Finance Council approves $374 million in COVID relief spending

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Gov. Laura Kelly and leading lawmakers on Wednesday approved $374 million in federal COVID-19 relief funds to improve access to high-speed internet service, expand child care capacity, construct housing for the less affluent and invest in tourism.

The state Finance Council approved the last round of money that was available from the $1.6 billion that the state received from the federal government to recover from the fallout of the COVID-19 pandemic.

The money was allocated for projects in four broad areas, including $35 million for broadband, $100 million for modernizing state and local government, $109 million for health and education and $130 million for economic revitalization.

Within each of those broader areas, money is targeted for:

Broadband

  • Officials approved $20 million to $25 million for a competitive grant process that provides a sliding scale match for last-mile broadband grants. High-speed internet service projects in higher cost, rural areas would be eligible for more grant money to encourage internet service providers to build in areas that aren’t financially viable.
  • Another $5 million to $10 million is proposed for a competitive grant program for middle-mile projects, including internet exchange point solutions. Another $5 million is proposed for providing competitive grants to foster the development of digital literacy skills and adoption of broadband service.

Efficiency and modernization

  • There was $95 million approved for improving state government services, including information technology systems to ensure continuity of operations in the event of anĀ  emergency and to upgrade state safety and security equipment. Administered by the Department of Administration, the program will be open to all state agencies to submit competitive project proposals.
  • Another $5 million is earmarked for helping local governments modernize their communications infrastructure and equipment. The money is intended to help local public safety agencies meet the latest federal encryption standards and facilitate interoperability with local, county and state communications. The money will be made available on a competitive basis to local governments, specifically their emergency
    response departments.

Health and education

  • The Finance Council approved $66 million for closing service gaps in the continuum of care by spending on health facility infrastructure and programs to expand innovative care models and treatment, as well as efforts that will expand the workforce. The competitive grant program will fund facility development, renovation and targeted program expansion that will improve service and workforce capacity in the health and behavioral health sectors. The program is intended to address statewide shortages of health and behavioral health services.
  • Also approved was $38 million for expanding access to child care. The goal is to increase the number of licensed child care facilities and child care slots. It also is intended to increase the availability and accessibility of health, education and early childhood resources for Kansas communities.
  • Also, $5 million is dedicated to improving state early childhood data system capabilities with an information technology upgrade that provides accurate and quality data.

Economic revitalization

  • The council approved $30 million for tourism projects to promote economic development. The goal of the funding is to help parts of the Kansas tourism industry that suffered economically during the pandemic.
  • Also approved was $50 million for another round of so-called called BASE grants, short for Building a Stronger Economy. Like the first round of BASE grants, the new funding will address infrastructure and economic development needs that were delayed or slowed due to COVID-19 in an effort to expand the state’s base of businesses and residents. The Department of Commerce received more than 440 applications for the original BASE program, which officials said demonstrated the need for more funding.
  • Another $10 million is committed to funding construction and renovation of multi-housing units for seniors or people with disabilities. The program would also allow for new construction that offers health and safety accommodations.
  • The Finance Council also approved $20 million for workforce development in the aviation and aerospace industry. The money is intended to help aviation and aerospace manufacturers that have experienced challenges maintaining a qualified workforce. The competitive grants will be open to eligible manufacturers registered as aerospace part manufacturers or supply chain manufacturers. Local and city owned airports will also be eligible to apply for funding.
  • Also, $10 million was directed to high demand and critical-need industries that are facing serious labor shortages. The program will provide training and equipment funding for those industries, as well as additional incentives to attract new residents to the state. The competitive grant program will address workforce shortages and training needs in high demand and critical-need industries, including health care providers, education providers, technology-based businesses and employers working with the blind, visually or hearing impaired, or persons with other disabilities.
  • Also approved was $10 million for small municipal and wastewater utilities to resolve health and regulatory compliance issues. The money is targeted for cities with populations under 1,000 people.