Kentucky Governor says state will receive over $2.1 billion from American Rescue Plan Act

FRANKFORT, Ky. (WSAZ) – Kentucky Governor Andy Beshear says the state is set to receive over $2.1 billion from the American Rescue Plan Act.

This is for the Coronavirus State Fiscal Recovery Fund.

“Our economy is surging and strong,” Gov. Beshear said. “We are in a strong position to sprint out of this pandemic with continued positive economic indicators and with this funding that will create jobs, momentum and a better quality of life in every corner of the commonwealth.”

The U.S. Department of the Treasury announced state allocations on Monday based primarily on each state’s share of the nation’s number of unemployed individuals from October through December 2020.

Kentucky has performed better than expected in the fourth quarter of 2020, which is when the preliminary date was used. The governor’s office says based on the improvement in the state’s employment numbers, the initial estimate of $2.441 billion was lowered to $2.183 billion.

Gene Sperling, who is coordinating the implementation of the American Rescue Plan for the White House, talked to Governor Beshear and State Budget Director John Hicks on Monday about the change ahead of the Treasury Department announcement. The change is the latest sign of a healthy and strengthening Kentucky economy that is outperforming many other states.

“The commonwealth will receive $2.183 billion for the Coronavirus State Fiscal Recovery Fund, with half available later this month to assist Kentucky with responding to the impacts of the pandemic,” Director Hicks said. “The preliminary estimated amounts available during the budget process did not yet recognize the level of reduction in the number of unemployed Kentuckians. Kentucky’s downward revision was the seventh largest among the states with better unemployment figures.”

According to the governor’s office, the state will submit a request for the funds to the U.S. Department of the Treasury soon.

Governor Beshear says the final allocation doesn’t impact the bipartisan agreement reached by lawmakers and his administration during the 2021 regular session, which will use nearly $1.3 billion to boost the state’s economy by expanding broadband, delivering clean drinking water and building new schools. The plan is expected to create more than 14,500 new jobs.

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