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US Rep. Richard Neal, Mayor John Vieau welcome American Rescue Plan impact in Chicopee

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CHICOPEE — U.S. Rep. Richard E. Neal visited Chicopee City Hall Friday, discussing the $55 million the city expects to get from the American Rescue Plan passed in Washington in March, the lingering impact of COVID-19 and the Biden administration’s $2.3 trillion infrastructure plan.

The $1.9 trillion American Rescue Plan includes $29.9 million for the city, and the Chicopee Public Schools will receive $24.6 million, Neal’s office said.

Massachusetts will receive $5.3 billion in state fiscal relief and $2.6 billion in local fiscal relief. Cities and towns across Neal’s district will receive $241 million of that.

Neal has already done announcements in Holyoke, which expects $32 million, and Springfield, which expects between $97.5 million and $127.3 million.

Chicopee Mayor John Vieau didn’t go into specifics Friday about how the money can be used, except to say the city will look at infrastructure projects and at ways to help small businesses.

Neal, D-Springfield, said the money is an opportunity to think long-term or to tackle projects that have had to wait while more immediate priorities were addressed.

“This will give Mayor Vieau and his staff and the elected officials here in the city of Chicopee a chance to talk about some real legacy issues that you wouldn’t ordinarily talk about because you are always piecing and stitching together,” Neal said.

As chairman of the powerful House Ways and Means Committee, Neal was responsible for about $1 trillion of the $1.9 trillion bill.

Neal said he expects to handle the first phase of President Joe Biden’s $2.3 trillion infrastructure plan by July 4. His committee will be charged with paying for it.

Biden has proposed raising the corporate tax to 28%. Republicans are taking 25%. The rate in the now is 21%.

Neal said he doesn’t like to talk about revenue early because the opposition can mobilize. But he talked about child tax credits approved under the American Rescue Plan. Starting in July, parents will start receiving checks of about $300 for children under 6 and about $250 a month for children 6 to 17.

“Economists agree that the American Rescue Plan’s targeted, evidence-based action was needed — both for struggling families and for the American economy,” Neal said. “The legislation’s provisions will generate $1.25 for every $1 of spending, will cut child poverty in half and will lift nearly 12 million people out of poverty.”

“I am immensely proud of the aggressive course of action the Ways and Means Committee contributed to this package including putting money directly into Americans’ pockets, and helping them better afford childcare and health coverage,” Neal said. “This is a big deal for our country and it’s a big deal for cities like Chicopee who will have the opportunity to use this funding to make bold improvements that will benefit the city and its residents for years to come.”

Neal said the country has lost 8.3 million jobs during the pandemic, and 4 million have stopped looking for work.

“Until we defeat the virus, it’s hard to see how we get back to full economic recovery,” he said.

Friday was Neal’s first visit to the restored Chicopee City Hall Auditorium. The $14.2 million renovation project is substantially complete, although contractors continued their work during Neal’s event.

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