What the next CARES act could mean for Texas cities and counties

Short answer, a lot.

Cities and counties across Texas would get more than $29 billion from the $3 trillion coronavirus relief package House Democrats want to pass as soon as Friday.

That includes more than $1.7 billion to Houston and nearly $1 billion to San Antonio as both cities stare down massive budget holes caused by the outbreak. Harris County’s funding could top $2.6 billion and Bexar could be on tap for more than $1 billion, as well. Texas, meanwhile, could get nearly $35.5 billion from a separate pool of funding to aid states.

That’s all according to estimates compiled by the Congressional Research Service, Congress’ public policy institute. The estimates, which cover the rest of 2020 and 2021, are based on some factors not yet known, such as unemployment and infection rates, so they’re not exact.

[…]

At the top of the Democrats’ list is sending $875 billion to states, cities and counties to help plug huge budget deficits. Cities can’t use the aid that Congress has offered so far to close those budget holes and cities across the country, including Houston and San Antonio, are starting to lay off employees and cut programs.

The bill would also for the first time offer coronavirus relief aide to smaller cities, as past relief packages have only directed funding to cities with 500,000 or more residents, meaning suburbs could get tens of millions. New Braunfels, for instance, could get nearly $30 million. Sugar Land could get more than $58.5 million.

There’s a list of cities and counties in Texas and the amounts they would get here. As noted, it’s broken out over two years, so Houston would get $1.18 billion this year and $580 million next year, while Harris County would get $1.76 billion this year and $881 million next year. That’s way more than the current Houston budget gap, so I presume a lot of that money is intended for other purposes as well, such as perhaps rental assistance and maybe rebuilding public health infrastructure. The main point here is that this is a demonstration that someone has learned the lesson from 2009, which is that massive cuts and layoffs in city and state budgets is a huge drag on any economic recovery effort. (That someone is the Democrats, though for at least a few minutes the Republicans have decided that they need to take whatever steps they have to in order to keep the economy from completely collapsing on Trump.) I don’t know what a final version of this might look like – there are certainly things the Dems could concede on – but if something like this passes and cities and counties and states can “balance” their budgets without taking a chainsaw to them, it would be a bug freaking deal. Daily Kos has more.

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