This week, the Division of Local Government Services released Local Finance Notice 2021-13, American Rescue Plan (ARP) Supplemental Compliance & Reporting Guidance. While much of the material will be familiar based on information previously shared by the League on the Federal Page and recent blog posts, there is further specific guidance on:
- Staffing and sustainability considerations;
- Compliance as well as sub-allocation compliance;
- Use of Local Fiscal Recovery Funds proceeds to offset COVID-19 attributable revenue loss;
- Use of funds for crime prevention and response,
- Premium pay;
- Small business assistance;
- Aid to travel, tourism, and hospitality or other impacted industries, and
- Administrative costs and audit expenses.
The Division is requesting that counties and municipalities carefully consider the long-term budgetary impact beyond the second and final ARP funding. The Division is also suggesting that municipalities and counties explore shared services and possibly pooling ARP funds for regional projects.
We encourage you to review the notice with your municipal manager and professional staff.
Contact: Paul Penna, Legislative Analyst, firstname.lastname@example.org or 609-695-3481, x110.