From the WashPost: Cities, states fear they may lose critical FEMA dollars for coronavirus response. Local governments say the federal agency could be running out of funds just as more supplies are needed for reopening plans. Some excerpts:
“City and state leaders expressed fears Tuesday that the Trump administration may cease reimbursing some of their purchases of masks, gloves and other personal protective equipment, a move they said could tear new holes in their budgets while threatening public health.
The trouble stems from the Federal Emergency Management Agency, which typically provides funds for disaster relief and has played a central role in the coronavirus pandemic. In calls throughout August, FEMA signaled that it may soon seek to rethink the criteria by which it doles out those dollars, troubling local governments, which say they are desperate for easy-to-access federal cash as the contagion continues to spread.”
FEMA can’t run out of money for the simple reason that FEMA doesn’t actually have money. It’s the US Government that has the money (in the treasury), and the government can disburse however much or little of it through whatever mechanism or agency the government chooses and authorizes by law…FEMA, DHS, HHS, CDC, Melania and the kids stuffing cash into envelopes…(well OK, really big envelopes) …
CARES $$ better and easier if made available. For all of FEMA’s maladministration of cost eligibility it can only obligate what Congress appropriates