U.S. Treasury releases Final Rule for ARPA Fiscal Recovery Fund

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    U.S. Treasury releases Final Rule for ARPA Fiscal Recovery Fund

    On January 6, 2022, the U.S. Treasury Department (Treasury) released the Final Rule for the State and Local Coronavirus Fiscal Recovery Fund (Recovery Fund), which was authorized under the American Rescue Plan Act, and allocated $65.1 billion in direct, flexible aid to every county in America. The Final Rule will go into effect on April 1, 2022. However, a county can choose to take advantage of the Final Rule’s new flexibilities and simplifications now, even ahead of the effective date.

    Treasury is hosting webinars to brief and answer questions about the Final Rule. If Treasury reaches RSVP capacity and you cannot attend a webinar or prefer to be briefed at your convenience, Treasury will post a recording of the webinar hosted on January 7. Webinar dates are as follows:

    • Jan. 12 at 1 p.m. EST

    *This webinar will be recorded and shared within a few business days.


    Join NACo on Monday, January 10 at 1 p.m. EST for an overview of the Treasury’s Final Rule for the Recovery Fund, and key highlights for counties.


    Since the Recovery Fund was established, NACo has worked closely with Treasury to ensure county recommendations and priorities are included in the Final Rule. The Final Rule provides the following changes and new flexibility:

    • Allows counties to use up to $10 million in ARPA Recovery Funds for the provision of government services without having to go through a complicated “revenue loss” calculation. NACo aggressively advocated for this provision to be included in the Final Rule, which was a significant part in the bipartisan State, Local, Tribal, and Territorial Fiscal Recovery, Infrastructure, and Disaster Relief Flexibility Act (S. 3011/H.R. 5735)
    • Allows Recovery Funds to be used for the modernization of cybersecurity for existing and new broadband infrastructure, including the modernization of hardware and software
    • Expands eligible uses for water and sewer projects to include culvert repair, dam and reservoir rehabilitation and stormwater infrastructure, among others
    • Clarifies how counties can use Recovery Funds for certain capital expenditures to respond to public health and economic impacts
    • Streamlines options to provide premium pay by broadening the share of eligible workers

    NACo will release an in-depth analysis of Treasury’s Final Rule in the coming days, and will give members extensive opportunities in the future to learn about the impact of Treasury’s Final Rule.


    U.S. Treasury Department releases the Final Rule for the State and Local Coronavirus Fiscal Recovery Fund, which was authorized under the American Rescue Plan Act, and allocated $65.1 billion in direct, flexible aid to every county in America

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