Walz Allocates $106M From Federal American Rescue Fund: LIST

ACROSS MINNESOTA — Gov. Tim Walz Friday announced how he will allocate $106 million of the funds the state of Minnesota was awarded from the federal government's American Rescue Plan.

A total of $29 million will go to education, $35 million for workforce development, and $10 million to help homeless shelters respond to COVID-19 outbreaks, Walz announced.

"President Biden’s American Rescue Plan delivers direct relief to Americans by providing resources to beat this pandemic and build a stronger economy for generations to come. That’s exactly what we’re prioritizing here in Minnesota," Walz said in a news release.

"With this funding, we are helping students recover from the challenges of the COVID-19 pandemic, driving workforce development in critical, good-paying fields, and providing safe shelter to the Minnesotans who need it most before our harsh winter months."

The American Rescue Plan Act of 2021 was passed by Congress in February and signed into law by President Joe Biden in March.

The law provided Minnesota with $8.5 billion overall:

• $2.132 billion to local governments
• $2.833 billion to the state government
• $3.505 billion for current federally-funded programs

The governor's office released the following details on the money allocated by Walz Friday:

"Supporting Students"

$29 million of the Governor’s allocation will provide a one-time investment to ensure that enrollment loss in Minnesota’s schools due to the COVID-19 pandemic does not negatively impact students. The per-pupil nature of the education funding formula means that—without additional support—last year’s drop in student enrollment would impact the amount of funding schools receive to operate their schools and support student learning. On average, one student in Minnesota public schools generates roughly $10,286 in general education revenue.

"Driving Workforce Development"

The Governor’s allocation of American Rescue Plan funds will boost Minnesota’s economy by increasing the number of qualified workers for high-need career areas, like health care, business, education, and industry and technology. The $35 million investment will provide tuition-free paths for students at a Tribal College or public institutions earning a credential or degree for jobs such as nursing, accounting, teaching, engineering, and firefighting. Eligibility for Minnesota Future Together Grants will be determined based on a student’s financial aid profile, and will be awarded starting in spring 2022.

"Sheltering the Most Vulnerable Before Winter"

$10 million in American Rescue Plan funds will be managed through an interagency, interdisciplinary state homeless shelter emergency response team focused on helping shelters prepare and respond to COVID-19 outbreaks, particularly as the Delta variant increases case counts across the state. The funds will cover staffing and hazard pay to keep shelters operating with the needed personnel, room leasing costs to establish shelter capacity to deconcentrate shelters or create protective or isolation options for people experiencing homelessness, and other costs for supplies needed to sustain congregate shelter operations, including air filtration, personal protective equipment, or food for those residing in isolation space.

"The COVID-19 virus continues to impact Minnesotans in every corner of the state," said Lt. Gov. Peggy Flanagan.

"I am grateful for the federal American Rescue Plan, as Minnesotans need support following one of the most challenging periods in our history. We will continue to prioritize students, families, and Minnesotans experiencing homelessness as we work to recover and rebuild together."