Members of the Leflore County Board of Supervisors are in no rush to spend the funds they have received from the federal government’s $1.9 trillion American Rescue Plan.
Instead, as recommended by the Mississippi Association of Supervisors and the Office of the State Auditor, they are holding onto the money until they get clearer guidelines from the federal government and state leaders on how it can be used.
“If somebody comes up with a clear picture — a clear whatever it is, a clear way to spend it — I’ll be glad to spend it. But, right now, I don’t know of a clear picture,” District 5 Supervisor Robert Collins said. “If we rush out there and get in trouble, it’s going to be hard to get out.” He was alluding to the concern that the county could be held liable if it misspends the funds.
Three other supervisors — District 1’s Sam Abraham, District 3’s Anjuan Brown and District 4’s Eric Mitchell — also said they want to ensure they are in compliance with federal guidelines.
Earlier this year, Leflore County received its first allotment of the coronavirus relief funding, $2.7 million. The supervisors agreed to split that money equally among their five districts.
They are scheduled to receive the second allotment of these funds — also $2.7 million — sometime next summer.
Local governments are allowed to use their federal stimulus funds from the American Rescue Plan to address the negative economic impact of the pandemic through various initiatives. These range from assisting households, small businesses and essential workers to investing in infrastructure systems, such as water, sewer and broadband services, according to guidelines detailed by the U.S. Department of the Treasury.
The usage of the funds was expanded in June when the Biden adminstration announced that local governments could use their federal money to establish community violence intervention programs and other similar efforts to curb an increase in gun violence that may have been exacerbated by the pandemic.
And, in July, the Treasury Department released a comprehensive document of frequently asked questions to address how local governments can use their funds.
These guidelines are broad, but Abraham, Brown, Collins and Mitchell all said they are waiting to receive further guidance.
“They did put some things out there as far as what it could be utilized for, but right now, in my opinion, a lot of the federal guidelines are undefined as far as how to use these funds,” Brown said. “The guidelines are not complete, and I think a lot of the Mississippi Association of Supervisors, the State Auditor’s Office and everybody is saying, ‘Hold up,’” as far as spending the money.
Brown added that the county has until 2024 to obligate the money and 2026 to spend it, meaning that there is still time for the supervisors to develop a plan.
Brown said that if possible, he would like to use the funds to establish a homeless shelter in the county, improve infrastructure and provide a transportation service for the elderly. “I have a lot of ideas, but my ideas are suppressed right now until we learn how to spend this money,” he said.
Abraham said he was “not comfortable at this point in time spending the money until I know it is a legal expenditure.”
Abraham would like to use the funds for roads and bridges throughout the county. Mitchell said the money could be used to address water and sewer systems, particularly in Itta Bena, where the city’s crumbling water system has led to continuous leaks.
“As of right now, I’m not in a rush to use (the stimulus funds) in any form or fashion,” Mitchell said.
According to Mississippi Today, the state lags behind most states “in planning for or spending the money.” The state government has received $1.8 billion, which the Legislature directly controls, while local governments throughout the state have collectively received $900 million, according to the news outlet.
Lt. Gov. Delbert Hosemann traveled throughout the state earlier this year, meeting with local government leaders — including a visit in May with members of the Board of Supervisors and the Greenwood City Council — encouraging them to propose projects to the Legislature to receive matching state funds.
The supervisors voted 3-1 in August to accept and fund a proposal from Central Mississippi Inc. to establish a pandemic and disaster relief center at the cost of $250,000, which would have come from board President Reginald Moore’s share of the stimulus funds.
Moore, a proponent of the proposed center, had said at the time that it would provide an array of functions for residents, from mitigating the spread of COVID-19 to working with at-risk youths to steer them away from violence. Abraham cast the sole dissenting vote, and Brown abstained from the vote.
Establishment of that proposed center has come to a halt because the board could not agree last month on a template, mandated by the Treasury Department, for printed agreements between the county and entities that receive federal relief funds from the county, such as CMI.
Moore and Mitchell voted to pass the contract template, and Abraham and Collins cast dissenting votes. Brown had walked out of the meeting, not casting a vote.
Abraham and Collins later said they voted no out of an abundance of caution, unsure whether the county is allowed to appropriate money to nonprofits to carry out projects. “I’m not sure it’s a legal expense, and I don’t necessarily want CMI to spend money that we’re obligated to pay back if something goes wrong,” Abraham said.
The Treasury Department’s guidelines do specify that local governments can transfer funds to a private nonprofit organization.
It is unclear what will become of CMI’s proposed center. Moore could not be reached for comment Friday.
Abraham is adamant that the county should not allot its funds to consultants or nonprofits if possible, instead spending the money directly on projects itself.
“I personally don’t think we need anybody to help us spend the money. I’m not trying to find new ways to spend money,” he said.
Even though there is uncertainty as to how the federal money can be used, the supervisors are grateful that they will have it.
“This is a big boost for our county and the people who live in our county. It’s going to help us economically, do things where we normally would not be able to do,” Brown said.
“It’s going to trickle down, and it’s going to help everybody. I’m thankful and grateful to be in this position, knowing how to spend money versus not spending any.”
- Contact Gerard Edic at 662-581-7239 or gedic@gwcommonwealth.com.
