This week, CSG releases an article written in collaboration with the Levin Center examining state oversight on ARPA funds.This week’s special fiscal newsletter also includes recent developments that every state leader needs to know regarding ARPA, the Infrastructure Investment and Jobs Act and the development of the federal budget. There also are updates on the impacts of COVID-19, the Unemployment Insurance Navigator Program and funding for higher education student support.
Recent Update Every State Leader Should Know
- The Infrastructure Investment and Jobs Act was signed by President Joe Biden on Nov. 15, 2021. It contains a total investment of $1.2 trillion, including $550 billion in new funding. The U.S Department of Transportation is managing allocations of available funds for roads, bridges, broadband and other infrastructure. CSG analysts have developed written briefs on several infrastructure initiatives (see below). However, some $40 billion in allocations to states and localities are unavailable because they are tied to the enactment of a federal budget for Fiscal Year 2021-22. Congress has yet to do so, instead sustaining federal operations through a series of continuing resolutions (CR). The current CR lapses Feb. 18. Until Congress enacts a budget, those infrastructure funds remain unavailable
A coalition of organizations recently sent a letter to Congress calling for the passage of the Fiscal Year 2021-22 Budget. The letter includes an estimate of each state’s fiscal year highway obligation limitation that is inaccessible under the continuing resolution. The letter can be found here. - White House Releases a Bipartisan Infrastructure Law Guidebook that provides state, local, tribal and territorial governments a roadmap to the infrastructure funding available under the Infrastructure Investment and Jobs Act. To help navigate the over 350 programs across federal departments and agencies, the guidebook distills the information to facilitate efficient delivery and access to funding opportunities. The fuidebook is organized by how state and local governments approach spending at the programmatic level (instead of the awarding agency) and is categorized under transportation, energy and the environment, broadband and other programs.
For each program area, there is an executive summary with a funding overview, what states can do to prepare and existing resources that can be leveraged in tandem with funding opportunities. Each grant program has a dedicated page providing critical information on key dates, amount of funds appropriated, eligible recipients, use of funds, description and length of grant and other federal programs that could be leveraged.
The guidebook data is available to download and will continue to be updated as information is available at Build.gov. - The $9.9 billion Capital Projects Fund authorized by ARPA is now available to states, territories, tribal governments and freely associated states (American Samoa, Commonwealth of the Northern Mariana Islands, Federated States of Micronesia, Guam and the Rupublic of the Marshall Islands). The U.S. Department of the Treasury allows 5% of recipient allocations to be used for efforts to work with communities to identify priority projects that can contribute to an equitable recovery and long-term investments. State and local governments can submit grant and program plans to the Treasury that describe how the capital funds will address resilience and access to connectivity infrastructure. The Treasury is ready to review and approve dollars for eligible uses
News, Updates and Resources
In partnership with the Levin Center, CSG analyzed ARPA reporting websites in 11 states to evaluate oversite in the allocation of these federal funds in the blog, “Oversight of ARPA Spending in the States” and highlights approaches to publishing the information online for public view.
INFRASTRUCTURE INVESTMENT AND JOBS ACT
The Infrastructure Investment and Jobs Act authorizes $1.2 trillion in funding ($550 billion of which is new spending) for various infrastructure purposes, including roads and bridges, broadband, drinking water resources, airports, electric vehicles and more.
CSG researchers have developed analyses of the legislation’s impact on:
General
Agencies publish reports on infrastructure related financial assistance programs
The reports contain every financial assistance program as well as information required by IIJA “Buy America” provisions. Reports can be found for:
- Department of Agriculture
- Department of Commerce
- Department of Labor
- Department of the Treasury
- Environmental Protection Agency
- National Endowment for the Humanities
Environment
Environmental Protection Agency updates draft strategy, extends comment period and announces public comment on sections designed to reduce lead exposure
The draft Strategy to Reduce Lead Exposures and Disparities in U.S. Communities has been updated to reflect the passage of the infrastructure act and other investments to replace lead pipes and water testing programs. Comments will be accepted through March 16 to the docket. The EPA also announced listening sessions by region starting Feb. 8 which can be found here. Learn more about the Lead Strategy.
Transportation
Federal Transit Administration updates six project ratings in the Capital Investment Grants Program
The updated project ratings can be found here.
Federal Highway Administration updates fact sheets and announces Fiscal Year 2021-22 apportionments for Appalachian Development Highway System
The updated fact sheet is available here.
The Infrastructure Investment and Jobs Act provides $250 million annually through 2026 for the Appalachian Development Highway System, making funding available to 11 states. More information about the project can be found here.
U.S. Department of Transportation announces $1.5 billion in Rebuilding American Infrastructure with Sustainability and Equity grants for Fiscal Year 2021-22
Half of the funding is available for rural projects and the other half is for urban projects. Applications are due April 14. More information about the grants can be found here and the Notice of Funding Opportunity can be found here.
Human Services
U.S. Department of Health and Human Services announces $100 million in Low Income Home Energy Assistance Program funds
HSS is administering the first installment of Low Income Home Energy Assistance Program funds appropriated in the infrastructure act. This funding will assist families in paying their outstanding heating and cooling bills. More information regarding the funding can be found here.
Independent Agencies
Federal Communications Commission releases rules for the Affordable Connectivity Program and seeks comment on outreach and enhanced benefits for high-cost areas
Comments will be accepted for 30 days after the draft rules have been published. The rules can be found here.
FCC releases proposed rule to require internet service providers to disclose important information regarding broadband offerings at the point of sale
These new rules are required by the Infrastructure Investment and Jobs Act. Comments will be accepted 30 days after the draft rule is published. The proposed rule can be found here.
Interior
U.S. Department of the Interior announces $1.15 billion for states to clean up orphaned oil and gas wells
The announcement as well as a table on state-by-state initial grants and Phase One Formula Grants can be found here. More information about the grant can be found here.
AMERICAN RESCUE PLAN ACT
Education
U.S. Department of Education announces additional COVID-19 resources for higher education
The Department of Education announcement provides information to reduce barriers to college for eligible students
- The Supplemental Support under American Rescue Plan includes $198 million in grants for community colleges and institutions with the greatest unmet need, prioritizing rural higher education institutions that serve low-income students
- The education department also released new guidance on how colleges can use funds to meet basic needs to address barriers such as housing, food and child care insecurity
The Department of Education sent guidance to colleges on the use of data from the Free Application for Federal Student Aid (FAFSA®) to connect students to federal benefit programs like the Supplemental Nutrition Assistance Program.
Education department updates ARPA Elementary and Secondary School Emergency Relief (ESSER) state plan table
The ARP ESSER table includes the state, total award amount, submitted state plan, approved state materials, communication materials and local education agency plans for use of funding.
Education updates information regarding ARPA-Homeless Children and Youth state plans
The table with the submitted and approved state plans can be found here and includes award amounts, links to state plans and state approved materials.
The Department of Education releases an ARPA Partnership, Assistance, Transformation, and Heightened Support (PATHS) tool
The ARPA PATHS tool can highlight and track school efforts to address immediate and long-term needs. This tool helps states effectively use ARPA funds by inviting states to describe strategies they are implementing using the funds. More information on the initiative is available here
Education updates ARPA materials including:
- State ESSER plans
- State materials for Emergency Assistance to Non-Public Schools
- State data submissions for maintenance of equity
The education department publishes flyers on using recovery funds to address staff and teacher shortages
The fact sheet to address staff shortages provides strategies and how to leverage available funds and the resource sheet for teacher shortages elaborates on a three-pronged approach to implement evidence-based strategies.
Office of Inspector general publishes report examining implementation of Coronavirus Aid, Relief and Economic Security Act flexibilities for Teacher Education Assistance for College and Higher Education (TEACH) grants
The report examined the Department of Education’s process to ensure TEACH grantees receive full-time credit toward obligations for service interrupted due to COVID-19. The review can be found here.
Environment
Environmental Protection Agency extends application for $20 million in enhanced air quality monitoring for communities
The application period was extended to March 25. Funding is to address health outcome disparities from pollution and the pandemic. More information regarding the grant can be found here.
Health
U.S. Health and Human Services releases information on Health Care Workforce Resilience and other fund utilization
The Health Resources and Services Administration will distribute $103 million to 45 grantees to promote mental health and wellness among the health care work force Two programs will focus on reducing burnout among health care workers and first responders. A third program will provide training and technical assistance. More information about the three programs can be found here.
HRSA also released a fact sheet on ARPA and Provider Relief Funds investments, strategic planning initiatives and funding opportunities to help connect health care providers to communities and increase the supply of public health workers.
Health and Human Services distributes additional provider relief funds
Health and Human Services is making available more than $2 billion from the Provider Relief Fund Phase Four general distribution payments. HSS also updated information on payments disbursed to date by state. Information about Phase Four and distributions can be found here.
Human Services
Administration for Children and Families publishes Temporary Assistance for Needy Families Frequently Asked Questions on State and Local Fiscal Relief Fund
Administration for Children and Families clarifies State and Local Fiscal Relief Fund expenditures cannot be counted toward the Temporary Assistance for Needy Families maintenance-of-effort requirement. The explanation on the restrictions provided by the temporary assistance statute and State and Local Fiscal Relief Fund final rule can be found here.
Treasury
U.S. Department of the Treasury makes funding available from ARPA’s Capital Projects Fund
A new fact sheet covers the rollout of $9.9 billion for states and territories, including $495 million in administrative funds. The Treasury also updated the FAQs. The deadline for grant and program plans to be submitted is Sept. 24.
Treasury publishes new quarterly reporting guidelines for Emergency Rental Assistance Program
The document provides guidance on the Emergency Rental Assistance Program reporting for entities that receive awards. ERAP also published a quarterly reporting special tip, reporting scenarios and a Department of the Treasury portal user guide.
State Small Business Credit Initiative application deadline approaches
Applications are due Feb. 11 and application materials can be found here.
Treasury department updates guidance on Interim Report for ARPA’s Homeowner Assistance Fund
The updated guidance can be found here and updated FAQ’s can be found here.
The Treasury updates status of State and Local Fiscal Relief payments for distribution to non-entitlement units
The updated table can be found here.
Independent Agencies
National Endowment for the Arts announces $57 million in ARPA grants
NEA recommended over $57 million in grant awards to 567 arts organization to help the arts and culture sector recover from the pandemic. The list of awards by can be found here. More information about the grants is available here. Additional NEA grant opportunities remain.
Federal Communications Commission announces sixth phase of COVID-19 telehealth awards
This final phase awards $47.9 million to 447 health care providers. More information about the awards can be found here.
FCC commits an additional $240 million in Emergency Connectivity Funding
The eighth phase of funding commitments will help over 600,000 students and 55 libraries in 49 states. Recipients will be given connected devices and broadband connections to support off-campus learning. More information about the funding can be found here.
Labor
U.S. Department of Labor provides $15 million for state workforce agencies to participate in the unemployment insurance navigator program
The ARPA UI Navigator Program helps workers learn about, apply for and receive unemployment insurance benefits and supports state agencies in delivering timely benefits and addressing disparities in access to government services. Each state can apply for up to $3 million. Applications are due March 31.
Nutrition
The U.S. Department of Agriculture Food and Nutrition Services publishes supply chain webinar
The webinar will help schools address ongoing supply chain shortages and can be found here. Assistance totaling $1.5 billion for school meal programs was announced in December 2021, with guidance found here.