WASHINGTON — President Joe Biden is asking states and cities to use federal rescue funds to provide $100 payments to individuals who get vaccinated against the COVID-19 virus as an incentive for them to get the shot.
The Treasury Department announced the move Thursday after releasing new rules allowing state and local governments to use their share of $350 billion in direct aid from Biden's American Rescue Plan on incentivizing vaccines.
"Today, the president is calling on state, territorial, and local governments to provide $100 payments for every newly vaccinated American, as an extra incentive to boost vaccination rates, protect communities and save lives," the department said.
In remarks from the White House East Room, Biden said the incentive payments could encourage more Americans to get the COVID-19 shots – a move he said would prevent unnecessary deaths.
"I know that paying people who get vaccinated might sound unfair to folks who got vaccinated already," he said. "But here's the deal. If incentives help us beat this virus, I believe we should use them. We all benefit if we can get more people vaccinated."
The $100 incentive payments are among a number of steps that Biden announced to boost plateauing vaccination rates of Americans as COVID-19 cases are on the rise again because of the delta variant.
Biden said federal employees and contract workers will be required to show they are fully vaccinated or be forced to undergo COVID tests once or twice a week, wear face masks on the job and socially distance from other employees and visitors.
Biden also directed the Defense Department to review adding the COVID-19 vaccine to the list of required vaccinations for members of the military. The administration said that is particularly important because troops serve in places throughout the world where vaccination rates are low and disease is prevalent.
In addition, small- and medium-sized businesses will be reimbursed for giving their employees paid leave so that their children and other family members can get the vaccine shots. Biden also called on school districts to host at least one vaccination clinic in the coming weeks and directed pharmacies to work with schools to set up such clinics.
Directly addressing the issue of COVID misinformation and vaccine hesitancy, Biden stressed that the vaccines have been thoroughly tested and are safe and effective.
"If, in fact, you're unvaccinated, you present a problem to yourself, to your family and to those with whom we work," he said.
Acknowledging that in some areas vaccines and face masks have been political issues, Biden applauded Republicans such as Alabama Gov. Kay Ivey and Senate Minority Leader Mitch McConnell, R-Ky., who have urged unvaccinated Americans to get the shots.
“This is not about red states and blue states," he said. "It’s literally about life and death.”
Several states have offered financial prizes to encourage citizens to get vaccinated, and on Wednesday, New York Gov. Andrew Cuomo kicked off a $100 incentive for New Yorkers similar to Biden's plan.
The White House pointed to $100 vaccination incentives offered by the Kroger grocery store chain as proof the carrot approach works. Kroger saw its vaccination rates jump from 50% to 75% after it offered its payments, according to the White House. The White House also said $100 incentive programs in New Mexico, Ohio and Colorado have encouraged more people in those state to get vaccinated.
In May, the Treasury Department sent cities and states their first infusion of direct aid from the American Rescue Plan – approved by Congress in March – that was intended to replenish revenue shortfalls experienced during the pandemic. But several states and cities have been slow to appropriate their funds.
Eligible uses include coronavirus mitigation and medical expenses, boosting small businesses, paying public workers, replacing lost tax revenue and water infrastructure.
Joey Garrison and Michael Collins cover the White House. Reach Garrison on Twitter @joeygarrison and Collins @mcollinsNEWS.
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