|
unit of local government of 50% of the total amount allocated to the non -entitlement unit.2 Not earlier than 12
<br />months from the date upon which the State makes the initial disbursement, the Secretary is expected to
<br />release the Second Tranche amount to the State. The State will—within 30 days of receiving payment from
<br />the Secretary, or within such other time period as may be permitted by the Secretary—make a second
<br />disbursement to the non -entitlement unit of local government.
<br />b. Recipients may use payments for any expenses eligible under ARPA Coronavirus State and Local Fiscal
<br />Recovery Funds. Payments are not required to be used as the source of funding of last resort.
<br />c. ARPA requires that Fiscal Recovery Funds may only be used to cover expenses incurred by the non -
<br />entitlement unit of local government by December 31, 20243, such as:
<br />i. to respond to the public health emergency with respect to COVID-19 or its negative economic impacts,
<br />including assistance to households, small businesses, and nonprofits, or aid to impacted industries
<br />such as tourism, travel, and hospitality;
<br />ii. to respond to workers performing essential work during the COVID-19 public health emergency by
<br />providing premium pay to eligible workers of the non -entitlement unit of local government that are
<br />performing such essential work, or by providing grants to eligible employers that have eligible workers
<br />who perform essential work;
<br />iii. for the provision of government services to the extent of the reduction in revenue of such non -
<br />entitlement unit of local government due to the COVID-19 public health emergency relative to
<br />revenues collected in the most recent full fiscal year of the non -entitlement unit of local government;
<br />or
<br />iv. to make necessary investments in water, sewer, or broadband infrastructure.
<br />d. As specified in the Treasury Guidance, Eligible Use of Fiscal Recovery Funds falls under four categories,
<br />including (1) Public Health and Economic Impacts, (2) Premium Pay for Essential Workers, (3) Revenue Loss,
<br />and (4) Investments in Infrastructure.
<br />i. Public Health and Economic Impacts: Examples of eligible uses of Fiscal Recovery Funds under this
<br />category include, but are not limited to:
<br />1. COVID-19 Mitigation and Prevention expenses, such as vaccination programs, medical care,
<br />testing, personal protective equipment (PPE), and ventilation improvements;4
<br />2. Medical expenses, including both current expenses and future medical services for
<br />individuals experiencing prolonged symptoms and health complications from COVID-19;5
<br />3. Payroll expenses for public safety, public health, health care, human services, and other
<br />similar employees, to the extent that their services are devoted to mitigating or responding to
<br />COVI D-19;6
<br />4. Efforts to remedy the economic impact of the COVID-19 public health emergency on
<br />households, individuals, businesses, and state, local, and tribal governments;? and
<br />5. Efforts to remedy pre-existing economic disparities which were exacerbated by the COVID-
<br />19 public health emergency.$
<br />ii. Premium Pay: Fiscal Recovery Funds may also be used to provide premium pay to essential workers,
<br />per Treasury Guidance's definition of "essential work."9 Examples of essential workers include, but
<br />are not limited to:
<br />1. Staff at nursing homes, hospitals, and home care settings;
<br />2. Workers at farms, food production facilities, grocery stores, and restaurants;
<br />3. Janitors, truck drivers, transit staff, and warehouse workers
<br />4. Public health and safety staff;
<br />5. Childcare workers, educators, and other school staff; and
<br />2 "First Tranche Amount," American Rescue Plan Act of 2021, H.R. s. 601(b)(7) "Timing"
<br />3 https://home.treasury.gov/system/files/136/Coronavirus-Relief-Fund-Guidance-for-State-Territorial-Local-and-Tribal-
<br />Governments.pdf
<br />4 See Federal Register, pg. 26790.
<br />51d.
<br />6 Id. at. 26791
<br />Id at 26791-26797
<br />8 Id.
<br />9 Id. at 26797
<br />2
<br />
|