New Jersey U.S. Senators Cory Booker and Bob Menendez released a county-by-county and town-by-town breakdown of the $10.189 billion in direct, flexible, federal assistance to state and local governments allocated to New Jersey in the American Rescue Plan. The final funding formula targets federal resources to areas with the greatest need and is modeled after Menendez’s bipartisan SMART Act, cosponsored by Sen. Booker, netting New Jersey around $1 billion more than had the money been distributed by population.

The $1.9 trillion COVID relief package contains $360 billion in state and local aid to help keep essential workers on the job, assist struggling families and small businesses, and make critical investments in infrastructure. The State of New Jersey will receive approximately $6.434 billion plus another $189 million to expand broadband internet across the state. An additional $1.823 billion will be split among the 21 county governments and $1.741 billion divided among all 565 cities and municipalities.

“In the midst of the greatest public health and economic crises of our lifetimes, it is unacceptable New Jersey schools, hospitals, small businesses, and workers faced the additional threat of budgetary shortfalls,” said Booker. “With state and local governments across our country facing the painful decisions of potentially laying off thousands of police officers, firefighters, teachers, and other essential workers, and cutting essential services, the full support of our federal government has never been more important to fight this pandemic. The federal funding in this COVID relief package will help provide the relief that New Jerseyans desperately need, and I was proud to work with Senator Menendez in getting it across the finish line.”

“Our state and local governments have been on the frontlines of the fight against COVID-19. They have been bleeding resources for over a year while costs have soared and revenues have plummeted. As a result, they have borne the brunt of the economic pain and desperately need help,” Menendez said. “This badly needed federal funding will not just keep the lights on at City Hall, it will also help our communities get more vaccines in people’s arms, keep our first responders, teachers and other essential workers on the job, maintain our infrastructure and critical services, help our small businesses stay afloat, and put us on a smoother path towards economic recovery after the pandemic. This was a long and hard-fought battle, but I am pleased to be able to deliver in this COVID relief package billions in direct, flexible federal assistance to each and every corner of New Jersey.”

The direct, flexible funding can be used by state and local governments to pay COVID-related expenses; cover lost revenues due to the pandemic to maintain critical services and avoid layoffs of essential workers; provide additional assistance to residents and small businesses; and invest in water, sewer and broadband infrastructure.

While the SMART Act initially called for $500 billion in targeted state and local funding to the areas with the greatest need, Menendez was instrumental in fighting efforts to further lower that topline number or change the formula to hurt New Jersey, which has been disproportionately impacted economically by the pandemic.

As a result of the final formula, New Jersey will receive the eighth largest pot of federal money compared to other states, about $1 billion more than it would receive had the formula been based entirely on population. The formula allocates virtually all of the funding dedicated to state governments based on the number of unemployed persons in each state compared to the overall U.S. population to determine need.

Essex County will receive over $463 million with Newark receiving over $182 million. Irvington will receive nearly $30 million, East Orange will receive over $36 million and Montclair will receive $3.7 million. Jersey City is receiving $145 million and Paterson is receiving over $63 million.

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