On March 18, NACo sent a letter to the White House and U.S. Department of Treasury providing feedback and recommendations for the American Rescue Plan Act’s $350 billion Coronavirus State and Local Fiscal Recovery Fund (Recovery Fund), which was established to help address local government budget challenges and support the national economy.
Following enactment of the legislation, NACo conducted a member survey to identify outstanding questions on eligible uses, desired spending of and implementation of the Recovery Fund. NACo’s letter highlighted the need for guidance on allowable uses of funds, specifically regarding capital investment projects, lost revenue, broadband and administrative costs. As we continue to work with our federal partners, we urge your county to complete NACo’s survey that will help us bring your voice to the successful implementation and execution of the Recovery Fund.
Additionally, NACo requested that the U.S. Treasury provide the following measures to ensure effective and efficient allocation of this critical aid:
- Maintain aspects of the CARES Act guidance that was beneficial to counties;
- Provide clear guidance on allowable use of funds;
- Create a centralized office for Recovery Fund best practices and stakeholder engagement;
- Provide timely Recovery Fund reporting requirements guidance;
- Avoid overly burdensome Recovery Fund reporting requirements; and
- Provide a clear reporting structure and investment category definitions.
To read NACo’s letter, click here.
America’s counties have been engaged in our nation’s response to COVID-19 throughout the pandemic. Providing counties with flexible, essential financial resources is the best way to ensure our nation remains well positioned to respond to and recover from the coronavirus pandemic. As intergovernmental partners, NACo looks forward to working with the Biden administration to implement the historic Coronavirus State and Local Fiscal Recovery Fund.
Visit NACo’s new COVID-19 Recovery Clearinghouse for additional information and resources.