SLS 20RS-1587 ENGROSSED 2020 Regular Session SENATE CONCURRENT RESOL UTION NO. 65 BY SENATORS CLOUD, ABRAHAM, ALLAIN, BARROW, BOUIE, CARTER, CATHEY, CONNICK, CORTEZ, FESI, FOIL, HARRIS, HENRY, HENSGENS, HEWITT, MCMATH, MILLIGAN, FRED MILLS, ROBERT MILLS, MIZELL, PRICE, REESE, SMITH, TARVER, WARD, WHITE AND WOMACK FUNDS/FUNDING. Expresses the intent of the legislature to allocate $100,000,000 of the local government allocation and $100,000,000 from the state allocation from the CARES Act to small businesses, of which $12,500,000 from the local government allocation and $12,500,000 from the state allocation shall be used for minority and women owned businesses. 1 A CONCURRENT RESOL UTION 2 To express the intent of the legislature to appropriate $100,000,000 of the local government 3 portion and $100,000,000 of the state portion of the CARES Act funding for small 4 businesses in Louisiana, of which $12,500,000 of the local government portion and 5 $12,500,000 of the state portion shall be used for minority and women owned 6 businesses. 7 WHEREAS, the Congress of the United States passed the Coronavirus Aid, Relief, 8 and Economic Security Act (CARES Act) which was signed into law on March 27, 2020, 9 and which established the Coronavirus Relief Fund (Fund); and 10 WHEREAS, the CARES Act provides monetary assistance to state and local 11 governments and includes an allocation to the state of Louisiana from the Fund of over $1.8 12 billion; and 13 WHEREAS, the CARES Act provides that, of the amount allocated to each state, an 14 amount not to exceed forty-five percent may be directed to local governments; and 15 WHEREAS, it is anticipated that the CARES Act funding directed to local 16 governments will be appropriated according to a plan implemented by the legislature and 17 that local governments may submit evidence that they are due reimbursement for 18 Coronavirus Disease 2019 (COVID-19)-related expenses; and Page 1 of 3 SCR NO. 65 SLS 20RS-1587 ENGROSSED 1 WHEREAS, the CARES Act allows state and local governments to make payments 2 for programs that: 3 (1) Are necessary expenditures incurred due to the public health emergency with 4 respect to COVID-19. 5 (2) Were not accounted for in the budget most recently approved as of March 27, 6 2020, for the state or local government. 7 (3) Were expenses incurred during the period beginning March 1, 2020, and ending 8 December 30, 2020; and 9 WHEREAS, the Guidance for State, Territorial, Local, and Tribal Governments 10 dated April 22, 2020 (Guidance), states that the requirement that expenditures be incurred 11 "due to" the public health emergency may include expenditures incurred to respond to 12 second-order effects of the emergency, such as providing economic support to those 13 suffering from employment or business interruptions due to COVID-19-related business 14 closures; and 15 WHEREAS, the Guidance states that eligible expenses include payment for expenses 16 associated with the provision of economic support in connection with the COVID-19 public 17 health emergency, such as expenditures related to the provision of grants to small businesses 18 to reimburse the costs of business interruption caused by required closures; and 19 WHEREAS, due to COVID-19, many small businesses were required to close and 20 were not able to conduct business during the approximately two-month period the state was 21 under quarantine, and thus suffered financially from business interruptions. 22 THEREFORE, BE IT RESOLVED that the Legislature of Louisiana does hereby 23 express its intent to include, as part of the plan for the appropriation of a portion of the 24 CARES Act funding for local governments, that $100,000,000 be used for small business 25 grants, of which $12,500,000 shall be used for minority and women owned small businesses. 26 BE IT FURTHER RESOLVED that the Legislature of Louisiana does hereby express 27 its intent to include, as part of the plan for the appropriation of a portion of the CARES Act 28 funding for the state, that $100,000,000 be used for small business grants, of which 29 $12,500,000 shall be used for minority and women owned small businesses. 30 BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the Page 2 of 3 SCR NO. 65 SLS 20RS-1587 ENGROSSED 1 president of the Senate, the speaker of the House of Representatives, the chairman of the 2 Senate Committee on Finance, and the chairman of the House Committee on Appropriations. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Martha S. Hess. DIGEST SCR 65 Engrossed 2020 Regular Session Cloud Expresses the intent of the legislature to allocate $100,000,000 of the local government portion and $100,000,000 of the state portion of the CARES Act funding for small businesses in Louisiana, of which $12,500,000 from the local government portion and $12,500,000 from the state portion shall be used for minority and women owned small businesses. Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Finance to the original bill 1. Changes amount of allocation from $200,000,000 from the local government allocation to $100,000,000 from the local allocation and $100,000,000 from the state allocation 2. Changes amount for minority and women owned businesses from $25,000,000 from the state allocation to $12,500,000 from the state allocation and $12,500,000 from the local allocation. Page 3 of 3