States Still Struggling to Use Federal Covid Relief Funds

While Congress wrestles with another round of Covid-19 relief, states are still figuring out how they can spend the last pot of money they received months ago.

States have allocated 75% of federal funding received through the CARES Act that was signed nearly five months ago, according to a survey from the National Association of State Budget Officers. But based on their latest reports to Treasury, the average state has only spent just 18% of the money.

While states continue to parse out how they’re allowed to use funding—and whether scheduling spending before the end of the year qualifies as ...