The updated report includes information about the initial disbursement of ARPA funds, as well as the allocation of unclaimed funds disbursed on Nov. 22 to qualifying cities.
Minnesota Management and Budget published a report on Dec. 8 that details distributions of federal American Rescue Plan Act (ARPA) funds made by the state to local governments as of Nov. 22.
Enacted in March, ARPA included $377 million in payments to non-entitlement units of government (NEUs) in Minnesota. NEUs generally include cities under 50,000 in population, and their ARPA payments were to be disbursed by the state of Minnesota in two payments spaced 12 months apart.
All NEUs that submitted a request for funds by Oct. 11 received payment based on a per-capita allocation. The allocation was limited to not more than 75% of the NEU’s total annual budget. The Department of Revenue disbursed payments to 744 cities.
Disbursement of remaining funds
After the Oct. 11 deadline passed, a portion of the Local Fiscal Recovery Funds remained unrequested. As allowed by the U.S. Treasury, the state distributed the remaining funds among NEUs that had met the deadline to request ARPA funds.
The updated report includes the initial disbursement date and amount, as well as the allocation of unclaimed funds disbursed on Nov. 22 to qualifying NEUs. The second half of funding will be distributed in the summer of 2022.