On September 21, the Treasury Department’s Office of Inspector General (OIG) rolled back previously announced reporting requirements for Coronavirus Relief Funds (CRF) that conflicted with earlier guidance by the Treasury Department. However, state rules remain unchanged.

The conflicting language centered on documentation requirements for employees whose work is substantially dedicated to responding to the COVID-19 pandemic. The retracted guidance would have required governments to maintain documentation for these employees. Now, jurisdictions using CRF allocations for employee salaries are not federally required to maintain documentation to justify the expense.

Importantly, the Washington Department of Commerce does require cities seeking reimbursement to maintain documentation on salaries of employees whose work is substantially dedicated to responding to the pandemic.

The revised guidance modified questions #63 and #70-#72 of the OIG FAQs for the Coronavirus Relief Fund (CRF), regarding recordkeeping for public health and safety employees.

Cities using CRF in their communities should review guidelines established by the Treasury and Commerce with their legal counsel to ensure compliance.