Agenda - Council - 09/13/2022 - Laserfiche WebLink

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Tribal governments to continue to provide valuable services and ensures that fiscal austerity measures do not hamper the broader economic recovery. State and local government budgets experienced stress in fiscal year 2020 as delayed tax filings and pandemic -related business closures caused revenues to decline sharply.271 Twenty- two state governments took actions to close budget gaps in fiscal year 2020272 and nearly 80 percent of cities reported being less able to meet the fiscal needs of their communities relative to fiscal year 2019.273 Surveys of Tribal governments and Tribal enterprises conducted in 2020 found majorities of respondents reporting substantial cost increases and revenue decreases, with Tribal governments reporting reductions in health care, housing, social services, and economic development activities as a result of reduced revenues.274 The economic recovery, aided by the broad distribution of COVID-19 vaccines and the deployment of federal stimulus, has led to a strong rebound in total state and local government revenue and is contributing to a brighter fiscal outlook for most jurisdictions as compared to the earlier months of the public health emergency. For the fiscal year ending June 30, 2021, total state and local government tax revenues increased 21 percent relative to the same period in 2020, reflecting the combined impact of the modified tax filing deadline in 2020 and an improving economy.275 However, despite a stable budget situation overall, many governments face 271 In the second quarter of 2020, quarterly state and local tax revenues as reported by the U.S. Census Bureau fell 19 percent compared to the second quarter of 2019; U.S. Census Bureau, Quarterly Summary of State and Local Tax Revenue, https://www.census.gov/programs-surveys/gtax.html. 272 National Association of State Budget Officers, Fiscal Survey of the States (Fall 2020), available at https://higherlogicdownload.s3.amazonaws.com/NASBO/9d2d2db 1-c943-4flb-b750- 0fca152d64c2/UploadedImages/Fiscal%20Survey/NASBO_Fall_2020_Fiscal_Survey_of States_S.pdf 273 National League of Cities, City Fiscal Conditions (2020), available at https://www.nlc.org/wp- content/uploads/2020/08/City_Fiscal Conditions_2020 FINAL.pdf 274 Surveys conducted by the Center for Indian Country Development at the Federal Reserve Bank of Minneapolis in March, April, and September 2020. Elijah Moreno & Heather Sobrepena, Tribal entities remain resilient as COVID- 19 batters their finances, Federal Reserve Bank of Minneapolis (Nov. 10, 2020), https://www.minneapolisfed.org/article/2020/tribal-entities-remain-resilient-as-covid-l9-batters-their-finances. 275 Analysis of Quarterly Summary of State and Local Tax Revenue, U.S. Census Bureau, supra note 255 234