Following Rep. Zeldin’s Request, Federal Reserve Board Expands Access to Municipal Liquidity Facility, Suffolk County Now Qualifies
PATCHOGUE, NY - Today, Congressman Lee Zeldin (R, NY-1), member of the bipartisan White House Opening Up America Again Congressional Group, bipartisan Congressional Coronavirus Task Force, and House Financial Services Committee, announced the Federal Reserve Board expanded access to the Municipal Liquidity Facility following Rep. Zeldin’s urging.
The Municipal Liquidity Facility helps states and localities deal with budgetary stresses caused by the ongoing outbreak of coronavirus, by allowing the federal government to purchase up to $500 billion in short-term notes for these localities. This injection of $500 billion allows states and localities to continue to finance the delivery of essential services for their residents despite current budgetary shortfalls.
Previously, a county must have had at least two million residents to qualify for the Municipal Liquidity Facility. With Suffolk County’s population currently at an estimated 1.48 million, Congressman Zeldin urged the federal government to lower the threshold and expand access to the Municipal Liquidity Facility so Suffolk County could receive the financing assistance it desperately needs.
Last Thursday evening, Congressman Zeldin set up a phone call that he hosted with Secretary of the Treasury Steven Mnuchin and Suffolk County Executive Steve Bellone in order to make the urgent plea directly. Congressman Zeldin and County Executive Bellone both reported that the phone call was very productive and positive.
This afternoon, the Federal Reserve Board decided to lower the threshold to a 500,000 population minimum for counties, allowing Suffolk County to qualify.
“Suffolk County is one of the hardest hit areas in the country, and is in desperate need of financing assistance in its continued battle against coronavirus,” said Congressman Lee Zeldin. “Working together with County Executive Bellone to get this over the finish line is a critical victory for Suffolk County, and, most importantly, its hardworking taxpayers. I thank Secretary Mnuchin and Chairman Powell for their swift assistance in this matter, and look forward to continuing to deliver for Long Islanders.”