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Kane County set to approve $93 million COVID-19 spending plan

More than three months after receiving $93 million in emergency COVID-19 relief funds from the federal government, Kane County has a tentative plan to spend the bulk of the money.

A county board committee tasked with developing a plan agreed to a framework this week. It still needs final approval from the full county board next week.

The county would keep about $44 million for its own COVID-19 expenses. Most of that would go to payroll for county employees with work substantially dedicated to COVID-19 response. An $8 million chunk of the county share would also fund a contact-tracing program and personal protective equipment supplies to last through the end of the year.

The next largest segment, about $36 million, would go to local municipalities. Cities and villages are at work on compiling their eligible COVID-19 costs in anticipation of applying for reimbursement from the county's federal emergency allotment. County officials have not yet developed the application. But officials did earmark $600,000 for administrative costs.

That money would help cover the hiring of a staff member in the state's attorney's office to process the applications. The county also hired Kerber, Eck and Braeckel, a Springfield-based accounting firm, to help document and evaluate the county's use of the funds. The firm will be paid about $295,000 out of the pool of federal dollars.

The plan also includes $8 million for local business grants. However, officials have not yet determined the size of the grants or what businesses would be eligible to receive them. Board members have expressed a preference for small businesses with less than $2.5 million in annual gross sales as the target group for the money.

Finally, the plan sets aside a $5 million contingency. That money could pool with any other residual funds to pay for expenses not covered in the original plan. Federal rules require the county to spend every penny before the end of the year.

The committee earmarked some specific expenses out of those larger pools. Those include $1.35 million for the 22 fire districts and departments in the county. It also includes $1 million that will go to park districts, townships and the Kane County Forest Preserve District. County board members also serve as forest preserve commissioners.

State's Attorney Joe McMahon said it could be another two weeks before application forms are ready for those entities to access the funds. That will allow the consultant and administrative employee time to get familiar with the federal guidelines, put intergovernmental agreements in place with the municipal recipients and accommodate changes in the final version of the spending framework the full board approves. That final approval could come as soon as next Tuesday.

One of the main obstacles to final approval of the framework in its present form could be county board Chairman Chris Lauzen. Lauzen has peppered the committee overseeing the funds with questions and concerns about potential changes to the federal guidelines for spending the funds. The committee has largely shunned Lauzen during the current process, fearing any further delay in getting money into the hands of those who need it.

"The fact is (other counties) went through this process in a more deliberate fashion," said committee chairman John Hoscheit. "We are scrambling to get our act together."

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