American Rescue Plan act
The American Rescue Plan (2021) is providing fast and direct economic assistance for American workers, families, small businesses, and industries.
The American Rescue Plan continues many of the programs started by the CARES Act (2020) and Consolidated Appropriations Act (2021) by adding new phases, new allocations, and new guidance to address issues related to the continuation of the COVID-19 pandemic. The American Rescue Plan also creates a variety of new programs to address continuing pandemic-related crises, and fund recovery efforts as the United States begins to emerge from the COVID-19 pandemic.
The American Rescue Plan was passed by Congress on March 10, 2021 and signed into law on March 11, 2021.
The American Rescue Plan Act (the Act) established the Coronavirus State Fiscal Recovery Fund (CSFRF) and Coronavirus Local Fiscal Recovery Fund, which provide a combined $350 billion in assistance to eligible state, local, territorial, and Tribal governments.
The Coronavirus State and Local Fiscal Recovery Funds provide eligible state, local, territorial, and Tribal governments with a substantial infusion of resources to meet pandemic response needs and rebuild a stronger, and more equitable economy as the country recovers. Recipients may use these funds to:
- Support public health expenditures, by, for example, funding COVID-19 mitigation efforts, medical expenses, behavioral healthcare, and certain public health and safety staff
- Address negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries, and the public sector
- Replace lost public sector revenue, using this funding to provide government services to the extent of the reduction in revenue experienced due to the pandemic
- Provide premium pay for essential workers, offering additional support to those who have and will bear the greatest health risks because of their service in critical infrastructure sectors
- Invest in water, sewer, and broadband infrastructure, making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and to expand access to broadband internet
use of Funds
Coronavirus State Fiscal
Recovery Funds (CSFRF)
county and NEU allocations
Budget and Expenditures by expenditure category
Budget by Expenditure Category
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Within these overall categories, recipients have broad flexibility to decide how best to use this funding to meet the needs of their communities.
The final rule was issued on January 6, 2022 and can be accessed at https://home.treasury.gov/system/files/136/SLFRF-Final-Rule.pdf