1

AN INTRODUCTION TO THE

Coronavirus State and Local

Fiscal Recovery Funds

Compliance and Reporting Guidance

For metropolitan counties and cities with a population that 

exceeds 250,000

June 2021
2

Agenda

• Overview

• Part 1: General Guidance

• Part 2: Reporting Guidance 

• Q&A

This session provides an introduction to your compliance and reporting responsibilities 

as discussed in the SLFRP Compliance and Reporting Guidance. You can find this 

document at treasury.gov/SLFRPreporting.
3

SLFRF Resources

For More Information: 

Please visit Treasury’s State & Local website 

at www.treasury.gov/SLFRP

To Request Funding: 

Please visit www.treasury.gov/funding

For Media Inquiries: 

Please contact the U.S. Treasury Press Office 

at (202) 622-2960

For General Inquiries:

Please email SLFRP@treasury.gov
Overview
5

The American Rescue Plan Act of 2021 

The American Rescue Plan Act (ARPA) is providing fast and direct economic assistance 

for American workers, families, small businesses, and industries and it: 

• Continues programs started by the CARES Act in 2020 and Consolidated 

Appropriations Act in 2021.

• Adds new phases, allocations, and guidance to address issues related to the 

continuation of the COVID-19 pandemic. 

• Creates new programs to address continuing pandemic-related crises, and fund 

recovery efforts as the United States begins to emerge from the COVID-19 

pandemic.

• Was passed by Congress on March 10, 2021, and signed into law on March 11, 

2021.
6

Coronavirus State and Local Fiscal Recovery 

Funds Overview

ARPA created the Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program 

to deliver $350 billion for state, territories, municipalities, counties, and Tribal 

governments much needed aid.

The key objectives for SLFRF are to: 

• Support the urgent COVID-19 response efforts to continue to decrease spread of 

the virus and bring the pandemic under control.

• Replace lost revenue for eligible recipients to strengthen support for vital public 

services and help retain jobs.

• Support immediate economic stabilization for households and businesses.

• Address systemic public health and economic challenges that have contributed to 

the inequal impact of the pandemic on certain populations.
7

Interim Final Rule 

SLFRF is subject to the requirements and guidance specified in the Interim Final Rule, 

adopted on May 10, 2021. The Interim Final Rule:

• Establishes a framework for determining the types of programs and services 

eligible under ARPA.

• Builds on the use of eligible expenditures under the Coronavirus Relief Fund (CRF).

• Recognizes the broad range of eligible uses to help SLFRF recipients.

• Establishes certain regular reporting requirements, including requiring certain 

recipients to publish information regarding use of SLFRF spend.

Treasury is seeking comments on all aspects of the Interim Final Rule. 

Comments are due July 16, 2021 and can be electronically submitted through the 

Federal eRulemaking Portal or via mail to the Treasury. 
8

Compliance and Reporting Guidance Overview 

On Jun 17, 2021, Treasury released the SLFRF 

Compliance and Reporting Guidance, which builds 

on the Interim Final Rule.

All SLFRF recipients are required to meet the 

compliance and reporting responsibilities noted in 

the Interim Final Rule. 

The Reporting Guidance is broken into two parts: 

(1) General Guidance 

(2) Reporting Requirements
9

Purpose of the Reporting Guidance

The SLFRF Reporting Guidance will ensure a speedy, equitable, transparent, and accountable 

recovery for all Americans

Accountable: Ensure recipients fulfill their compliance responsibilities 

and use funding as intended

Transparent: Provide the public data on how these funds were used 

and the outcomes achieved

User Friendly: Provide as easy and efficient user experience as 

possible
10

Focused on Recovery 

The Reporting Guidance addresses priority areas to ensure a speedy and equitable 

recovery. 

Equity Focused Community 

Empowering

Worker-Centered Results and evidence 

focused
Part 1: General Guidance 
12

Recipient Compliance Overview

• Part 1B: Statutory Eligible Uses

• Part 1C: Treasury’s Interim Final Rule

• Part 1D: Uniform Guidance (2 CFR) 

Requirements

• Part 1D: Award Terms & Conditions
13

Parts 1B and 1C: Statutory Eligible Uses and 

Treasury’s Rulemaking

Part 1.C.1: 

Eligible and Restricted Uses • SLFRF has four permitted uses and certain restricted 

uses 

Part 1.C.2: 

Eligible Cost Timeframe

• Eligible costs incurred between March 3, 2021 and 

December 31, 2024

• Funds obligated by December 31, 2024 and 

expended by December 31, 2026

Part 1.C.3:

Reporting Requirements

• Generally, initial interim report, quarterly or annual 

Project and Expenditure reports, and Recovery Plan
14

Parts 1D and 1E: Uniform Administrative 

Requirements and Award Terms and Conditions

SLFRF recipients must follow the Uniform Administrative Requirement, Cost Principles, 

and Audit Requirements for Federal Awards (2 CFR Part 200) and the Terms and 

Conditions of the SLFRF assistance. 

• Allowable Activities

• Allowable Costs/Cost Principles (such as administrative costs and salaries 

and expenses)

• Cash Management 

• Eligibility 

• Subrecipient Monitoring

• SAM.gov Requirements 

• Recordkeeping Requirements

• Single Audit Requirements

• Civil Rights Compliance
Part 2: Reporting Guidance
16

Reporting Requirements

Recipients with a population exceeding 250,000 residents submit: 

1. Interim Report 2. Project and 

Expenditure Report 3. Recovery Plan 

Contents • Initial overview of • Types of projects funded • Approach and objectives

status and uses of • Financial data • Descriptions of funded 

funding • Information on contracts, projects 

grants, and subawards • Performance and 

over $50,000 evidence information

• Promoting equity

Frequency & • One-time • Quarterly • Annually

Submission • By August 31, 2021 • By October 31, 2021 and • By August 31, 2021 

Date • Covers date of award 30 days after the end of (covering award through 

through July 31, 2021 each quarter thereafter July 31, 2021) and 

annually thereafter
17

Key Concept: Expenditure Category

An Expenditure Category (EC) is a coding system to track how funding is used, 

and will also be used to identify where additional programmatic data is 

required.

Appendix 1 includes a list of 66 Expenditure Categories. 
18

Key Concepts: Projects

Projects: 

• Closely related activities toward a common purpose/goal

• New or existing services or investments 

• Funded in whole or in part by SLFRF funding

• Each project must align to one Expenditure Category. Projects 

break down an Expenditure Category into more detail.

• Recipients have flexibility to define their projects – but must 

provide a sufficient level of detail to be able to report on specific 

activities for each project, including any required program 

reporting.
19

Key Concepts: Relationships

Expenditure Category 

(e.g., Education Assistance: Early 

Learning) 

Project A

Project B 

(e.g. Pre-school services) Obligations/Expenditures

Subaward (e.g., Contract)

Subaward (e.g., Grant)
20

Part 2C: Recovery Plan

Provide information on how recipients are using program funding 

to achieve outcomes in an effective, efficient, and equitable 

manner. 

• The first report is due August 31, 2021.

• Posted on the recipients' public-facing website and submitted 

to Treasury. 

• Key data from Recovery Plan will also be entered into Treasury 

reporting system. 
21

Part 2C: Recovery Plan

Minimum requirements of the Recovery Plan include:

Narrative 

description of 

how funds will be 

used

• Executive Summary 

• Use of Funds

• Promoting Equitable Outcomes

• Community Engagement

• Labor Practices

• Use of Evidence

• Table of Expenses by Expenditure Category

• Project Inventory

• Performance Report

• Required Performance Data 

• Ineligible Activities: Tax Offset Provisions

Project inventory

Program data and 

performance 

indicators
22

1.C.3: Promoting Equitable Outcomes

Describe how funds will promote racially and economically 

equitable outcomes: 

• Goals for improving equity 

• Barriers to services for communities and individuals

• Track progress and assess outcomes

Describe specific equity strategies for services or programs in Negative 

Economic Impacts (EC 2) and Services to Disproportionately Impacted 

Communities (EC 3)

Equity defined in President Biden’s Executive Order on Executive Order 

13985, On Advancing Racial Equity and Support for Underserved 

Communities Through the Federal Government
23

Community Engagement and Labor Practices

1.C.4: Community Engagement

• Gather feedback from diverse constituents and community-based 

organizations

• Carry out projects that build community capacity and reach underserved 

populations

1.C.5: Labor Practices: 

• Promote effective and efficient delivery of high quality infrastructure 

projects
24

1.C.6: Evidenced-Based Interventions

Identify amount of project funds allocated to evidence-based interventions OR if 

undergoing rigorous program evaluation. 

Applies to most Expenditure Categories in:

• Public Health (EC 1)

• Negative Economic Impacts (EC 2) 

• Services to Disproportionately Impacted Communities (EC 3) 

Encouraged to use Learning Agendas and relevant evidence Clearinghouses to assess 

the level of evidence for your interventions. 

Evidence defined in Appendix 2
25

1.C.9: Performance Report 

Key performance indicators for each project (or a group of projects), 

including: 

• Output measures describe what was produced or services delivered

• Outcome measures the impact of the project and progress towards project 

goals

Measures determined by recipients

Funds may be used to improve to data or technology infrastructure, data 

analytics, capacity, and perform program evaluations.
26

1.C.10: Required Performance Indicators

Mandatory performance indicators for projects in the following areas: 

a. Household Assistance (EC 2.2 & 2.5) and Housing Support (EC 3.10-3.12):

• Number of people or households receiving eviction prevention services (including legal 

representation)

• Number of affordable housing units preserved or developed

b. Negative Economic Impacts (EC 2):

• Number of workers enrolled in sectoral job training programs

• Number of workers completing sectoral job training programs

• Number of people participating in summer youth employment programs

c. Education Assistance (EC 3.1-3.5):

• Number of students participating in evidence-based tutoring programs

d. Healthy Childhood Environments (EC 3.6-3.9):

• Number of children served by childcare and early learning 

• Number of families served by home visiting
27

1.C.11: Ineligible Activities: Tax Offset Provision

SLFRF funding is not used for deposits into pensions or to offset a reduction in new tax 

revenue, 

States and territories will report actual tax revenue and calculating tax revenue for the 

fiscal year ending 2019:

• If available, recipients should report audited financial information

Per Interim Final Rule, Treasury is seeking comment on reporting requirements related 

to this provision
28

Part 2A: Interim Report 

Initial overview of status and funding (covering spending from March 3 to July 31, 2021) 

and is due August 31, 2021. 

One-time report to provide obligations and expenditures by Expenditure Category:

• Requires a breakdown by all Expenditure Categories (e.g., 1.1 COVID-19 Vaccination)

• Do not need a breakdown by project 

Example

ID Category Cumulative Obligations to Date Cumulative Expenditures to Date

1 Public Health

1.1 COVID-19 Vaccination $1,000,000 $800,000

1.2 COVID-19 Testing $1,800,000 $1,100,000

1.3 COVID-19 Contact Tracing

1.4 Prevention in Congregate Settings $3,498,000
29

Part 2A: Interim Report 

Required Programmatic Data includes:

Revenue 

Replacement

• Revenue replacement formula and other revenue calculation 

details and exclusions

• If available, use audited data

• Description of services provided

Distributions to NEUs 

(States and territories 

only)

• Disclosure of distributions to NEUs to determine appropriate 

funding disbursements to NEUs
30

Part 2B: Project and Expenditure Report

Project and Expenditure Reports include projects and contracts, grants, and subawards 

over $50,000. First report is due on October 31, 2021, and 30 days after the end of 

each quarter thereafter.

Projects and 

Expenditures

Subawards

Program data

• Project Inventory 

• Expenditures

• Project Status

• Project Demographic Distribution

• Civil Rights Compliance

• Subawards

• Required Programmatic Data 

• Required Programmatic Data (for infrastructure)

• Distributions to NEUs (States and territories only)
31

Part 2B: Project and Expenditure ReportProject Demographic Distribution

Identify whether or not the project is serving an economically 

disadvantaged community, based if program or service is: 

• Provided at a physical location in a Qualified Census Tract 

(QCT)

• Primary intended beneficiaries live within a QCT 

• Eligibility criteria are such that the primary intended 

beneficiaries earn less than 60 percent of the median income; 

or

• Eligibility criteria are such that over 25 percent of intended 

beneficiaries are below the federal poverty line.
32

Part 2B: Project and Expenditure ReportProgrammatic Data (Non-Infrastructure Projects)

Provide specific programmatic data requirements for non-infrastructure 

projects for each Expenditure Category, including: 

• Payroll for Public Health and Safety Employees 

• Household Assistance

• Small Business Economic Assistance 

• Aid to Travel, Tourism, and Hospitality or Other Impacted Industries 

• Rehiring Public Sector Staff

• Education Assistance

• Premium Pay

• Revenue Replacement
33

Part 2B: Project and Expenditure ReportProgrammatic Data (Infrastructure Projects) 

Infrastructure projects must report detailed project level information, location, and 

expenditure data 

All Water, Sewer, and Broadband infrastructure projects over $10m must also report: 

• Number of employees/contractors

• Number of direct or third party hires

• Wages/benefits by worker classification 

• Whether wages are at prevailing page

Recipients must also report: 

• Detailed information on the wages and benefits provided, and how they will ensure 

a ready supply of skilled and unskilled labor, minimize the risk of labor disputes, 

and ensure a safe and healthy workplace. 

• Some additional reporting requirements may be waived for recipients who can 

certify compliance with Davis-Bacon or certify they have entered into a Project 

Labor Agreement.
34

Treasury Submission Portal and Training

• Information submitted via Treasury Submission Portal.

• Detailed User Guide and reference materials will be provided 

• Technical assistance webinars to support recipients’ reporting 

requirements.

• Further communications to be posted on Treasury’s website. 
35

Reporting Requirements

Recipients with a population exceeding 250,000 residents submit: 

1. Interim Report 2. Project and 

Expenditure Report 3. Recovery Plan 

Contents • Initial overview of • Types of projects funded • Approach and objectives

status and uses of • Financial data • Descriptions of funded 

funding • Information on contracts, projects 

grants, and subawards • Performance and 

over $50,000 evidence information

• Promoting equity

Frequency & • One-time • Quarterly • Annually

Submission • By August 31, 2021 • By October 31, 2021 and • By August 31, 2021 

Date • Covers date of award 30 days after the end of (covering award through 

through July 31, 2021 each quarter thereafter July 31, 2021) and 

annually thereafter
Q&A
37

Thank you

For More Information: 

Please visit Treasury’s State & Local website 

at www.treasury.gov/SLFRP

To Request Funding: 

Please visit www.treasury.gov/funding

For Media Inquiries: 

Please contact the U.S. Treasury Press Office 

at (202) 622-2960

For General Inquiries:

Please email SLFRP@treasury.gov