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Resolution RS2020-496

A resolution requesting the Director of Finance to take the appropriate action to recoup all funds appropriated in the Fiscal Year 2020-2021 Metropolitan Government Operating Budget to the Metropolitan Hospital Authority that were also covered by federal CARES Act and other COVID-19-related funding sources.

WHEREAS, on June 15, 2020, the Metropolitan Hospital Authority received $9.4 million in federal CARES Act dollars through the U.S. Department of Health and Human Services (HHS) to address COVID-19 related expenses and net revenue losses associated with the COVID-19 pandemic; and

WHEREAS, the guidance from HHS regarding the use of CARES Act funds allocated for health care providers indicates that the funds can be used to cover lost revenue so that providers can respond to the coronavirus public health emergency by maintaining healthcare delivery capacity, such as using Provider Relief Fund payments to cover:

• Employee or contractor payroll
• Employee health insurance
• Rent or mortgage payments
• Equipment lease payments
• Electronic health record licensing fees; and

WHEREAS, the Metropolitan Council was not made aware of this HHS CARES Act funding until after the Fiscal Year 2020-2021 Operating Budget Ordinance (Substitute Ordinance No. BL2020-286, as amended), which included a subsidy for the Hospital Authority in the amount of $43,112,100, was approved by the Council on June 16, 2020; and

WHEREAS, the enactment of Substitute Ordinance No. BL2020-286, as amended, necessitated an increase in the ad valorem property tax levy in the amount of $1.066 per $100 of assessed value, an increase in excess of 34% over the Fiscal Year 2019-2020 tax levy; and

WHEREAS, as part of its responsibility as a steward of taxpayer dollars, the Metropolitan Council should ensure that all CARES Act and other COVID-19 relief funding is put to use to the greatest extent possible to relieve the burden on the taxpayers during a time when so many of our residents are out of work.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:

Section 1. The Council of Metropolitan Nashville and Davidson County hereby requests the Metropolitan Director of Finance to take the appropriate action to recoup all funds appropriated in the Fiscal Year 2020-2021 Metropolitan Government Operating Budget to the Metropolitan Hospital Authority that were also covered by federal CARES Act and other COVID-19-related funding sources.

Section 2. The Metropolitan Council further goes on record as expressing its intent that any such funds recouped from the Hospital Authority be allocated to the Mayor’s Office of Economic and Community Development for the creation of anti-gentrification and economic opportunity pilot programs and initiatives.

Section 3. This Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsor(s)

Jonathan Hall

Legislative History

Referred toBudget and Finance Committee
Health, Hospitals, and Social Services Committee

IntroducedAugust 18, 2020

Deferred to September 1, 2020August 18, 2020

Substitute adoptedSeptember 1, 2020

Requests for ADA accommodation should be directed to the Metropolitan Clerk at 615-862-6770.

Last Modified: 09/04/2020 1:53 PM