Gov. Cooper releases recommended budget plan for emergency COVID-19 funds

Gov. Cooper released a recommended budget plan on Friday to invest $1.4 billion in emergency funds to help North Carolina respond to the COVID-19 pandemic. Funding for this proposal would come predominantly from the state’s share of the federal CARES Act Coronavirus Relief Fund (CRF) and would be appropriated by the North Carolina General Assembly in its upcoming session.

The budget package is intended to fund immediate needs in three main areas:

• Public health and safety
• Continuity of operations for education and other state government services
• Assistance to small businesses and local governments.

“The COVID-19 pandemic has affected every North Carolinian. This emergency funding proposal makes strong investments in public health, schools, local governments and small businesses to respond to this unprecedented crisis,” said Cooper.

Governor Cooper and State Budget Director Charlie Perusse worked with state agencies, local governments, and other stakeholders to identify what immediate COVID-related needs were unmet by existing federal and commercial assistance to build a budget proposal that is responsive and responsible.

Key investments from this proposal include:

• $75 million to support testing, tracing and trends analysis as well as have the Personal Protective Equipment needed to help North Carolina move into Phase 1 of easing restrictions;
• $78 million for school nutrition to continue to serve as many as 500,000 meals a day to children who depend on these meals to meet basic nutrition needs typically met in school;
• $75 million for rural and underserved communities and health care providers that are particularly hard hit by COVID-19;
• $243 million for public schools to enhance remote learning and get ready for the next school year in a “new normal.” Funds are a joint request from DPI and the State Board of Education.
• $52 million to the UNC system and private colleges to help with remote learning and COVID-19 impacts;
• $300 million to assist local governments, distributed based partially on population and partially on acute need.

“We know that people are hurting, businesses are struggling, and local governments are facing severe shortages. That’s why we have to act now to get resources in the hands of people and organizations that provide vital support,” said Cooper.

Governor Cooper and State Budget Director Charlie Perusse have been in discussions with leaders of the North Carolina General Assembly for several weeks to develop a consensus COVID-19 budget package that can be approved swiftly when the legislature returns next week. Elements of this package have already been announced as having consensus support, including a significant investment in an already operating bridge loan program for small businesses through the Golden L.E.A.F. Foundation.

“This plan is a first step, and while it may not have all that North Carolina needs moving forward I present it in the spirit of compromise and consensus so that we can get relief to families fast,” said Cooper.

Find a slideshow summary of the budget recommendation.

Read more about the full budget recommendation money report and provision list.