Deadline approaching for Dallas City Council to spend CARES Act funding

Some Dallas council members were surprised to learn that the city apparently allocated more federal money for rental assistance than it could use in time.

DALLAS - Six months after Dallas received more than $243 million in federal CARES Act funding, about 60% of the money has not yet been spent. The deadline to spend it is now fast approaching.

The Dallas City Council voted on Tuesday to extend the amount of rental assistance available to six months.

But even with that adjustment, the city's CFO said not all of the funds will be able to be utilized on rent assistance before the deadline of Dec. 30.

“Looking at eviction assistance and we have determined we are not able to provide all of the eviction services before Dec. 30,” explained Dallas City Manager T.C. Broadnax.

Some Dallas council members were surprised to learn that the city apparently allocated more federal money for rental assistance than it could use in time. The city has not yet answered questions about the percentage of applicants who qualified for assistance.

“If we don't use the money, we have to return it to the treasury,” said Dallas CFO Elizabeth Reich.

Reich told the council she does not intend to return any of the $243 million Dallas received from the federal government for COVID-19 relief. So she supported a proposal by Dallas City Councilwoman Cara Mendlesohn that would put $1 million of the CARES Act dollars to nonprofits who go through an application process.

“I'm confident if we can get the money out the door to nonprofits, it will be well used,” Reich said.

Some council members questioned how the CARES Act money has already been spent. It turns out the answer to that question can be found on the city's financial transparency page.

Of the $234 million received six months ago, $141 million is left or about 60 percent. And there are only 11 weeks to go.

“We are moving quickly and nimbly because we have a short time frame to make sure we have expended it all,” Reich said.

The city council approved the proposal unanimously, meaning non-profits that meet certain requirements and provide social services will be able to apply for up to $30,000 in operational expenses.

“These nonprofits are doing our most important work. Feeding, housing, mental health services and even taking care of our pets. We have to do all we can to ensure they survive,” Mendlesohn said.

The Dallas City Council also approved using $2 million in CARES Act funding for installing wireless internet solutions on 10 residential blocks with limited access to the internet.