Abstract

Aid to state, local, territorial, and Tribal governments will help turn the tide on the pandemic, address its economic fallout, and lay the foundation for a strong and equitable recovery.
—US Department of Treasury Fact Sheet, May 10, 2021
With the passage of the $1.9 trillion American Rescue Plan Act of 2021 (ARPA), federal agencies will provide $350 billion in emergency funding directly to eligible state, local, territorial and tribal governments. The Nowak Metro Financial Lab at Drexel University issued the report American Rescue Plan: Federal Investment Guide 1 , which describes how ARPA funds flow from 19 different agencies through 84 programs touching more than 15 different policy areas. If the jarring events of 2020 taught us anything, it is that state and local governments play a significant role in resolving our most pressing challenges. This was a reminder that ultimately almost all problems manifest themselves at a local level. ARPA funding represents only the latest in a stream of federal funds that has flowed to local governments to address various issues that resulted from, or were amplified by, the events of the past year and a half. If leveraged appropriately, this latest influx of money from multiple sources could be transformative in communities across the country, addressing some of our most vexing problems. However, to maximize these funds and see this transformative impact, local governments must think and act differently.
As several recent articles in State and Local Government Review have pointed out (Bowman et al. 2020; Benton, Rissler and Wagner 2020), the full impact of COVID-19 on local governments is still yet to be seen, and likely will take years to come to realization. However, the recent flow of federal money, beginning with the Coronavirus Aid, Relief and Economic Security (CARES) Act of 2020, along with the resourceful actions taken by public organizations (such as cutting 1.2 million local government jobs 2 ), provided a backstop to allow local governments to survive the potential financial crisis. Now, is the time to take steps to use this newest funding as an opportunity to not only emerge from the crisis, but to develop creative, community-driven, regional solutions to the really sticky issues that have heretofore been too big for local governments to address alone.
The objectives for the ARPA Coronavirus State and Local Fiscal Recovery Funds are to: 1) support urgent COVID-19 response efforts; 2) Replace lost public sector revenue; 3) Support immediate economic stabilization and 4) Address systemic public health and economic challenges. Although the funds allow for flexibility in spending by the local jurisdictions, there is a strong focus on supporting individuals and communities that have been hardest hit by the pandemic within the categories of eligible use. These categories are:
Supporting Public Health Expenditures
Addressing negative economic impacts caused by the public health emergency
Replacing lost public sector revenue
Providing premium pay for essential workers and
Investing in water, sewer, and broadband infrastructure 3
The challenges ARPA has been designed to address do not fall neatly within jurisdictional lines. They are complex, long-term, interconnected problems with deep social and cultural roots – wicked problems. These issues will not be solved with status quo thinking and traditional processes, systems or models. As O’Neill has pointed out, the issues that matter most will require “multi-sector, multijurisdictional and multi-disciplinary strategies” (2016, 1). To address the problems at hand, agencies must start thinking and acting regionally. “Local governments can no longer afford to operate independently” (O’Neill 2016, 1).
We have already seen some areas, such as Miami-Dade, Florida and Hampton Roads, Virginia, begin to think and act regionally as they address challenges stemming issues such as climate change and economic development. In 2019 Miami-Dade county and the cities of Miami and Miami Beach released the Resilient305 4 strategy - “a living document that addresses resilience challenges prioritized through intergovernmental and community collaboration.” 5 To date they have 24 “action partners” and 29 municipalities that have signed on to support the action items developed in the plan. According to their annual report, this partnership has resulted in approximately $852 million in additional funding towards resiliency efforts such as beach renourishment, affordable housing and stormwater management. The Hampton Roads area has worked collectively on both environmental and economic resiliency. Hampton and Newport, VA have been working together since 2015 to become leaders in coastal resiliency. Through their participation in a workshop with the Dutch Dialogues they have developed a shared understanding of the problems they are facing and potential solutions to the impacts of sea level rise. Additionally, this area has both a regional planning district commission and a regional economic development alliance that design and implement plans for the 11 local governments in the area. The results of this regional coordination has been the development of the 757 Recovery and Resilience Framework 6 with the goal of economic empowerment and growth for all. These two regions have realized the significance of working across boundaries, pulling resources and identifying shared goals in resolving complex challenges.
The amount of planning and capital that will be necessary in the future for local governments to be resilient in the face of rising sea levels, pandemics, economic downturns, etc. is far more than one city or county can afford to take on alone. Solutions to frequent flooding, rising tides, housing shortages, unemployment spikes and skyrocketing growth (to name a few) are complicated and costly. In addition, projects, developments and zoning regulations in one community can have negative impacts on another. Miami-Dade and Hampton Roads are demonstrating that much more can be accomplished when local governments work together to pool resources and think strategically about the really big problems facing them all.
The challenges that ARPA is pushing state, local and tribal governments to address require regional cooperation and a tremendous amount of resources. These are issues such as poverty; ensuring access to water and sewage; public health preparedness; homelessness and housing affordability; and closing the digital divide. We have no hope for finding solutions to any of these unless our governments can work collaboratively in their planning and spending efforts and take the time to develop an understanding of all of the potential resources available to them.
For example, I have been working this past year with multiple partners in the Charleston, SC tri-county area to expand access to broadband. Federal funding is coming to the state, three counties, four school districts and a handful of cities in this region on this issue. Private and non-profit organizations are also committed to spending funds to close the digital divide. However, no one is clear on the total amount of federal money coming to the region or how much is needed to ensure digital equity. Each entity is developing their own plan and determining how their funds will be spent without any idea how the other jurisdictions will be spending their money. What if all of these resources were identified and pooled and one comprehensive plan were developed that could identify the full cost of ensuring every resident in the tri-county area had access to high-speed internet at home? Once the scope of the problem, the cost of addressing it and the amount of funding designated to address it is understood, then leadership could grasp how much more is needed and identify from where it could come. This would help the region advocate for additional resources from the state and private and nonprofit partners to fill the gap in closing the digital divide. We are challenging our local leaders to think regionally on this issue as a first step.
Anyone who has worked with local governments knows this is easier said than done. Local elected officials are often extremely hesitant to work beyond their own jurisdictions. Even with nonpartisan elections, the political makeup of neighboring cities and counties can be extremely different resulting in conflicting goals and priorities. Additionally, local elections generally do not incentivize nor reward long-term, bigger picture thinking. Rarely do we see polticial platforms that promise to resolve issues impacting future generations or residents outside a candidate’s jurisdiction. This in turn makes it challenging for appointed staff to work on problems beyond the boundaries of their community – when they already have so many fires to put out and so little time to focus on the day-to-day problems that are more easily resolved. Neighboring cities or counties can seem more like competitors (and often are) than allies. However, strategic regional thinking is the only way our local governments are going to ensure their communities remain livable and accessible to all. In order to do this, local leadership will have to be willing to trust each other, set aside divisive politics, take some risks and share credit – all difficult things to do, particularly for elected officials. I am hopeful that with the promise of potential ARPA funding more areas will see this as an opportunity to try something different and make some regional investments to collaboratively address these problems that no single community can afford to address on their own.
Throughout the country our institutions of higher education are excellent sources of support for facilitating regional conversations. Most states have at least one public service institute or research center affiliated with a public or private college or university. The majority of these institutes are committed to state and local government research and practice and have the expertise and capacity to assist public leaders in engagement, strategic planning, evaluation and visioning. As the director of one of these institutes at the College of Charleston, I have regularly engaged with my colleagues throughout the country to discuss what our role is in assisting our cities, townships, parishes, counties, and states with the implementation of the ARPA funds, COVID-19 recovery, and resiliency planning. Amongst this group there is tremendous interest in and passion for serving our communities as they move in the direction of collectively impacting our residents.
One of the most rewarding aspects of my job is working with local governments across my state. Just as everywhere else, we have outstanding public servants in our local governments who work incredibly hard, are innovative and are on the front lines of serving people. They
Footnotes
Declaration of Conflicting Interests
The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.
Funding
The author(s) received no financial support for the research, authorship and/or publication of this article.
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