ARPA Coronavirus Local Fiscal Recovery Funds to NEUs

This webpage provides background on the ARPA Coronavirus Local Fiscal Recovery Funds for Non-Entitlement Units (NEUs) of local government in New York State. The second half of the payments to NEUs were processed and paid to local governments in July, 2022.  With these latest payments, and including the first half payments made in the Summer of 2021, a total of $774 million, was fully disbursed. This represents the entirety of the Federal ARPA funding to NEUs. The entire distribution list (PDF), by municipality (NEU), is available.

Treasury Guidance on Use of Funds

• The State was responsible for distributing the funds to Non-Entitlement Units, but the eligible uses are established by the Federal Government through the U.S. Treasury’s rulemaking.

  More information is available on their website: https://home.treasury.gov/policy-issues/coronavirus/assistance-for-state-local-and-tribal-governments/state-and-local-fiscal-recovery-fund/non-entitlement-units

Treasury Reporting Requirements

• NEUs are required to report to U.S. Treasury. U.S. Treasury revised the deadline for the submission of the first Project and Expenditure Report by non-entitlement units of government (NEUs). The first report was due on April 30, 2022 and covered the period between award date and March 31, 2022.  This was a change from the previously communicated October 31, 2021 due date for the NEU Project and Expenditure Report.
• According to Treasury, NEUs must report annually by April 30 each year, except NEUs that received over $10 million must report quarterly (Towns of Hempstead, North Hempstead, Oyster Bay, and Smithtown). Treasury has published guidance as well as a user guide to assist recipients to gather and submit the information through Treasury’s Portal. Please visit Treasury’s website at https://www.treasury.gov/SLFRPReporting for the latest information.

  If you have questions or need additional information about U.S. Treasury’s reporting requirements, please send an email to U.S. Treasury via SLFRP@treasury.gov.

Summary of ARPA Local Coronavirus Funding NEU Distribution Process:

Website Launch and Communication

• On June 16, 2021, the State launched a website and a central email address (localarpa@budget.ny.gov) to begin accepting NEU requests for funding and intents to decline funding.
• Also on June 16, 2021, accompanying the launch of the website, the State emailed and sent letters via U.S. Postal Service to all eligible NEUs, informing them of the website, email address and the initial response deadline of July 9, 2021. 
• This response deadline was chosen to allow sufficient time for the State to work with NEUs to correct incomplete submissions, verify information, and prepare the necessary payment paperwork for the State’s Office of the State Comptroller (OSC), prior to the Treasury-imposed processing deadline of July 27, 2021, after an initial extension was granted.
• In order to make reasonable efforts to contact each NEU, before the State’s initial July 9, 2021 deadline, on July 1, 2021, the State emailed and mailed a letter to each NEU that had not responded with a request for funding or an intent to decline.  On July 8, 2021, the State emailed another letter/notification to each NEU that had still not responded with a request for funding or an intent to decline.  
• The State also worked with the New York Conference of Mayors (NYCOM) and Association of Towns (AOT) in order for the State’s local government associations to provide additional communication with the NEUs.
• After requesting and receiving a second 30-day extension, the State emailed and mailed a letter on July 26, 2021, notifying non-responsive NEUs of an extended deadline of August 11, 2021.
• Beginning August 2 through August 13, 2021, the State called numerous officials in each non-responsive NEU.
• On August 20, 2021, more than two full months after the commencement of the State’s application process, NEUs that were non-responsive or declining were emailed and mailed a letter stating that their allocation was re-allocated to the NEUs that requested funding.

Payments

• Initial payments were processed on a rolling basis based on when complete information had been received by the NEU. The State’s first and largest payment was made on July 19, 2021, with payments made on a rolling basis thereafter.  NEUs received initial confirmation letters by email and mail concurrent with the processing of initial payments.
• NEUs that notified the State of intent to decline received an email and mailed letter confirming the intent and the declination.
• On August 23, 2021, the funding for the entities that were non-responsive or declining was redistributed to other NEUs, and payments went out all NEUs that requested funds to reflect this redistribution. With that redistribution, 2021 payments have been fully distributed.
• The second half of the payments to NEUs was processed and paid to local governments in July, 2022. These payments are being made to the same municipalities in the same total amounts each received in 2021. With the July 2022 payments, a total of $774 million will be fully disbursed. This represents the entirety of the Federal ARPA funding to NEUs.

The entire distribution list of payments (PDF), by NEU, is available online in the preceding link. Should you have any questions or issues on the distribution of ARPA funds, please send your correspondence to: localarpa@budget.ny.gov.