Member Alert: Proposal to Claw Back 'Unobligated' ARPA Funds Introduced - Your Advocacy is Needed

Several federal legislative initiatives were recently introduced in Congress proposing to rescind ‘unobligated’ Coronavirus funds. The most notable this week is a proposal introduced by House leadership to address the national Debt Ceiling that includes such a recission. Although the likelihood of passage is slim, it is an opportunity for GFOA members to reach out to their congressional delegation and describe the projects funded by ARPA.

When you reach out:

• Describe projects funded by the Coronavirus State and Local Fiscal Recovery Funds
• Explain your plan in place for expending the funds fully in the covered period (obligating the funds by December 31, 2024 and expending the funds by December 31, 2026)
• Provide details that you have reported on your Project and Expenditure and Annual reports, if applicable
• Define the word “unobligated” which is a legal liability of the U.S. Government, and, according to the U.S. Government Accountability Office all SLFRF funds have been obligated

These proposals also may serve as a reminder to prime recipients that Project and Expenditure reports are due by April 30 for all States, Counties, Metro Cities and Non-entitlement Units of Local Government. For more information:

1. Visit the U.S. Treasury’s CSLFRF page and the Compliance and Reporting Guidance
2. Ensure you have Portal Access through the Self-Service Resources
3. Remember GFOA’s ARPA Recommended Guiding Principles
4. Reach out to GFOA’s Federal Liaison Center if you have any questions and keep up with our federal advocacy issues