Update from the Governor: Coronavirus Relief Funding for communities across the state

Governor Tim Walz and Lieutenant Governor Peggy Flanagan announced a plan to distribute $853 million in relief to communities across the state impacted by the COVID-19 pandemic. $841 million will be distributed to Minnesota counties, cities, and towns. $12 million will be allocated toward food shelves and food banks to help combat hunger across Minnesota. The funding was authorized under the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act.

Approximately 300,000 Minnesotans have visited food shelves each month since the pandemic began, representing approximately a 30 percent increase over typical visits. Food banks are distributing approximately 2.4 million pounds of food per week, representing a 20-40 percent increase since 2019.

The $841 million for local governments across the state can be used to support local government services as well as grants for businesses, hospitals, and individuals who have been impacted by COVID-19.

The Minnesota Department of Revenue will distribute the funding to local governments. Local governments will receive a direct payment based on the per capita formula developed by the state legislature during special session.

Counties with a population under 500,000: $121.28 x county population.

Cities with a population over 200: $75.34 x city population.

Organized towns with a population over 5,000: $75.34 x organized town population.

Towns with a population over 200 and under 4,999: $25 x town population.

Cities or towns with a population of less than 200 will have their distribution sent to their county.

Cities with a population under 200: $75.34 x city population.

Organized towns with a population under 200: $25 x town population.

Prior to distributing the aid, local governments must certify their intent to follow federal guidelines for the use of funds received. The CARES Act requires that payments may only be used to cover costs that are necessary expenditures incurred due to the public health emergency, were not accounted for in the budget most recently approved for the state or local government, and were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020.

The Department of Revenue will distribute funds on a rolling basis.

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