Adequate time should be taken to carefully consider all alternatives for the prudent use of ARPA funding prior to committing the resources to ensure the best use of the temporary funding. Heres what happened at the 2021 FES | ACEC-FL Annual Conference in Palm Beach, FL. A municipality may wish to consider the above scenarios in determining the eligibility of a supplemental project that is not specifically identified as eligible to receive CLFRF funds under these provisions. Throughout these challenging times,Coronavirus highlightedurgent gaps in local governments ability to work and serve digitally. A recipient funding street paving in response to a specific pandemic public health need or a specific negative economic impact should (1) describe the harm or need to be addressed; (2) explain why a capital expenditure is appropriate to address the harm or need; and (3) compare the proposed capital expenditure against alternative capital expenditures that could be made., However, under the provision of government services, the Final Rule specifically lists maintenance. The growth adjustment is the greater of either a 5.2% standard growth rate, or the recipient's average annual revenue growth in the last full three fiscal years prior to the COVID-19 pandemic.. Actual revenue is the total revenue collected over the 12 months immediately preceding the calculation date. Our software implementation services offer our clients flexibility when choosing their solution. ARPA provides funding for many programs and services nationwide. Temporary Nature of ARPA Funds. Were refreshing our brand to reflect the energy, inspiration, and excitement that we feel when we come to work every day. Rating agencies will evaluate a governments use of the ARPA funds in formulating its credit opinion and, importantly, will consider your governments level of reserves and structural budget balance, or efforts to return to structural balance, as part of their credit analysis. [1] Treas. If you have a question you would like answered, please contact Jacob Ewing , requiring a short amount of paperwork that explains your project and its relevant costs. The U.S. Department of the Treasury continues to release answers to new frequently asked questions regarding the expenditure of Coronavirus State and Local Fiscal Recovery Funds under the American Rescue Plan Act. Jurisdictions must submit this request even if they have applied for other programs in the past. infrastructure projects, to include roads and bridges. Investments in water, sewer and broadband infrastructure. [3] Pay-go infrastructure funding refers to the practice of funding capital projects with cash-on-hand from taxes, fees, grants, and other sources, rather than with borrowed sums. Learn more about the CARES Act and its regulations around technology purchases >>, ARPA funding guidelines for state, local, territorial, and tribal governments, Coronavirus State and Local Government Fiscal Recovery Fund FAQ, On May 10, 2021, the U.S. Department of the Treasury releaseddetails on, how local government can use ARPA funding. The ARPA funds will arrive in two installments. Technology certainly supports your city or countys pandemic recovery and creates sustainable, equitable government processes for the future. Metropolitan cities will receive $45.57 billion, with fundsallocated based on the existing HUD. The ARP also specifically authorizes expenditures of monies through the CLFRF to make necessary investments in water, sewer, or broadband infrastructure.. Did your local government have a technology project postponed or cancelled because of pandemic-related budgetary concerns? The money can used for water, sewer, and broadband improvements, to offset lost revenue from the Coronavirus pandemic, and more. Our software integrations are built to seamlessly connect with your tech stack, allowing you to work more efficiently. WGI is a silver partner in the Complete Streets Coalition (a project within Smart Growth America), a group of researchers, advocates, and practitioners advancing best practices for designing multi-modal streets. PORTSMOUTH The Town Council on Nov. 22 approved a public safety capital funding plan which would use the largest chunk remaining of Portsmouth's $5.1 million American Rescue Plan Act funds to buy or rehabilitate apparatus for the fire department. Commissioners said in early January that they couldn't commit to awarding any money to municipalities until they learned whether or not ARPA funds could be used on roads and bridges. For water and sewer, the Treasury aligned the types of projects with the wide range of projects that can be supported by the Environmental Protection Agencys clean water state revolving fund and drinking water state revolving fund. When considering how to best advise elected officials and plan for the prudent use of ARPA funds, we offer the following outline of Guiding Principles for the use of ARPA funds: Temporary Nature of ARPA Funds. Suite 200 If you have specific questions or need clarification, GFOA has launched anonline portalto gather member questions to help shape engagement and solicit answers from the Administration. Enter your zip code, and well personalize your experience with local projects, office locations, team members, and more. Reg. Any purchases made for otherwise qualified items before March 3, 2021, are not eligible for reimbursement. https://home.treasury.gov/system/files/136/SLFRF-Compliance-Statement.pdf. Davis, who acts as a liaison to the Roads Division, said the township is also in need of a larger snow plow. It also can . Finance officers play a critical role in advising elected leaders on the prudent spending of moneys received under ARPA. that allow government communication across multiple devices and language can expand the reach of communications, including to low-income community members who, This can also support other initiatives like the, services or outreach to promote access tobehavioralhealth and social services, Enhancement of public health data systems. Tampa, FL 33607, 2035 Vista Parkway Lorain's estimated ARP allocation is $31 million. Services to address individuals experiencing homelessness. The relief funds are being distributed as follows . The economic relief package of$1.9 trillionbecamelaw on March 11, 2021. Recipients may donate funds to a non-profit that serves to benefit the community as a whole (e.g., a municipality could give the funds to organizations like "Friends of the Library" or "Friends of the Park" and those organizations can use the money to improve the library or purchase new park equipment. Treasury considers an investment in infrastructure to be necessary if it is (1) responsive to an identified need to achieve or maintain an adequate minimum level of service, which for some eligible project categories may include a reasonable projection of increased need, whether due to population growth or otherwise and (2) a cost-effective means for meeting that need, taking into account available alternatives DWSRF and CWSRF eligible projects continue to be presumed to be necessary investments under the final rule, with the exception of projects for the rehabilitation of dams and reservoirs. Our full-featured constituent relationship manager for government entities acts as a centralized hub for all things related to citizen engagement. Swagit hands-free video streaming takes production responsibilities off of your staff, while expanding the reach and accessibility of content. Response to the public health emergency or its negative economic consequences How Can Michigan Townships Use the American Rescue Plan Act Funds? Her passion is reinventing community planning processes and tools to meet trends and challenges. Renewals must be completed each year on the SAM.gov website. Reg. 349 municipalities in Massachusetts are currently members of the MMA. The township used the funds to pay public safety workers overtime. The Treasury Department, the federal agency responsible for administering the program, issued initial guidance its Interim Final Rule in early May. There are three areas where Complete Streets and trail projects may align with ARPA funding criteria: public health, addressing economic impacts, and infrastructure. Safe Streets and Roads for All . Simplify managing agendas, meetings, and committees with a single, end-to-end solution to optimize and digitize your legislative management process. Funding 'About Me' Signed into law in March 2021, the trillion American Rescue Plan Act (ARPA) is distributing more than $360 billion in infrastructure related funding for state, local, territorial, and Tribal governments, part of which can be used for "government services," particularly of interest to state and local governments preparing for infrastructure projects (). The reports will run through 2026 or when all of the ARPA funds are expended, whichever is earlier. However, regarding infrastructure projects, the Final Rule states: General infrastructure projects, including roads, streets, and surface transportation infrastructure, would generally not be eligible, unless the project responded to a specific pandemic public health need or a specific negative economic impact. City, county, Tribal, territorial, and state governments are receiving much-needed funding as part of the third round of pandemic economic stimulus to lay the foundation for a strong and equitable recovery. The Coronavirus Local Fiscal Recovery Fund (CLFRF) provide recipients with broad latitude to use funds for the provision of government services to the extent of the reduction in revenue due to the COVID-19 public health emergency relative to revenues collected in the most recent full fiscal year prior to the emergency.[1] The U.S. Department of the Treasurys (Treasury) Final Rule, effective April 1, 2022, identifies the maintenance of infrastructure (such as roads) as a government service that may be funded by CLFRF under certain circumstances. Only in these communities, this spending may include: The latest FAQ document adds further guidance for municipalities that wish to partner with nonprofits and private organizations, whether to issue premium pay or to address public health and economic impacts. 801 et seq., at 603(c)(1)(D), available at: https://www.congress.gov/bill/117th-congress/house-bill/1319/text#HAECAA3A95C4E4FFAB6AA46CE5F9CB2B5. 19 emergency, the new rule states that the funds can only be used to cover costs beginning March 3, 2021. Suite 380 It should be noted that additional information may be provided when Treasury issues new Frequently Asked Questions ("FAQs") specific to the Final Rule. We've compiled information about funding in the Act, how that applies to software investments, and examples of how your organization can get the ARPA funds needed to serve your community. Use of ARPA funds to cover operating deficits caused by COVID-19 should be considered temporary and additional budget restraint may be necessary to achieve/maintain structural balance in future budgets. Suite 400 Unit #14 Ineligible uses of ARPA funds They may be used for any public purpose authorized by state law. Nothing in the legislation forbids spending on multi-year contracts. Using the money for federal matching funds Port St. Lucie, FL 34986, 5640 Dillard Drive Browse our collection of helpful resources on citizen engagement and government software solutions curated by our team of industry experts. April 6, 2022 update: In 2021 the City of Ann Arbor was informed that it would be awarded $24.2 million in federal American Rescue Plan Act funds. . 27th Floor Government officials have not yet released final details on reporting requirements; however, your team should include colleagues from financial departments who will be responsible for accounting, audits and reporting. Though both contained economic relief for state and local government, CARES and ARPA have different funding allocations, requirements for spending, and fund usage deadlines. Along with thefunding guidelines, allocation methodologies and amountsfor cities, counties, territories, and states were released on May 10, 2021. In the recent FAQ the Treasury Department announced, for the first time, that funds used under the "Revenue Loss" category are not subject to 2 C.F.R. Care should be taken to avoid creating new programs or add-ons to existing programs that require an ongoing financial commitment. Overview. The city was the first applicant for the county's ARPA funds, submitting a $1 million grant to fund a UV wastewater disinfection system at the treatment plant. ARPA would fund $3.8 million for the city's bridge construction program, so that $3.8 million in bond money can go towards public art. In Greater Cleveland, $1.1 billion will be coming our way, with another $331 million flowing to Greater Akron, $167 . For counties, the $65 billion will be allocated based on the countys population. The Treasury has established a methodology to calculate the reduction in local revenue during the pandemic, and allows recipients to recalculate revenue loss at several points throughout the program, supporting municipalities that have experienced a lagging impact of the crisis on revenue. Judge Lina Hidalgo called it "kicking the can down the road." Despite the misgivings and criticism, the commission unanimously approved the spending. TheU.S. Department of the Treasury(Treasury) Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) FinalRule. That money can't be used for roads, but still qualifies for spending on special mitigation projects related to public health. Heres a breakdown of what local government needs to know about the ARPA, and what ARPA funds can be used for. Austin, TX 78702, 14045 Ballantyne Corporate Pl. TheU.S. Department of the Treasury(Treasury) Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) FinalRule directly states: In the final rule, Treasury is maintaining the approach under the interim final rule that general infrastructure projects, including roads, streets, and surface transportation infrastructure, would generally not be eligible, unless the project responded to a specific pandemic public health need or a specific negative economic impact.[1]. To offer swift guidance on the use of Coronavirus State and Local Fiscal Recovery Funds (CSLFRF), the U.S. Department of Treasury (Treasury) published the . ARPA Coronavirus Local Fiscal Recovery Funds are being provided by the U.S. Department of Treasury (Treasury) to help local governments recover from the Coronavirus pandemic. rates, also remember that the County can delay obligating funds until December 31, 2024 and not draw funds in advance (Source: Eide Bailly, 06/29/21). Care should be taken to avoid creating new programs or add-ons to existing programs that require an ongoing financial commitment. In addition to the revenue loss category, road work would be eligible as required by stormwater system infrastructure projects. change the course of the COVID-19 pandemic, provide direct relief to Americans,and build a bridge to equitable economic recovery. Localities will receive the funds in two tranchesthe first after the U.S. Treasury certifies the proceeds to each jurisdiction and the second one year later. Huntsville, AL 35801, 8910 Purdue Road Local governments can use ARPA funds to cover costs incurred by Dec. 31, 2024, to: Provide government services affected by a revenue reduction during the pandemic (in the most recent full fiscal year prior to the emergency); thus, a local unit may use the money to replace the amount of revenue lost during the pandemic compared to the prior full . The City has adopted a plan to use ARPA funds to address critical community issues, support an equitable recovery, and continue to provide . Fort Myers, FL 33966, 3499 NW 97th Boulevard Following that notice, the City Council directed the City Administrator to prepare a plan for allocating the funds. The Final Rule governing the use of Coronavirus State and Local Fiscal Recovery Funds from the American Rescue Plan Act, issued today by the U.S. Department of the Treasury, significantly increases flexibility for municipalities, particularly in the way they calculate local tax revenue loss attributable to the pandemic.. Update: On January 6, 2022, the U.S. Department of the Treasury issued the Final Rule, which governs the eligible uses of Coronavirus State and Local Fiscal Recovery Funds ("SLFRF") under the American Rescue Plan Act ("ARPA").The Final Rule makes several key changes to the Interim Final Rule, including expanding the eligible uses of CSLFRF and easing the administrative burden for some . Update: On January 6, 2022, the U.S. Department of the Treasury issued the Final Rule, which governs the eligible uses of Coronavirus State and Local Fiscal Recovery Funds ("SLFRF") under the American Rescue Plan Act ("ARPA").The Final Rule makes several key changes to the Interim Final Rule, including expanding the eligible uses of CSLFRF and easing the administrative burden for some . State and local governments could transfer funds to private nonprofit groups, public benefit corporations involved in passenger or cargo transportation, and special-purpose units of state or local governments. More than two-thirds of the $2.8 billion going directly to Minnesota under the massive COVID relief bill can be used to cover lost revenue, which could free the money from being governed by the . The updated rules allow local governments to use up to $10 million in ARPA funds for "revenue loss" and funds can be used on capital expenditures that support an eligible COVID-19-related . We are leaders in government software solutions and services. About ARPA The American Rescue Plan Act of 2021 established the Coronavirus State and Local Fiscal Recovery Fund (CSLFRF, aka ARPA) which provides $350 billion to state and local governments across the nation for the response to and recovery from the COVID-19 pandemic. For cities, $65 billion is divided between jurisdictions that are Community Development Block Grant (CDBG) entitlement jurisdictions and those that are not. WGI is a dynamic organization with opportunities nationwide for engineers, land surveyors, landscape architects, environmental scientists, and architects. The interim rule does, however, reference example projects that address COVID-related impacts and needs. Suite 1750 He said with the ARPA funds, broadband work can instead all be done at once. Suite 203 SIMA is your enterprise resource planning solution to manage budgets, accounting, and human resources. Consider the Treasurys guidelines. Even with plenty of funding, planning municipal projects can take a significant amount of time, which is why it's so important to start the early steps of the planning process as soon as possible. The ARPA expressly includes infrastructure if it is 'necessary' and in water, sewer, or broadband, suggesting that the statute contemplates only those types of infrastructure. In the final rule, Treasury is maintaining the approach under the interim final rule that general infrastructure projects, including roads, streets, and surface transportation infrastructure, would generally not be eligible, unless the project responded to a specific pandemic public health need or a specific negative economic impact. Initial federal ARPA funding to the states and their political subdivisions was estimated to begin as early as May. American Rescue Plan Act of 2021. Investing in technology and equipment to allow law enforcement to more efficiently and effectively respond to the rise in gun violence resulting from the pandemic. SAM.gov Renewal: SAM.gov registration is required for American Rescue Plan funds as well as other federal funding (including disaster aid). No paperwork required, just a conversation. [7] In addition, Treasury encourages municipalities to consider the guidance issued in the Statement Regarding Compliance with the Coronavirus State and Local Fiscal Recovery Funds Interim Final Rule and Final Rule.[8]. The latest guidance clarifies that road repairs connected to eligible water and sewer infrastructure improvements can be included. States with a net unemployment increase of over 2% are exempt from this rule, and will receive all funds in the first payment. San Antonio, TX 78249, 2316 Killearn Center Blvd. Across the country, the pandemic has impacted low-income andvulnerable communitieswith disproportionate severity. Along with allocations of funds by government entity, the eight-page fact sheet clarifies uses of funding. The 853,500-square-foot facility already hosts more than 500,000 patrons a year to its performances, but it wants a more modern and efficient layout. The funding provided under ARPA provides a unique opportunity for state and local governments to make strategic investments in long-lived assets, rebuild reserves to enhance financial stability, and cover temporary operating shortfalls until economic conditions and operations normalize. Funding is one time in two phases. Most of the county officials interviewed expressed frustration that the ARPA funds can't be used, under current guidelines, for normal county expenses, such as maintaining roads, replacing . How Much ARPA Funding Is Available for State and Local Government? GFOA American Rescue Plan Act Guiding Principles. In summary, regarding revenue loss and provision of government services, the Final Rule may permit certain infrastructure projects such as road maintenance. To enable the best possible assistance to individuals,households, small businesses,andindustries, the Actgives government flexibilityfor how tobestuse ARPA funds. , whereyourdepartment reaches out to the group overseeing funds. Hiring law enforcement officials, even above pre-pandemic levels, or paying overtime where the funds are directly focused on advancing community policing strategies in those communities experiencing an increase in gun violence associated with the pandemic "As set forth in the award terms, the period of performance will run until December 31, 2026, which will provide recipients a reasonable amount of time to complete projects funded with payments from the Fiscal Recovery Funds.". The State of Kentucky and the Department of the Treasury can decide how revenues are used locally in accordance with the law. ARPA money can't be used to decrease taxes or delay an expected tax increase. Community Violence Intervention programs, including capacity building efforts at CVI programs, like funding and training additional intervention workers The U.S. Department of the Treasury continues to release answers to new frequently asked questions regarding the expenditure of Coronavirus State and Local Fiscal Recovery Funds under the American Rescue Plan Act. If your agency needs atoolto, Software can also helpmeet the Treasurys. Here are some key ways metropolitan cities and NEUs are allocating their SLFRF dollars for infrastructure projects: Public Space: Williamsburg, Virginia allocated $900,000 of the city's ARPA funds to enhance a playground at Waller Mill Park. . Basic org description: What you do within your community. According to the U.S. Treasury, the objectives of this funding are to: The CARES actwas the first round of coronavirus economic relief payments, signed into law in March2020. Save time, stay compliant and reduce risk while easily, What Can ARPA Funds be Used For: A Guide for Local Government, , which meanscommunity members still need support. And 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.A method for computing reduction of revenue is provided: Recipients will compute the extent of their reduction in revenue bycomparing their actual revenue to an alternative representing what could have been expected to occur in the absence of the pandemic. The American Rescue Plan Act, commonly referred to as ARPA, is a $1.9 trillion stimulus passed by the U.S. Congress and signed by President Joe Biden in 2021. However, care should be taken to assess any on-going operating costs that may be associated with the project. ARPA funds can be used to support distance learning, tutoring, and after school programs for both K -12 and higher education students These funds can also be directed to support the emotional and mental health needs of students ARPA additionally allocates $7.1 billion for the E -Rate program, 31 CFR 35 at 14, available at: https://home.treasury.gov/system/files/136/SLFRF-Final-Rule.pdf. Software can also helpmeet the Treasurysquarterly reporting requirements. It includes benefits directly to individuals, such as recovery rebates . The digital divide and broadband were hot topics throughout the pandemic. A town survey had revealed that respondents overwhelmingly favored the use of ARPA funds to . Successful project applications will identify how the project addresses the identified need or impact. For more resources on ARPA for local government, we recommend the National League of Cities', The CARES Act and Technology: A Guide for Local Government, How Local Government Should Engage With Gen Z, By Mark Funkhouser, Constituent Relationship Management (CRM), Overview of the State and Local Fiscal Recovery Funds. Be sure to understand what they are planning and augment their efforts; alternatively, creating cooperative spending plans to enhance the structural financial condition of your community. As with previous COVID-19 relief packages, implementation will be an extensive process as new or updated guidance and FAQs are developed and released by theU.S. Treasury. See how a business process management tool built for government can drive efficiency quickly without long-term costs >>, 3. Provision of premium pay to eligible workers ARPA provided approximately $350 billion of new funding to tribal governments, states, territories, and local governments, $14 billion of which was estimated to be received by Pennsylvania and its municipalities. 48% of all car trips are less than three miles in length, with about twenty percent being shorter than one mile (source: Heavy traffic and lack of separated paths or trails were the most frequently identified barriers to bicycling more (source: Greenhouse gas (GHG) emissions from transportation are the single largest source of greenhouse gases in the U.S., accounting for about 29% of total GHG emissions (source: In a typical community, 20- 40% of residents cannot, should not, or prefer not to drive for most trips, and so benefit from multimodal planning that responds to those demands (source: In areas where over 20 percent of households are below the federal poverty line, the pedestrian death rate is more than 80 percent higher than the U.S. average (source: Funds are being released in two stages for states, cities and counties: half of the funds were made available in May 2021, with the second half to be released in May 2022. 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