Title
RESOLUTION IN SUPPORT OF FEDERAL LEGISLATION PROVIDING EMERGENCY FISCAL RELIEF TO LOCAL GOVERNMENTS EXPERIENCING ECONOMIC HARDSHIP DUE TO THE COVID-19 PANDEMIC.
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BY PRESIDENT ANDERSON AND CITY PROPOSAL:
WHEREAS, on March 13, 2020, President of the United States declared that the COVID-19 outbreak in the United States constitutes a National Emergency;
WHEREAS, on March 13, 2020, Governor Walz declared a peacetime state of emergency to authorize all necessary resources to be used in support of the COVID-19 response;
WHEREAS, since March 16, 2020, the city of Duluth has been under a local emergency declaration because the COVID-19 Pandemic threatens the health, safety, and welfare of the residents and businesses of the community and threatens the provision and delivery of city services;
WHEREAS, on March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) which created the Coronavirus Relief Fund;
WHEREAS, only municipalities with more than 500,000 residents were eligible to receive direct funding from the Coronavirus Relief Fund, which represents only 0.5 percent of municipalities nationwide and only 14 percent of the country’s total population;
WHEREAS, the city of Duluth experienced a significant shortfall in revenue because of the decline in the city’s sales and use taxes which negatively impacted the city’s budget;
WHEREAS, the city’s quasi-governmental entities operating as “enterprise funds” designed to generate revenue to cover operational costs, such as the Duluth Entertainment and Convention Center authority and Spirit Mountain Recreation Area authority, did not receive any COVID-19 relief pursuant to the CARES Act;
WHEREAS, pandemic unemployment assistance expires in December 2020, ending the expanded unemployment insurance eligibility for independent contractors and the self-employed and the extended time frame for receiving benefits;
WHEREAS, local workforce boards urgently need additional resources to serve unemployed individuals over the next year;
WHEREAS, because Duluth citizens are facing eviction and foreclosure because of unemployment, federal emergency housing assistance and mortgage forbearance is essential to prevent foreclosures and homelessness; and
WHEREAS, federal funding is needed to assist local governments and communities withstand the economic harm caused by the COVID-19 pandemic;
NOW, THEREFORE, BE IT RESOLVED, that the Duluth City Council requests that the United States Congress pass legislation providing emergency fiscal relief to local governments and communities and assist local governments to take the necessary measures to address the hardships caused by the COVID-19 pandemic.
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to express support for the passage of federal legislation to provide emergency fiscal relief to local governments and communities experiencing economic hardship because of the COVID-19 pandemic.