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President Biden Approves the $1.9 Trillion American Rescue Plan Act of 2021
On March 11, 2021, President Biden approved House Resolution (HR) 1319, the American Rescue Plan Act, signing it into law.
The Act provides aid to many groups, including aid to local governments through the 130-billion-dollar Coronavirus Local Fiscal Recovery (CLFR) Fund. The Act also extends CARES Act unemployment provisions and continues to offer tax credits to private employers that provide employees with paid sick or family leave. Readers can find a more detailed discussion of these topics in our previous special bulletin. The text of the Act has not changed since March 6th, two days before our previous special bulletin.
Liebert Cassidy Whitmore recommends that local governments immediately undertake the following steps to prepare for the American Rescue Plan Act:
(1) Assemble finance and other relevant staff members in order to determine the scope of potentially qualified expenses that the employer incurred or losses that it sustained;
(2) Assess all costs associated with or potentially associated with the government’s response to the public health emergency caused by COVID-19;
(3) Assess all losses sustained that are associated with or potentially attributable to the public health emergency caused by COVID-19; and
(4) Prepare records of such costs and losses to substantiate any claims for CLFR payments.
The American Rescue Plan Act brings the promise of much-needed assistance to local governments. LCW attorneys are available to help public agencies and employers with any inquiries they may have about the American Rescue Plan Act moving forward.