CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS

 

Sections 602 and 603 of the Social Security Act as added by section 9901 of the American Rescue Plan Act of 2021 (the Act), Pub. L. No. 117-2 (Mar. 11, 2021) authorizes the Coronavirus State Fiscal Recovery Fund (CSFRF) and Coronavirus Local Fiscal Recovery Fund (CLFRF) respectively (referred to as the Coronavirus State and Local Fiscal Recovery Funds or SLFRF), which provides $350 billion in total funding to Treasury to make payments generally to States (defined to include the District of Columbia), U.S. Territories (defined to include, Puerto Rico, U.S. Virgin Islands, Guam, Northern Mariana Islands, and American Samoa), Indian Tribes, Metropolitan cities, Counties, and Nonentitlement units of local government to respond to the COVID-19 public health emergency or its negative economic impact, including to provide assistance to households, small business, nonprofits, and impacted industries, such as tourism, travel, and hospitality; respond to workers performing essential work during the COVID-19 pandemic by providing premium pay to eligible workers of the State, territory, Tribal government, metropolitan city, county, or nonentitlement units of local government performing essential work or by providing grants to eligible employers that have eligible workers; provide government services, to the extent of the reduction of revenue due to COVID-19 relative to revenues collected in the most recent full fiscal year of the State, territory, tribal government, metropolitan city, county, or nonentitlement units of local government; or make necessary investments in water, sewer, or broadband infrastructure. The Consolidated Appropriations Act, 2023 (Pub. L. No. 117328 (Dec. 29, 2022)) amended sections 602 and 603 of the Social Security Act to authorize recipients also to use SLFRF funds to provide emergency relief from natural disasters or the negative economic impacts of natural disasters, including temporary emergency housing, food assistance, financial assistance for lost wages, or other immediate needs; and for certain infrastructure projects eligible under 26 programs administered by the Department of Transportation and under title I of the Housing and Community Development Act of 1974.

General information about this opportunity
Last Known Status
Active
Program Number
21.027
Federal Agency/Office
Departmental Offices, Department of The Treasury
Type(s) of Assistance Offered
C - Direct Payments For Specified Use
Program Accomplishments
Fiscal Year 2023 As of March 31, 2023, recipients of CSLFRF funds have reported making investments in key areas like housing, workforce, and infrastructure. Recipients have reported budgeting $17 billion for housing, for over 2,400 projects. Recipients have reported to Treasury nearly $11.8 billion budgeted for workforce projects, including more than $3.3 billion for premium pay projects, serving nearly 1,500,000 eligible workers. Recipients have also reported over 9,600 water, sewer, and broadband infrastructure projects totaling more than $26.5 billion budgeted.
Authorization
AMERICAN RESCUE PLAN ACT OF 2021, Part 8 – MISCELLANEOUS PROVISIONS, Section 602 and 603 as added by section 9901, Public Law 117-2, 42 U.S.C. 802 and 803
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
States (defined to include the District of Columbia), U.S. Territories (Puerto Rico, U.S. Virgin Islands, Guam, Northern Mariana Islands, and American Samoa), Tribal governments, Metropolitan cities, nonentitlement units of local government (through states) and Counties.
Beneficiary Eligibility
Not applicable.
Credentials/Documentation
Not applicable.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. Not Applicable. No new awards will be made in FY 2024.
Award Procedure
Not Applicable. No new awards will be made in FY 2024.
Deadlines
Deadlines do not apply.
Approval/Disapproval Decision Time
Not applicable.
Appeals
Not applicable.
Renewals
Not applicable.
How are proposals selected?
Not Applicable. No new awards will be made in FY 2024.
How may assistance be used?
For all recipients, funds may be used for the following eligible activities: 1) Response to the COVID-19 public health or economic crisis, including aid to households, small business, non-profits, or impacted industries; 2) Premium pay to essential employees, both public and private; 3) Provide government services, to the extent of revenue lost due to COVID-19; 4) Make necessary investments in water, sewer, or broadband infrastructure; 5) Provide emergency relief from natural disasters; 6) Surface Transportation projects; and 7) Title I projects. A State, the District of Columbia, or U.S. Territory may not use SLFRF funds to directly or indirectly offset a reduction in its net tax revenue or deposit any SLFRF into any pension fund pursuant to section 602(c)(2). Metropolitan cities, Counties, and Nonentitlement units of local government may not use SLFRF funds for deposits into any pension fund pursuant to section 603(c)(2).
What are the requirements after being awarded this opportunity?
Reporting
Not applicable.
Auditing
Certain SLFRF recipients are provided with an option to have an alternative compliance examination engagement in lieu of a Single Audit or a Program-Specific Audit under 2 C.F.R. Part 200, Subpart F. Specifically, this option is available to SLFRF recipients that expend $750,000 or more during the recipient's fiscal year in federal awards and which meet both criteria listed below: 1. The recipient's total SLFRF award received directly from Treasury or received (through states) as a non-entitlement unit of local government is at or below $10 million; and 2. Other federal award funds the recipient expended (not including their SLFRF award funds) are less than $750,000 during the recipient's fiscal year. For more information on this option, please refer to the most recent SLFRF Compliance Supplement issued by the Office of Management and Budget.
Records
Financial records, supporting documents, and all other records pertinent to the award must be retained by the recipients in accordance with the Financial Assistance Agreement.
Other Assistance Considerations
Formula and Matching Requirements
Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
For public health and negative economic impacts, premium pay, revenue loss, and water, sewer, and broadband infrastructure eligible use categories, funds are available to cover eligible costs and incur obligations by December 31, 2024, and such obligations must be expended by December 31, 2026. Recipients may use award funds to cover eligible costs incurred during the period that begins on March 3, 2021, and ends on December 31, 2024. For the emergency relief from natural disasters eligible use category, funds are available to cover eligible costs and incur obligations by December 31, 2024, and such obligations must be expended by December 31, 2026. Recipients may use award funds to cover eligible costs incurred during the period that begins on December 29, 2022, and ends on December 31, 2024. For the Surface Transportation projects and Title I projects eligible use categories, funds are available to cover eligible costs and incur obligations by December 31, 2024, and such obligations must be expended by September 30, 2026. Recipients may use award funds to cover eligible costs incurred during the period that begins on December 29, 2022, and ends on December 31, 2024. Method of awarding/releasing assistance: Lump.
Who do I contact about this opportunity?
Regional or Local Office
None/Not specified.
Headquarters Office
United States Department of the Treasury Attn: State and Local Fiscal Recovery Funds
1500 Pennsylvania Avenue NW
Washington, DC 20220 USA
SLFRF@treasury.gov
Phone: 202-622-6415
Website Address
https://home.treasury.gov/policy-issues/coronavirus/assistance-for-state-local-and-tribal-governments/state-and-local-fiscal-recovery-fund
Financial Information
Account Identification
20-1892-0-1-806
Obligations
(Direct Payments for Specified Use) FY 22$1,644,736.00; FY 23 est $1,000,000.00; FY 24 est $0.00; FY 21$20,000,000,000.00; FY 20$0.00; - Payments to Tribal Governments(Direct Payments for Specified Use) FY 22$1,594,636.00; FY 23 est $3,029,132.00; FY 24 est $0.00; FY 21$19,460,761,123.00; FY 20$0.00; - Payments to States for distribution to nonentitlement units of local government(Direct Payments for Specified Use) FY 22$2,723,894.00; FY 23 est $0.00; FY 24 est $0.00; FY 21$65,169,238,877.00; FY 20$0.00; - Payments to Counties
Range and Average of Financial Assistance
The range of assistance provided was determined by the type of applicant (State, U.S. Territory, Tribal government, Metropolitan city, County, or nonentitlement units of local government).
Regulations, Guidelines and Literature
Treasury has published a Final Rule (31 C.F.R. Part 35) on the program guidelines in the Federal Register. See 87 FR 4338 (January 27, 2022). Treasury has published an Interim Final Rule on the program guidelines related to the eligible use categories added by the Consolidated Appropriations Act, 2023 in the Federal Register. The Interim Final Rule amends the Final Rule at 31 C.F.R. Part 35. For the most up to date information, including Compliance and Reporting Guidance, please visit our website www.treasury.gov/slfrp.
Examples of Funded Projects
Fiscal Year 2020 Not Applicable; new program
Fiscal Year 2023 Responses to the COVID-19 public health emergency (such as distribution of vaccines) or its negative economic impacts, including providing assistance to households (such as through development of affordable housing), small business (such as technical assistance, counseling, or other services to support business planning for small businesses impacted by the pandemic), nonprofits (such as grants to support non-profits that experienced negative economic impacts of the pandemic), and impacted industries, such as tourism, travel, and hospitality; responding to workers performing essential work during the COVID-19 pandemic by providing premium pay to eligible workers of the State, territorial or tribal government performing essential work or by providing grants to eligible employers that have eligible workers; providing government services, to the extent of the reduction of revenue due to COVID-19 relative to revenues collected in the most recent full fiscal year of the State, territorial, or tribal government; or making necessary investments in water, sewer, or broadband infrastructure (such as remediating lead pipes or installing broadband infrastructure). Please visit our website (www.treasury.gov/slfrp) for specific examples of projects that recipients are carrying out with SLFRF funds.

 



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