- American Rescue Plan Act of 2021
American Rescue Plan Act of 2021
The American Rescue Plan Act (ARPA) is a $1.9 trillion federal aid package passed by Congress in March to provide financial aid to families, governments, businesses, schools, non-profits and others impacted by the pandemic.
Of that $1.9 trillion, $350 billion is going to state and local governments as part of the Fiscal Recovery Fund.
The City of Springfield will receive just over $40 million in ARPA funds.
The state of Missouri will receive about $2.7 billion. Greene County will receive about $56.9 million.
Funds must be obligated by the end of 2024 and spent by the end of 2026.
Cities can use ARPA funds to:
- Respond to the public health emergency or its negative economic impacts;
- Provide premium pay to eligible workers;
- For the provision of governmental services to the extent of the reduction in revenue due to COVID-19; and
- Invest in water, sewer, or broadband infrastructure.
Cities cannot use ARPA funds to:
- Offset a reduction in taxes;
- For deposits into pension funds;
- To fund debt service;
- To fund legal settlements or judgments;
- For deposits into rainy-day funds or financial reserves.
How will the City allocate the funds?
Springfield City Council is working to define the process for determining allocations. This process will include a public engagement component. More information will follow as that process develops.The council met in a half-day workshop on June 24, 2021 to learn about ARPA and how the funds might be allocated. Additional meetings are planned and will be recorded. The recordings and additional materials will be housed on this page following each meeting.