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Home My WebLink AboutAGENDA REPORT 2021 0728 CCSA REG ITEM 05A POWERPOINT 1American Rescue Plan Act Funds Workshop July 28, 2021 By: Kambiz Borhani Brian Chong Presentation Agenda Overview of American Rescue Plan Act (ARPA) of 2021 Distribution of Funds Period of Performance & Timeline Guidelines on Use of Funds Goals for Use of Funds Results of Community Survey Proposed Use of ARPA Funds Next Steps 2 Overview of American Rescue Plan Act (ARPA)(H.R.1319) 3 Passed by Congress on March 10, 2021 and signed into law on March 11,2021. Provided $1.9 trillion economic assistance for American workers, families, small businesses, and industries. -Largest economic package ever approved by Washington. It provides funding to all 19,000 cities, towns, and villages. -Focus on economic recovery, stabilizing government, and uplifting communities -Creates new programs, phases, allocation and guidance to address continuing pandemic -related crises. Distribution of Funds 4 Type Amount ($ billion) States & District of Columbia $195.30 Counties $65.10 Metropolitan Cites $45.60 Tribal Governments $20.00 Territories $4.50 Non -entitlement Units of Local Government $19.50 Total $350.00 $26,517,016,860 State of California $8,701,674 City of Moorpark $164,326,748 County of Ventura 5 Also Support: 6 •Reopening K -12 schools •Addressing learning loss •Higher education emergency relief Education •Child Care Development Block Grant •Childcare stabilization fund for providers Child Care Businesses •Reauthorization of State Small Business Credit Initiative (SSBCI) •Grants to restaurants and bars Healthcare •Public transit agencies •Broadband connectivity •COVID -19 testing and mitigation •Vaccine program •Public health workforce •Mental health •Emergency rental assistance •Homeowner assistance •Homelessness assistance •Emergency Housing Choice Vouchers Transportation Housing Overview of American Rescue Plan Act (ARPA)(H.R.1319) 7 •Grant funding will be released in two tranches: •Half delivered on July 13, 2021 •Half 12 months following receipt of first payment •Funds must be obligated by December 31,2024 •Local governments,including counties, are required to provide “periodic reports” providing a detailed accounting of the use of funds •Funds must be expended by December 31,2026; unexpended funds must be returned to Treasury Period of Performace The funds may be used for costs incurred under the covered period March 3, 2021 and funds will remain available through December 31, 2024 , for making payments under this section to metropolitan cities, non - entitlement units of local government, and counties to mitigate the fiscal effects stemming from the public health emergency with respect to the Coronavirus Disease (COVID –19). 8 Timeline 9 DEC - 2026 DEC - 2024DECOCTJULJUNMAR ARPA Passed by Congress –03/10 Submit Certification to DOF –6/12 CC Approval for Creating a New Fund & Bank Account –7/21 Open a New Bank Account –7/30 First Report Due -10/31 Funds Must be Obligated by –12/31 ARPA Signed into Law –03/11 First Tranche - $4,350,837 –7/13 CC Workshop –ARPA Funds Use –7/28 CC Workshop – Research Eligibility & Feasibility of Projects –10/20 CC Workshop –Cost out Uses of Funds per Projects selected –12/31 Funds Must be Expended by – 12/31 Treasury possibly issues Interim -Final - Rule (3) –12/15 Guidelines on Use of Funds 10 Expenditure Categories 11 5 6 & 7 1 3 2 4 Public Health Addressing Negative Economic Impact Services to Disproportionately Impacted Communities Premium Pay for Public and Private Workers Infrastructure Revenue Replacement for Government Services and Administrative Uses of Funds ▪COVID -19 or a negative economic impact; ▪Premium pay for eligible workers; ▪Make necessary investments in water, sewer, or broadband infrastructure; or ▪For government services to the extent of the loss of revenue. 12 13 14 Premium Pay Employees of the jurisdiction designated by executive as essential Can be provided directly, or through grants to private employers to public health/safety staff and essential workers outside the public sector: Workers at grocery stores, farms, food production facilities, and restaurants, janitors/sanitation workers, truck drivers, transit staff, and warehouse workers, human service, etc. Contact workers performing essential work also eligible.15 Water/Sewer Infrastructure Necessary investments are designed to provide an adequate minimum level of service and are unlikely to be made using private sources of funds. Building/upgrading facilities and transmission, distribution, and storage systems, including the replacement of lead service lines. Recipients retain substantial flexibility to identify those water and sewer infrastructure investments that are of the highest priority for their own communities 16 Broadband Infrastructure Build broadband infrastructure with modern technologies in mind, specifically projects that deliver services offering reliable 100 Mbps download and 100 Mbps upload speeds, unless impracticable due to topography, geography, or financial cost. Assisting households to support internet access or digital literacy is an eligible use. 17 Ineleigible Uses of Funds Prohibited Expenditures: ▪Funding debt service ▪Deposits into a pension fund ▪Funding legal settlements or judgements ▪To offset a reduction in taxes or delay tax increase ▪Deposits into a rainy -day fund or financial reserves ▪Used as non -federal match for another federal program 18 Flexibility of Funds Recipient Governments can transfer funds to third parties for eligible expenses: ▪Private nonprofit organization ▪A public benefit corporation involved in the transportation of passengers or cargo, ▪Or a special -purpose unit of State or local government 19 Identifying Eligible Projects Projects: ▪Can be new or existing eligible government services or investments funded in whole or in part by ARP funding ▪Should include only closely related activities directed toward a common purpose ▪Must be scoped to align to a single Expenditure Category 20 Goals for Use of ARPA Funds Create Sustainable Solutions Achieve Long -Term Benefits Address Immediate Needs 21 Results of Community Survey 22 Questions? 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