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Saturday, November 23, 2024

American Rescue Plan Act 101

America

Cuyahoga County issued the following announcement on April 18.

Curious about ARPA and how it impacts the County and its residents? Interested in learning how you can become involved in this process and how these funds can be spent? Learn more from our FAQ below.

What is ARPA?

ARPA stands for the American Rescue Plan Act, which was signed into law on March 11, 2021. This $1.9 trillion relief bill includes $65.1 billion in direct aid for every County in America.

How much money will the County receive from ARPA?

The County will receive roughly $240 million in two payment tranches. The County received the first payment of roughly $120 million in June 2021, with the remaining payment expected in June 2022.

What can this money be spent on?

There are a few ways that ARPA funds can be spent, which include:

  1. Support public health response: fund COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff
  2. Address negative economic impacts: respond to economic harms to workers, families, small businesses, nonprofits, and impacted industries; re-hire public sector workers
  3. Replace public sector revenue loss: use funds to provide government services to the extent of the reduction in revenue experienced due to the pandemic
  4. 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 (funds can be used retroactively back to January 27, 2020)
  5. Water, sewer, and broadband infrastructure: make necessary investments to improve access to clean drinking water; invest in wastewater and stormwater infrastructure; provide unserved or underserved locations with new or expanded broadband access
General Fund reserves freed up through revenue loss (item #3) can then be used for transformative and lasting initiatives. You can find a detailed list of eligible use categories in the latest Compliance and Reporting Guidance on the U.S. Treasury website.

How will these funds help the County?

Using these funds in the above ways will allow the County to maintain quality services, mitigate the continuing effects of COVID-19, and create transformative and lasting initiatives to launch Cuyahoga County toward a more vibrant and prosperous region where everyone thrives.

What has the County allotted funds to so far?

As of January 2022, the County has not expended any ARPA funds to any projects or initiatives. Unlike CARES Act funds, ARPA funds are subject to additional Federal administrative requirements. As a result, all projects or initiatives eligible for ARPA funding will go through a full and open competitive process. The County will issue press releases to announce formal procurements for all ARPA eligible projects or initiatives.

The County released a Recovery Plan Performance Report on August 31 providing the public with information on the projects the County is undertaking using ARPA dollars and how the County plans to ensure outcomes are achieved in an effective, efficient, and equitable manner. The County is required to release a performance report of this nature annually based on the report timelines established by the United States Department of the Treasury:

Original source can be found here.

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