DATE: May 21, 2024
TO: Board of Supervisors
SUBMITTED BY: Paul Nerland, County Administrative Officer
SUBJECT: State Local Fiscal Recovery Funds, Amendments to Subrecipient Agreements
RECOMMENDED ACTION(S):
TITLE
1. Approve amendments to the Subrecipient Agreements listed in Attachment A for the provision of American Rescue Plan Act - State and Local Fiscal Recovery Funds (ARPA-SLFRF), in substantially the form as Attachment B to this item, to revise language in the timeline section of each Subrecipient Agreement and remove a County-imposed obligation deadline that the United States Department of the Treasury has recently clarified does not apply to Subrecipients; and
2. Approve and authorize the County Administrative Officer, or his designee, to execute the recommended amendments to the Subrecipient Agreements listed in Attachment A, subject to review and approval as to legal form by the County Counsel, and as to accounting form by the Auditor-Controller/Treasurer-Tax Collector.
REPORT
There is no Net County Cost associated with the recommended actions, which will approve amendments to the subrecipient agreements listed in Attachment A (Subrecipient Agreements) to remove a requirement that each subrecipient must account for all SLFRF which has not been bindingly obligated to a permissible use by December 31, 2024, and remit the same unobligated SLFRF to the County within thirty calendar days. When the Subrecipient Agreements were drafted, it was not clear whether this "obligation" requirement applied to SLFRF subrecipients, in addition to recipients, such as the County. On November 20, 2023, the United States Department of the Treasury (Treasury) issued the 2023 Obligation Interim Final Rule (OIFR) which revised the definition of "obligation" with respect to the ARPA-SLFRF program and clarified the application of the obligation deadline to subrecipients. The OIFR, including the Obligation Quick Reference Guide issued by the Treasury, attached to this item...
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