All articles tagged with #american rescue plan act
Southern Research in Birmingham is developing a health platform that could expedite medical diagnoses by over a decade, potentially boosting the state's economy. The initiative is supported by $20 million in ARPA funds to expand biomedical research.
Connecticut Governor Ned Lamont announced that the state will be the first to cancel medical debt for all eligible residents, using $6.5 million in American Rescue Plan Act funds to erase approximately $1 billion in medical debt. The relief program aims to help those whose household income is up to 400% of the federal poverty line or whose medical debt equates to 5% or more of their annual income, and will not have any associated tax burden. This initiative is intended to provide financial and emotional relief to individuals burdened by medical debt and stimulate the local economy, with several cities also implementing similar plans.
Connecticut plans to cancel around $650 million in medical debt for an estimated 250,000 residents, making it the first state to provide this type of relief. The effort aims to alleviate the financial burden on residents who have medical debt equal to 5% or more of their annual income or fall within 400% of the federal poverty line. The state will leverage $6.5 million in Covid-19 funds from the 2021 American Rescue Plan Act to eliminate the debt, and it joins other governments in working with nonprofits to address the issue of medical debt, which has become a significant financial concern for many Americans.
Connecticut Governor Ned Lamont announced the cancellation of $1 billion in medical debt for around 250,000 eligible residents using funds from the American Rescue Plan Act. The program, effective from Feb. 1, 2024, targets residents with household incomes up to 400% of the federal poverty line or medical debt amounting to 5% or more of their annual income. Eligible residents will have their medical debts automatically cleared by a contracted nonprofit organization, with notifications expected to be sent out by the end of 2024.
Connecticut will become the first state to cancel approximately $1 billion in medical debt for eligible residents by leveraging $6.5 million in American Rescue Plan Act funds. The program will automatically wipe medical debts clear for residents whose household income is up to 400% of the federal poverty line or whose medical debt equates to 5% or more of their annual income. This initiative aims to alleviate the burden of medical debt, which is the leading source of collections debt for Americans, and is part of a broader trend of using federal funds to provide medical debt relief across the country.
The expiration of pandemic emergency relief funds from the American Rescue Plan Act (ARPA) on September 30 could lead to the closure of up to 70,000 child care centers and the loss of child care for as many as 3.2 million children. The funding had helped stabilize the child care industry by increasing pay for workers and keeping costs lower for parents. Without the funding, experts warn that parents may have to cut back on work or pay higher fees for child care, highlighting the need for increased federal support in the child care sector.
While federal student loan forgiveness under the American Rescue Plan Act (ARPA) is exempt from federal taxes, some states, including Indiana, Mississippi, North Carolina, and Wisconsin, plan to tax the amount of federal student loan forgiveness. Arkansas is still deciding whether to impose taxes on debt cancellation. Borrowers in these states should prepare for potential taxes and consult with a tax advisor. The forgiven amount will be counted as income, and the tax owed will depend on the individual's tax bracket. Certain loan forgiveness programs, such as Public Service Loan Forgiveness and Borrower Defense to Repayment Discharge, may be exempt from state taxes. ARPA's exemption from federal taxes on student loan cancellation expires at the end of 2025, potentially leading to the resumption of federal and state taxes on loan forgiveness unless exemptions are extended or tax laws change.
Connecticut's free school meals program will be expanded for the 2023-2024 academic year, with all students in non-Community Eligibility Provision schools participating in the federal School Breakfast Program able to receive breakfast meals at no cost, and students eligible for reduced-price meals in non-CEP schools participating in the federal National School Lunch Program able to receive lunch at no cost. The state will invest $16 million from the American Rescue Plan Act into the program, benefiting an estimated 177,243 eligible students for breakfast and 13,197 eligible students for lunch. The initiative aims to ensure that students have access to nutritious meals, fostering learning and academic success.