The $1.9 trillion federal aid bill currently moving through Congress could send $3.9 billion to Nevada, fulfilling longtime pleas from Gov. Steve Sisolak and Carson City leadership for federal help in managing the economic crisis.

Under the so-called American Rescue Plan championed by President Joe Biden, the state would receive around $2.97 billion while local governments would receive around $950 million. The plan could change, though, as it passes through the House of Representatives and U.S. Senate.

It would be the first direct money to state and local governments since Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act in March, although the current plan would have much more flexible funding.

“The money is not limited to only COVID-related expenses. It can be used to cover lost revenue due to the impact of the downturn in the economy, and that provides a level of flexibility,” Democratic Rep. Steven Horsford said.

Democratic Rep. Dina Titus drew attention to $3 billion in further funding allocated under the plan to the Economic Development Administration that recently moved through her Subcommittee on Economic Development, Public Buildings, and Emergency Management. Of that $3 billion, $450 million would be set aside for communities that suffered from a loss of revenue due to travel and tourism impacts.

This money would be distributed through grants and could bring significantly more money to Las Vegas and other Nevada municipalities dependent on tourism as an economic driver.

Unlike the CARES Act, the new plan would also take unemployment into account when doling out money to state and local governments rather than just focusing on population. Though Nevada has a population of a little over 3 million, its unemployment rate in December 2020 was still 9.2%

“We worked really hard on this,” Titus said. “If you base it just on population, Nevada’s not going to get very much, but if you add in unemployment rates, we end up getting $1 billion more than we would under the old formula.”

Horsford said further action will help state lawmakers fill holes in the state budget caused by business shutdowns due to the ongoing pandemic. Sisolak’s proposed budget is a 2% decrease from the previous biennium.

“What we’re doing in Congress over the next few weeks is then going to determine what our governor and Legislature are then able to do with the state budget,” Horsford said, stressing that he and other members of the delegation have been in contact with state lawmakers.

Congress will begin looking at recovery options, Horsford said, as the pandemic hopefully begins to wane during the vaccine rollout.

“This is a rescue, this is not recovery,” Horsford said. “The recovery bill will come later, after we crush this virus and help stabilize our families and workers through the provisions of this bill.”