LOC News

Update on ARPA Distribution for Small Cities

The LOC has been working closely with the Oregon Department of Administrative Services (DAS) on getting American Rescue Plan Act (ARPA) funds out to smaller cities.  Based on these conversations, we still expect funds to go out to smaller cities in late July, but a delay into August is possible. 

The state has not yet applied for its share of ARPA funds, and our understanding is that they will wait until the start of the biennium on July 1 for ease of accounting. Once the state receives the funds, it will start a 30-day clock to pass them through, though extensions are possible.  There is a bill, SB 5547, working its way through the Legislature, that would  give DAS the expenditure limitation to pass through these funds once they become available.

The U.S. Treasury has issued guidance for smaller cities, typically those with a population less than 50,000,  that  will receive ARPA funds through the state.  These cities are referred to as non-entitlement units of local government (NEUs) in the guidance.      

Based on the latest information, the LOC has revised estimates for distribution amounts for smaller cities. These are estimated figures only and are not verified by the U.S. Treasury or the state of Oregon.

Previously released guidance on the use of American Rescue Plan funds is available on Treasury’s main ARPA webpage.  The spending guidance is contained in three main documents. The fact sheet (updated May 27) gives some basics of the program and brief lists of some of the allowed uses. The FAQ document gives plain language answers to some of the questions cities will most likely be considering. The Interim Final Rule is the most comprehensive guidance and like all the documents is searchable using CTRL+F on your keyboard.

The LOC will continue to update our American Rescue Plan Resource Hub as more information becomes available. The LOC held an informational Zoom meeting in May to unpack the guidance, and member cities can watch a recording of the meeting and see the PowerPoint presentation on the LOC’s website

The National League of Cities has additional resources on the NLC ARPA Hub

NLC Fact Sheets

NLC Tool

Contact: Mark Gharst, Lobbyist - mgharst@orcities.org or 503-991-2192

Last Updated 6/18/21