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CARES Act Money Becomes Latest Sticking Point In Contentious Special Session

MINNEAPOLIS (WCCO) -- The special session continues as the Minnesota legislature works to cover every major issue still very much undecided. Before this morning, WCCO's Esme Murphy reported the biggest hang-ups seemed to be on reaching agreement over police reforms and a bonding bill.

But on Wednesday, what was expected to be a brief debate dragged into a three-hour discussion revealing major divisions in yet another area: how the state should allocate $841 million in federal Coronavirus Aid, Relief, and Economic Security (CARES) Act money to reimburse local governments for their expenses on COVID-19.

The CARES Act funding sailed through the Minnesota Senate, with Democratic votes joining the Republican majority, 62-4. But that was not the case in the DFL-controlled Minnesota House. And so now a House committee will look at how this money is going to be allocated.

Republicans accuse House Democrats of a last-minute amendment adding Gov. Tim Walz's supplemental budget to the bill, whereas House Democrats have said it's worth it to have discussion in committee to determine whether the bill is fair.

"Local units of government across the state badly need help rebuilding from a COVID outbreak that the governor predicted would be dire, and legislators from both parties worked hard to come up with a plan to get them assistance as fast as possible," Sen. Julie Rosen (R-Vernon Center) said.

One problem point is that Republicans have said they are leaving the State Capitol on Friday, and that would end the special session. Democrats say that's an arbitrary deadline of their own making. However, the bottom line is if they go home, this is over.

It's not clear how agreements can be reached on any of these major pieces of legislation.

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