The American Rescue Plan Act of 2021 (ARPA) is the sixth federal COVID-19 relief bill passed last year, and is by far the largest infusion of resources to the State of Connecticut. Specifically, the State expects approximately $6 billion of ARPA funds to enter through various grants to the State and Local governments.
Municipal Resources
Coronavirus State and Local Fiscal Recovery Funds 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.
The 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, and more equitable economy as the country recovers.
CCM Memo on Navigating the Final Rule
CCM ARPA Final Rule & Best Practices Presentation – 2/3/2022
Video Recording of SCRCOG ARPA Forum on December 7, 2021
Video Recording of ARPA Discussion at SCRCOG Board Meeting on August 25, 2021
Recipients may use these funds to:
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
The final rule offers a standard allowance for revenue loss of $10 million, allowing recipients to select between a standard amount of revenue loss or complete a full revenue loss calculation. Recipients that select the standard allowance may use that amount for government services.
Provide Premium Pay for Essential Workers
For example, offering additional support to those who have and will bear the greatest health risks because of their service in critical infrastructure sectors.
The final rule offers more streamlined options to provide premium pay, by broadening the share of essential workers who can receive premium pay without a written justification while maintaining a focus on lower-income and frontline essential workers.
Invest in Water, Sewer, and Broadband Infrastructure
For example, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet.
The final rule significantly broadens eligible broadband infrastructure investments to address challenges with broadband access, affordability, and reliability, and adds additional eligible water and sewer infrastructure investments, including a broad range of lead remediation and stormwater management projects.
Within these overall categories, recipients have broad flexibility to decide how best to use this funding to meet the needs of their communities.
Recipients may NOT use these funds to:
Deposit into Pension Funds
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 Department Guidance
Compliance and Reporting Guidelines
FAQ – Coronavirus State and Local Fiscal Recovery Funds
Webpage – Coronavirus State and Local Fiscal Recovery Funds
Connecticut’s Plan
Governor Lamont developed five key areas for these investments:
(1) Defeating COVID-19
(2) Investing in our Future
(3) Creating a More Affordable Connecticut
(4) Economic Growth that Works for All
(5) Modernizing State Government
SCRCOG Memo on State Projects using American Rescue Plan Funds
Full Report – Connecticut’s Plan for the American Rescue Plan Act of 2021
Presentation Slides – Connecticut’s Plan for the American Rescue Plan Act of 2021
Office of Policy and Management’s American Rescue Plan Act 2021 Webpage
FEMA Guidance and Resources
Coronavirus (COVID-19) Pandemic: Medical Care Eligible for Public Assistance (Interim) (Version 2)
Public Assistance Disaster-Specific Guidance – COVID-19 Declarations
Economic Development Administration (EDA) Programs
Under the American Rescue Plan, EDA was allocated $3 billion in supplemental funding to assist communities nationwide in their efforts to build back better by accelerating the economic recovery from the coronavirus pandemic and building local economies that will be resilient to future economic shocks.
Build Back Better Regional Challenge
Economic Adjustment Assistance
Travel, Tourism and Outdoor Recreation
Statewide Planning, Research and Networks
Helpful Links
Allocations for Local Governments in Connecticut
Connecticut Conference of Municipalities (CCM) ARPA Resources Webpage
National League of Cities – 10 Things for City Leaders to Know