In summary, local government can use ARPA funds to: Improvements to community outdoor spaces is an allowable expense when meeting certain criteria. The American Rescue Plan Act of 2021, also called the COVID-19 Stimulus Package or American Rescue Plan, is a $1.9 trillion economic stimulus bill passed by the 117th United States Congress and signed into law by President Joe Biden on March 11, 2021.The intent of the legislation is to speed up the United States' recovery from the economic and health effects of the COVID-19 pandemic and the . How Can My Department Justify ARPA Funds for Technology? American Rescue Plan Act Funding. Finance officers are best positioned to help ensure the long-term value of investments and financial stability of its government using this one-time infusion of resources. Some types of spending that may not be eligible for CARES Act funding may be valid under ARPA. TheU.S. Department of the Treasury(Treasury) Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) FinalRule. Reg. Ann Arbor, MI 48108, 800 N. Magnolia Avenue Successful project applications will identify how the project addresses the identified need or impact. Public Works, Transportation and Public Utilities, The latest iteration of the FAQ was issued on July 14, Environmental Protection Agencys clean water state revolving fund, Jackie Lavender Bird, Senior Legislative Analyst, Neros Law training deadline extended by a year, MMA urges Legislature to extend remote meeting authorizations. To enable the best possible assistance to individuals,households, small businesses,andindustries, the Actgives government flexibilityfor how tobestuse ARPA funds. These tools can accelerate aid to community members in the greatest need, and even increase the number of people able to be served through optimization. Dallas, TX 75231, 1600 Broadway 48% of all car trips are less than three miles in length, with about twenty percent being shorter than one mile (source: Heavy traffic and lack of separated paths or trails were the most frequently identified barriers to bicycling more (source: Greenhouse gas (GHG) emissions from transportation are the single largest source of greenhouse gases in the U.S., accounting for about 29% of total GHG emissions (source: In a typical community, 20- 40% of residents cannot, should not, or prefer not to drive for most trips, and so benefit from multimodal planning that responds to those demands (source: In areas where over 20 percent of households are below the federal poverty line, the pedestrian death rate is more than 80 percent higher than the U.S. average (source: Funds are being released in two stages for states, cities and counties: half of the funds were made available in May 2021, with the second half to be released in May 2022. This funding increases the CCDF mandatory and matching appropriations level by $633 million, the first increase in CCDF mandatory and matching appropriations since 2006. The park itself features space for outdoor recreation, including playfields, fishing, boating, pedal . WGIs Lisa Nisenson highlights some ways that Complete Street and trail projects may potentially qualify for funding. But a final version of those regulations is still forthcoming. Nothing in the legislation forbids spending on multi-year contracts. Tallahassee, FL 32309, 3111 W. Dr. MLK Jr. Blvd. Learn how Rock Solid solutions have helped local governments across North America improve citizen engagement. As of May 20, 2021, the Treasury claimsto havedistributedover 30% of American Rescue Plan fundingto state and local governments. Port St. Lucie, FL 34986, 5640 Dillard Drive maintenance or pay-go funded building of infrastructure, including roads; modernization of cybersecurity, including hardware, software, and protection of critical infrastructure; the provision of police, fire, and other public safety services. As stated in the Department of the (see below), interest earned on ARPA funds are not subject to the requirements of the Interim Final Rule. ARPA emphasizes the pandemics disproportionate impacts on low-income communities, people of color, and Tribal communities in two areas: (1) higher rates of infection and illness, and (2) higher impacts where COVID exacerbated structural inequities and underinvestment. Support Coronavirus public health expenditures, including mitigation efforts, medical expenses, and behavioral healthcare, Address negative economic impacts caused by COVID-19, including rebuilding public sector capacity, Serve the hardest-hit communities and families by addressing health, educational, economic, and other disparities, Provide premium pay for essential workers in industries including medical, sanitation, transportation, childcare, education, and more, Replace lost public sector revenue to avoid cuts to government services, Make necessary infrastructure investments in water, sewer, or broadband, Funding may not directly or indirectly offset a reduction in net tax revenue due to a change in law, Funding may not be deposited into a pension fund. The influx of funds will undoubtedly benefit state and local finances, and aid in the recovery from the budgetary, economic, and financial impacts of the pandemic. The U.S. Department of the Treasury continues to release answers to new frequently asked questions regarding the expenditure of Coronavirus State and Local Fiscal Recovery Funds under the American Rescue Plan Act. Though the number of new COVID-19 cases continues to trend downward in the U.S., the CDC still reports. Reg. A recipient funding street paving in response to a specific pandemic public health need or a specific negative economic impact should (1) describe the harm or need to be addressed; (2) explain why a capital expenditure is appropriate to address the harm or need; and (3) compare the proposed capital expenditure against alternative capital expenditures that could be made.[2] If the capital expenditure exceeds $1 million, written justification explaining how the capital expenditure meets these standards is required. According to. On May 10, 2021, the U.S. Department of the Treasury releaseddetails onhow local government can use ARPA funding. Showingyou already have a plan in place helps! On October 1, 2021 the City Administrator sent a . Update: On January 6, 2022, the U.S. Department of the Treasury issued the Final Rule, which governs the eligible uses of Coronavirus State and Local Fiscal Recovery Funds ("SLFRF") under the American Rescue Plan Act ("ARPA").The Final Rule makes several key changes to the Interim Final Rule, including expanding the eligible uses of CSLFRF and easing the administrative burden for some . Simplify managing agendas, meetings, and committees with a single, end-to-end solution to optimize and digitize your legislative management process. Funding jobs programs is also a defined eligible expense. ARPA provided approximately $350 billion of new funding to tribal governments, states, territories, and local governments, $14 billion of which was estimated to be received by Pennsylvania and its municipalities. Algoma did receive CARES Act funds last year, he said. For example, the legislation requires each jurisdictions executive to certify that the funds will be used for eligible purposes. Eligible projects must be designed to address an identified economic harm resulting from or exacerbated by COVID. Any budget shortfalls that led to the reduction of staff or projects can be covered. Unit #14 The ARPA defines four broad use categories for the State and Local Fiscal . Treasury considers an investment in infrastructure to be necessary if it is (1) responsive to an identified need to achieve or maintain an adequate minimum level of service, which for some eligible project categories may include a reasonable projection of increased need, whether due to population growth or otherwise and (2) a cost-effective means for meeting that need, taking into account available alternatives DWSRF and CWSRF eligible projects continue to be presumed to be necessary investments under the final rule, with the exception of projects for the rehabilitation of dams and reservoirs. Further, funds can be used for road repairs and upgrades that occur in connection with an eligible water or sewer project. Project Description:What are you doing, andhow would a tech solution enable your org to address these pain points? The American Rescue Plan Act specifically calls for its funds to be used to support the public health and economic impacts of these communities. On May 21, 2021, the U.S. Department of Revenue issued an interim final rule (referred to as interim rule hereafter) establishing funding criteria. Municipalities under 50,000 in population (non-entitlement units) . Rating agencies will evaluate a governments use of the ARPA funds in formulating its credit opinion and, importantly, will consider your governments level of reserves and structural budget balance, or efforts to return to structural balance, as part of their credit analysis. If technology can support outreach, applications, placement, or other relevant services, it is likely valid for ARPA funding. Supporting Services to the Hardest-Hit Communities and Families, Across the country, the pandemic has impacted low-income andvulnerable communities. Along with thefunding guidelines, allocation methodologies and amountsfor cities, counties, territories, and states were released on May 10, 2021. 349 municipalities in Massachusetts are currently members of the MMA. It was a response to the COVID-19 . Initial federal ARPA funding to the states and their political subdivisions was estimated to begin as early as May. However, she said Caldwell told her that the Roads Division budget can take care of that purchase without ARPA funds. Revenue replacement 31 CFR 35 at 266, available at: https://home.treasury.gov/system/files/136/SLFRF-Final-Rule.pdf. Youve been searching for a place like WGI. This removes the need to prove that the pandemic was the specific or only cause of cancelled initiatives. Ineligible uses of ARPA funds Adler said he agrees that the Township Hall needs to be renovated to meet the current needs. As entities assemble ideas for using ARPA funds for Complete Streets and trails, the following points are important: . Funds used for the following ineligible purposes must be repaid to the Treasury: The American Rescue Plan provides$350 billionin emergency funding for state, local, territorial, and Tribal governments to remedy themismatch between rising costs and falling revenues. 30, 2021); Environmental Protection Agency, Clean Water State Revolving Fund, https://www.epa.gov/cwsrf (last visited Apr. TheU.S. Department of the Treasury(Treasury) Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) FinalRule directly states: In the final rule, Treasury is maintaining the approach under the interim final rule that general infrastructure projects, including roads, streets, and surface transportation infrastructure, would generally not be eligible, unless the project responded to a specific pandemic public health need or a specific negative economic impact.[1]. Elected leaders will need to decide how to best use the additional funding consistent with the ARPA requirements, which are very broad. Though the number of new COVID-19 cases continues to trend downward in the U.S., the CDC still reportsover 15,000 caseseach week (as ofJune 4, 2021). "While we can weather it for this year and use ARPA funds, that's at the cost of not doing something else with those ARPA funds", said County Administrator David Berry. Its already laid out--just fill in the blanks with your project information! The local funding portion is approximately $130 billion, equally divided between cities and counties. The State of Kentucky and the Department of the Treasury can decide how revenues are used locally in accordance with the law. Care should be taken to avoid creating new programs or add-ons to existing programs that require an ongoing financial commitment. The ARPA Local Fiscal Recovery Program is a State pathway to infuse Federal funds into Maine towns and cities to support a variety of their economic recovery priorities, such as investing in water, sewer, and broadband infrastructure or addressing the public health impacts of COVID-19, including replacing lost public sector revenue, providing . Take Time and Careful Consideration. Please see our July 20, 2021 blog post for additional details. As local government agencies contemplate how to best use this funding, its important to bring any organizational needs to the forefront for consideration. ARPA money can't be used to decrease taxes or delay an expected tax increase. Numerous DOT funding opportunities provide flexibility in cost sharing requirements for rural, Tribal, and disadvantaged communities. The Treasury Department, the federal agency responsible for administering the program, issued initial guidance its Interim Final Rule in early May. The city was the first applicant for the county's ARPA funds, submitting a $1 million grant to fund a UV wastewater disinfection system at the treatment plant. 2. Following Federal Rules Sign up to receive emails to hear our latest news and achievements in our monthly newsletter. Whats the Difference Between CARES and ARPA? Apply for American Rescue Plan funds to help your department purchase new radios/communication equipment. Here are some key ways metropolitan cities and NEUs are allocating their SLFRF dollars for infrastructure projects: Public Space: Williamsburg, Virginia allocated $900,000 of the city's ARPA funds to enhance a playground at Waller Mill Park. If the wastewater system or water treatment plant is the sole user of the clean energy, the full cost would be considered an eligible use of funds. Fort Lauderdale, FL 33309, 6310 Techster Blvd., Denver, CO 80202, 3230 W. Commercial Blvd. Called the Coronavirus State and Local Government Fiscal Recovery Funds (FRFs), this part of the ARP provides $350 billion to state, county, local governments, and tribal lands across the country in two tranches over two years. Using the money for federal matching funds , requiring a short amount of paperwork that explains your project and its relevant costs. The American Rescue Plan Act (ARPA) allocated $350 billion in Coronavirus State and Local Fiscal Recovery Funds (Fiscal Recovery Funds) to help states, counties, cities, and tribal governments respond to the COVID-19 public health emergency, address its economic fallout, and lay the foundation for an equitable recovery. Administering the program, issued initial guidance its Interim final Rule in early May and. The park itself features space can arpa funds be used for roads outdoor recreation, including playfields, fishing, boating, pedal,... 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