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
U.S. Department of the Treasury releases reallocation guidance for the Emergency Rental Assistance Program
COVID-19 Vaccines and Public Opinion
Vaccines for COVID-19 have been available in the U.S. since December 2020 for older and more vulnerable populations, and more recently those vaccines have been approved for everyone age 12 and older. Emergency authorization for children under 12 is expected to come soon. In this resource, analysts from The Council of State Governments, in partnership with researchers at the Policy Lab at Brown University, provide background information on current vaccination rates, public opinion among parents about COVID-19 vaccination for children and state vaccination incentive programs.
Recent Updates Every State Leader Should Know
- On Oct. 14, President Joe Biden signed legislation lifting the debt ceiling — or the borrowing limit — enabling the federal government to continue to pay its bills. The increase extends to the first few days of December.
- Negotiations continue on the Biden administration’s “Build Back Better” package. The original scope of $3.5 trillion continues to be pared back, hovering just below $2 trillion. As negotiators try to reach agreement, here is what we think we know:
- Free community college is off the table.
- Expanding Medicare coverage to vision, dental and hearing is in danger, though some provisions, such as an $800 voucher for dental coverage, are being discussed.
- The expanded child tax credit will be extended one year rather than the originally proposed four. Whether there will be a test or work requirement is still being discussed.
- Paid family leave is still in play, but the benefit will be less than the originally intended 12 weeks — likely four weeks.
- Some form of universal pre-kindergarten remains highly popular.
- Health care subsidies from the Affordable Care Act will be extended for three years, rather than permanently.
- Increased penalties for polluters have been removed, but several clean energy programs remain.
- Initiatives related to housing insecurity and in-home elder care remain in the mix but are being reduced.
- New to the table is a billionaire’s tax, as original plans for changes to the corporate and individual income tax structure are dropped.
- The Centers for Disease Control and Prevention released the Pediatric COVID-19 Vaccine Operational Planning Guide in anticipation of the Food and Drug Administration Vaccines and Related Biological Products Advisory Committee meeting Oct. 26. The FDA is expected to review and potentially approve COVID-19 vaccines for children ages 5-11. The CDC’s Advisory Committee on Immunization Practices is scheduled to meet the first week of November to establish plans for distribution, and state and territorial health departments are encouraged to start strategic planning. The Biden administration released a fact sheet to highlight key areas of implementation and the reliance on state and local coordination to ensure a rapid and smooth rollout of the vaccine to children.
News, Updates and Resources
U.S. DEPARTMENT OF THE TREASURY:
The Treasury releases report on the progress and impact of the American Rescue Plan Act after six months
The Treasury has distributed approximately $700 billion of the $1 trillion in ARP funds and tax credits. More information about the impact can be found here.
The Treasury extends due date for governments receiving ARP funds to submit project and expenditure reports
The Oct. 31 deadline has been moved to Jan. 31, 2022, for states, territories, metropolitan cities and counties. For non-entitlement units, the date has been moved to April 30, 2022. More information about the addendum can be found here.
Revised guidance on the Emergency Rental Assistance program issued
The revised guidance includes updated monthly reporting dates, clarification on reporting requirements and clearer language. The revised guidance can be found here.
The Department of the Treasury releases periodic report on lending facilities authorized by the Federal Reserve Act
The Federal Reserve provides the required quarterly report on special purpose entities, such as the Municipal Liquidity Fund and Main Street Loan Facilities. The update can be found here.
The Treasury releases updated payment status to states from distribution to Non-Entitlement Units
The payment statuses were last updated Oct. 18 and include state requests for extensions. The update can be found here.
The Treasury publishes early reporting highlights for Coronavirus State and Local Fiscal Recovery Funds
Some highlights include use of funding for mobile vaccine clinics, personal protection equipment, technical assistance programs, broadband and child care. The report can be found here.
U.S. DEPARTMENT OF EDUCATION:
The Department of Education transforms the Public Service Loan Forgiveness program
New waivers will result in 22,000 additional borrowers — primarily government workers and employees of 501(c)(3) non-profit organizations — becoming eligible for the public service loan forgiveness program, involving an estimated $1.74 billion in forgiveness with no further action needed. However, public service workers who have consolidated loans, including loans previously ineligible, that fall under the program criteria must apply for the program by Oct. 31, 2021, to receive the waiver. More information about the changes can be found here and the fact sheet can be found here.
The Department of Education continues to approve state ARP Elementary and Secondary School Emergency Relief plans
This list of approved plans was last updated Oct. 18.
The Department of Education keeps maintenance of effort waiver requests up-to-date
The goal of these MOEs is to make transparent COVID-19-related funding tracking. MOE waiver requests for COVID-19 relief from Colorado, Florida, Kansas, Michigan, New Jersey and Oklahoma can be found here.
The Department of Education updates ARP Maintenance of Equity Data
The data was last updated Oct. 18 and can be found here.
The Department of Education updates list of applications for ARP Emergency Assistance for Non-Public Schools
The list of states and their applications was last updated Oct. 14 and can be found here.
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES:
The Centers for Disease Control and Prevention issues information regarding nursing home and long-term care facility strike team and infrastructure awards
This information includes allowable costs, process for workplan and budget submission, reporting requirements and other eligible expenditures and can be found here.
CDC gives guidance on strengthening health care-associated infections and antimicrobial infections program capacity
This guidance includes information regarding different projects, required tasks and reporting requirements. The guidance can be found here.
HHS works to promote behavioral health for children and youth resulting in over 300 initiatives
These initiatives include establishing an Interagency Workgroup, the Children’s Mental Health Champions Program and others. More information about these initiatives can be found here.
HSS Secretary extends COVID-19 public health emergency
The renewal went into effect Oct. 18 and will be effective for 90 days before the need for another extension. The statement can be found here.
Health Resources and Services Administration announces $100 million for state loan repayment programs
This funding will support primary health care workers in underserved communities. Applicants can apply here by April 8, 2022. More information about the funding can be found here.
HSS secretary renews Public Health Emergency for opioid epidemic
The reauthorization of the opioid public health emergency declaration allows the secretary to utilize provisions under Section 319 of the Public Health Service Act to address the crisis by taking actions like issuing grants, accessing “no year” funds in the Public Health Emergency Fund to respond rapidly, and taking other available measures.
Administration for Children and Families releases letter regarding older youth in foster care
As Division X provisions of the Supporting Foster Youth and Families Through the Pandemic Act expire, this letter gives information on how to support older youth in or just released from foster care. The letter recommends measures such as maintaining contact, connecting youth to supports and collecting data. The letter can be found here.
ACF releases proposal to modify the child support enforcement paternity establishment percentage
The proposed rule changes the PEP performance threshold for states from 90% to 50% for the federal fiscal years 2020 and 2021 in order for a state to avoid financial penalty. The rule also proposes that adverse findings of data reliability audits of a state’s paternity establishment data will not lead to a financial penalty. The proposed bill can be found here.
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT:
HUD proposes interim final rule that would impact those at risk of public housing evictions
The rule requires providers of public housing to notify their tenants about COVID-19 relief funding available to them with enough time to pursue the funding before eviction. The rule is open for comments until Nov. 8, the day it goes into effect.
Office of Inspector General releases fraud risk inventory for Community Development Block Grant and Emergency Solutions Grant
Office of Inspector General found five fraud risk factors associated with these awards and made recommendations accordingly. These recommendations include clarifying roles and responsibilities, performing fraud-specific risk assessments and making people more aware of fraud and fraud risks. The PDF can be found here.
Webinar to be held concerning community development block grant coronavirus response funds for rural economic development
This webinar for CDBG-CV recipients and subrecipients will cover how to use these funds for economic development with an emphasis on rural partners and businesses. The webinar will be held Oct. 28 at 2:00 p.m. EDT. Registration can be found here.
Resources from ARP HOME Program webinar series now available
Materials from all four parts of the webinar series on notice CPD-21-10, which creates requirements for ARP funds to be used to provide support for the homeless, can be found here.
U.S. DEPARTMENT OF AGRICULTURE:
USDA announces $25 million through three awards going to underserved communities
These awards will help provide technical assistance to underserved veteran farmers and ranchers, as well as other underserved communities. It also will improve oversight of the organic industry by increasing staff. More information can be found here.
USDA Food and Nutrition Service invests approximately $53 million in the Supplemental Nutrition Assistance Program through grants
These grants will help ensure the program has the resources, support and capacity to deliver SNAP benefits. A list of grants, as well as other information, can be found here.
INDEPENDENT AGENCIES:
Federal Communication Commission allocates another $1.1 billion for libraries and schools using the Emergency Connectivity Fund
This is the second wave of Emergency Connectivity Funding and will fund over 2.4 million devices and 1.9 million broadband connections. The news release can be found here.
Environmental Protection Agency announces two rebate opportunities totaling $17 million to fund school buses that will reduce diesel emissions
The 2021 Diesel Emissions Reduction Act School Bus Rebate Program and the 2021 American Rescue Plan Electric School Bus Rebate will help schools replace old, high pollutant diesel school buses. More information about the rebates can be found here.
Census Bureau releases preliminary 2020 school spending data
Spending increased in most categories. Student transportation and food services were the only two major categories where spending decreased. More information can be found here.
Federal Communications Commission makes over $163 million available for broadband
The Rural Digital Opportunities Fund will provide this funding that will provide broadband access to approximately 65,000 locations in 21 states over the next 10 years. More information about the program can be found here.
Federal Aviation Administration awarded more than $479 million in infrastructure grants
These grants will go to 123 airport projects in all 50 states. More information about specific grants can be found here.
Senate Appropriations Committee releases nine remaining Senate appropriations bills for the current federal fiscal year
The committee chair’s summary related to the remaining appropriations bills that require passage before the continuing resolution expires Dec. 3, 2021. Summary, bill text and explanatory statements for the nine appropriations bills can be found here.:
- Commerce, Justice, Science, and Related Agencies
- Department of Defense
- Financial Services and General Government
- Department of Homeland Security
- Department of Interior, Environment, and Related Agencies
- Departments of Labor, Health and Human Services, and Education, and Related Agencies
- Legislative Branch
- State Foreign Operations, and Related Programs
- Transportation, Housing and Urban Development, and Related Agencies