SLS 20RS-1587 ORIGINAL 2020 Regular Session SENATE CONCURRENT RESOL UTION NO. 65 BY SENATORS CLOUD, HENRY, TARVER AND W HITE FUNDS/FUNDING. Expresses the intent of the legislature to allocate $200,000,000 of the local government allocation from the CARES Act to small businesses, of which $25,000,000 shall be used for minority and women owned businesses. 1 A CONCURRENT RESOL UTION 2 To express the intent of the legislature to appropriate $200,000,000 of the local government 3 portion of the CARES Act funding for small businesses in Louisiana, of which 4 $25,000,000 shall be used for minority and women owned businesses. 5 WHEREAS, the Congress of the United States passed the Coronavirus Aid, Relief, 6 and Economic Security Act (CARES Act) which was signed into law on March 27, 2020, 7 and which established the Coronavirus Relief Fund (Fund); and 8 WHEREAS, the CARES Act provides monetary assistance to state and local 9 governments and includes an allocation to the state of Louisiana from the Fund of over $1.8 10 billion; and 11 WHEREAS, the CARES Act provides that, of the amount allocated to each state, an 12 amount not to exceed forty-five percent may be directed to local governments; and 13 WHEREAS, it is anticipated that the CARES Act funding directed to local 14 governments will be appropriated according to a plan implemented by the legislature and 15 that local governments may submit evidence that they are due reimbursement for 16 Coronavirus Disease 2019 (COVID-19)-related expenses; and 17 WHEREAS, the CARES Act allows state and local governments to make payments 18 for programs that: Page 1 of 3 SCR NO. 65 SLS 20RS-1587 ORIGINAL 1 (1) Are necessary expenditures incurred due to the public health emergency with 2 respect to COVID-19. 3 (2) Were not accounted for in the budget most recently approved as of March 27, 4 2020, for the state or local government. 5 (3) Were expenses incurred during the period beginning March 1, 2020, and ending 6 December 30, 2020; and 7 WHEREAS, the Guidance for State, Territorial, Local, and Tribal Governments 8 dated April 22, 2020 (Guidance), states that the requirement that expenditures be incurred 9 "due to" the public health emergency may include expenditures incurred to respond to 10 second-order effects of the emergency, such as providing economic support to those 11 suffering from employment or business interruptions due to COVID-19-related business 12 closures; and 13 WHEREAS, the Guidance states that eligible expenses include payment for expenses 14 associated with the provision of economic support in connection with the COVID-19 public 15 health emergency, such as expenditures related to the provision of grants to small businesses 16 to reimburse the costs of business interruption caused by required closures; and 17 WHEREAS, due to COVID-19, many small businesses were required to close and 18 were not able to conduct business during the approximately two-month period the state was 19 under quarantine, and thus suffered financially from business interruptions. 20 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby 21 express its intent to include, as part of the plan for the appropriation of a portion of the 22 CARES Act funding for local governments, that $200,000,000 be used for small business 23 grants, of which $25,000,000 shall be used for minority and women owned small businesses. 24 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the 25 president of the Senate, the speaker of the House of Representatives, the chairman of the 26 Senate Committee on Finance, and the chairman of the House Committee on Appropriations. Page 2 of 3 SCR NO. 65 SLS 20RS-1587 ORIGINAL The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Martha S. Hess. DIGEST SCR 65 Original 2020 Regular Session Cloud Expresses the intent of the legislature to allocate $200,000,000 of the local government portion of the CARES Act funding for small businesses in Louisiana, of which $25,000,000 shall be used for minority and women owned small businesses. Page 3 of 3