ARPA-SLFRF Final Rule – Key Points to Consider

January 27, 2022

To: Municipal Clerks and Treasurers, County Clerks and Treasurers, and Heads of Government

The U.S. Department of Treasury (Treasury) recently published the Final Rule for the American Rescue Plan Act (ARPA) – State and Local Fiscal Recovery Funds (SLFRF). As you know, recipients may use ARPA SLFRF for "government services" in an amount equal to their revenue loss due to the COVID-19 public health emergency.

More Spending Flexibility

Under Treasury's final rule, you can use up to $10 million in revenue loss (not more than your award amount) for government service expenses, offering flexibility and fewer reporting requirements.

One of the highlights of the Final Rule is that Treasury developed a standard allowance, assuming up to $10 million in revenue loss for each recipient. This means recipients can use up to $10 million (not to exceed their award amount) to fund "government services."

  • Note: No Wisconsin non-entitlement unit of government (NEU – typically municipalities with a population less than 50,000) was allocated more than $10 million
  • There is no longer a need for Wisconsin NEUs to manually calculate their revenue loss using the Revenue Loss Calculator

Government Services

Any service traditionally provided by a government (unless Treasury stated otherwise).

Common examples (not all-inclusive):

We encourage you to use ARPA SLFRF wisely to have a lasting impact within your community. If you use the funds for government services, avoid violating and/or negatively impacting your qualification status for the Wisconsin state programs listed below.

Levy Limits

Shared Revenue