Mount Prospect expects $6.5 million in federal coronavirus relief

Mount Prospect stands to receive $6.55 million through the federal coronavirus relief package known as the American Rescue Plan, Finance Director Amit Thakkar told the village board this week.

The plan, signed into law March 11, provides $65.1 billion for counties and $45.57 billion for cities across the country.

The village expects to receive half the funding by May 10 and the rest one year later. It must use the money by Dec. 31, 2024, to assist households, small businesses, nonprofits and others impacted negatively by the pandemic, provide premium pay for essential employees, or invest in water, sewer or broadband infrastructure.

It cannot be used to cover lost revenues from tax cuts or to make up for pension shortfalls.

Thakkar said the village lost about $5.4 million in expected revenues during the pandemic.

The village's the community development, human services, and public works departments, as well as the village manager's and finance offices, are working on a plan for how to use the funding and will return to the village board with a proposal, he added.

"Until we get (more) federal guidance, I think it's difficult to make a firm commitment," said Mayor Arlene Juracek. "But at least we know the broad categories that they are thinking about,"

Trustee William Grossi said that with infrastructure a permitted use, the village should consider dedicating some of its funding to improvements at Aspen Trails Park and sewer and water projects.

Juracek noted that not all segments of the economy were equally impacted by COVID-19.

"I think we probably would be interested in looking at the various sectors of our retail and service economy or manufacturing economy in the village," she said. "So I don't want anybody to leave here thinking that, 'Oh, gee, all $6 million is going to go into building Aspen Trails Park.' I think it's worthy of a broader discussion."