Kane County officials debate as they're pressed to pass on federal relief funds

As local businesses and governments battle the effects of both COVID-19 and anti-racism protests, Kane County officials control $92.9 million in federal relief funds that could help - if they can agree on how to spend it.

County board members called this week for greater speed in getting the money to those who need it most.

"There are people right now trying to decide whether to shut down their businesses forever or try to make it through this," said county board member and small business owner Drew Frasz. "If we give them something in October, there's not going to be anyone there to give it to."

To date, the county has not spent a dime of the money. Officials have been mired in trying to navigate guidelines from the U.S. Treasury Department that have already seen two sets of revisions in the month since the county received the cash.

There have also been internal disagreements between the board and board Chairman Chris Lauzen about the lack of any county board members or other local representatives on a task force Lauzen created to oversee the funds.

Lauzen and auditor Terry Hunt have expressed concerns about promised federal audits of how the money is spent. They said if the county, or any other group they allocate money to from the $92.9 million pool, spends the money improperly, the county will be liable for paying it back. The county can allocate money to other local governments, but it is not required to.

"We can (spend) it quick, and then we find that the rules dramatically changed," Lauzen said. "When you're making money, you do it fast. You do it with lightning speed. When you're spending money, you measure twice, cut once."

The county just completed measuring its own needs. Officials estimate $6.45 million in losses thanks to the virus outbreak. Not filling vacant positions because of the overall drop in work being done netted $2.77 million in savings through mid-May.

That will be a partial offset. County officials will likely cover as much of the county's own needs as possible with the money before dishing out the rest to other local governments, businesses or nonprofit organizations.

Those groups are getting increasingly impatient with the county's pace. Board members said they've received multiple calls and letters from groups urging the county to release the money.

There's an additional time element. Any federal relief funds unspent by the end of the year must be returned.

"We're running out of time here," said county board member John Martin. "The process we are discussing here, I see months of meetings. The needs that exist, exist now. This is never going to be a perfect process. We need to have a mechanism for distribution that gets it done. The municipalities in our districts are all contacting us to see what's happening here."

Board members urged the task force to broaden its representation, have weekly meetings and get local groups to document their needs and submit them to the county.

Suggestions on the table so far range from allocating the money to communities by population to earmarking funds for extraordinary needs and having municipalities decide what, if any, local businesses should get money.