The American Rescue Plan (ARP) Act of 2021, a $1.9 trillion economic relief package, was signed by President Joe Biden on March 11. Much of the funding included will have impacts on states, both in their budgets and in the specific policies they enact. The Council of State Governments (CSG) is providing our members with ongoing analyses of the various components of the ARP in this special edition series of The Current State e-newsletter, out each Monday.
This week, The Council of State Governments (CSG) provides resources on Recovery Plan Performance Reports submitted by states as part of the requirements of the Coronavirus State and Local Fiscal Recovery Fund. This edition of the bi-weekly newsletter also contains news, guidance updates, and resources related to the Capital Project Fund, the Emergency Rental Assistance Program, and other federal funding opportunities.
New This Week
State Recovery Plans
The U.S. Department of the Treasury’s Interim Rule requires state, territorial, metropolitan city, county and tribal governments that received funding from the Coronavirus State and Local Fiscal Recovery Funds to submit an Interim Report and a Recovery Plan Performance Report. Recovery Plan Performance Reports require states to provide information on performance indicators, including information on efforts to promote equitable outcomes and community engagement; plans to use evidence to inform decision-making; and expenditures by program and category. CSG Analysts have compiled recovery plans from state websites and will continue to update this list which can be found here.
News, Updates and Resources
U.S. DEPARTMENT OF TREASURY (TREASURY):
Treasury releases Capital Project Fund state allocations
The American Rescue Plan provides $9.8 billion for critical state capital projects that enable work, education and health monitoring that meet the critical connectivity needs amplified by the COVID-19 pandemic. The Treasury released the much-anticipated individual state allocations which can be found here.
Treasury updates status of payments to states for Non-Entitlement Units (NEUs)
The status of payments to states for NEUs from the Coronavirus Local Fiscal Recovery Fund was updated September 7.
Treasury Posts Materials on Equity in the State and Local Fiscal Recovery Funds
Treasury posted materials on considerations for using State and Local Fiscal Recovery Funds to advance equity in a webinar from August 19 and the accompanying presentation.
Treasury updates Frequently Asked Questions (FAQs) for Emergency Rental Assistance Program (ERAP)
Treasury updated the ERAP FAQs document. Treasury also shared a press release and data on payments through the end of July. Senior administration officials sent a letter to state and local leaders urging the use of ERAP to prevent unnecessary evictions.
U.S. DEPARTMENT OF AGRICULTURE (USDA):
USDA releases final rule and amends Coronavirus Food Assistance Program 2
USDA released a final rule effective August 27 and amends the Coronavirus Food Assistance Program 2. This rule provides a new deadline for applications of October 12 and clarifies provision about equitable relief and refunds.
Food and Nutrition Services (FNS) updates COVID-19 Questions and Answers (Q&A) and resources for states
FNS updated its pandemic Q&A page for states. A newly added document covers fresh fruit and vegetable program operations for school year 2021-2022. FNS also has posted new guidance for pandemic Electronic Benefit Transfer in school year 2021-2022.
U.S. DEPARTMENT OF COMMERCE (COMMERCE):
Due to the high demand, the award process will be highly competitive and the NTIA has begun reviewing applications, giving priority to projects that 1) provide broadband service to the greatest number of households, 2) provide broadband service to rural areas, 3) are most cost-effective in providing broadband services and 4) provide service with download speed of at least 100 Mbps and upload of at least 20 Mbps.
U.S. DEPARTMENT OF EDUCATION (EDUCATION):
Education releases the report “Strategies for Using American Rescue Plan Funding to Address the Impact of Lost Instructional Time”
This report intends to provide guidance to educators regarding best practices and evidence-based approaches that can be funded by the American Rescue Plan (ARP).
New Guidance issued on Individuals with Disabilities Education Act (IDEA) during the COVID-19 Pandemic
In a letter to states, the Office of Special of Education and Rehabilitative Services (OSERS) emphasized the commitment to providing children with disabilities and their families with early intervention and educational experiences in a free appropriate public education (FAPE), in accordance with the Individuals with Disabilities Education Act (IDEA). The Office also updated Questions & Answers documents on Child Find in IDEA Part B procedures that require public schools to look for, find and evaluate those who need special education.
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES (HHS):
Centers for Medicare and Medicaid Services provides funding to improve access to Health Insurance
The Centers for Medicare and Medicaid provided $452 million to support 13 state efforts to increase access to affordable, comprehensive health insurance coverage. The expanded subsidies made available under the ARP are provided to states with section 1332 state-based reinsurance waivers that have experienced reduced premiums in the individual market. These funds can help increase issuer participation and the number of qualified health plans.
Centers for Disease Control and Prevention (CDC) provides overview of COVID-19 funding opportunities for Fiscal Year 2021
The CDC provided a crosswalk document to outline funding streams and give clarification where there may be similar purposes and allowable activities.
Centers for Disease Control and Prevention (CDC) announces reporting deadlines for CDC Crisis Response Cooperative Agreements
The CDC provided a document to summarize the reporting deadlines for the two-year Cooperative Agreement for Emergency Response: Public Health Crisis Response Award of $2 billion to state, tribal, local and territorial governments.
Centers for Medicare and Medicaid Services (CMS) provides additional guidance for states to advance COVID-19 vaccinations and testing
CMS outlined available programs and efforts to utilize available additional funding from the ARP as states evaluate options to increase COVID-19 testing and vaccination of eligible individuals.
- CMS provided guidance that Medicaid will cover diagnostic and screening testing for COVID-19 that is consistent with the Centers for Disease Control and Prevention recommendations that allows school testing in ‘test to stay” programs to maintain access to education.
- CMS reaffirmed the commitment that children with disabilities and specifically who received Medicaid-covered services through schools but are now relying on remote learning will continue to have access to the same services.
- The ARP provides 100% federal match for state expenditures for COVID-19 vaccines and vaccine administration for individuals covered by Medicaid and the Children’s Health Insurance Program (CHIP). Under the ARP, states can receive a temporary increase in the Federal Medical Assistance Percentage (FMAP) if states extend coverage to certain low-income adults.
The Substance Abuse and Mental Health Services Administration (SAMHSA) awards $74.2 million for youth mental health in Fiscal Year 2021
SAMHSA awarded $74.2 million in two programs to strengthen structures that provide service to the mental health needs of youth. Project Advancing Wellness and Resiliency in Education (AWARE) provided $54.3 million to entities across 17 states to build or expand state and local government coordination to increase mental health awareness for school-aged youths and adults. The Comprehensive Community Mental Health Services for Children and Their Families (or Children’s Mental Health Initiative) program granted 12 grantees $19.8 million the first year, and a total four-year program cycle of $76.2 million, to improve mental health outcomes for children and youth with serious emotional disturbances.
HHS awards funding for Pediatric Mental Health Care Access Program
HHS awarded $10.7 million from the ARP to expand access to pediatric mental health care by integrating telehealth services into pediatric care through the Pediatric Mental Health Care Access Program. The awards broaden the reach to 45 awards across 40 states to provide tele-consultation, training, technical assistance and care coordination.
CDC eviction moratorium vacated by U.S. Supreme Court
The CDC previously issued a moratorium to ban evictions of tenants in counties experiencing high-levels of community transmission of COVID-19. The Supreme Court opined that “If a federally imposed eviction moratorium is to continue, Congress must specifically authorize it.”
Low-income Household Water Assistance Program (LIHWAP) shares additional federal resources
The Administration for Children & Families (ACF) shared resources for additional federal funding for water and wastewater assistance that can be utilized to leverage and design creative solutions to fully meet the need for adequate water and wastewater services among vulnerable households.
LIHWAP provides model plan and guidelines for grant applications
ACF provided guidance and a model plan for states that are currently Low-Income Home Energy Assistance Program (LIHEAP) administrators. The states must submit an application for funds for the LIHWAP grant by October 15.
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD):
HUD provides updates for Community Development Block Grants (CDBG)
- The Coronavirus Aid, Relief and Economic Security (CARES) Act requires Community Development Block Grant (CDBG) recipients to submit quarterly reports to HUD. HUD provided additional guidance on the federal financial report using the Integrated Disbursement and Information System.
- HUD also provided an Economic Development Quick Guide for key considerations and answers to questions to help grantees design and administer economic development programs.
- HUD released a Violence Intervention Quick Guide that provides evidence-based strategies to reduce and prevent community violence. This guidance includes strategies to leverage funds from the CDBG or CDBG CARES to improve the physical environment of neighborhoods, increase financial stability and mobility and engage and support youth.
HUD issues amendment to the Foster Youth to Independence (FYI) Initiative
HUD provided a notice for the (FYI) Initiative that establishes the process for applying for new incremental vouchers that provide $10 million in Housing Choice Vouchers (HCV) for youth eligible for the Family Unification Program (FUP).
Homeowner Assistance Fund updates released by HUD can be found here.
INDEPENDENT AGENCIES:
National Endowment for the Arts (NEA) seeks comments on information collection for ARP grants
The NEA provided 30-day notice for comments on the proposed information collection of NEA American Rescue Plan Act of 2021 Grants to Organizations and Grants to Local Arts Agencies for Sub-granting Notices of Funding Opportunities (NOFOs).
Small Business Administration (SBA) releases Interim Final Rule for the Disaster Loan Program
The SBA released an Interim Final Rule providing changes to the COVID-19 Economic Injury Disaster Loans (COVID EIDL) related to affiliation, eligible use of the loan proceeds and application of size standard and establishing a maximum loan limit for a single corporate group borrower, effective September 8.
Federal Communications Commission (FCC) awards $42 million for COVID-19 Telehealth Programs
The FCC approved a second round of COVID-19 Telehealth Programawards totaling $42 million to support efforts of health care providers in every state and U.S. territory.
Federal Communications Commission (FCC) announces second window for Emergency Connectivity Fund applications from schools and libraries
Due to the overwhelming demand, the FCC will open a second window for applications for the Emergency Connectivity Fund September 28 for eligible schools and libraries to seek financial support for equipment and services.
U.S. DEPARTMENT OF LABOR (DOL):
DOL updates Pandemic Unemployment Assistance (PUA) instructions
DOL issued in-depth operating instructions and reporting changes for Pandemic Unemployment Assistance (PUA) to state workforce agencies.
DOL awards $22 million in grants for training and employment services to workers displaced by the pandemic
DOL awarded Comprehensive and Accessible Reemployment through Equitable Employment Recovery National Dislocated Worker Grants ranging from $890,000 to $3 million. Awards went to entities in Alaska, California, Georgia, Illinois, North Carolina, Oklahoma and South Carolina. Applications for the remaining funds are due August 31.
DOL shared an Operations Checklist for state use in administering the Mixed Earners Unemployment Compensation (MEUC) program.
U.S. DEPARTMENT OF TRANSPORTATION:
Federal Transit Administration (FTA) announces additional $2.2 billion American Rescue Plan Act assistance
FTA released a notice of funding opportunity for eligible applicants, including recipients and subrecipients of Urbanized Area Formula Grants or Rural Area Formula Grants for the purpose of responding to COVID-19. A webinar about this opportunity is scheduled for September 23 and applications are due November 8.