Honolulu, Hawaii 2020-11-26 07:28:57 –
Two weeks ago, I wrote in this space about a generous genie known as Uncle Sam, who has made $ 1.25 billion available under Section 5001 of the CARES Act. The catch is that money can only be used to cover costs such as: (1) Necessary expenditures incurred for COVID-19. (2) When the CARES law was enacted, it was not included in the government budget. (3) It occurred between March 1, 2020 and December 30, 2020.
Whether several categories of money allocated in the state’s recently passed budget bill, SB 126, an important part of which was rejected by the Governor, will be covered by Section 5001 Federal Funding I was wondering.
Buried on the US Treasury website is a document that provides some answers. We certainly hope our lawmakers and government officials know about it-because it’s not happy to have to give up or repay that bunch of money.
For example, the Treasury is taken to respond to emergencies, such as responding to medical and public health needs, or to respond to the effects of emergencies, such as providing financial support to those in distress. It states that it is possible to spend the allotted amount on action from employment or business interruption due to COVID-19 related business closures. They say these funds may not be used to make up for a shortage of government revenues to make up for spending that would otherwise not be eligible under the law.
The Treasury also says that due to the costs incurred, goods and services for which money is spent must be executed or delivered by December 30 (with payments up to 90 days). In other words, the state government usually thinks that the money will be withdrawn for the budget for the contractually mandated, or “blocked,” year, but the money will come before December 30th. Not enough if disturbed. Durable products required for handling COVID-19 can be delivered by the end of the year without using them by the end of the year.
Here are some examples of non-refundable costs: (1) The cost of the state share of Medicaid. (2) Damage covered by insurance. (3) COVID-19 Salaries or benefits for employees who are not substantially dedicated to mitigating or responding to public health emergencies. (4) Expenses that have been or will be reimbursed under a federal program, such as the reimbursement of state contributions to the State Unemployment Fund. (5) Refunds to donors for donated items or services. (6) Labor bonuses other than hazard pay or overtime. (7) Severance pay; (8) Legal settlement.
After all, do you have a better idea of cost items to avoid? Then it was time for lawmakers to get together and come up with the best way to do the best with the genie tycoon. Don’t make the mistake of leaving a lot of money in limbo lands, or some special endowments that have the same effect on these dollars.
Is Our Share of CARES Act Money Disappearing? Source link Is Our Share of CARES Act Money Disappearing?