American Rescue Plan
On March 11, 2021, President Joseph R. Biden signed the $1.9 trillion American Rescue Plan Act of 2021 (ARPA). ARPA is an ambitious initiative to stimulate the American economy, support residents, and curb the spread of the COVID-19 virus. As we navigate through the COVID-19 pandemic and rebuild our local economy, ARPA will provide some much-needed relief to American families and businesses.
ARPA specifically defines how the funding can be used. The categories include initiatives that will either:
- · Improve public health and community resilience
- · Address disparities of disproportionately impacted communities
- · Diminish family violence and substance abuse
- · Create more stable, affordable housing and prevent evictions
- · Invest in workforce development
- · Augment broadband/Internet access in underserved areas
- · Invest in critical wastewater and stormwater infrastructure
- · Assist small businesses impacted by the pandemic
With this in mind, Newburgh is eager to identify projects and initiatives that address our community's most immediate needs while investing in sustainable solutions with long-term benefits.
The City of Newburgh will receive $21,814,339 and has committed half of those funds to long-term infrastructure projects, such as sewer and water system repairs. An additional $3.5 million must be spent on Revenue Replacement. The City is seeking public input on spending the second half of these funds, an estimated $7.5 million.
Newburgh’s Share of the ARPA Funds
Committed to Water and Wastewater Infrastructure (roughly half)
Required Expenditure for Revenue Loss
Remaining Programmatic Funds for Public Input
These funds can ONLY be spent on projects that meet the specific requirements of the program. Projects must meet one of the seven spending categories.
1. Public Health
2. Negative Economic Impacts
3. Services to Disproportionately Impacted Communities
4. Premium Pay for Essential Employees
6. Revenue Replacement (Calculated by a Revenue Loss Equation) $3,537,595
7. Administration Costs
The City launched two survey tools to solicit public input in January through March of 2022.
Please see the results of those surveys in the presentation below.
Funding from the Coronavirus State and Local Fiscal Recovery Funds is subject to the requirements specified in the Final Rule released by Treasury on January 6, 2022. Treasury released an Overview of the Final Rule , which provides a summary of major rule provisions to assist recipients and stakeholders.
The Nation League of Cities has a comprehensive ARPA FAQ section
An additional $3.5 million must be spent on Revenue Replacement. The City is seeking public input on spending the second half of these funds, an estimated $7.5 million.