HomeMy WebLinkAboutResolutions - 2021.05.26 - 34532MISCELLANEOUS RESOLUTION #21212 May 26, 2021
BY: Commissioner Gwen Markham, Chairperson, Finance Committee
IN RE: BOARD OF COMMISSIONERS — ACCEPTANCE OF THE AMERICAN RESCUE PLAN ACT OF
2021 FUNDING FROM THE UNITED STATES FEDERAL GOVERNMENT
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS the American Rescue Plan (ARP) Act of 2021 provides a total of $350.0 billion in Coronavirus
State and Local Recovery Funds to help eligible state, local, territorial, and tribal governments meet their
present pandemic response needs and build the foundation for a strong recovery; and
WHEREAS Congress has allocated funding to tens of thousands of jurisdictions and the share allocated to
Oakland County is $244,270,949; and
WHEREAS the United States Department of Treasury will distribute funding to Oakland County in two
tranches with 50% provided in May 2021 and the balance of funding to be delivered 12 months later (2022);
and
WHEREAS the American Rescue Plan established the following high-level categories for authorized use
of State and Local Fiscal Recovery Funds:
Supporting public health expenditures
• Address negative economic impacts caused by the public health emergency
• Replace lost public sector revenue
• Provide premium pay for essential workers
• Invest in water, sewer, and broadband infrastructure, and
WHEREAS the United States Department of Treasury's Interim Final Rule provides guidelines and
principles for determining the types of programs and services that the ARP federal funding supports; and
WHEREAS Oakland County will work collaboratively with community stakeholders to develop a strategic
framework for the expenditure of ARP funds. This plan will balance the need to address the public health
emergency and negative economic impacts related to the pandemic as well as the opportunity to make
lasting long-term, transformational investments that hold promise to reduce historic disparities and leverage
opportunities for outsize impact; and
WHEREAS the period of performance for this federal funding is to cover eligible costs incurred during the
period that begins March 3, 2021 and ends on December 31, 2024; and
WHEREAS the American Rescue Plan Act of 2021 Coronavirus Local Fiscal Recovery Funds has been
reviewed by the County Executive, Fiscal Services, the Department of Management and Budget and
Corporation Counsel.
NOW THEREFORE BE IT RESOLVED the Oakland County Board of Commissioners approves the
acceptance of Oakland County's share of the Local Fiscal Recovery Funds in the American Rescue Plan
Act of 2021 in the amount of $244,270,949.
BE IT FURTHER RESOLVED that the $244,270,949 Oakland County receives from the American Rescue
Plan Act of 2021 is to be receipted in a separate Special Revenue Fund (#21285 titled ARP -Local Fiscal
Recovery Fund) with 50% to be received in 2021 and the remainder in 2022.
BE IT FURTHER RESOLVED that the Board of Commissioners authorizes the execution of the American
Rescue Plan Coronavirus Local Fiscal Recovery Fund document as required to receive the federal funds
of $244,270,949.
BE IT FURTHER RESOLVED that subsequent separate resolutions are required in order to authorize the
appropriation of the American Rescue Plan Act of 2021 federal funds.
BE IT FURTHER RESOLVED that there is no budget amendment at this time.
Chairperson, on behalf of the Finance Committee, I move th adoption of the foregoing resolution.
Gwen Markham, District #9
Chairperson, Finance Committee
FINANCE COMMITTEE VOTE:
Motion carried unanimously on a roll call vote
GRANT/FUNDING REVIEW SIGN -OFF — County Executive
GRANT NAME: American Rescue Plan - Coronavirus Local Fiscal Recovery Fund
FUNDING AGENCY: U.S. Department of Treasury
DEPARTMENT CONTACT PERSON: Sean Carlson / (248) 858-1650
STATUS: Acceptance (Greater than $10,000)
DATE: 05/21 /21
Please be advised the captioned grant materials have completed internal grant review. Below are the returned
comments.
The Board of Commissioners' liaison committee resolution and grant acceptance package (which should
include this sign -off and the grant agreement/contract with related documentation) may be requested to be
placed on the agenda(s) of the appropriate Board of Commissioners' committee(s) for grant acceptance by
Board resolution.
DEPARTMENT REVIEW
Management and Budget:
Approved by M & B. - No appropriation of funds/no budget amendment required at this time —Lynn Sonkiss
(05/18/21)
Human Resources:
Approved by Human Resources. No HR action needed, unless positions will be created from the funds
—Heather Mason (05/17/21)
Risk Management:
Application approved by Risk Management. —Robert Erlenbeck (05/17/21)
Corporation Counsel:
This grant is reviewed and approved by Corporation Counsel. No legal issues with the grant agreement itself,
other than making sure we slay in compliance with all of its conditions. —Pete Menna (05/21/21)
OMB Approved No.:1505-0271
Expiration Date: 11/30/2021
Recipient name and address:
Oakland County
2100 Pontiac Lake Road
Waterford, Michigan 48328
U.S. DEPARTMENT OF THETREASURY
CORONAVIRUS LOCAL FISCAL RECOVERY FUND
DUNS Number: 136200362
Taxpayer Identification Number: 386004976
Assistance Listing Number and Title: 24.019
Sections 602(b) and 603(b) of the Social Security Act (the Act) as added by section 9901 of the American Rescue Plan Act, Pub, L.
No. 117-2 (March 11, 2021) authorize the Department of the Treasury (Treasury) to snake payments to certain recipients from the
Coronavirus Slate Fiscal Recovery Fund and the Coronavirus Local Fiscal Recovery Fund.
Recipient hereby agrees, as a condition to receiving such payment from Treasury, to the terms attached hereto.
Recipient:
Authorized Representative:
Title:
Date signed:
U.S. Department of the Treasury:
Authorized Representative:
Title:
Date signed:
PAPERWORK REDUCTION ACT NOTICE
The information collected will be used for the U.S, Government to process requests for support. The estimated burden associated
with this collection of intbmation is 15 minutes per response. Comments concerning the accuracy of this burden estimate and
suggestions for reducing this burden should be directed to the Office of Privacy, Transparency and Records, Department of the
Treasury, 1500 Pennsylvania Ave., N.W., Washington, D.C. 20220. DO NOT send the Ibrm to this address. An agency may not
conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid control number
assigned by OMB.
U.S. DEPARTMENT OF THE TREASURY
CORONAVIRUS LOCAL FISCAL RECOVERY FUND
AWARD TERMS AND CONDITIONS
1. I he of Funds
a. Recipient understands and agrees that the funds disbursed under this award may only be used in compliance with
section 603(c) of the Social Security Act (the Act), Treasury's regulations implementing that section, and guidance
issued by Treasury regarding the foregoing.
b. Recipient will determine prior to engaging in any project using this assistance that it has the institutional,
managerial. and financial capability to ensure proper planning, management, and completion of such project.
2. Period of Perfunuance The period of performance for this award begins on the date hereof and ends on December 31,
2026. As set I-orth in Treasury's implementing regulations, Recipient may use award funds to cover eligible costs incurred
during the period that begins on March 3, 2021, and ends on December 3 L 2024.
3. Renortine Recipient agrees to comply with any reporting obligations established by Treasury as they relate to this award.
q. Maintenmine of and Access to Records
a. Recipient shall maintain records and financial documents sufficient to evidence compliance with section 603(c) of
the Act. Treasury's regulations implementing that section, and guidance issued by Treasury regarding the foregoing.
b. The Treasury Office of Inspector General and the Government Accountability Office, or their authorized
representatives, shall have the right of access to records (electronic and otherwise) of Recipient in order to conduct
audits or other investigations.
c. Records shall be maintained by Recipient for a period of five (5) years after all funds have been expended or
returned to Treasury, whichever is later.
5, Pre-ammrl Costs_ Pre -award costs. as defined in 2 C.F.R. § 200A58, may not be paid with funding from this award.
6. Administrative Costs Recipient may use funds provided under this award to cover both direct and indirect costs.
7. Cost Sharing, Cost sharing or matching funds are not required to be provided by Recipient.
8. Conflicts of Interest Recipient understands and agrees it roust maintain a conflict of interest policy consistent with 2 CX R.
§ 200.318(c) and that such conflict of interest policy is applicable to each activity funded under this award. Recipient and
subieeipients must disclose in writing to Treasury or the pass -through entity, as appropriate, any potential conflict of
interest al7ecting the awarded funds in accordance with 2 C.F.R. § 200.112.
9. Cornplinnee with Annlicable Law and Regulations
a. Recipient agrees to comply with the requirements of section 602 of the Act, regulations adopted by Treasury
pursuant to section 602(f) of the Act, and guidance issued by Treasury regarding the foregoing. Recipient also
agrees to comply with all other applicable federal statutes, regulations, and executive orders, and Recipient shall
provide for such compliance by other parties in any agreements it enters into with other parties relating to this
award.
b. Federal regulations applicable to this award include, without limitation, the following:
i. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2
C.P.R. Part 200, other than such provisions as Treasury may determine are inapplicable to this Award and
subject to such exceptions as may be otherwise provided by Treasury. Subpart F — Audit Requirements of
the Uniform Guidance, implementing the Single Audit Act, shall apply to this award.
ii. Universal Identifier and System for Award Management (SAM), 2 C.F.R. Part 25, pursuant to which the
award term set forth in Appendix A to 2 C.F.R, Part 25 is hereby incorporated by reference.
iii. Reporting Subaward and Executive Compensation Infornmation, 2 C.F.R. Pat 170, pursuant to which the
award term set forth in Appendix A to 2 CF'.R. Part 170 is hereby incorporated by reference.
iv. OMB Guidelines to Agencies on Govermmenhvide Debarment and Suspension (Nonprocurement), 2 C.P.R.
Part 180, including the requirement to include a term or condition in all lower tier covered transactions
(contracts and subcontracts described in 2 C.F.R. Part 180, subpart B) that the award is subject to 2 C.F.R.
Part 180 and'Ireasury's implementing regulation at 31 C.P.R. Part 19.
v. Recipient Integrity and Performance Matters, pursuant to which the award term set forth in 2 CY R, Part
200, Appendix XIl to Part 200 is hereby incorporated by reference.
vi. Governmentwide Requirements for Drug -Free Workplace, 31 CY R, Part 20.
vii. New Restrictions on Lobbying, 31 C.F.R. Part 21.
viii. Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (42 U.S,C. §§ 4601-4655) and
implementing regulations.
is. Generally applicable federal environmental laws and regulations.
c. Statutes and regulations prohibiting discrimination applicable to this award include, without limitation, the
following:
i. Title Vl of the Civil Rights Act of 1964 (42 U.S.C. §§ 2000d et seq.) and Treasury's implementing
regulations at 31 C.F.R. fart 22, which prohibit discrimination on the basis of race, color, or national origin
under programs or activities receiving federal financial assistance:
ii. The Fair Housing Act, 'Title VH1 of the Civil Rights Act of 1968 (42 U.S.C. §§ 3601 et seq.), which
prohibits discrimination in housing on the basis of race, color, religion, national origin, sex, familial status,
or disability:
iii. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794), which prohibits discrimination
on the basis of disability under any program or activity receiving federal financial assistance;
iv. The Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101 et seq.), and Treasury's implementing
regulations at 31 C.F.R. Part 23, which prohibit discrimination on the basis of age in programs or activities
receiving federal financial assistance; and
v. Title 11 of the Americans with Disabilities Act off 990, as amended (42 U.S.C. §§ 12101 et seq.), which
prohibits discrimination on the basis of disability under programs, activities, and services provided or made
available by state and local governments or instrumentalities or agencies thereto.
10. liemedinl Actions. In the event of Recipient's noncompliance with section 602 of the Act, other applicable laws, Treasury's
implementing regulations, guidance, or any reporting or other program requirements, Treasury may impose additional
conditions on the receipt of a subsequent tranche of future award funds, if any, or take other available remedies as set forth
in 2 C.F.R. § 200.339. 1n the case of a violation of section 602fe) of the Act regarding the use of funds, previous payments
shall be subject to recoupment as provided in section 602(e) of the Act and any additional payments may be subject to
withholding as provided in sections 602( b)(6)(A)(ii)(111) of the Act, as applicable.
11. Hatch Act Recipient agrees to comply, as applicable, with requirements of the Hatch Act (5 U.S.C. §§ 1501-1509 and
7324-7328), which limit certain political activities of State or local government employees whose principal employment is
in connection with an activity financed in whole or in part by this (ederal assistance.
12, I''Alee Souements Recipient undecitands that making false statements or claims in connection with this award is a violation
of federal law and may result in criminal, civil, or administrative sanctions, including tines, imprisonment, civil damages
and penalties, debarment from participating in federal awards or contracts, and/or any other remedy available by law.
13. Publications.Any publications produced with funds from this award must display the following language: "This project [is
being] [was] supported, in whole or in part, by federal award number [enter project FAIN] awarded to [name of Recipient]
by the U.S. Department of the Treasury."
14. Debts Owed the Federnl Government.
a. Any funds paid to Recipient (1) in excess of the amount to which Recipient is finally determined to be authorized to
retain under the terms of this award; (2) that are determined by the Treasury Office of Inspector General to have
been misused: or (3) that are determined by Treasury to be subject to a repayment obligation pursuant to sections
602(e) and 603(b)(2)(D) of the Act and have not been repaid by Recipient shall constitute a debt to the federal
government.
b. Any debts determined to be owed the federal government trust be paid promptly by Recipient. A debt is delinquent
if it has not been paid by the date specified in Treasury's initial written demand for payment, unless other
satisfactory arrangements have been made or if the Recipient knowingly or improperly retains funds that are a debt
as defined in paragraph 14(a). Treasury will take any actions available to it to collect such a debt.
�i 41EIM1y1Jq
a. The United Slates expressly disclaims any and all responsibility or liability to Recipient or third persons for the
actions of Recipient or third persons resulting in death, bodily injury, property damages, or any other losses
resulting in any way from the performance of this award or any other losses resulting is any way from the
performance of this award or any contract, or subcontract under this award.
b. The acceptance of this award by Recipient does not in any way establish an agency relationship between the United
States and Recipient.
16. Protect ons for Wh'ctlehloveerc
a. In accordance with 41 U.S.C. § 4712, Recipient may not discharge, demote, or otherwise discriminate against an
employee in reprisal for disclosing to any of the list of persons or entities provided below, information that the
employee reasonably believes is evidence of gross mismanagement of a federal contract or grant, a gross waste of
federal funds, an abuse of authority relating to a federal contract or grant, a substantial and specific danger to public
health or safety, or a violation of law, rule, or regulation related to a federal contract (including the competition for
or negotiation of a contract) or grant.
b. The list of persons and entities referenced in the paragraph above includes the following:
i. A member of Congress or a representative of a committee of Congress:
ii, An Inspector General;
iii. The Government Accountability Office;
iv. A Treasury employee responsible for contract or grant oversight or management:
v. An authorized official of the Department of Justice or other law enforcement agency;
vi. A court or grandjury; or
vii. A management official or other employee of Recipient, contractor, or subcontractor who has the
responsibility to investigate, discover, or address misconduct.
c. Recipient shall inform its employees in writing of the rights and remedies provided under this section, in the
predominant native language of the workforce.
17. lnrreavina Sent Belt Use in the Imited States. Pursuant to Executive Order 13043. 62 PR 19217 (Apr. 18, 1997), Recipient
should encourage its contractors to adopt and enforce on-the-job seat belt policies and programs for their employees when
operating company -owned, rented or personally owned vehicles.
18. Reducing Text Meevagil g While Driving Pursuant to Executive Order 13513. 74 FR 51225 (Oct. 6, 2009), Recipient
should encourage its employees, subrecipients, and contractors to adopt and enforce policies that ban text messaging while
driving, and Recipient should establish workplace safety policies to decrease accidents caused by distracted drivers.
OMB Approved No. 1505-0271
Expiration Date: November 30, 2021
ASSURANCES OF COMPLIANCE WITH CIVIL. RIGHTS REQIIIRF.NIENTS
ASSURANCES OF COMPLIANCE WITH TITLE VI OF THE CIVIL RIGHTS ACT OF 1964
As a condition of receipt of federal financial assistance from the Department of the Treasury, the recipient named below
(hereinafter referred to as the "Recipient") provides the assurances stated herein. The federal financial assistance may include
federal grants, loans and contracts to provide assistance to the Recipient's beneficiaries, the use or rent of Federal land or properly
at below market value, Federal training, a loan of Federal personnel, subsidies, and other arrangements with the intention of
providing assistance. Federal financial assistance does not encompass contracts of guarantee or insurance, regulated programs,
licenses, procurement contracts by the Federal government at market value, or programs that provide direct benefits.
The assurances apply to all federal financial assistance from or funds made available through the Department of the Ti easmy,
including any assistance that the Recipient may request in the future.
'The Civil Rights Restoration Act of 1987 provides that the provisions of the assurances apply to all of the operations of the
Recipient's programts) and activity(ies), so long as any portion of the Recipient's programs) or activity(ies) is federally assisted in
the manner prescribed above.
1. Recipient ensures its current and future compliance with Title VI of the Civil Rights Act of 1964, as amended, which
prohibits exclusion from participation, denial of the benefits of, or subjection to discrimination under programs and
activities receiving federal financial assistance, of any person in the United States on the ground of race, color, or national
origin (42 U.S.C. § 2000d et seq.), as implemented by the Department of the Treasury Title VI regulations at 31 CPR Part
22 and other pertinent executive orders such as Executive Order 13166, directives, circulars, policies, memoranda, and/or
guidance documents.
2. Recipient acknowledges that Executive Order 13106, "Improving Access to Services for Pet sons with Limited English
Proficiency," seeks to improve access to federally assisted programs and activities for individuals who, because of national
origin, have Limited English proficiency (LEP). Recipient understands that denying a person access to its programs,
services, and activities because of LEP is a form of national origin discrimination prohibited under Title VI of the Civil
Rights Act of 1964 and the Department of the Treasury's implementing regulations. Accordingly. Recipient shall initiate
reasonable steps, or comply with the Department of the Treasury's directives, to ensure that LEP persons have meaningful
access to its programs, services, and activities. Recipient understands and agrees that meaningful access may entail
providing language assistance services, including oral interpretation and written translation where necessary, to ensure
effective communication in the Recipient's programs, services, and activities.
3. Recipient agrees to consider the need for language services for LEP persons when Recipient develops applicable budgets
and conducts programs, services, and activities. As a resource, the Department of the Treasury has published its LEP
guidance at 70 FR 6067. For more information on taking reasonable steps to provide meaningful access for LEP persons,
please visit htp://www.Iep.goN,.
4. Recipient acknowledges and agrees that compliance with the assurances constitutes a condition of cmrtinued receipt of
federal financial assistance and is binding upon Recipient and Recipient's successors, transferees, and assignees for the
period in which such assistance is provided.
5. Recipient acknowledges and agrees that it must require any sub -grantees, contractors, subcontractors, successors,
transferees, and assignees to comply with assurances 1-4 above, and agrees to incorporate the following language in every
contract or agreement subject to Title VI and its regulations between the Recipient and the Recipient's sub -grantees,
contractors, subcontractors. successors, transferees, and assignees:
The sub -grantee, contractor, subcontractor, successor, transferee, and assignee .shall canply with Title 17 of
the Civil Rights Act of 1964, whiah prohibits recipients of federal financial assistancefi om ecchtding front a
program or activity, deiiriag benefits of or otherwise discriminating against a person an the basis ofrace,
color, or nalioual origin (d 2 1 i S. C. § 2000d et se9.), as implemented by the Deparment of the Treasin y's Title
17 regulations. 31 CFR Part 23, which are herein incorporated by reference and made a part of this contract
(or agreement). Title 17 also includes protection to persons with "Limited English Proficienm" in any
program ate activity ireceiving,lederal fnmutcial assistance, 42 U.S.C. § 2000d et seq., as implemented by the
Department of the Treasarv's Title YI regulations, 31 ChR Pat 22, and herein incorporated by reference and
made apart of this contract or agreement.
6. Recipient understands and agrees that if any real property or structure is provided or improved with the aid of federal
financial assistance by the Department of the Treasury, this assurance obligates the Recipient, or in the case of a subsequent
transfer, the transferee, for the period during which the real property or structure is used for a purpose for which the federal
Financial assistance is extended or for another purpose involving the provision of similar services or benefits, If any
personal property is provided, this assurance obligates the Recipient for the period during which it retains ownership or
possession of the property.
7. Recipient shall cooperate in any enforcement or compliance review activities by the Department of the Treasury of the
aforementioned obligations. Enforcement may include investigation, arbitration, mediation, litigation, and monitoring of
any settlement agreements that may result from these actions. The Recipient shall comply with information requests, on -site
compliance reviews and reporting requirements.
8. Recipient shall maintain a complaint log and inform the Department of the Treasury of any complaints of discrimination on
the grounds of race, color, or national origin, and limited English proficiency covered by Title VI of the Civil Rights Act of
1964 and implementing regulations and provide, upon request, a list of all such reviews or proceedings based on the
complaint, pending or completed, including outcome. Recipient also must inform the Department of the Treasury if
Recipient has received no complaints under Title VI.
9. Recipient must provide documentation of an administrative agency's or court's findings of non-compliance of Title VI and
efforts to address the non-compliance, including any voluntary compliance or other agreements between the Recipient and
the administrative agency that made the finding. If the Recipient settles a case or matter alleging such discrimination, the
Recipient must provide documentation of the settlement. If Recipient has not been the subject of any court or administrative
agency finding of discrimination, please so state.
10. If the Recipient makes sub -awards to other agencies or other entities, the Recipient is responsible for ensuring that
sub -recipients also comply with Title VI and other applicable authorities covered in this document State agencies that make
sub-mvards must have in place standard grant assurances and review procedures to demonstrate that that they are effectively
monitoring the civil rights compliance of subrecipients.
The United States of America has the right to seekjudicial enforcement of the terms of this assurances document and nothing in
this document alters or limits the federal enforcement measures that the United States may take in order to address violations of
this document or applicable federal law.
Under penalty of perjury, the undersigned official(s) certifies that officiat(s) has read and understood the Recipient's obligations as
herein described, that any information submitted in conjunction with this assurances document is accurate and complete, and that
the Recipient is in compliance with the aforementioned nondiscrimination requirements,
flnkland County
Recipient
Date
Signature of Authorized Official
PAPERWORK REDUCTION ACT NOTICE
fhe information collected will be used for the U.S. Government to process requests for support. The estimated burden associated
with this collection of information is 30 minutes per response. Comments concerning the accuracy of this burden estimate and
suggestions for reducing this burden should be directed to the Office of Privacy, Transparency and Records, Department of the
Treasury, 1500 Pennsylvania Ave., N.W., Washington, D.C. 20220. DO NOT send the form to this address. An agency may not
conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid control number
assigned by OMB.
0U.S. DEPARTMENT OF THE TREASURY
The American Rescue Plan will deliver $350 billion for state, local, territorial, and
Tribal governments to respond to the COVID-19 emergency and bring back jobs.
The Coronavirus State and Local Fiscal Recovery Funds provide a
substantial infusion of resources to help turn the tide on the
pandemic, address its economic fallout, and lay the foundation for
a strong and equitable recovery.
Funding Objectives
• Support urgent COVID-19 response efforts to continue to
decrease spi earl of the virus and bring the pandemic under control
• Replace lost public sector revenue to strengthen support for vital
public services and help retain jobs
• Support immediate economic stabilization for households and
businesses
Eligible Jurisdictions & Allocations
Direct Recipients
States and District of Columbia
($195.3 billion)
Counties ($65.1 billion)
Metropolitan titres ($45.6 billion)
Tribal governments ($20.0 billion)
Territories ($4.5 billion)
Indirect Recipients
• Address systemic public health and economic challenges that Non -entitlement units ($19.5 billion)
have toms ibuted to the inequal impact of the pandemic
Support Public Health Response d%P Address Negative Economic Impacts
l/'mi`9 D Fund COVID-19 mitigation efforts, medical R Lfl Respond to economic harms to workers, families,
expenses, behavioral healthcare, and certain small businesses, impacted Industries, and the
public health and safety staff public sector
Replace Public Sector Revenue Loss
Use funds to provide government services to
the extent of the reduction in revenue
experienced due to the pandemic
Water and Sewer Infrastructure
Make necessary investmentsto improve access
to clean drinking water and invest in
wastewater and stormwater infrastructure
((1 Premium Pay for Essential Workers
Offer additional support to those who have and
will bear the greatest health risks because of their
service in critical infrastructure sectors
(I Broadband Infrastructure
Make necessary investments to pt ovide unserved
or underserved locations with new or expanded
broadband access
r—_-14 For More Information: Please visit www.treastiry.gov/SLFRP
For Media Inquiries: Please contact the U.S. Treasury Press Office at (202) 622-2960
For General Inquiries: Please email SLFRP@treasury.gov for additional information
- - U S. DEPARTMENT OF THE TREASURY
Example uses of Funds
® Support Public Health Response
Services to contain and mitigate the spread of
COVID-19, inducing, vaccination, medical expenses,
testing, contact tracing, quarantine costs, capacity
enhancements, and many related activities
Behavioral healthcare services, including mental
health or substance nnsuse treatment, crisis
intervention, and related services
Payroll and covered benefits for public health,
healthcare, human services, and public safety staff M
[tie extent that they work on the COVID-19 response
da Replace Public Sector Revenue Loss
• Ensure continuity of vital government services by
filling budget shortfalls
• Revenue loss Is calculated relative to the expected
trend, beginning with the last full fiscal year pre -
pandemic and adjusted annually for growth
• Recipients may re -calculate revenue loss at multiple
points during the program, supporting those entities
that experience revenue loss with a lag
�% Water & Sewer Infrastructure
Includes improvements to infrastructure, such as
building nr upgrading facilities and transmission,
distribution. and storage systems
• Eligible uses aligned to Environmental Protection
Agency project categories for the Clean Water State
Revolving Fund and Drinking Water State Revolving
Fund
Q Equity -Focused Services
• Additional flexibility for the hardest -hit communities
and families to address health disparities, invest in
housing, adds ess edurational disparities, and promote
healthy childhood environments
• Broadly applicable to Qualified Census Tracts, other
disproportionately imparted areas, and when
provided by Tribal governments
Z Address Negative Economic Impacts
Deliver assistance to workers and families, in.ludmg
support for unemployed workers, aid to households,
and survivor's benefits for families of COVID-19 victinis
Support small businesses with loans, grants, in -kind
assistance, and counseling programs
Speed the recovery of Impacted industries, indUding
the tourism, travel, and hospitality sectors
Rebuild public sector capacity by rehiring staff,
teplemshing state unemployment insurance funds, and
implementing economic telief paogtana
• Premium Pay for Essential Workers
• Provide premium pay to essential workers, both
directly and through grants to third -party employers
• Prioritize low- and moderate -income workers, who
face the greatest mismatch between employnient-
related health risks and compensation
• Key sectors include healthcare, grocery and food
services, education, childcare, sanitation, and tiansd
• Must be fully additive to a worker's wages
6• n)
Broadband Infrastructure
Focus on households and businesses without access
to broadband and those with connections that do
not provide minimally acceptable speeds
Fund projects that deliver reliable service with
minimum 100 Mbps download / 100 Mbps upload
speeds unless impracticable
Complement broadband Investments made through
tine Capital Projects Fund
Ineligible Uses
Changes that reduce net tax revenue Least not be
offset with American Rescue Plan funds
Extraordinary payments Into a pension fund are a
prohibited use of this funding
Other restrictions apply in eligible uses
The examples listed In this document are non -exhaustive, do not describe all terms and conditions associated with the use of this funding,
and do not describe all the restrictions on use that may apply. The U.S. Department of the Treasury provides this document, the State and
Local contact channels, and other resources for informational purposes. Although efforts have been made to ensure the accuracy of the
information provided, the information is subject o change or cot rection. Any Coronavirus State and Local Fiscal Recovery Funds received will be
subjectto the terms and conditions of the agreement entered into by Treasury and the respective jurisdiction, which shall incorporate the
or ovisions of the Interim Final Rule and/or Final Rule that implements this program.
Michigan
- Eaton County
_ $21,418,266.00
Michigan
Emmet County
$6,490,472.00
Michigan
Genesee County
$78,824,418.00
Michigan
Gladwin County
$4,943,170.00
Michigan
Gogebic County
$2,714,480.00,
Michigan
Grand Traverse County
$18,081,253.00
Michigan
Gratiot County
$7,907,634.00
Michigan
I-Eilsdale County
$8,858,237.00
Michigan
-- Houghton County
$6,931,199.00
Michigan
Huron County
$6,017,696.00
Michigan
Ingham County
$5096,438.00
Michigan_
IoniaCounty
__$12,566634.00
-__
Michigan
Tosco County
$4,890 625.00
Michigan--
Iron County
$2,149,441.00
-
Michigan _ _ _
_ Isabella County
$13,571,817.00
Michigan
Jackson County
$30,788,709.00
Michigan
Kalamazoo County
$51,485,963.00
Michigan
--Kalkaska County -
$3,503,670.00
Michigan
Kent County
$127,605,807.00
Michigan
_KeweenawCounty
$411,008.00 _
Michigan
Lake County
$2,302,306.00
Michigan
Lapeer County
$17,016,633.00
Michigan
— Leelanau County
$4,226 819.00
Michigan
Lenawee County
$19,122,953.00
Michigan
Livingston County
-- $37,292,778.00
Michigan
Luce County_
$1,209,910.00
Michigan
_ _ _ Mackinac County
$2,097,579.00
Michigan
Macomb County
$169,758,815.00
-
Michigan
Manistee County
$4,770,104.00
Michigan
Marquette County
$12,955,499.00
Michigan
Mason County
$5,660,880.00
Michigan
Mecosta County
$8,440,236.00
Michigan
Menominee County
$4,424,748.00
Michigan
._ Midland County
$16,152,078.00
Michigan
Missaukee County
$2,936,494.00
Michigan
Monroe County
$29,232,861.00
Michigan
MontcalmCounty
$121409,495A
Michigan -
Montmorency County
$1,811,855.00
Michigan
Muskegon County
$33,713,161.00
Michigan
- Newaygo County -
$9,513,791.00
- - -
- -
Michigan
Oakland County
$244,270,949.00
Michigan -
Oceana County
$5,140,904.00
Michigan
Ogemaw County -
$4,078 421.00 _
Michigan
Ontonagon County____ -
$1,111,043.00
Michigan
Osceola County
$4,556,830.00
FACT SHEET: The Coronavirus State and Local Fiscal Recovery Funds Will Deliver
$350 Billion for State, Local, Territorial, and Tribal Governments to Respond to the
COVID-19 Emergency and Bring Back Jobs
May 10, 2021
Aid to state, local, territorial, and Tribal governments will help turn the tide on the pandemic, address its
economic fallout, and lay the foundation for a strong and equitable recovery
Today, the U.S. Department of the Treasury announced the launch of the Coronavirus State and Local
Fiscal Recovery Funds, established by the American Rescue Plan Act of 2021, to provide $350 billion in
emergency funding for eligible state, local, territorial, and Tribal governments. Treasury also released
details on how these funds can he used to respond to acute pandemic response needs, fill revenue
shortfalls among these governments, and support the communities and populations hardest -hit by the
COVID-19 crisis. With the launch of the Coronavirus State and Local Fiscal Recovery Funds, eligible
jurisdictions will be able to access this funding in the coming days to address these needs.
State, local, territorial, and Tribal governments have been on the frontlines of responding to the
immense public health and economic needs created by this crisis —from standing up vaccination sites to
supporting small businesses —even as these governments confronted revenue shortfalls during the
downturn. As a result, these governments have endured unprecedented strains, forcing many to make
untenable choices between laying off educators, firefighters, and other frontline workers or failing to
provide other services that communities rely on. Faced with these challenges, state and local
governments have cut over 1 million jobs since the beginning of the crisis. The experience of prior
economic downturns has shown that budget pressures like these often result in prolonged fiscal
austerity that can slow an economic recovery.
To support the immediate pandemic response, bring back jobs, and lay the groundwork for a strong and
equitable recovery, the American Rescue Plan Act of 2021 established the Coronavirus State and Local
Fiscal Recovery Funds, designed to deliver $350 billion to state, local, territorial, and Tribal governments
to bolster their response to the COVID-19 emergency and its economic impacts. Today, Treasury is
launching this much -needed relief to:
• Support urgent COVID-19 response efforts to continue to decrease spread of the virus and bring
the pandemic under control;
• Replace lost public sector revenue to strengthen support forvital public services and help retain
jobs;
• Support immediate economic stabilization for households and businesses; and,
• Address systemic public health and economic challenges that have contributed to the inequal
impact of the pandemic on certain populations.
The Coronavirus State and Local Fiscal Recovery Funds provide substantial flexibility for each jurisdiction
to meet local needs —including support for households, small businesses, impacted industries, essential
workers, and the communities hardest -hit by the crisis. These funds also deliver resources that
recipients can invest in building, maintaining, or upgrading their water, sewer, and broadband
infrastructure.
Starting today, eligible state, territorial, metropolitan city, county, and Tribal governments may request
Coronavirus State and Local Fiscal Recovery Funds through the Treasury Submission Portal. Concurrent
with this program launch, Treasury has published an Interim Final Rule that implements the provisions
of this program.
FUNDING AMOUNTS
The American Rescue Plan provides a total of $350 billion in Coronavirus State and Local Fiscal Recovery
Funds to help eligible state, local, territorial, and Tribal governments meet their present needs and build
the foundation for a strong recovery. Congress has allocated this funding to tens of thousands of
jurisdictions. These allocations include:
Amount
Type
($ billions)
States & District of Columbia
$195.3
Counties
$65.1
Metropolitan Cites
$45.6
Tribal Governments
$20.0
Territories
$4.5
Non -Entitlement Units of
$19.5
Local Government
Treasury expects to distribute these funds directly to each state, territorial, metropolitan city, county,
and Tribal government. Local governments that are classified as non -entitlement units will receive this
funding through their applicable state government. Treasury expects to provide further guidance on
distributions to non -entitlement units next week.
Local governments should expect to receive funds in two tranches, with 50% provided beginning in May
2021 and the balance delivered 12 months later. States that have experienced a net increase in the
unemployment rate of more than 2 percentage points from February 2020 to the latest available data as
of the date of certification will receive their full allocation of funds in a single payment; other states will
receive funds in two equal tranches. Governments of U.S. territories will receive a single payment.
Tribal governments will receive two payments, with the first payment available in May and the second
payment, based on employment data, to be delivered in June 2021.
USES OF FUNDING
Coronavirus State and Local Fiscal Recovery Funds provide eligible state, local, territorial, and Tribal
governments with a substantial infusion of resources to meet pandemic response needs and rebuild a
stronger, more equitable economy as the country recovers. Within the categories of eligible uses,
recipients have broad flexibility to decide how best to use this funding to meet the needs of their
communities. Recipients may use Coronavirus State and Local Fiscal Recovery Funds to:
• Support public health expenditures, by funding COVID-19 mitigation efforts, medical expenses,
behavioral healthcare, and certain public health and safety staff;
• Address negative economic impacts caused by the public health emergency, including
economic harms to workers, households, small businesses, impacted industries, and the public
sector;
• Replace lost public sector revenue, using this funding to provide government services to the
extent of the reduction in revenue experienced due to the pandemic;
• Provide premium pay for essential workers, offering additional support to those who have
borne and will bear the greatest health risks because of their service in critical infrastructure
sectors; and,
Invest in water, sewer, and broadband infrastructure, making necessary investments to
improve access to clean drinking water, support vital wastewater and stormwater
infrastructure, and to expand access to broadband internet.
Within these overall categories, Treasury's Interim Final Rule provides guidelines and principles for
determining the types of programs and services that this funding can support, together with examples
of allowable uses that recipients may consider. As described below, Treasury has also designed these
provisions to take into consideration the disproportionate impacts of the COVID-19 public health
emergency on those hardest -hit by the pandemic.
1. Supporting the public health response
Mitigating the impact of COVID-19 continues to require an unprecedented public health response from
state, local, territorial, and Tribal governments. Coronavirus State and Local Fiscal Recovery Funds
provide resources to meet these needs through the provision of care for those impacted by the virus
and through services that address disparities in public health that have been exacerbated by the
pandemic. Recipients may use this funding to address a broad range of public health needs across
COVID-19 mitigation, medical expenses, behavioral healthcare, and public health resources. Among
other services, these funds can help support:
• Services and programs to contain and mitigate the spread of COVID-19, including:
✓ Vaccination programs
✓ Medical expenses
✓ Testing
✓ Contact tracing
✓ Isolation or quarantine
✓ PPE purchases
✓ Support forvulnerahle populations to
access medical or public health services
✓ Public health surveillance (e.g.,
monitoring for variants)
✓ Enforcement of public health orders
✓ Public communication efforts
✓ Enhancement of healthcare capacity,
including alternative care facilities
✓ Support for prevention, mitigation, or
other services in congregate living
facilities and schools
✓ Enhancement of public health data
systems
✓ Capital investments in public facilities to
meet pandemic operational needs
✓ Ventilation improvements in key settings
like healthcare facilities
• Services to address behavioral healthcare needs exacerbated by the pandemic, including:
✓ Mental health treatment
✓ Substance misuse treatment
✓ Other behavioral health services
✓ Hotlinesorwarmlines
✓ Crisis intervention
✓ Services or outreach to promote access
to health and social services
• Payroll and covered benefits expenses for public health, healthcare, human services, public
safety and similar employees, to the extent that they work on the COVID-19 response. For
public health and safety workers, recipients can use these funds to cover the full payroll and
covered benefits costs for employees or operating units or divisions primarily dedicated to the
COVID-19 response.
2. Addressing the negative economic impacts caused by the public health emergency
The COVID-19 public health emergency resulted in significant economic hardship for many Americans.
As businesses closed, consumers stayed home, schools shifted to remote education, and travel declined
precipitously, over 20 million jobs were lost between February and April 2020. Although many have
since returned to work, as of April 2021, the economy remains more than 8 million jobs below its pre -
pandemic peak, and more than 3 million workers have dropped out of the labor market altogether since
February 2020.
To help alleviate the economic hardships caused by the pandemic, Coronavirus State and Local Fiscal
Recovery Funds enable eligible state, local, territorial, and Tribal governments to provide a wide range
of assistance to individuals and households, small businesses, and impacted industries, in addition to
enabling governments to rehire public sector staff and rebuild capacity. Among these uses include:
Delivering assistance to workers and families, including aid to unemployed workers and job
training, as well as aid to households facing food, housing, or other financial insecurity. In
addition, these funds can support survivor's benefits for family members of COVID-19 victims.
• Supporting small businesses, helping them to address financial challenges caused by the
pandemic and to make investments in COVID-19 prevention and mitigation tactics, as well as to
provide technical assistance. To achieve these goals, recipients may employ this funding to
execute a broad array of loan, grant, in -kind assistance, and counseling programs to enable
small businesses to rebound from the downturn.
• Speeding the recovery of the tourism, travel, and hospitality sectors, supporting industries that
were particularly hard-hit by the COVID-19 emergency and are just now beginning to mend.
Similarly impacted sectors within a local area are also eligible for support.
Rebuilding public sector capacity, by rehiring public sector staff and replenishing
unemployment insurance (UI) trust funds, in each case up to pre -pandemic levels. Recipients
may also use this funding to build their internal capacity to successfully implement economic
relief programs, with investments in data analysis, targeted outreach, technology infrastructure,
and impact evaluations.
3. Serving the hardest -hit communities and families
While the pandemic has affected communities across the country, it has disproportionately impacted
low-income families and communities of color and has exacerbated systemic health and economic
inequities. Low-income and socially vulnerable communities have experienced the most severe health
impacts. For example, counties with high poverty rates also have the highest rates of infections and
deaths, with 223 deaths per 100,000 compared to the U.S. average of 175 deaths per 100,000.
Coronavirus State and Local Fiscal Recovery Funds allow for abroad range of uses to address the
disproportionate public health and economic impacts of the crisis on the hardest -hit communities,
populations, and households. Eligible services include:
• Addressing health disparities and the social determinants of health, through funding for
community health workers, public benefits navigators, remediation of lead hazards, and
community violence intervention programs;
Investments in housing and neighborhoods, such as services to address individuals
experiencing homelessness, affordable housing development, housing vouchers, and residential
counseling and housing navigation assistance to facilitate moves to neighborhoods with high
economic opportunity;
Addressing educational disparities through new or expanded early learning services, providing
additional resources to high -poverty school districts, and offering educational services like
tutoring or afterschool programs as well as services to address social, emotional, and mental
health needs; and,
Promoting healthy childhood environments, including new or expanded high quality childcare,
home visiting programs forfamilies with young children, and enhanced services for child
welfare -involved families and foster youth.
Governments may use Coronavirus State and Local Fiscal Recovery Funds to support these additional
services if they are provided:
• within a Qualified Census Tract (a low-income area as designated by the Department of Housing
and Urban Development);
• to families living in Qualified Census Tracts;
• by a Tribal government; or,
• to other populations, households, or geographic areas disproportionately impacted by the
pandemic.
4. Replacing lost public sector revenue
State, local, territorial, and Tribal governments that are facing budget shortfalls may use Coronavirus
State and Local Fiscal Recovery Funds to avoid cuts to government services. With these additional
resources, recipients can continue to provide valuable public services and ensure that fiscal austerity
measures do not hamper the broader economic recovery.
Many state, local, territorial, and Tribal governments have experienced significant budget shortfalls,
which can yield a devastating impact on their respective communities. Faced with budget shortfalls and
pandemic -related uncertainty, state and local governments cut staff in all 50 states. These budget
shortfalls and staff cuts are particularly problematic at present, as these entities are on the front lines of
battling the COVID-19 pandemic and helping citizens weather the economic downturn.
Recipients may use these funds to replace lost revenue. Treasury's Interim Final Rule establishes a
methodology that each recipient can use to calculate Its reduction in revenue. Specifically, recipients
will compute the extent of their reduction in revenue by comparing their actual revenue to an
alternative representing what could have been expected to occur in the absence of the pandemic.
Analysis of this expected trend begins with the last full fiscal year prior to the public health emergency
and projects forward at either (a) the recipient's average annual revenue growth over the three full
fiscal years prior to the public health emergency or (b) 4.1%, the national average state and local
revenue growth rate from 2015-18 (the latest available data).
For administrative convenience, Treasury's Interim Final Rule allows recipients to presume that any
diminution in actual revenue relative to the expected trend is due to the COVID-19 public health
emergency. Upon receiving Coronavirus State and Local Fiscal Recovery Funds, recipients may
immediately calculate the reduction in revenue that occurred in 2020 and deploy funds to address any
shortfall. Recipients will have the opportunity to re -calculate revenue loss at several points through the
program, supporting those entities that experience a lagged impact of the crisis on revenues.
Importantly, once a shortfall in revenue is identified, recipients will have broad latitude to use this
funding to support government services, up to this amount of lost revenue.
5. Providing premium pay for essential workers
Coronavirus State and Local Fiscal Recovery Funds provide resources for eligible state, local, territorial,
and Tribal governments to recognize the heroic contributions of essential workers. Since the start of the
public health emergency, essential workers have put their physical well-being at risk to meet the daily
needs of their communities and to provide care for others.
Many of these essential workers have not received compensation for the heightened risks they have
faced and continue to face. Recipients may use this funding to provide premium pay directly, or through
grants to private employers, to a broad range of essential workers who must be physically present at
their jobs including, among others:
✓ Staff at nursing homes, hospitals,
and home -care settings
✓ Workers at farms, food production
facilities, grocery stores, and restaurants
✓ Janitors and sanitation workers
✓ Public health and safety staff
✓ Truck drivers, transit staff, and
warehouse workers
✓ Childcare workers, educators, and school
staff
✓ Social service and human services staff
Treasury's Interim Final Rule emphasizes the need for recipients to prioritize premium pay for lower
income workers. Premium pay that would increase a worker's total pay above 150% of the greater of
the state or county average annual wage requires specific justification for how it responds to the needs
of these workers.
In addition, employers are both permitted and encouraged to use Coronavirus State and Local Fiscal
Recovery Funds to offer retrospective premium pay, recognizing that many essential workers have not
yet received additional compensation for work performed. Staff working for third -party contractors in
eligible sectors are also eligible for premium pay.
6. Investing in water and sewer infrastructure
Recipients may use Coronavirus State and Local Fiscal Recovery Funds to invest in necessary
improvements to their water and sewer infrastructures, including projects that address the impacts of
climate change.
Recipients may use this funding to invest in an array of drinking water infrastructure projects, such as
building or upgrading facilities and transmission, distribution, and storage systems, including the
replacement of lead service lines.
Recipients may also use this funding to invest in wastewater infrastructure projects, including
constructing publicly -owned treatment infrastructure, managing and treating stormwater or subsurface
drainage water, facilitating water reuse, and securing publicly -owned treatment works.
To help jurisdictions expedite their execution of these essential investments, Treasury's Interim Final
Rule aligns types of eligible projects with the wide range of projects that can be supported by the
Environmental Protection Agency's Clean Water State Revolving Fund and Drinking Water State
Revolving Fund. Recipients retain substantial flexibility to identify those water and sewer infrastructure
investments that are of the highest priority for their own communities.
Treasury's Interim Final Rule also encourages recipients to ensure that water, sewer, and broadband
projects use strong labor standards, including project labor agreements and community benefits
agreements that offer wages at or above the prevailing rate and include local hire provisions.
7. Investing in broadband infrastructure
The pandemic has underscored the importance of access to universal, high-speed, reliable, and
affordable broadband coverage. Overthe past year, millions of Americans relied on the internet to
participate in remote school, healthcare, and work.
Yet, by at least one measure, 30 million Americans live in areas where there is no broadband service or
where existing services do not deliver minimally acceptable speeds. For millions of other Americans, the
high cost of broadband access may place it out of reach. The American Rescue Plan aims to help remedy
these shortfalls, providing recipients with flexibility to use Coronavirus State and Local Fiscal Recovery
Funds to invest in broadband infrastructure.
Recognizing the acute need in certain communities, Treasury's Interim Final Rule provides that
investments in broadband be made in areas that are currently unserved or underserved—in other
words, lacking a wireline connection that reliably delivers minimum speeds of 25 Mbps download and 3
Mbps upload. Recipients are also encouraged to prioritize projects that achieve last -mile connections to
households and businesses.
Using these funds, recipients generally should build broadband infrastructure with modern technologies
in mind, specifically those projects that deliver services offering reliable 100 Mbps download and 100
Mbps upload speeds, unless impracticable due to topography, geography, or financial cost. In addition,
recipients are encouraged to pursue fiber optic investments.
In view of the wide disparities in broadband access, assistance to households to support internet access
or digital literacy is an eligible use to respond to the public health and negative economic impacts of the
pandemic, as detailed above.
g. Ineligible Uses
Coronavirus State and Local Fiscal Recovery Funds provide substantial resources to help eligible state,
local, territorial, and Tribal governments manage the public health and economic consequences of
COVID-19. Recipients have considerable flexibility to use these funds to address the diverse needs of
their communities.
To ensure that these funds are used for their intended purposes, the American Rescue Plan Act also
specifies two ineligible uses of funds:
States and territories may not use this funding to directly or indirectly offset a reduction in net
tax revenue due to a change in law from March 3, 2021 through the last day of the fiscal year
in which the funds provided have been spent. The American Rescue Plan ensures that funds
needed to provide vital services and support public employees, small businesses, and families
struggling to make it through the pandemic are not used to fund reductions in net tax revenue.
Treasury's Interim Final Rule implements this requirement. If a state or territory cuts taxes, they
must demonstrate how they paid for the tax cuts from sources otherthan Coronavirus State
Fiscal Recovery Funds —by enacting policies to raise other sources of revenue, by cutting
spending, or through higher revenue due to economic growth. If the funds provided have been
used to offset tax cuts, the amount used for this purpose must be paid back to the Treasury.
No recipient may use this funding to make a deposit to a pension fund. Treasury's Interim
Final Rule defines a "deposit" as an extraordinary contribution to a pension fund for the purpose
of reducing an accrued, unfunded liability. While pension deposits are prohibited, recipients
may use funds for routine payroll contributions for employees whose wages and salaries are an
eligible use of funds.
Treasury's Interim Final Rule identifies several other ineligible uses, including funding debt service, legal
settlements or judgments, and deposits to rainy day funds or financial reserves. Further, general
infrastructure spending is not covered as an eligible use outside of water, sewer, and broadband
investments or above the amount allocated underthe revenue loss provision. While the program offers
broad flexibility to recipients to address local conditions, these restrictions will help ensure that funds
are used to augment existing activities and address pressing needs.
AS OF MAY 10. 2021
Coronavirus Mate anti Local fiscal Recovery Funds
Frequently Asked Questions
AS OF MAY 10, 2021
This document contains answers to frequently asked questions regarding the Coronavirus State
and Local Fiscal Recovery Funds (CLFRF / CLFRF, or Fiscal Recovery Funds). Treasury will
be updating this document periodically in response to questions received from stakeholders.
Recipients and stakeholders should consult the Interim Final Rule for additional information.
For overall information about the program, including information on requesting funding,
please see hllns://hume.treasurv.euv/oolicv-issues/coronavirus/assistance-for-stale-locd-
and-tribal-e.overn meats
For general questions about CLFRF / CLFRF, please email St.FRP0ircas1Jrv.20v
Upon publication of the Interim Final Rule in the Federal Register, Treasury encourages
stakeholders to submit public comments on the interim Final Rule at regulations.gov
Eligibility and Allocations
1. Which governments are eligible for funds?
The following governments are eligible:
• States and the District of Columbia
• Territories
• Tribal governments
• Counties
• Metropolitan cities
• Non -entitlement units, or smaller local governments
2. Which governments receive funds directly from Treasury?
Treasury will distribute funds directly to each eligible state, territory, metropolitan city,
county, or Tribal government. Smaller local governments that are classified as non-
enlitlement units will receive funds through their applicable state government.
3. Are special-purpose units of government eligible to receive funds?
Special-purpose units of local government will not receive funding allocations; however,
a stale, territory, local, or Tribal government may transfer funds to a special-purpose unit
of government. Special-purpose districts perform specific functions in the community,
such as fire, water, sewer or mosquito abatement districts.
AS OF MAY 10, 2021
4. How are funds being allocated to Tribal governments, and how will Tribal
governments find out their allocation amounts?
$20 billion of Fiscal Recovery Funds was reserved for Tribal governments. The
American Rescue Plan Act specifics that $1 billion will be allocated evenly to all eligible
Tribal governments. The remaining $19 billion will be distributed using an allocation
methodology based on enrollment and employment.
There will be two payments to Tribal governments. Each Tribal government's first
payment will include (i) an amount in respect of the $1 billion allocation that is to be
divided equally among eligible Tribal governments and (ii) each Tribal government's pro
rata share of the Enrollment Allocation. Tribal governments will be notified of their
allocation amount and delivery of payment 4-5 days after completing request for funds in
the Treasury Submission Portal. The deadline to make the initial request for funds is
May 24, 2021.
In mid -May or shortly after completing the initial request for funds, Tribal governments
will receive an email notification to re-enter the Treasury Submission Portal to confirm or
amend their 2019 employment numbers that were submitted to the Department of the
Treasury for the CARES Act's Coronavirus Relief Fund. The deadline to confirm
employment numbers is June 7, 2021. Treasury will calculate each Tribal government's
pro rata share of the Employment Allocation for those Tribal governments that confirmed
or submitted amended employment numbers. In mid -June, Treasury will communicate to
Tribal governments the amount of their portion of the Employment Allocation and the
anticipated date for the second payment.
Eligible Uses —Responding to the Public Health Emergency / Negative Economic Impacts
5. What types of COVID-19 response, mitigation, and prevention activities are
eligible?
A broad range of services are needed to contain COVID-19 and are eligible uses,
including vaccination programs; medical care; testing; contact tracing; support for
isolation or quarantine; supports for vulnerable populations to access medical or public
health services; public health surveillance (e.g., monitoring case trends, genomic
sequencing for variants); enforcement of public health orders; public communication
efforts; enhancement to health care capacity, including through alternative care facilities;
purchases of personal protective equipment; support for prevention, mitigation, or other
services in congregate living facilities (e.g., nursing homes, incarceration settings,
homeless shelters, group living facilities) and other key settings like schools; ventilation
improvements in congregate settings, health care settings, or other key locations;
enhancement of public health data systems; and other public health responses. Capital
investments in public facilities to meet pandemic operational needs are also eligible, such
as physical plant improvements to public hospitals and health clinics or adaptations to
public buildings to implement COVID-19 mitigation tactics.
AS OF MAY 10, 2021
6. if a use of funds was allowable under the Coronavirus Relief Fund (CRF) to
respond to the public health emergency, may recipients presume it is also allowable
under CSFRF/CLFRF?
Generally, funding uses eligible under CRF as a response to the direct public health
impacts of COViD-19 will continue to be eligible under CSFRF/CLFRF, with the
following two exceptions: (1) the standard for eligibility of public health and safety
payrolls has been updated; and (2) expenses related to the issuance of lax -anticipation
notes are not an eligible funding use.
7. If a use of funds is not explicitly permitted in the Interim Final Rule as a response to
the public health emergency and its negative economic impacts, does that mean it is
prohibited?
The Interim Final Rule contains a non-exclusive list of programs or services that may be
funded as responding to COVID-19 or the negative economic impacts of the COV ID-19
public health emergency, along with considerations for evaluating other potential uses of
Fiscal Recovery Funds not explicitly listed. The interim Final Rule also provides
flexibility for recipients to use Fiscal Recovery Funds for programs or services that are
not identified on these non-exclusive lists but which meet the objectives of section
602(c)(1)(A) or 603(c)(1)(A) by responding to the COVID-19 public health emergency
with respect to COVID-t9 or its negative economic impacts.
8. May recipients use funds to respond to the public health emergency and its negative
economic impacts by replenishing state unemployment funds?
Consistent with the approach taken in the CRF, recipients may make deposits into the
state account of the Unemployment Trust Fund up to the level needed to restore the pre -
pandemic balances of such account as of January 27, 2020, or to pay back advances
received for the payment of benefits between January 27, 2020 and the dale when the
Interim Final Rule is published in the Federal Register.
9. What types of services are eligible as responses to the negative economic impacts of
the pandemic?
Eligible uses in this category include assistance to households; small businesses and non-
profits; and aid to impacted industries.
Assistance to households includes, but is not limited to: food assistance; rent, mortgage,
or utility assistance; counseling and legal aid to prevent eviction or homelessness; cash
assistance; emergency assistance for burials, home repairs, weatherization, or other
needs; internet access or digital literacy assistance; or job training to address negative
economic or public health impacts experienced due to a worker's occupation or level of
training.
Assistance to small business and non -profits includes, but is not limited to:
AS OF MAY 10, 2021
• loans or grants to mitigate financial hardship such as declines in revenues or
impacts of periods of business closure, for example by supporting payroll and
benefits costs, costs to retain employees, mortgage, rent, or utilities costs, and
other operating costs;
• Loans, grants, or in -kind assistance to implement COVID-19 prevention or
mitigation tactics, such as physical plant changes to enable social distancing,
enhanced cleaning efforts, barriers or partitions, or COVID-19 vaccination,
testing, or contact tracing programs; and
• Technical assistance, counseling, or other services to assist with business planning
needs
10. May recipients use funds to respond to the public health emergency and its negative
economic impacts by providing direct cash transfers to households?
Yes, provided the recipient considers whether, and the extent to which, the household has
experienced a negative economic impact Gom the pandemic. Additionally, cash transfers
must be reasonably proportional to the negative economic impact they are intended to
address. Cash transfers grossly in excess of the amount needed to address the negative
economic impact identified by the recipient would not be considered to be a response to
the COVID-19 public health emergency or its negative impacts. In particular, when
considering appropriate size of permissible cash transfers made in response to the
COVID-19 public health emergency, state, local, territorial, and Tribal governments may
consider and take guidance from the per person amounts previously provided by the
federal government in response to the COVID crisis.
11. May funds be used to reimburse recipients for costs incurred by state and local
governments in responding to the public health emergency and its negative
economic impacts prior to passage of the American Rescue Plan?
Use of Fiscal Recovery Funds is generally forward looking. The Interim Final Rule
permits funds to be used to cover costs incurred beginning on March 3, 2021.
12. May recipients use funds for general economic development or workforce
development?
Generally, not. Recipients must demonstrate that funding uses directly address a negative
economic impact of the COVID-19 public health emergency, including funds used for
economic or workforce development. For example, job training for unemployed workers
may be used to address negative economic impacts of the public health emergency and be
eligible.
13. How can recipients use funds to assist the travel, tourism, and hospitality
industries?
Aid provided to tourism, travel, and hospitality industries should respond to the negative
economic impacts of the pandemic. For example, a recipient may provide aid to support
AS OF MAY 10, 2021
safe reopening of businesses in the tourism, travel and hospitality industries and to
districts that were closed during the COVID-19 public health emergency, as well as aid a
planned expansion or upgrade of tourism, travel and hospitality facilities delayed due to
the pandemic.
Tribal development districts are considered the commercial centers for tribal hospitality,
gaming, tourism and entertainment industries.
14. May recipients use funds to assist impacted industries other than travel, tourism,
and hospitality?
Yes, provided that recipients consider the extent of the impact in such industries as
compared to tourism, travel, and hospitality, the industries enumerated in the statute. For
example, nationwide the leisure and hospitality industry has experienced an
approximately 17 percent decline in employment and 24 percent decline in revenue, on
net, due to the COVID-19 public health emergency. Recipients should also consider
whether impacts were due to the COVID-19 pandemic, as opposed to longer -term
economic or industrial trends unrelated to the pandemic.
Recipients should maintain records to support their assessment of how businesses or
business districts receiving assistance were affected by the negative economic impacts of
the pandemic and how the aid provided responds to these impacts.
15. How does the Interim Final Rule help address the disparate impact of COVID-19 on
certain populations and geographies?
In recognition of the disproportionate impacts of the COVfD-19 virus on health and
economic outcomes in low-income and Native American communities, the Interim Final
Rule identifies a broader range of services and programs that are considered to be in
response to the public health emergency when provided in these communities.
Specifically, Treasury will presume that certain types of services are eligible uses when
provided in a Qualified Census Tract (QCT), to families living in QCTs, or when these
services are provided by Tribal governments.
Recipients may also provide these services to other populations, households, or
geographic areas disproportionately impacted by the pandemic. In identifying these
disproportionately -impacted communities, recipients should be able to support their
determination for how the pandemic disproportionately impacted the populations.
households, or geographic areas to be served.
Eligible services include:
• Addressing health disparities and the social determinants of health, including:
community health workers, public benefits navigators, remedialion of lead paint
or other lead hazards, and community violence intervention programs;
AS OF MAY t0, 2021
• Building stronger neighborhoods and communities, including: supportive housing
and other services for individuals experiencing homelessness, development of
affordable housing, and housing vouchers and assistance relocating to
neighborhoods with higher levels of economic opportunity;
i Addressing educational disparities exacerbated by COVID-19, including: early
learning services, increasing resources for high -poverty school districts,
educational services like tutoring or aflerschool programs, and supports for
students' social, emotional, and mental health needs; and
i Promoting healthy childhood environments, including: child care, home visiting
programs for families with young children, and enhanced services for child
welfare -involved families and foster youth.
Eligible Uses — Revenue Loss
16. How is revenue defined for the purpose of this provision?
The interim Final Rule adopts a definition of "General Revenue" that is based on, but not
identical, to the Census Bureau's concept of "General Revenue from Own Sources" in the
Annual Survey of State and Local Government Finances.
General Revenue includes revenue from taxes, current charges, and miscellaneous
general revenue. It excludes refunds and other correcting transactions, proceeds from
issuance of debt or the sale of investments, agency or private trust transactions, and
revenue generated by utilities and insurance trusts. General revenue also includes
intergovernmental transfers between stale and local governments, but excludes
intergovernmental transfers from the Federal government, including Federal transfers
made via a stale to a locality pursuant to the CRF or the Fiscal Recovery Funds.
Tribal governments may include all revenue from Tribal enterprises and gaming
operations in the definition of General Revenue.
17. Will revenue be calculated on an entity -wide basis or on a source -by -source basis
(e.g. property tax, income tax, sales tax, etc.)?
Recipients should calculate revenue on an entity -wide basis. This approach minimizes
the administrative burden for recipients, provides for greater consistency across
recipients, and presents a more accurate representation of the net impact of the
COVID- 19 public health emergency on a recipient's revenue, rather than relying on
financial reporting prepared by each recipient, which vary in methodology used and
which generally aggregates revenue by purpose rather than by source.
18. Does the definition of revenue include outside concessions that contract with a state
or local government?
AS OF MAY 10, 2021
Recipients should classify revenue sources as they would if responding to the U.S.
Census Bureau's Annual Survey of State and Local Government Finances. According to
the Census Bureau's Government Finance and Flnolovment Classification manual, the
following is an example of current charges that would be included in a state or local
government's general revenue from own sources: "Gross revenue of facilities operated by
a government (swimming pools, recreational marinas and piers, golf courses, skating
rinks, museums, zoos, etc.); auxiliary facilities in public recreation areas (camping areas,
refreshment stands, gift shops, etc.); lease or use fees from stadiums, auditoriums, and
community and convention centers; and rentals from concessions at such facilities."
19. What is the time period for estimating revenue loss? Will revenue losses experienced
prior to the passage of the Act he considered?
Recipients are permitted to calculate the extent of reduction in revenue as of four points
in time: December 31, 2020; December 31, 2021; December 31, 2022; and December 31,
2023. This approach recognizes that some recipients may experience lagged effects of the
pandemic on revenues.
Upon receiving Fiscal Recovery Fund payments, recipients may immediately calculate
revenue loss for the period ending December 31, 2020.
20. What is the formula for calculating the reduction in revenue?
A redaction in a recipient's General Revenue equals:
Max f [Base Year Revenue* (1+Growth Adjustment) M)] - Actual General Revenuer ; 01
Where:
Base ) ear Revenue is General Revenue collected in the most recent full fiscal year prior
to the COVD-19 public health emergency.
Growth A(Ijasfinent is equal to the greater of 4.1 percent (or 0.041) and the recipient's
average annual revenue growth over the three full fiscal years prior to the COVID-19
public health emergency.
a equals the number of months elapsed from the end of the base year to the calculation
date.
Actual General Revenue is a recipient's actual general revenue collected during 12-month
period ending on each calculation date.
Subscript t denotes the calculation date.
21. Are recipients expected to demonstrate that reduction in revenue is due to the
COVID-19 public health emergency?
AS OF MAY 10, 2021
In the interim Final Rule, any diminution in actual revenue calculated using the formula
above would be presumed to have been "due to" the COVID-19 public health emergency.
This presumption is made for administrative ease and in recognition of the broad -based
economic damage that the pandemic has wrought.
22. May recipients use pre -pandemic projections as a basis to estimate the reduction in
revenue?
No. Treasury is disallowing the use of projections to ensure consistency and
comparability across recipients and to streamline verification. However, in estimating
the revenue shortfall using the formula above, recipients may incorporate their average
annual revenue growth rate in the three full fiscal years prior to the public health
emergency.
23. Once a recipient has identified a reduction in revenue, are there any restrictions on
how recipients use funds up to the amount of the reduction?
The Interim Final Rule gives recipients broad latitude to use funds for the provision of
government services to the extent of reduction in revenue. Government services can
include, but are not limited to, maintenance of infrastructure or pay -go spending for
building new infrastructure, including roads; modernization of cybersecurity, including
hardware, software, and protection of critical infrastructure; health services;
environmental remediation; school or educational services; and the provision of police,
fire, and other public safely services.
However, paying interest or principal on outstanding debt, replenishing rainy day or other
reserve funds, or paying settlements or judgments would not be considered provision of a
government service, since these uses of fonds do not entail direct provision of services to
citizens. This restriction on paying interest or principal on any outstanding debt
instrument, includes, for example, short-term revenue or lax anticipation notes, or paying
fees or issuance costs associated with the issuance of new debt. In addition, the
overarching restrictions on all program funds (e.g., restriction on pension deposits,
restriction on using fonds for non-federal match where barred by regulation or statute)
would apply.
Eligible Uses — General
24. May recipients use funds to replenish a budget stabilization fund, rainy day fond, or
similar reserve account?
No. Funds made available to respond to the public health emergency and its negative
economic impacts are intended to help meet pandemic response needs and provide
immediate stabilization for households and businesses. Contributions to rainy day funds
and similar reserves funds would not address these needs or respond to the COVID-19
public health emergency, but would rather be savings for future spending needs.
AS OF MAY 10, 2021
Similarly, funds made available for the provision of governmental services (to the extent
of reduction in revenue) are intended to support direct provision of services to citizens.
Contributions to rainy day funds are not considered provision of government services,
since such expenses do not directly relate to the provision of government services.
25. May recipients use funds to invest in infrastructure other than water, sewer, and
broadband projects (e.g. roads, public facilities)?
Under 602(c)(1)(C) or 603(c)(1)(C), recipients may use funds for maintenance of
infrastructure or pay -go spending for building of new infrastructure as part of the general
provision of government services, to the extent of the estimated reduction in revenue due
to the public health emergency.
Under 602(c)(1)(A) or 603(c)(1)(A), a general infrastructure project typically would not
be considered a response to the public health emergency and its negative economic
impacts unless the project responds to a specific pandemic -related public health need
(e.g., investments in facilities for the delivery of vaccines) or a specific negative
economic impact of the pandemic (e.g., affordable housing in a Qualified Census Tract).
26. May recipients use funds to pay interest or principal on outstanding debt?
No. Expenses related to financing, including servicing or redeeming notes, would not
address the needs of pandemic response or its negative economic impacts. Such expenses
would also not be considered provision of government services, as these financing
expenses do not directly provide services or aid to citizens.
This applies to paying interest or principal on any outstanding debt instrument, including,
for example, short-term revenue or tax anticipation notes, or paying fees or issuance costs
associated with the issuance of new debt.
27. May recipients use funds to satisfy nonfederal matching requirements under the
Stafford Act? May recipients use funds to satisfy nonfederal matching requirements
generally?
Fiscal Recovery Funds are subject to pre-existing limitations in other federal statutes and
regulations and may not be used as non-federal match for other Federal programs whose
statute or regulations bar the use of Federal fonds to meet matching requirements. For
example, expenses for the state share of Medicaid are not an eligible use. For information
on FEMA programs, please see here.
Eligible Uses — Premium Pay
28. What criteria should recipients use in identifying essential workers to receive
premium pay?
AS OF MAY 10, 2021
Essential workers are those in critical infrastructure sectors who regularly perform in -
person work, interact with others at work, or physically handle items handled by others.
Critical infrastructure sectors include healthcare, education and childcare, transportation,
sanitation, grocery and food production, and public health and safely, among others, as
provided in the Interim Final Rule. Governments receiving Fiscal Recovery Funds have
the discretion to add additional sectors to this list, so long as the sectors are considered
critical to protect the health and well-being of residents.
The Interim Final Rule emphasizes the need for recipients to prioritize premium pay for
lower income workers. Premium pay that would increase a worker's total pay above
150% of the greater of the state or county average annual wage requires specific
justification for how it responds to the needs of these workers.
29. What criteria should recipients use in identifying third -party employers to receive
grants for the purpose of providing premium pay to essential workers?
Any third -party employers of essential workers are eligible. Third -party contractors who
employ essential workers in eligible sectors are also eligible for grants to provide
premium pay. Selection of third -party employers and contractors who receive grants is at
the discretion of recipients.
To ensure any grants respond to the needs of essential workers and are made in a fair and
transparent manner, the rule imposes some additional reporting requirements for grants to
third -party employers, including the public disclosure of grants provided.
30. May recipients provide premium pay retroactively for work already performed?
Yes. Treasury encourages recipients to consider providing premium pay retroactively for
work performed during the pandemic, recognizing that many essential workers have not
yet received additional compensation for their service during the pandemic.
Eligible Uses — Water, Sewer, and Broadband Infrastructure
31. What types of water and sewer projects are eligible uses of funds?
The Interim Final Rule generally aligns eligible uses of the Funds with the wide range of
types or categories of projects that would be eligible to receive financial assistance
through the Environmental Protection Agency's Clean Water Slate Revolving Fund
(CWSRF) or Drinking Water State Revolving Fund (DWSRF).
Under the DWSRF, categories of clicible oroiects include: treatment, transmission and
distribution (including lead service line replacement), source rehabilitation and
decontamination, storage, consolidation, and new systems development.
10
AS OF MAY 10, 2021
Under the CWSRF, categories of elieiblc nrOlCOS include: construction of publicly -
owned treatment works, nonpoint source pollution management, national estuary
program projects, decentralized wastewater treatment systems, stormwater systems, water
conservation, efficiency, and reuse measures, watershed pilot projects, energy efficiency
measures for publicly -owned treatment works, water reuse projects, security measures at
publicly -owned treatment works, and technical assistance to ensure compliance with the
Clean Water Act.
As mentioned in the interim Final Rule, eligible projects under the DWSRF and CWSRF
support efforts to address climate change, as well as to meet cybersecurity needs to
protect water and sewer infrastructure. Given the lifelong impacts of lead exposure for
children, and the widespread nature of lead service lines, Treasury also encourages
recipients to consider projects to replace lead service lines.
32. May construction on eligible water, sewer, or broadband infrastructure projects
continue past December 31, 2024, assuming funds have been obligated prior to that
date?
Yes. Treasury is interpreting the requirement that costs be incurred by December 31,
2024 to only require that recipients have obligated the funds by such date. The period of
performance will run until December 31, 2026, which will provide recipients a
reasonable amount of time to complete projects funded with Fiscal Recovery Funds.
33. May recipients use funds as a non-federal match for the Clean Water State
Revolving Fund (CWSRF) or Drinking Water State Revolving Fund (DWSRF)?
Recipients may not use funds as a state match for the CWSRF and DWSRF due to
prohibitions in utilizing federal funds as a state match in the authorizing statutes and
regulations of the CWSRF and DWSRF.
34. Does the National Environmental Policy Act (NEPA) apply to eligible infrastructure
projects?
NEPA does not apply to Treasury's administration of the Funds. Projects supported with
payments from the Funds may still be subject to NEPA review if they are also funded by
other federal financial assistance programs.
35. What types of broadband projects are eligible?
The interim Final Rule requires eligible projects to reliably deliver minimum speeds of
100 Mbps download and 100 Mbps upload. In cases where it is impracticable due to
geography, topography, or financial cost to meet those standards, projects must reliably
deliver at least 100 Mbps download speed, at least 20 Mbps upload speed, and be
scalable to a minimum of 100 Mbps download speed and 100 Mbps upload speed.
AS OF MAY 10, 2021
Projects must also be designed to serve unserved or underserved households and
businesses, defined as those that are not currently served by a wireline connection that
reliably delivers at least 25 Mbps download speed and 3 Mbps of upload speed.
36. For broadband investments, may recipients use funds for related programs such as
cybersecurity or digital literacy training?
Yes. Recipients may use funds to provide assistance to households facing negative
economic impacts due to Covid-19, including digital literacy training and other programs
that promote access to the Internet. Recipients may also use funds for modernization of
cybersecurity, including hardware, software, and protection of critical infrastructure, as
part of provision of government services up to the amount of revenue lost due to the
public health emergency.
Non -Entitlement Units (NEUs)
37. Can states impose requirements or conditions on the transfer of funds to NEUs?
As the statute requires states to make distributions based on population, states may not
place additional conditions or requirements on distributions to NEUs, beyond those
required by the ARPA and Treasury's implementing regulations and guidance.
For example, stales may not impose stricter limitations than permitted by statute or
Treasury regulations or guidance on an NEU's use of Fiscal Recovery Funds based on the
NEU's proposed spending plan or other policies, nor permitted to offset any debt owed
by the NEU against its payment. Further, states may not provide funding on a
reimbursement basis (e.g., requiring NEUs to pay for project costs up front before being
reimbursed with Fiscal Recovery Fund payments), because this approach would not
comport with the statutory requirement that states make distributions to NEUs within the
statutory timeframe.
38. Can states transfer additional funds to local governments beyond amount allocated
to NEUs?
Yes. The Interim Final Rule permits states, territories, and Tribal governments to transfer
Fiscal Recovery Funds to other constituent units of government or private entities beyond
those specified in the statute, as long as the transferee abides by the transferor's eligible
use and other requirements. Similarly, local governments are authorized to transfer
Fiscal Recovery Funds to other constituent units of government (e.g., a county is able to
transfer Fiscal Recovery Funds to a city, town or school district within it).
39. What is the definition of "budget" for the purpose of the 75 percent cap on NEU
payments, and who is responsible for enforcing this cap?
States are responsible for enforcing the "75 percent cap" on NEU payments, which is a
statutory requirement that distributions to NEUs not exceed 75 percent of the NEU's
12
AS OF MAY 10, 2021
most recent budget. Treasury interprets the most recent budget as the NFU's most recent
annual total operating budget, including its general fund and other funds, as of January
27, 2020. States may rely for this determination on a certified top -line budget total from
the NEU. Funding amounts in excess of such cap must be returned to Treasury.
40. May states use funds to pay for the administrative costs of allocating and
distributing money to the NEUs?
Yes. If necessary, states may use Fiscal Recovery Funds to support the administrative
costs of allocating and distributing money to NFUs, as disbursing these fonds itself is a
response to the public health emergency and its negative economic impacts.
41. When will states get their payments for NEUs? When will NEUs get their
payments?
States can find their state -level allocations for NEUs on the Treasury website. Treasury
plans to issue further guidance on distributions and payments to NEUs in the coming
days.
State governments that request their own funds under the Coronavirus State Fiscal
Recovery Fund through Treasury's Submission Portal will be considered by Treasury to
have requested funding for their non -entitlement units as well.
42. When will NEUs know if they are eligible for payment?
Treasury plans to provide furher guidance on distributions and payments to NF.Us in the
coming days.
Ineligible Uses
43. What is meant by a pension "deposit"? Can governments use funds for routine
pension contributions for employees whose payroll and covered benefits are eligible
expenses?
Treasury interprets "deposit" in this context to refer to an extraordinary payment into a
pension fund for the purpose of reducing an accrued, unfunded liability. More
specifically, the interim final rule does not permit this assistance to be used to make a
payment into a pension fund if both: (1) the payment reduces a liability incurred prior to
the start of the COVID-19 public health emergency, and (2) the payment occurs outside
the recipient's regular timing for making such payments.
Under this interpretation, a "deposit" is distinct from a `payroll contribution," which
occurs when employers make payments into pension funds on regular intervals, with
contribution amounts based on a pre -determined percentage of employees' wages and
salaries. In general, if an employee's wages and salaries are an eligible use of Fiscal
13
AS OF MAY 10, 2021
Recovery Funds, recipients may treat the employee's covered benefits as an eligible use
of Fiscal Recovery Funds.
Reporting
44. What records must be kept by governments receiving funds?
Financial records and supporting documents related to the award must be retained for a
period of five years after all funds have been expended or returned to Treasury,
whichever is later. This includes those which demonstrate the award funds were used for
eligible purposes in accordance with the ARPA, Treasury's regulations implementing
those sections, and Treasury's guidance on eligible uses of funds.
45. What reporting will be required, and when will the first report be due?
Recipients will be required to submit an interim report, quarterly project and expenditure
reports, and annual recovery plan performance reports as specified below, regarding their
utilization of Coronavirus State and Local Fiscal Recovery Funds.
Interim reports: States (defined to include the District of Columbia), territories,
metropolitan cities, counties, and Tribal governments will be required to submit one
interim report. The interim report will include a recipient's expenditures by category at
the summary level and for states, information related to distributions to nonentitlement
units of local government must also be included in the interim report. The interim report
will cover activity from the date of award to July 31, 2021 and must be submitted to
Treasury by August 31, 2021. Nonentitlement units of local government are not required
to submit an interim report.
Ouarterlv Proiecl and Expenditure renorts: Slate (defined to include the District of
Columbia), territorial, metropolitan city, county, and Tribal governments will be required
to submit quarterly project and expenditure reports. This report will include financial
data, information on contracts and subawards over $50,000, types of projects funded, and
other information regarding a recipient's utilization of award funds. Reports will be
required quarterly with the exception of nonentitlement units, which will report annually.
An interim report is due on August 31, 2021. The reports will include the same general
data as those submitted by recipients of the Coronavirus Relief Fund, with some
modifications to expenditure categories and the addition of data elements related to
specific eligible uses. The initial quarterly Project and Expenditure report will cover two
calendar quarters from the date of award to September 30, 2021 and must be submitted to
Treasury by October 31, 2021. The subsequent quarterly reports will cover one calendar
quarter and must be submitted to Treasury within 30 days after the end of each calendar
quarter.
Nonentitlement units of local government will be required to submit the project and
expenditure report annually. The initial annual Project and Expenditure report for
nonentitlement units of local government will cover activity from the date of award to
14
AS OF MAY 10, 2021
September 30, 2021 and must be submitted to Treasury by October 31, 2021. The
subsequent annual reports must be submitted to Treasury by October 31 each year.
Recovery Plan Performance reports: States (defined to include the District of Columbia),
territories, metropolitan cities, and counties with a population that exceeds 250,000
residents will also be required to submit an annual recovery plan performance report to
Treasury. This report will include descriptions of the projects funded and information on
the performance indicators and objectives of each award, helping local residents
understand how their governments are using the substantial resources provided by
Coronavirus State and Local Fiscal Recovery Funds program. The initial recovery plan
performance report will cover activity from date of award to July 31, 2021 and must be
submitted to Treasury by August 31, 2021. Thereafter, the recovery plan performance
reports will cover a 12-month period and recipients will be required to submit the report
to Treasury within 30 days after the end of the 12-month period. The second Recovery
Plan Performance report will cover the period from July 1, 2021 to June 30, 2022 and
must be submitted to Treasury by July 31, 2022. Each annual recovery plan performance
report must be posted on the public -facing websile of the recipient. Local governments
with fewer than 250,000 residents, Tribal governments, and nonentitlement units of local
government are not required to develop a Recovery Plan Performance report.
Treasury will provide further guidance and instructions on the reporting requirements for
program at a later date.
46. What provisions of the Uniform Guidance for grants apply to these funds? Will the
Single Audit requirements apply?
Most of the provisions of the Uniform Guidance (2 CFR Part 200) apply to this program,
including the Cost Principles and Single Audit Act requirements. Recipients should refer
to the Assistance Listing for detail on the specific provisions of the Uniform Guidance
that do not apply to this program. The Assistance Listing will be available on
bela.SAM.gov.
Miscellaneous
47. May governments retain assets purchased with Fiscal Recovery Funds? If so, what
rules apply to the proceeds of disposition or sale of such assets?
Yes, if the purchase of the asset was consistent with the limitations on the eligible use of
funds. If such assets are disposed of prior to December 31, 2024, the proceeds would be
subject to the restrictions on the eligible use of payments.
48. Can recipients use funds for administrative purposes?
Recipients may use funds to cover the portion of payroll and benefits of employees
corresponding to time spent on administrative work necessary due to the COVID-19
public health emergency and its negative economic impacts. This includes, but is not
15
AS OF MAY 10, 2021
limited to, costs related to disbursing payments of Fiscal Recovery Funds and managing
new grant programs established using Fiscal Recovery Funds.
Operational Questions
49. How does an eligible entity request payment?
Eligible entities (other than non -entitlement units) must submit their information to the
Treasury Submission Portal. Please visit the CoroMavirus Stale and Local Fiscal
Recovery Fund website for more information on the submission process.
50.1 cannot log into the Treasury Submission Portal or am having trouble navigating
it. Who can help me?
If you have questions about the Treasury Submission Portal or for technical support,
please email coyidreliclilsunnorl(iou'easurv.eov.
51. What do f need to do to receive my payment?
All eligible payees are required to have a DUNS Number previously issued by Dun &
Bradstreet (htgb://www.dnb.com/).
All eligible payees are also required to have an active registration with the System for
Award Management (SAM) (htros://www.sam.eov).
And eligible payees must have a bank account enabled for Automated Clearing House
(ACID direct deposit. Payees with a Wire account are encouraged to provide that
information as well.
More information on these and all program pre -submission requirements can be found on
the Coronavirus Slate and Local Fiscal Recovery Fund website.
52. Why is Treasury employing idane for the Treasury Submission Portal?
ID.me is a trusted technology partner to multiple government agencies and healthcare
providers. It provides secure digital identity verification to those government agencies
and healthcare providers to make sure you're you — and not someone pretending to be you
—when you request access to online services. All personally identifiable information
provided to ID.me is encrypted and disclosed only with the express consent of the user.
Please refer to ID.me Contact Support for assistance with your ID.me account. Their
support website is hllos://hclo.id. me.
53. Why is an entity not on the list of eligible entities in Treasury Submission Portal?
The ARP statute lays out which governments are eligible for payments. The list of
entities within the Treasury Submission Portal includes entities eligible to receive a direct
16
AS OF MAY 10, 2021
payment of funds from Treasury, which include states (defined to include the District of
Columbia), territories, Tribal governments, counties, and metropolitan cities.
Eligible non -entitlement units of local government will receive a distribution of funds
from their respective state government and should not submit information to the Treasury
Submission Portal.
If you believe an entity has been mistakenly left off the eligible entity list, please email
SLFRPiurreasurv.eov.
54. What is an Authorized Representative?
An Authorized Representative is an individual with legal authority to bind the
government entity (e.g., the Chief Executive Officer of the government entity). An
Authorized Representative must sign the Acceptance of Award terms for it to be valid.
55. How does a Tribal government determine their allocation?
Tribal governments will receive information about their allocation when the submission
to the Treasury Submission Portal is confirmed to be complete and accurate.
56. How do I know the status of my request for funds (submission)?
Entities can check the status of their submission at any time by logging into freasury
Submission Portal.
57. My Treasury Submission Portal submission requires additional
information/correction. What is the process for that?
If your Authorized Representative has not yet signed the award terms, you can edit your
submission with in the into freasury Submission Portal. if your Authorized
Representative has signed the award terms, please email SI,I'ItPvnueasurv.eov to request
assistance with updating your information.
58. My request for funds was denied. How do I rind out why it was denied or appeal the
decision?
Please check to ensure that no one else from your entity has applied, causing a duplicate
submission. Please also review the list of all eligible entities on the Coronavirus State and
Local Fiscal Recovery Fund website.
If you still have questions regarding your submission, please email
SLF RPw)(reasurv.vov.
59. When will entities get their money?
IrA
AS OF MAY 10, 2021
Before Treasury is able to execute a payment, a representative of an eligible government
must submit the government's information for verification through the Trcaaw Y
Submission Portal. The verification process takes approximately four business days. If
any errors are identified, the designated point of contact for the government will be
contacted via email to correct the information before the payment can proceed. Once
verification is complete, the designated point of contact of the eligible government will
receive an email notifying them that their submission has been verified. Payments are
generally scheduled for the next business day after this verification email, though funds
may not be available immediately due to processing time of their financial institution.
60. How does a local government entity provide Treasury with a notice of transfer of
funds to its State?
For more information on how to provide Treasury with notice of transfer to a state, please
email SLKcdirectfunds(Ii urivurY.eov.
18
Resolution #21212 May 26, 2021
Moved by Markham seconded by McGillivray the resolution be adopted.
Discussion followed.
Moved by Kowall seconded by Spisz the resolution be amended as follows:
Insert the following language after the 3rd BE IT FURTHER RESOLVED clause:
BE IT FURTHER RESOLVED that acceptance of American Rescue Plan funding and any
subsequent approval of appropriations for programs and services by Oakland County shall
not obligate a commitment of the General Fund, unless authorized by action of the Board of
Commissioners.
Vote on amendment:
AYES: Gershenson, Hoffman, Jackson, Joliet, Kochenderfer, Kowall, Kuhn, Long, Luebs,
Markham, McGillivray, Miller, Moss, Nelson, Powell, Spisz, Weipert, Woodward, Cavell,
Charles. (20)
NAYS: None. (0)
A sufficient majority having voted in favor, the amendment carried.
Discussion followed.
Vote on resolution, as amended:
AYES: Hoffman, Jackson, Joliet,
McGillivray, Miller, Moss, Nelson,
Gershenson. (20)
NAYS: None. (0)
Kochenderfer, Kowall, Kuhn, Long, Luebs, Markham,
Powell, Spisz, Weipert, Woodward, Cavell, Charles,
A sufficient majority having voted in favor, the resolution, as amended, was adopted.
4p,IHHEERE" yBy APROVE THIS RESOLUTIOhi
CHIEF DEPUTY COUNTY EXECUTIVE
ACTING PURSUANT TO MCL 45.559A (7`
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on May 26, 2021,
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the Circuit Court at Pontiac,
Michigan this 26th day of May, 2021.
Lisa Brown, Oakland County