Bradley partner Bruce Ely was quoted in Bloomberg Law discussing the growing number of states that are challenging the federal government over restrictions on their use of COVID-19 relief funds.
States may receive final details soon on how they can and can’t spend the $350 billion the federal government is sending to them under the latest pandemic relief law. However, favorable Treasury Department final regulations may not sway states or judges one way or another when it comes to the 13 states suing the department over a provision in the American Rescue Plan Act that prevents them from using the funds to offset revenue lost from tax cuts.
Ely suggested that each lawsuit has become more about state sovereignty than about how states can spend the funds. He also “sees a strong parallel” to recently filed state challenges against the Biden administration over COVID-19 vaccination mandates.
“These lawsuits have morphed into something bigger,” Ely said.
The complete article, “Covid-19 Aid Rules Unlikely to Sway State Suits, Attorneys Say,” appeared in Bloomberg Law on November 12, 2021.