Title
Chief Administrative Office recommending the Board:
1) Receive a presentation on the American Rescue Plan Act (ARPA) funding, specifically eligible and ineligible uses of funds;
2) Provide direction on Board priorities for allocating ARPA funding; and
3) Direct the Chief Administrative Office to return by the end of October with recommendations regarding the use of ARPA funds.
FUNDING: American Rescue Plan Act.
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DISCUSSION / BACKGROUND
On March 11, 2021, President Biden signed into law the American Rescue Plan Act (ARPA), which allocated $1.9 trillion to assist in the recovery from the impacts of the COVID-19 pandemic. Included in this amount is a direct allocation to cities and counties. A summary of funding amounts and purposes is available at
.
El Dorado County has been provided a direct allocation of $37.46 million. Approximately $18.7 million payment was received in June 2021 and the second payment totaling an additional $18.7 million is scheduled to be delivered in June or July 2022. For reference purposes the City of South Lake Tahoe is receiving approximately $5.3 million and the City of Placerville is receiving approximately $2.6 million.
In general, the ARPA funds can only be used for expenses incurred between March 3, 2021 and December 31, 2024. All funds are to be obligated by December 31, 2024 and fully expended by December 31, 2026.
The U.S. Department of the Treasury has provided agencies with an Interim Final Rule https://home.treasury.gov/system/files/136/FRF-Interim-Final-Rule.pdf, which provides additional guidance relative to the use of ARPA funds.
There are four categories of eligible use for ARPA funding:
1. Public Health and Economic Impacts
2. Premium Pay
3. Revenue Lost
4. Investments in Infrastructure
The American Rescue Plan Act also specific...
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