Newark receives $88,333,803 in its first installment of American Rescue Plan monies to overcome the impact of COVID-19 on the city’s economy. The monies will be used to stabilize the city’s finances due to lost revenue, and to get monies into the hands of residents and small businesses that suffered during the pandemic.
In addition, the City will address homelessness, affordable housing, and economic and food insecurity with the monies.
“I thank President Biden and Vice President Harris on their commitment to Newark’s recovery and prosperity. This is the latest step by the Federal Government in supporting our economic recovery from the stress and damage of COVID-19,” Baraka said. “We will put these funds in the hands of the people of our city, to provide relief and empower them with the financial tools they need to restart our economy.”
Virtual community meetings will be held on The City of Newark’s on its Facebook page on May 25 at 6:30 p.m., June 1 at 6:30 p.m and June 4 at noon.
In March, New Jersey U.S. Senators Bob Menendez and Cory Booker released the following breakdown of how New Jerseyans will benefit from the American Rescue Plan, the $1.9 trillion COVID relief bill. An estimated $10.2 billion was set aside for New Jersey including approximately $6.4 billion for the state plus another $192 million for broadband, $1.823 billion combined for all 21 counties, and $1.741 billion split among all 565 municipalities.
Nearly 400,000 New Jerseyans report being behind on their rent and over 2 million or 32% of New Jerseyans report having difficulty paying household expenses. Over $465 million is being used for emergency rental assistance in New Jersey.
New Jersey has seen a 42% drop in small business revenue since Jan. 2020. Over $7 billion is being used for the Paycheck Protection Program (PPP) and second-draw PPP loans and $15 billion is for Economic Injury Disaster Loan (EIDL) advance grants.
“As we face economic and public crises unlike anything we have seen in our lifetimes, the American Rescue Plan is an urgently needed and historic investment in the health and financial security of New Jerseyans and people across the country, a boost to our small businesses, a lifeline to state and local governments and a necessary step in our country’s long-term recovery,” Booker said.