Centre County weighs best use of federal COVID-19 relief funding
Amid the coronavirus pandemic, Centre County plans to use federal development funds to address gaps in health and human services — a shift from how the funds have been traditionally used.
As part of the county’s response to COVID-19, small businesses, nonprofits and emergency services affected by the pandemic could receive relief as Centre County administers Coronavirus Aid, Relief and Economic Security Act funding. But during a public hearing held Thursday, officials said that improving local human services and resources are top priorities.
During the public hearing, the board of commissioners and Bellefonte Borough Council members discussed how to help those most in need of emergency Community Development Block Grant monies. The funds were received through the CARES Act, which provided $5 billion in block grants to communities as they respond to COVID-19.
“The federal government was in a bind with how do they get money out to communities as quickly as possible while still not reinventing the wheel,” Commissioner Michael Pipe said. “The last thing they would want to do is to create something that has six sides and doesn’t roll. So, they went with the CDBG program ... it probably was the best option the federal government had to get money out to counties across the country.”
Centre County is set to receive an initial $166,152 in funding; Bellefonte Borough will see $66,574. Historically, the county has used CDBG funds for local infrastructure projects. But this year, health care facilities and providers food banks, emergency services and child care providers could be eligible for assistance.
There are three national objectives as part of the CDBG program, and in order to receive funding, a project must meet one of the initiatives: to benefit low or moderate-income residents, to address blight or to respond to critical or urgent need.
“Nobody uses that category — the critical need eligibility criteria — but ... this is a critical need,” Matt Milliron, county community development program senior planner, said. “Centre County has only ever funded one urgent need activity, and we have not done any in the past 15 years.”
The county and borough are permitted to withhold 18% of the funds to use toward the administration of the grant. Milliron said the county has not yet determined the amount if will deduct for logistics but has discussed keeping less to allow more funding “to hit the streets.”
The CARES Act waived a 15% cap on CDBG funds used to fund public services. To gauge community needs, Milliron said the county is conducting a needs assessment to document and evaluate which short- and long-term projects will help “all economic classes equally.”
Under federal guidelines, CDBG grant money can be used to fund initiatives like crime prevention, employment services, child care, welfare services, down payment assistance and recreation.
“We’re going to be looking at any activity that could include direct payments in response to COVID,” Milliron said. “We’re considering direct payments to small businesses that have been impacted by the pandemic, assistance to health care facilities or providers, increased cost by food banks or the cost associated with home delivered meals.”
Rent and utility payment programs, which are currently limited to three months of assistance, are also under consideration.
Before distributing funds, Milliron said the county must consider a business’ employees and how many of them are low- to moderate-income.
Local governments, municipalities, nonprofits, faith-based organizations and EMS providers may submit applications to the county, but Pipe said the board of commissioners will be taking guidance from Human Services Administrator Natalie Corman before releasing funds.
Comments, suggestions and applications may be submitted to the Centre County Planning and Community Development Office — 420 Holmes St. in Bellefonte — by May 21. A second public hearing will be at the end of May or beginning of June.
This story was originally published May 14, 2020 at 4:48 PM.
