The North Carolina Pandemic Recovery Office disbursed more than $100 million to local
governments in federal COVID-19 relief funds from the American Rescue Plan last week. As of July 7, $100,166,588.57 has been disbursed to smaller municipal governments, with additional funding expected to go to local governments this week.
The funds were included in the American Rescue Plan Act Local Fiscal Recovery Funds (LFRF) passed by Congress in March 2021. The American Rescue Plan included $350 billion to help state, local and tribal units of government recover from the COVID-19 pandemic.
“North Carolina is emerging from this pandemic stronger than ever and we are ensuring that these vital relief funds get out as quickly and effectively as possible,” said Governor Cooper. “A shared recovery starts at the local level and we’re working with local leaders to ensure that these funds have a transformational impact for communities across North Carolina.”
The State of North Carolina received $5.4 billion in American Rescue Plan Act State Fiscal Recovery Funds (SFRF), and local governments in North Carolina directly received $2.7 billion in Local Fiscal Recovery Funds. The North Carolina Pandemic Recovery Office (NCPRO) is responsible for distributing the additional $705 million of the LFRF to 525 non-entitlement units (NEUs) in accordance with U.S. Treasury rules and guidance. Non-entitlement units are local governments typically serving populations of less than 50,000.
This disbursement to 112 NEUs is the first of two disbursements of LFRF that non-entitlement units will receive. The second disbursement of LFRF can be expected in 2022. The funds can be used to respond to the public health emergency and its negative economic impacts, to respond to essential workers by providing premium pay, to recover lost revenue due to the COVID-19 pandemic, and to make necessary investments in infrastructure, such as water, sewer and broadband.
NCPRO is responsible for providing technical guidance and support to all county and municipal governments that received funds from LFRF and is currently working to assist local governments in completing their paperwork to receive these funds.
“Our staff has been working diligently with the 525 local governments to answer questions, provide resources and assist them through the pre-contracting and contracting stages for the Coronavirus Local Fiscal Recovery Funds from the American Rescue Plan Act to ensure these non-entitlement units receive their funds quickly and efficiently beginning this month,” said Stephanie McGarrah, Executive Director of NCPRO.
NCPRO provides general guidance and detailed technical assistance to all local governments across the state. This includes co-hosting informational webinars and providing resources on their website such as educational materials, instructional videos and links to U.S. Treasury Guidance.
Learn more about recipients of Local Fiscal Recovery Funds on the NCPRO website.