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RICHMOND—Governor Ralph Northam today announced that the Commonwealth has distributed approximately $304.5 million in federal American Rescue Plan Act (ARPA) funding to 190 towns. These payments represent the first half of funding provided by the U.S. Treasury for Non-Entitlement Units of local government, with the same amount to be provided in June 2022. These funds are in addition to $2.3 billion available to Virginia’s 133 counties and cities directly from the federal government, as well as $4.3 billion that Governor Northam and the General Assembly will allocate during a special session beginning August 2.
“Our Administration is committed to ensuring that communities of all sizes get the assistance they need to recover from the impacts of the pandemic—that’s why we expedited the distribution of funding for Virginia’s towns,” said Governor Northam. “These federal dollars represent an unprecedented opportunity to meet local response needs while also making transformative investments to support broad-based, equitable growth in every corner of the Commonwealth. We encourage collaboration across localities to maximize these funds for the benefit of all Virginians.”
The Secretary of Finance issued a memorandum to local officials of Non-Entitlement Units of government on June 9, 2021 with guidance on distributing the first round of CSLFRF allocations.
“ARPA funding will provide significant assistance to state and local governments in a wide range of areas,” said Secretary of Finance Joe Flores. “We have worked diligently to ensure that all localities receive the funds designated for them, and we are excited to see the positive outcomes that will result for communities across Virginia.”
The ARPA established the Coronavirus State and Local Fiscal Recovery Fund (CSLFRF) to assist states and eligible units of local and tribal government with COVID-19 recovery and infrastructure improvements. Within the categories of eligible uses, recipients have broad flexibility to decide how best to use this funding to meet local needs. Eligible uses of CSLFRF funds include:
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