Editorial: Put CARES Act money to work

There are times to ponder a long while before spending government money; some might say that would be most times, under ordinary circumstances.

This is not one of those times. Thousands of people have been thrown out of work due to the economic shutdown that was ordered in March in order to avoid the spread of COVID-19, the infection that has become a global plague.

There are hefty federal funds allocated to the state, and this is the time residents are calling on the governor to deliver a spending blueprint. Help must be provided now to address Hawaii’s most pressing needs.

Congress passed the federal CARES Act to provide money to states offsetting the costs incurred due to the pandemic. In turn, the state Legislature passed Senate Bill 126 detailing programs for spending down the $635 million in federal funds.

But at the end of July, Gov. David Ige used his line-item veto power to strike off large chunks of the money from the legislative spending bill.

A sizable portion, $230 million, was a $100 supplement to unemployment insurance added on to the standard weekly benefit of $648. Lawmakers passed this anticipating the end of a separate federal supplement program that had added $600 to the benefit each week, a sum that helped families cover rent and pumped money into a flagging consumer economy.

The end of what’s called the federal “plus-up” has added to the anxieties of the jobless, including those who are also contending with eviction notices and other looming expenses.

At first Ige said that he wanted to better gauge what help might be coming from Congress before moving great sums from the CARES stockpile to pay bills. However, it’s entirely unclear when another tranche of aid might arrive, if ever.

A standoff on Capitol Hill over further federal aid led President Donald Trump to sign a series of executive orders, including one allotting $45 billion in disaster relief money for a new unemployment plus-up, which will run through December.

States would receive funds to provide each claimant with a $300 weekly supplement. These funds would require a $100 weekly match from the participating state, yielding a new $400 plus-up each week.

More than a dozen states have been approved for the program, with more applications in the queue. Hawaii is not one of them.

In answer to a query on Thursday, the governor said he had hesitated to initiate an application because “we want to make sure the money is actually coming.” Ige added that he’s concerned about tapping disaster relief funds for unemployment purposes, and he’s also seeking answers about liability for the payments.

“Once we initiate and start to award benefits, and if they cut off the funds, the question we would have to ask is: Who would be responsible to make the payments once the program starts?” Ige said.

At this point, however, it’s very hard to ignore the people for whom $400 extra each month would be a big help. If a $100 per weekly benefit is the only amount the state can guarantee, it’s better than nothing. The governor should restore those funds, at a minimum, and apply for the $300 in addition.

Many other things on the state’s wish list deserve attention:

>> Contact tracing. On this issue, Hawaii U.S. Rep. Tulsi Gabbard last week joined with California Rep. Anna Eshoo, who chairs the House Energy and Commerce Committee’s Subcommittee on Health. They issued a demand on Wednesday for information about how $50 million in federal funds set aside for contact tracing and testing have been used in Hawaii.

The governor responded by unveiling a new contact tracing center, with health officials outlining plans for expanding staffing for this mission. But those outlines need to be filled in; a complete accounting of funds and timetable for an expanded operation, needs to be made.

>> Public education. The second week of school starts on Monday with distance learning, with campus communities possibly moving toward mix of in-person and online interactions a few weeks downstream. Part of that adaptation will require personal protective equipment and separation screens; many schools could use help with that, as well as with enhanced sanitation protocols.

Surely there also are equipment needs for schools to give online access to teaching environments for kids who otherwise can’t afford it. A detailed spending plan could include all of the above.

>> Health care providers. State officials must take stock of critical needs for PPE to equip front-line workers, as well as creating a more robust testing program, especially in vulnerable settings such as nursing homes. When the tourism economy slowly reboots, these components must be in place.

There are myriad other problems to be resolved, and the spending authority for the CARES funds runs out at the end of this year. A comprehensive rescue plan for deploying Hawaii’s share of the money is due. These millions of dollars must start moving out the door to those in need — immediately.