The U.S. Treasury (Treasury) has issued information on the pre-award requirements for State and Local Fiscal Recovery Funds (FRF). While the focus in preparation for these funds should continue to be on strategy development, the following is important information for preparing entities to receive the FRF deposits, as well as apply for additional funding provisions in the American Rescue Plan Act of 2021.
Please review the following and take action as it relates to establishing methods to receive deposits of the funding. As the FRF program guidance is released in the coming weeks, our team will share insights and provide a detailed review.
Per Treasury guidance, prior to receipt of a direct payment of funds from Treasury, entities should prepare certain information in advance as listed below. Taking these steps will allow eligible entities to be better positioned to receive payments from Treasury once the program is launched. As outlined by Treasury, direct payments will be made to the following eligible entities: states, including the District of Columbia, territories, tribal governments, counties and metropolitan cities.
The following steps should be taken as soon as possible to prepare to receive funding:
Non-entitlement units of local government will receive a distribution of funds from their respective state government. (“Non-entitlement units of local government” are defined in 42 U.S.C. 5302(a)(5) that are not metropolitan cities.)
Remember! Non-entitlement units must have a valid DUNS number to meet reporting the requirements under the program. If an entity does not have a valid DUNS number, please visit https://fedgov.dnb.com/webform/ or call 1-866-705-5711 to begin the registration process.
For more information, or to learn how Baker Tilly’s government specialists can help your entity prepare and strategize for ARP funding, contact our team.