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Request a DemoPart I: What is the State Fiscal Recovery Fund?
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Credit: Brittney Phan for State Affairs
- Georgia is set to receive $17.4 billion in American Rescue Plan funds through 2024.
- $4.8 billion of that goes towards the State Fiscal Recovery Fund that Gov. Brian Kemp has direct discretion over.
- Georgia is unlike most states because the power over that fund is entirely the governor’s.
To be clear, the ARP is a massive $1.9 trillion relief bill that passed in March. Georgia will receive $17.4 billion to spend by 2024. Much of that ARP money will be used to support local governments, schools, hospitals, and federal institutions in ways that are predetermined by the law. The State Fiscal Recovery Fund is money reserved from each state’s allocation for state governments to spend on pandemic relief at their own discretion.
That’s the $4.8 billion portion Kemp has direct control over, and so far only $210 million has been allocated.
That just leaves $4.6 billion left to use, or to put that in perspective for Braves fans: enough money to give everyone at a sold-out game at the Atlanta Braves’ stadium $110,000, and still have $100 million leftover.
The fund is meant to be spent on public health, economic relief for households, businesses, and the public sector, bonuses for essential workers, and investment in water, sewer, and broadband infrastructure, according to the guidelines set by the law and the U.S. Treasury Department.
Some policy experts feel that by now, the public should know more specifics about where that money is going to go and point out that other states have already set detailed spending plans for their state fiscal recovery fund allocations. For example, Virginia allocated most of its $4.3 billion through the legislature in August.
“The Office of the Governor is currently in budget development, and, as available, we will continue to provide additional information on the allocation of ARP funds,” Kemp press secretary Katie Byrd wrote in response to questions from State Affairs.
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Gov. Brian Kemp has $4.8 billion in federal COVID-19 relief funds to distribute. (Credit: Brittney Phan for State Affairs)
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