Over the past few weeks, the number one question I’ve received from cities is: “When are we getting our second half of ARPA funds?” The answer – It depends.
As a reminder, in March 2021 the American Rescue Plan Act (ARPA) was signed into law. As a part of the act, cities and towns across the country were allocated federal funds that would be paid out in two parts or tranches. For most cities, they received
the first half of their funds last summer sometime between June and August. Per the Act, the second half of funds will be distributed no earlier than 12 months after the first payment.
How the second half of funds will be distributed depends on how a city was categorized under ARPA. Treasury categorized cities as either entitlement cities or non-entitlement units (NEUs). Entitlement cities received ARPA funds directly from Treasury
while NEUs received ARPA funds through the state.
So, when will cities receive their money?
NEUs
The second half of ARPA funds for NEUs will come through the Office of Financial Management (OFM). At this time, OFM is waiting for the state to receive its second half of funds as well as guidance from Treasury on how the second half of ARPA funds should
be distributed to NEUs.
AWC is in contact with OFM and will provide updates to NEUs as information becomes available.
Entitlement cities
Entitlement cities should receive an email notification from Treasury about 30 days before the city is eligible to receive their second ARPA payment. At that time, cities will be able to access the Treasury Submission Portal where the city’s assigned
point of contact can update city information, including banking information. Cities should not access the portal until they receive direct notice from Treasury.
To prepare for the second tranche of funds, cities should ensure their SAM.gov registration is still active. Cities are required to have a SAM registration to receive their second
tranche payment. As a reminder, SAM.gov is a free service provided by the federal government.
Cities should also identify and make sure that their designated point of contact is available and can access their ID.me account. The point of contact is the individual designated
in the portal during the first tranche submission who will receive email notifications on submission status, including any issues found during the verification and communication regarding payments.
If a city’s point of contact is no longer available, cities will need to designate a new individual. These cities should immediately email Treasury at COVIDReliefITSupport@treasury.gov with the subject line “Entity Name – Update to Designated Individuals” and include the role that needs to be updated along with the full name, title, email, and phone number of the new person designated.
Treasury publishes January report data
This week, Treasury released ARPA reporting data from entitlement cities. The data covers
the reporting period of March 2021 to December 2021.
In total, 19 Washington cities submitted this report. As of December 2021, those cities obligated $145.6 million of ARPA funds and spent $85.7 million. Below is a breakdown of those obligations and expenditures by category:
- Public health
- Obligated: $2.2 million
- Spent: $1.9 million
- Negative economic impacts
- Obligated: $21 million
- Spent: $8.7 million
- Services to impacted communities
- Obligated: $37.2 million
- Spent: $19.5 million
- Premium pay
- Obligated: $3.1 million
- Spent: $3.1 million
- Infrastructure (water, sewer, broadband)
- Obligated: $6.5 million
- Spent: $0
- Revenue replacement
- Obligated: $73.9 million
- Spent: $52.2 million
- Administrative
- Obligated: $1.3 million
- Spent: $213,297
ARPA questions or concerns?
If your city has questions about ARPA or reporting, please feel free to contact Jacob Ewing or to reach out to Treasury directly by email or call 844-529-9527.