What is the American Rescue Plan Act (ARPA)?

The American Rescue Plan Act of 2021 (ARPA), contained in Public Law 117-2, appropriated $19.53 billion to States for distribution to thousands of Non-Entitlement Units of Local Government (NEUs). NEUs are generally cities and towns with a population of less than 50,000.  Florida’s share for 336 smaller cities is approximately $1.4 billion.   ARPA directed the U.S. Department of the Treasury to make payments to each State for distribution to NEUs within the States. If an NEU is non-responsive, the funds go back to the state for a subsequent re-distribution.

As a result of this law, your city will be receiving federal funding related to your recovery from the COVID 19 Pandemic. This funding will be received in two equal tranches (each for one half of total amount).  The first allocation will be available when the State of Florida officially notifies your city. It is anticipated that this will occur within the next 30 days.  The Rescue Plan funding differs from the previous CARES Act funding. This funding is provided to your city from the U.S. Department of Treasury through the State, it is not connected in any way with the Federal Emergency Management Agency (FEMA); the timeframe for expenditure of this funding is well beyond what the was provided with CARES funding.  Your city has until December 31, 2026, to expend this funding; and should the City choose to implement grant programs, the requirements for the use of this funding for assistance to local residents, small businesses, and non-profit organizations are far less stringent than the previous Federal guidelines.  This will enable more expeditious distribution to those in need. While less stringent, it is important to note that there will be a continued focus on fraud prevention and detection, as well as avoidance of duplication of benefits. The U.S. Treasury requires that the State of Florida provide the first tranche to your City not later than 60-days after enactment, and second payment no earlier than 12 months after the first.

How will this benefit my city?

ARPA funding is 100% federal, there is zero local match required.  Funding provided can be used for critical infrastructure needs (stormwater/wastewater/sewer), broadband, replenishing loss of revenue, public health, premium pay for essential government and private business workers, and to reduce adverse economic impacts (grants to residents, small businesses, and non-profit organizations).  A critical aspect of the program that could provide even greater flexibility for spending is a fairly complex calculation of loss of revenue. If done correctly, this can provide additional flexibility to pay for:

  • Maintenance or pay-go funding for building of infrastructure, including roads.
  • Modernization of cybersecurity, including hardware, software, and protection of critical infrastructure.
  • Health services.
  • Environmental remediation.
  • School or educational services.
  • Provision of police, fire, and other public safety services.

The program includes funding for your city to engage qualified professional consultants, such as the Integrity Group, to help administer your ARPA program (this can be easily accomplished through our designation on the Florida State Term Contract).  

Process Moving Forward

Acquisition of funds through the State’s conduit to the US Treasury

Determine Loss of Revenue using actual losses or allowed counterfactual calculation

Development of compliant spending plan

Why The Integrity Group?

  • We’ve been in your shoes
  • Consultants, Advisors, Public Administration experts, Former Government Executives, Native Floridians, Proven Financial and Disaster Recovery Advisors
  • Work alongside city leadership to ensure your community’s needs are met
  • Significant compliance and program audit experience that will protect your city from costly federal clawbacks due to improper spending or reporting
  • Administered millions of dollars in CARES, ERA and ARPA funding in multiple states
  • Managed hundreds of millions of dollars in Federal and State disaster funds (FEMA, HUD, DOT, etc.)
  • We are on the State term contract – no need for costly, time consuming procurement process

Waiting could cost your city/town significant earned interest on these funds.  Ready to get started?

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