Brookfield Could See $3.9 Million In Federal Stimulus Funds

BROOKFIELD, WI — The City of Brookfield could receive an estimated $3.9 million in federal stimulus funds from the American Rescue Plan.

How the funds will be used is still to be determined, since they would have to come from the state first and be pending before the Finance Committee and the Common Council, city finance director Robert Scott said. He said that guidelines from the federal government on how to use the stimulus funds are broad as well.

The recovery process seems uncertain after hotels and restaurants were hit the hardest by the pandemic last year. Scott said that hotel occupancy fell to under 20 percent at one point and that the city lost revenue without hotel taxes.

"There was CARES Act money that was paid last year, but it wasn't specifically to backfill the revenue losses," Scott said. "We didn't get anywhere near where our revenue losses were, which were close to $3 million."

Even with the federal funds, the revenue deficit will still continue while the hotel industry is dormant. While the seven day average of COVID-19 cases falls and health regulations start to loosen, people will still have to decide whether they will travel to businesses or continue to work from home.

"Our hotels have been resilient as they can be given the circumstances, they just need people to travel and feel comfortable traveling," Scott said.

The Coronavirus State and Local Recovery Funds was established by the American Rescue Plan Act of 2021. According to a breakdown released last week, Milwaukee County will receive $183 million and the City of Milwaukee will receive $394 million.

The U.S. Treasury has shared some details on how funds can possibly be used:

• Support public health response by funding COVID-19 mitigation efforts, covering medical expenses and for public health and safety staff
• Replace public sector revenue loss to ensure the continuity of vital government services by filling budget gaps
• Address negative economic impacts by delivering assistance to workers and families through support to unemployed workers, rehiring staff and giving aid to households.
• Offering premium pay for essential workers both directly and through grants to third-party employers. This would also be used to help low- and moderate-income employees who face disproportional health risks and compensation.
• Improvements to water and sewer infrastructure, such as building or upgrading facilities and distribution systems.