Much like the 1984 hit musical number “It’s Raining Men”, Minnesota local governments and school districts may be noticing that it’s raining money. Amidst the waves of funding from the Coronavirus Aid, relief, and Economic Security Act (CARES Act) signed into law March 27, 2020 and the Coronavirus Response and Relief Supplemental Appropriations Act (CRRSA Act) signed into law on December 27, 2020 comes yet a third wave of significant federal funding.
On March 11, 2021 President Biden signed into law the American Rescue Plan Act, which provided more than $1.9 trillion to combat the COVID-19 pandemic. On May 10, 2021, the U.S. Department of the Treasury announced the launch of the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF), established by the American Rescue Plan Act of 2021, to provide $350 billion in emergency funding for eligible state, local, territorial, and Tribal governments. This funding has already found its way into many Minnesota local governments and school districts, as the US Treasury and/or State of Minnesota disbursed 50% of the CSLFRF award for local governments and 25% of CSLFRF for school districts.
Are you struggling to keep up with all of the new federal funding sources and unique compliance requirements that come with each additional wave of funding? If so, you are not alone. Reach out to our governmental accounting and auditing experts to help you get a handle on eligible uses and special reporting requirements for the latest in federal awards.