Denver to receive $308 million in federal COVID relief funds beginning this month
Two months after the passage of the $1.9-trillion American Rescue Plan, officials announced Monday that Denver will be receiving $308 million of federal funding for COVID-19 relief efforts.
This news comes after officials have agonized for weeks over whether Denver would be considered a city, county or consolidated government. Based on the distinction, Denver could have received between $140.04 million and $310.08 million from the federal government.
“The pandemic delivered a blow to our community worse than any experienced since the Great Depression,” said Mayor Michael Hancock. “These American Rescue Plan funds will help to deliver on a once-in-a-generation opportunity to shape a sustainable, equitable recovery for our city.”
Half of the $308 million will be given to the local government this month. The other half will be distributed in approximately one year. All of the funding must be spent by the end of 2024.
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Chief Financial Officer Brendan Hanlon said Denver expects to receive its first half of the funds in the coming days.
Hanlon said the city has received and is beginning to review the guidance provided by the U.S. Treasury on what they are allowed to use the funding for; however, officials have said the city’s first priority is restoring city services and eliminating furloughs from the pandemic.
According to Denver’s RISE recovery plan, the city will focus federal funds on five core areas: job creation, support for individuals and businesses, neighborhood-based improvements, government-driven investments and enhancing support for companies operating in Denver.
“The magnitude of these investments will be felt for generations to come, so we look forward to launching a round of community and City Council engagement in mid-May and to deploying the first round of funds this summer,” Hanlon said.
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Hanlon has said the city plans to distribute the funding in a timely, equitable and financially sustainable way. Generally, the funding can be used to pay for economic recovery, city services, infrastructure investment and pandemic response.
In addition to the $308 million going to the local government, funding may also be allocated directly to other agencies and regional partners.
This could mean direct funding for vaccine distribution, public health workers, the Paycheck Protection Program, restaurants, venues, libraries, SNAP, Denver Public Schools, the Denver International Airport, Denver Water, RTD and more.
The city will hold various community engagement opportunities this month to receive feedback on where the funding should be allocated. Details on the opportunities will be released in the coming days.