Kentucky Needs Significantly More Federal Aid to Address the Severe Health and Economic Harms of COVID-19
Thanks to Liles Taylor and Jeff Wiggins for sending us this.
By JASON BAILEY
Executive director, Kentucky Center for Economic Policy
States are nearing shortfalls that could be the largest on record – totaling over $500 billion in just over a fiscal year
While federal policymakers have begun providing fiscal relief to state and local governments to combat the COVID-19 pandemic, Kentucky and other states need much more in order to avoid spending cuts that would harm families, destabilize communities and deepen the recession, according to a new report from the Center on Budget and Policy Priorities. In the coming months, Kentucky’s revenues are expected to plummet – all while health and other costs related to the virus soar.
“As Kentucky has taken necessary and appropriate actions to protect public health, we’ve seen huge losses of jobs and the closing of businesses all across the state. Our ability to combat the virus and guard against further economic harm is in jeopardy as state revenues plummet and containment of COVID-19 leads to a spike in public costs,” said Jason Bailey of the Kentucky Center for Economic Policy. “Without much larger federal financial assistance, Kentucky will be forced to make dramatic budget cuts that will hurt communities and slow an eventual economic recovery.”