SOUTH PLAINFIELD, NJ – The Borough of South Plainfield is slated to receive a little over $2.362 million in much-needed COVID-19 relief funds through the $1.9 trillion American Rescue Plan Act.
“The money will provide some financial relief to the municipality and residents of South Plainfield,” said Borough Administrator and CFO Glenn Cullen. “The funding will benefit local government and cover lost revenues due to the pandemic.”
A total of some $282 million is slated to be distributed throughout Middlesex County with South Plainfield receiving 50-percent of the $2,362,681 million relief package in 2021 and the remainder in 2022.
However, as of press time, borough officials told TAPinto that they have yet to receive official guidance from the federal government in terms of how the money can be allocated.
“We are going to be restricted in how the revenue can be applied. It has been reported that some funding can go to offset revenue losses, but as of right now, we still do not have any clear guidance,” said Cullen.
According to Cullen, over the last 12 months, the borough has lost over $400,000 in industrial sewer bills and has seen hotel taxes decrease from nearly $40,000 a month to less than $10,000, all as a result of the health care crisis. Additionally, in the past year, court fees, which typically averaged at $50,000 a month, are just around $15,000.
“These funds may help us offset some of borough’s dramatic revenue losses,” said Cullen.
The $1.9 trillion American Rescue Plan Act, signed March 11 by President Joe Biden, is aimed at ‘rebuilding the backbone of this country’ in the wake of the pandemic and boosting post-COVID economic recovery. The package also includes $9.6 billion in stimulus funds for New Jersey’s approximate 3.7 million eligible residents along with approximately $6.4 billion to help bolster New Jersey’s finances.
Middlesex County will receive $282,355,678; of that amount, $160.02 million will go to county government with $122,335.678 allocated amount Middlesex’s 25 communities as follows:
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