Gov. Little outlines plan to allocate $4.8B in federal COVID-19 relief

BOISE, Idaho (KMVT/KSVT) — Idaho Gov. Brad Little plans for the state to take its time in deciding how to spend the more than $4.8 billion in federal COVID-19 funds the state is receiving.

“Rejecting the funds would mean Idaho gives up our say in how our allocated share gets spent,” Little said. “That is unacceptable. Therefore, Idaho will accept the allocation for our state.”

Little made the announcement Thursday afternoon during a video news conference.

He emphasized the need for the monies to be spent on one-time expenses and not on programs that would later become an obligation on the state’s general fund. One goal would be to use the American Rescue Plan Act funds in long-term investments to benefit the next generation of Idahoans who will have to pay off the federal debt.

Little plans to work with the current legislators to prioritize allocating the $981 million dedicated to K-12 programming, which the state has 30-60 days to give it to schools.

Once allocated to schools, the funds will be flexible, officials say.

“One of the allowable categories, as I understand under SR3, is still the ability to use these for maintaining operations, which gives schools a little bit of latitude to offset existing costs,” said Alex Adams, administrator in the Division of Financial Management.

He plans to work with the legislature during the 2022 session to allocate the nearly $4 million remaining funds.

“That is why, this time around, the situation allows us to spend more time deliberating on the best ways to use the funds to support the next generation of Idahoans who will have to deal with paying off the debt,” Little said.

“This time around, we have nearly four years to spend the new funds,” Little said. “This time around, we’re not in crisis mode. We’ve learned a lot about the disease, how it spreads, and how to best protect ourselves and our loved ones. We have the safe and effective COVID vaccine, the treatments to keep people out of the hospital if they catch COVID, and widely available testing and PPE.”

Here’s a breakdown of the allocation of funds:

Funds to state and local governments:

o $1.89 billion in discretionary funds

o $1.188 billion to the state for COVID response

o $126 million to the state for COVID capital projects

o $347 million for county governments and $229 million for city governments

o $981 million for direct programs ranging from K12 to childcare grants

Funds to Idaho citizens and businesses:

More than $2 billion in direct support to businesses and individuals, including stimulus checks and other economic support (PPP loans, support for restaurants and live venues

Read the full news release from the Governor’s Office.

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