SPONSORED:

On The Money: Cash-strapped cities hammered by COVID-19 beg for federal help | Trump signs bill imposing sanctions on China over Hong Kong | White House campaign advocates new 'pathways' to jobs amid pandemic

On The Money: Cash-strapped cities hammered by COVID-19 beg for federal help | Trump signs bill imposing sanctions on China over Hong Kong | White House campaign advocates new 'pathways' to jobs amid pandemic
© getty

Happy Tuesday and welcome back to On The Money. I’m Sylvan Lane, and here’s your nightly guide to everything affecting your bills, bank account and bottom line.

See something I missed? Let me know at slane@thehill.com or tweet me @SylvanLane. And if you like your newsletter, you can subscribe to it here: http://bit.ly/1NxxW2N.

Write us with tips, suggestions and news: slane@thehill.com, njagoda@thehill.com and nelis@thehill.com. Follow us on Twitter: @SylvanLane, @NJagoda and @NivElis.

ADVERTISEMENT

THE BIG DEAL—Cash-strapped cities hammered by COVID-19 beg for federal help: City and county governments across the country face the looming prospect of major budget holes as they confront both massive expenses combatting the coronavirus and sharp declines in revenue caused by lost jobs and tumbling consumer confidence.

Estimates vary, but experts analyzing local government budgets expect the cumulative revenue losses to total in the hundreds of billions of dollars. And if transmission of the virus continues at its new and torrid pace, the cliff could become even steeper.

City officials and budget experts say the federal government must step up to fill the gaps or states will face a catastrophe.

  • “We're going to face significant decreases in revenues over the next two to three years,” said James Mueller (D), the mayor of South Bend, Ind. “We're starting to have some direction on the budget for 2021 and beyond. The big wildcard is will Congress step up and help cities and states fill the hole.”
  • “We're still waiting for the federal government to provide some level of financial support,” said Bryan Barnett (R), the mayor of Rochester Hills, Mich. “I know when a government needs help, and my local government needs help, it needs support. It needs something that I can't provide it, which is additional funds.”

The Hill’s Reid Wilson explains here. 

 

ADVERTISEMENT

LEADING THE DAY

Trump signs bill imposing sanctions on China over Hong Kong: President TrumpDonald John TrumpBiden adds to vote margin over Trump after Milwaukee County recount Krebs says allegations of foreign interference in 2020 election 'farcical'  Republicans ready to become deficit hawks again under a President Biden MORE said Tuesday that he has signed legislation that would impose mandatory sanctions on businesses and individuals that assist China in restricting Hong Kong’s autonomy.

Trump also said that he signed an executive order declaring the United States would treat Hong Kong the same as mainland China. The president said he took the actions to “hold China accountable for its oppressive actions against the people of Hong Kong.”

  • The legislation mandates sanctions on entities that violate China’s obligations to Hong Kong and also sanctions banks doing business with those entities. 
  • The text of the executive order described by Trump has not been released by the White House. Trump said in May that he had directed his administration to begin rolling back policy exemptions offering Hong Kong a special status.
  • Trump said that Hong Kong would no longer be granted special privileges or special economic treatment and that the U.S. would restrict its access to exports of sensitive technologies.

 The Hill’s Morgan Chalfant explains here.

 

White House campaign advocates new 'pathways' to jobs amid pandemic: A White House campaign released Tuesday is advocating for new “pathways” to jobs as the coronavirus pandemic has left many Americans out of work.

The Hill’s Justine Coleman has more here.

 

GOOD TO KNOW