Putting this requirement together with the other provisions discussed above, section 601(d) may be summarized as providing that a State, local, or tribal government may use payments from the Fund only to cover previously unbudgeted costs of necessary expenditures incurred due to the COVID-19 public health emergency during the covered period. Oneida Nation General Manager Mark Powless has announced the Nation's plan for membership distribution of received federal relief funds and tribal contributions. If a State determines that expanding meat processing capacity, including by paying overtime to USDA meat inspectors, is a necessary expense incurred due to the public health emergency, such as if increased capacity is necessary to allow farmers and processors to donate meat to food banks, then such expenses are eligible expenses, provided that the expenses satisfy the other requirements set forth in section 601(d) of the Social Security Act outlined in the Guidance. 14. 75 on reporting and recordkeeping that would apply to the recipient: The prime recipient is responsible for determining the level and detail of documentation needed from the sub-recipient of small business assistance to satisfy [the requirements of section 601(d) of the Social Security Act], however, there would need to be some proof that the small business was impacted by the public health emergency and was thus eligible for the CRF funds. Expenses for food delivery to residents, including, for example, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions. As reflected in the Guidance and FAQs, Treasury has not interpreted this provision to limit eligible costs to those that are incremental increases above amounts previously budgeted. About the Federal Register Yes. For example, a State received the minimum $1.25 billion allocation and had one county with a population over 500,000 that received $250 million directly. Speeding the recovery of the tourism, travel and hospitality sectors. Similar to state and local governments, tribal governments are eligible for CRF funds . These include: Although tribes have broad discretion within the above categories of infrastructure, the Treasury Department clarified in the Interim Final Rule that general infrastructure spending (roads, energy, etc.) 52. This spending baseline will carry forward to a subsequent budget year if a Fund recipient enters a different budget year between March 27, 2020 and December 31, 2021. Except with respect to certain law enforcement and adjudication activities, no funds may be used to maintain or establish a computer network unless such network blocks the viewing, downloading, and exchanging of pornography. documents in the last year, 663 Check receipts (not preferred)Checks may be sent to one of the following addresses (depending on the method of delivery). The hallmark of Holland & Knight's success has always been and continues to be legal work of the highest quality, performed by well prepared lawyers who revere their profession and are devoted to their clients. Accordingly, the Health Resources and Services Administration's (HRSA) COVID-19 Coverage Assistance Fund (CAF) will cover the costs of administering COVID-19 vaccines to patients whose health insurance doesn't cover vaccine administration fees, or does but typically . State, territorial, local, and Tribal governments receiving funds from Treasury should ensure that funds transferred to other entities, whether pursuant to a grant program or otherwise, are used in accordance with section 601(d) of the Social Security Act as implemented in the Guidance. For example, a recipient may use payments from the Fund to cover hazard pay for a police officer coming in close contact with members of the public to enforce public health or Start Printed Page 4186public safety orders, but across-the-board hazard pay for all members of a police department regardless of their duties would not be able to be covered with payments from the Fund. Hazard pay means additional pay for performing hazardous duty or work involving physical hardship, in each case that is related to COVID-19. Are Fund payments to State, territorial, local, and tribal governments subject to the provisions of the Uniform Guidance applicable to grant agreements? A government should not make prepayments on contracts using payments from the Fund to the extent that doing so would not be consistent with its ordinary course policies and procedures. President Joe Biden signed the $1.9 trillion American Rescue Plan into law March 11 with Native American tribes receiving more than $31 billion the largest-ever investment to Native American. Subrecipients are subject to a single audit or program-specific audit pursuant to 2 CFR 200.501(a) when the subrecipients spend $750,000 or more in federal awards during their fiscal year. As discussed in FAQ A.29, hazard pay may be covered using payments from the Fund if it is provided for performing hazardous duty or work involving physical hardship that in each case is related to COVID-19. The Confederated Tribes of the Colville Reservation is operating its CCDF program under a P.L. for 30 days, Free Within this category of substantially different uses, as stated in the Guidance above, Treasury has included payroll and benefits expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. Payroll expenses for public safety, public health, health care, human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. On October 19, 2020, Questions A.57-59 and B.13 were added and Questions A.42, 49, and 53 were revised. Winds ENE at 5 to 10 mph. Expenses for public safety measures undertaken in response to COVID-19. Event details. On March 18, 2020, the Government of Canada announced $305 million for a new, distinctions-based Indigenous Community Support Fund (ICSF) through its COVID-19 Economic Response Plan to address immediate needs in First Nations, Inuit and Mtis communities. Guidance on Treatment of Alaska Native Corporations, Coronavirus Relief Fund Guidance as published in the Federal Register on January 15, 2021, Coronavirus Relief Fund Tribal Allocation Methodology, Payments to States and Eligible Units of Local Government, Tribal Employment and Expenditure Submission Instructions, Frequently Asked Questions on Tribal Population, Tribal Allocation Methodology for Second Distribution, Recipient Reporting and Record Retention Requirements, Interim Report of Costs Incurred by State and Local Recipients through June 30, Interim Report of Costs Incurred by the District of Columbia and Territories through June 30, Interim Report of Costs by Category Incurred by State and Local Recipients through June 30, Interim Report of Costs by Category Incurred by District of Columbia and Territories through June 30, Coronavirus Relief Fund Allocations to Tribal Governments, Disbursements to Alaska Native Corporations, CRF Guidance Revision Regarding Cost Incurred, Coronavirus Relief Fund Application of the Single Audit Act to Alaska Native Corporations (7/5/2022), Special Inspector General, Troubled Asset Relief Program (SIGTARP), Administrative Resource Center (ARC)- Bureau of the Fiscal Service. 254 through 256). 2. In the context of acquisitions of real estate and acquisitions of equipment, this means that the acquisition itself must be necessary. In recognition of the particular importance of public health and public safety workers to State, local, and tribal government responses to the public health emergency, Treasury has provided, as an administrative accommodation, that a State, local, or tribal government may presume that public health and public safety employees meet the substantially dedicated test, unless the chief executive (or equivalent) of the relevant government determines that specific circumstances indicate otherwise. Fund payments may be used only for expenditures necessary to address the current COVID-19 public health emergency. Treasury recognizes that schools are generally incurring an array of COVID-19-related expenses to either provide distance learning or to re-open. States are fully permitted to use payments from the Fund to satisfy 100% of their cost share for lost wages assistance recently made available under the Stafford Act. Receiving a PPP or EIDL grant or loan for COVID-19 would not necessarily make a small business ineligible to receive a grant from Fund payments made to a recipient. offers a preview of documents scheduled to appear in the next day's If the responsible government official determines that expenses incurred to refund eligible higher education expenses are necessary and would be incurred due to the public health emergency, then such expenses would be eligible as long as the expenses satisfy the other criteria set forth in section 601(d) of the Social Security Act. Workforce bonuses other than hazard pay or overtime. On September 2, 2020, the Supplemental Guidance on Use of Funds to Cover Payroll and Benefits of Public Employees and Supplemental Guidance on Use of Funds to Cover Administrative Costs sections were added. Coronavirus Relief Fund (CRF). The payments constitute other financial assistance under 2 CFR 200.40. Email: email@example.com. DISCLAIMER: Please note that the situation surrounding COVID-19 is evolving and that the subject matter discussed in these publications may change on a daily basis. Federal Register provide legal notice to the public and judicial notice 1. Low 44F. Click "accept" below to confirm that you have read and understand this notice. Yes, to the extent these efforts are deemed necessary for public health reasons or as a form of economic support as a result of the COVID-19 health emergency. See 42 CFR 433.51 and 45 CFR 75.306. The following answers to frequently asked questions supplement Treasury's Coronavirus Relief Fund Guidance for State, Territorial, Local, and Tribal Governments. 7. The U.S. Supreme Court ruled Friday that Alaska Native regional and village corporations are eligible to receive federal CARES Act funding intended for tribes. As such, unless the government were to determine that providing assistance in the form of a stipend is an administrative necessity, the government should provide such assistance on a reimbursement basis to ensure as much as possible that funds are used to cover only eligible expenses. 40. Be Truthful. The new deadlines are highlighted. 1. are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19); 2. were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government; and, 3. were incurred during the period that begins on March 1, 2020, and ends on December 31, 2021.. Yes, this would be an eligible expense if the government determined that the costs of such employment and training programs would be necessary due to the public health emergency. documents in the last year, 20 Chairman Andy Joseph, Jr. stated, We had all hoped to put the pandemic behind us, but that has not been the case. Section 1001 of Division N of the Consolidated Appropriations Act, 2021 amended section 601(d)(3) of the Social Security Act by extending the end of the covered period for Coronavirus Relief Fund expenditures from December 30, 2020 to December 31, 2021. documents in the last year, 822 54. The U.S. Department of the Treasury has recently announced how it will allocate these funds among tribes and provided guidance on how these funds can be used. The Treasury Department would seek to recoup the funds from the government that received the payment directly from the Treasury Department. accounts, the history behind an article. The prohibition on payment for abortions and health benefits coverage that includes coverage of abortion does not apply to an abortion if the pregnancy is the result of an act of rape or incest; or in the case where a woman suffers from a physical disorder, physical injury, or physical illness, including a life-endangering physical condition caused by or arising from the pregnancy itself, that would, as certified by a physician, place the woman in danger of death unless an abortion is performed. ELIGIBILITY CRITERIA Direct Submissions Along with being the columnist of Soundemonium Musaic, Scott Rains is also a police, fire, Native Affairs and roller derby reporter for The Lawton Constitution. Addressing health disparities and the social determinants of health through funding for community health workers. 44. Relatedly, both hazard pay and overtime pay for employees that are not substantially dedicated may only be covered using the Fund if the hazard pay and overtime pay is for COVID-19-related duties. for 1 day, $16.00 Federal Register. Initial guidance released on April 22, 2020, provided that the cost of an expenditure is incurred when the recipient has expended funds to cover the cost. For example, a State may spend Fund payments to create a reserve of personal protective equipment or develop increased intensive care unit capacity to support regions in its jurisdiction not yet affected, but likely to be impacted by the current COVID-19 pandemic. Please contact your responsible Holland & Knight lawyer or the authors of this alert for timely advice. May Fund recipients incur expenses associated with the safe reopening of schools? 5. Please log in, or sign up for a new account and purchase a subscription to continue reading. Expenses incurred to publicize the resumption of activities and steps taken to ensure a safe experience may be needed due to the public health emergency. Provider Relief Fund payments are being disbursed via both "General" and "Targeted" Distributions. May Fund payments be used for expenditures related to the administration of Fund payments by a State, territorial, local, or Tribal government? The Single Audit Act and 2 CFR part 200, subpart F regarding audit requirements do not apply to beneficiaries. Keep it Clean. on States and local governments will have significant leeway in deciding how to spend the $350 billion in Covid-19 relief funds, according to the Treasury Department. 19. Payments from the Fund are not administered as part of a traditional grant program and the provisions of the Uniform Guidance, 2 CFR part 200, that are applicable to indirect costs do not apply. Unemployment insurance costs related to the COVID-19 public health emergency if such costs will not be reimbursed by the federal government pursuant to the CARES Act or otherwise. In particular, financial assistance to private hospitals could take the form of a grant or a short-term loan. These provisions do not prohibit the expenditure by a State, locality, entity, or private person of State, local, or private funds (other than a State's or locality's contribution of Medicaid matching funds). On that date, the Treasury Department also released several key documents that address how FRF can be used. The Start Printed Page 4193spending baseline may be carried forward without adjustment for inflation. The Guidance provides, as an example of an eligible use of payments from the Fund, expenditures related to the provision of grants to small businesses to reimburse the costs of business interruption caused by required closures. endstream endobj 5402 0 obj <. Use of payments from the Fund to cover payroll or benefits expenses of public employees are limited to those employees whose work duties are substantially dedicated to mitigating or responding to the COVID-19 public health emergency. The statute also specifies that expenditures using Fund payments must be necessary. The Department of the Treasury understands this term broadly to mean that the expenditure is reasonably necessary for its intended use in the reasonable judgment of the government officials responsible for spending Fund payments. The following is a list of examples of costs that would not be eligible expenditures of payments from the Fund. Fund payments made by Treasury to State, territorial, local, and Tribal governments do not entail grant agreements and thus the provisions of the Uniform Guidance (2 CFR part 200) applicable to grant agreements do not apply. legal research should verify their results against an official edition of Only official editions of the May recipients create a payroll support program for public employees? What is meant by a small business, and is the Guidance intended to refer only to expenditures to cover administrative expenses of such a grant program? Information contained in this alert is for the general education and knowledge of our readers. Public universities have incurred expenses associated with providing refunds to students for education-related expenses, including tuition, room and board, meal plans, and other fees (such as activities fees). 5401 0 obj <> endobj May Fund payments be used to cover such an employee's entire payroll cost or just the portion of time spent on mitigating or responding to the COVID-19 public health emergency? A unit of local government eligible for receipt of direct payment includes a county, municipality, town, township, village, parish, borough, or other unit of general government below the State level with a population that exceeds 500,000. . Other eligible expenditures include payroll and benefit costs of educational support staff or faculty responsible for developing online learning capabilities necessary to continue educational instruction in response to COVID-19-related school closures. This would include, for example, the costs of redeploying corrections facility staff to enable compliance with COVID-19 public health precautions through work such as enhanced sanitation or enforcing social distancing measures; the costs of redeploying police to support management and enforcement of stay-at-home orders; or the costs of diverting educational support staff or faculty to develop online learning capabilities, such as through providing information technology support that is not part of the staff or faculty's ordinary responsibilities. Although FRF is a substantial capital infusion, tribes should not lose track of other potential sources of funding through the American Rescue Plan and other legislative packages that may be passed this year. For example, a State may expend Fund payments on necessary administrative expenses incurred with respect to a new grant program established to disburse amounts received from the Fund. The requirement that expenditures be incurred due to the public health emergency means that expenditures must be used for actions taken to respond to the public health emergency. Must a State, local, or tribal government require applications to be submitted by businesses or individuals before providing assistance using payments from the Fund? 39. endstream endobj startxref Re: HHS-CCDF CRRSA: Use of Funds- Child Care and Development Fund (CCDF) Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (CRRSA) Funds . Section 601 of the Social Security Act, as added by section 5001 (a) of Division A of the Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") established the Coronavirus Relief Fund (the "Fund") and appropriated $150 billion for payments by Treasury to States, tribal governments, and certain local governments. 2021-00827 Filed 1-14-21; 8:45 am], updated on 4:15 PM on Friday, March 3, 2023, updated on 8:45 AM on Friday, March 3, 2023, 105 documents Addressing educational disparities through new or expanded early learning services, providing additional resources to high-poverty school districts, and offering educational services such as tutoring or afterschool programs, as well as service to address social, emotional and mental health needs. Coronavirus Relief Fund by GlobalGiving Story Projects . The purpose of the meeting is to review their two statements on voting rights and Alaska Native concerns. What records must be kept by governments receiving payment? Such a grant would be analogous to a loan provided by the Fund recipient itself that incorporates similar loan forgiveness provisions. Third COVID-19 Relief Bill Becomes Law (H.R. 59. In addition, expenses that have been or will be reimbursed under any federal program, such as the reimbursement by the federal government pursuant to the CARES Act of contributions by States to State unemployment funds, are not eligible uses of Fund payments. Please see the answer provided by the IRS available at https://www.irs.gov/newsroom/cares-act-coronavirus-relief-fund-frequently-asked-questions. Every adult tribal member is eligible for this assistance and eligibility is not based on household size. publication in the future. If governments use Fund payments as described in the Guidance to establish a loan program to support businesses, would those funds be considered gross income taxable to a business receiving the loan under the Code? Any such use must be consistent with the requirements of section 601(d) of the Social Security Act as added by the CARES Act. Are States permitted to use Fund payments to support state unemployment insurance funds generally? If a recipient must issue tax anticipation notes (TANs) to make up for tax due date deferrals or revenue shortfalls, are the expenses associated with the issuance eligible uses of Fund payments?