U.S. TREASURY RELEASES GUIDELINES ON AMERICAN RESCUE PLAN EXPENDITURES

On May 10 the U.S. Treasury released details on how the American Rescue Funds can be used to respond to acute pandemic response needs, fill revenue shortfalls among governments, and support the communities and populations hardest hit by the COVID-19 crisis.

These funds can be used for the following:

1. Support public health expenditures, by funding COVID-19 mitigation efforts, medical expenses, behavioural healthcare, and certain public health and safety staff;

2. Address negative economic impacts caused by the public health emergency, including economic harms to workers, households, small businesses, impacted industries, and the public sector;

3. Replace lost public sector revenue, to provide government services to the extent of reduction in revenue experienced due to the pandemic;

4. Provide premium pay for essential workers, offering additional support to those who have borne and will bear the greatest health risks because of their service in critical infrastructure sectors;

5. Invest in water, sewer, and broadband infrastructures , making necessary investments to improve access to clean drinking water, support vital wastewater and stormwater infrastructure, and expand access to broadband internet.

The American Rescue Plan specifies two ineligible uses of funds:
a. To fund reductions in net tax revenue;

b. To make pension fund payments.

The city of Shreveport will receive a total of $48.64 million. Caddo Parish will receive$46.59 million. The payments will be make in two tranches with the first to be expected this week.