparagraph (C), 30 5 percent of the amount so reserved directly 6 to each of the 50 States, to be distributed 7 by such States upon receipt on a pass- 8 through basis, and without requiring any 9 application, to units of general local gov- 10 ernment in nonentitlement areas (as such 11 terms are defined in such section 102) in 12 such States, in amounts equal to the rel- 13 ative sum of the populations of such units 14 of general local government in each such 15 State as a proportion of the total popu- 16 lation of all such units of general local gov- 17 ernment in all of the 50 States. 18 ‘‘(B) UNITS OF GENERAL LOCAL GOVERN- 19 MENT IN NONENTITLEMENT AREAS WITH OVER- 20 LAPPING POPULATIONS OR CONSOLIDATED GOV- 21 ERNMENTS.—If two or more units of general 22 local government in nonentitlement areas have 23 overlapping populations or have formed a con- 24 solidated government— 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 8 •S 3671 IS ‘‘(i) the population of the unit of gen- 1 eral local government with the largest pop- 2 ulation among such overlapping popu- 3 lations or that is part of such consolidated 4 government shall be the population used 5 for purposes of determining the amount to 6 be paid directly to a State under clause (ii) 7 of subparagraph (A); and 8 ‘‘(ii) the chief executive officer of the 9 State shall distribute the portion of such 10 payment that is based on such population 11 among the units of general local govern- 12 ment with such overlapping populations or 13 that are part of such consolidated govern- 14 ment, in amounts equal to the relative pop- 15 ulations of such units of general local gov- 16 ernment as a proportion of such payment 17 portion, unless— 18 ‘‘(I) the units of general local 19 government involved notify such chief 20 executive officer of their agreement 21 regarding how such payment portion 22 is to be distributed among them, 23 based on the aggregate population of 24 such units of general local govern- 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 9 •S 3671 IS ment, in which case such chief execu- 1 tive officer shall make distributions in 2 accordance with that agreement; or 3 ‘‘(II) in the case of a consoli- 4 dated government, the consolidated 5 government notifies such chief execu- 6 tive officer of a determination of the 7 consolidated government regarding 8 how such payment portion is to be 9 distributed among the units of local 10 government represented by the con- 11 solidated government, based on the 12 aggregate population of such units of 13 general local government, in which 14 case such chief executive officer shall 15 make distributions in accordance with 16 that determination. 17 ‘‘(C) TREATMENT OF STATES NOT ACTING 18 AS PASS-THROUGH AGENTS UNDER CDBG.—In 19 the case of a State that has not elected to dis- 20 tribute amounts allocated under section 21 106(d)(1) of the Housing and Community De- 22 velopment Act of 1974 (42 U.S.C. 5306(d)(1)), 23 the Secretary shall act in place of the State for 24 purposes of determining the amount of, and 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 10 •S 3671 IS distributing on a pass-through basis, and with- 1 out requiring any application, payments to 2 units of general local government in nonentitle- 3 ment areas in that State under subparagraph 4 (A)(ii). 5 ‘‘(7) PAYMENTS TO TERRITORIES.—The 6 amount paid under this section to the United States 7 Virgin Islands, Guam, the Commonwealth of the 8 Northern Mariana Islands, or American Samoa, 9 shall be the amount equal to the product of— 10 ‘‘(A) the amount reserved under subsection 11 (a)(2)(A); and 12 ‘‘(B) each such territory’s share of the 13 combined total population of all such territories, 14 as determined by the Secretary. 15 ‘‘(8) PAYMENTS TO TRIBAL GOVERNMENTS.— 16 The amounts paid under this section to Tribal gov- 17 ernments from the amount reserved under sub- 18 section (a)(2)(B) shall be determined in the same 19 manner as the amounts paid to Tribal governments 20 under section 601(c)(7). 21 ‘‘(9) DATA.—For purposes of determining— 22 ‘‘(A) the population of each of the 50 23 States, the District of Columbia, the Common- 24 wealth of Puerto Rico, the United States Virgin 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 11 •S 3671 IS Islands, Guam, the Commonwealth of the 1 Northern Mariana Islands, American Samoa, 2 and units of general local government, the Sec- 3 retary shall use the most recent year for which 4 data are available from the Bureau of the Cen- 5 sus; and 6 ‘‘(B) the relative coronavirus infection rate 7 proportion amounts under paragraph (5), the 8 Secretary shall use the most recent daily up- 9 dated data on the number of COVID–19 cases 10 published on the internet by the Centers for 11 Disease Control and Prevention. 12 ‘‘(d) OTHER PROVISIONS.— 13 ‘‘(1) IN GENERAL.—The amounts paid under 14 this section shall be subject to— 15 ‘‘(A) the use of funds and oversight re- 16 quirements of subsections (d) and (f) of section 17 601 in the same manner as such requirements 18 apply to the amounts paid under that section; 19 and 20 ‘‘(B) the definitions of each paragraph of 21 section 601(g) other than paragraph (2) of that 22 section. 23 ‘‘(2) IG FUNDING AUTHORITY.—Notwith- 24 standing section 601(f)(3), the Inspector General of 25 VerDate Sep 11 2014 23:45 May 14, 2020 Jkt 099200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 12 •S 3671 IS the Department of the Treasury may use the 1 amount appropriated under that section to carry out 2 oversight and recoupment activities under this sec- 3 tion in addition to the oversight and recoupment ac- 4 tivities carried out under section 601(f). 5 ‘‘(3) NONAPPLICATION.—Except as otherwise 6 provided in this section, the requirements applicable 7 to the amount appropriated for fiscal year 2020 8 under section 601(a)(1) (as added by section 5001 9 of Public Law 116–136) shall not apply to the 10 amount appropriated under subsection (a) of this 11 section for such fiscal year.’’. 12 SEC. 3. ADDITIONAL AUTHORITY TO USE PAYMENTS TO 13 MAKE UP REVENUE SHORTFALLS. 14 Effective as if included in the enactment of the 15 Coronavirus Aid, Relief, and Economic Security Act (Pub- 16 lic Law 116–136), subsection (d) of section 601 of the 17 Social Security Act, as added by section 5001(a) of the 18 Coronavirus Aid, Relief, and Economic Security Act, is 19 amended to read as follows: 20 ‘‘(d) USE OF FUNDS.— 21 ‘‘(1) IN GENERAL.—A State, Tribal govern- 22 ment, and unit of local government may use the 23 funds provided under a payment made under this 24 section for any expenditures during the period that 25 VerDate Sep 11 2014 21:58 May 20, 2020 Jkt 099200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S3671.IS S3671 kjohnson on DSK79L0C42PROD with BILLS 13 •S 3671 IS begins on January 1, 2020, and ends on June 30, 1 2022— 2 ‘‘(A) to prevent, prepare for, or respond to [Text truncated for display. Full text available on Congress.gov.]