Rapid City to receive CARES Act funds
More than $307,000 awarded for COVID-19 response
RAPID CITY, S.D. — The City of Rapid City will receive $307,390 in Community Development Block Grant (CDBG) funding through the CARES Act.
The Coronavirus Aid, Relief, and Economic Security Act – or CARES Act – is stimulus legislation enacted to combat the impacts of coronavirus crisis on individuals, businesses and communities. The act provides $2 trillion in funds for Americans, $377 billion in federal loans to small businesses and established a $500 billion government lending program for struggling companies. The act also sends $100 billion to hospitals across the country battling COVID-19.
City officials indicate the purpose of the federal funding is to prevent, prepare for and respond to the Coronavirus pandemic. The City is awaiting official guidance from the US Department of Housing and Urban Development before announcing the timing and distribution of the funds.
In the meantime, City officials are working to define and identify community needs along with funding gaps that may be addressed using the CDBG funds. The upcoming Legal and Finance Committee agenda includes a pair of items establishing expedited procedures and provide certifications to amend plans for use of awarded funds and to administer the grant funds.
“This is great news for the City and we plan to use the funds to address impacts from the COVID-19 pandemic,” said Ken Young, City Community Development director. “We are reviewing our options for distributing the funds.”
CDBG CARES Act funding cannot be used when other resources such as FEMA, SBA, or insurance are available.
“Working with other community leaders in identifying needs as well as available resources will ensure an efficient implementation of CARES Act funding,” added Rapid City CDBG Program Division Manager Michelle Schuelke.