American Rescue Plan Act Funding (ARPA)
City of Missoula direct ARPA allocation: $14,192,996
The City of Missoula received a direct allocation of over $14 million in federal American Rescue Plan Act funds to help fight the pandemic, maintain vital services, and invest in long-term growth.
Treasury’s guidelines, and City priorities within those guidelines, have shaped our use of ARPA funding. The City of Missoula allocated the majority of our ARPA funding in our Fiscal Year 2022 and Fiscal Year 2023 budget process. The City will need to budget any remaining ARPA funds by Treasury’s December 31, 2024 allocation deadline. Find more information about the City's past budgets here, and tune into City Council meetings, and sign up for alerts.
- What is ARPA?
ARPA is an acronym for the American Rescue Plan Act, which provides funding to address the pandemic. The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program, a part of the American Rescue Plan, delivers $350 billion to state, local, and Tribal governments across the country to support their response to and recovery from the COVID-19 public health emergency.
- What does using ARPA for revenue loss mean?
The federal government allows local governments that lost revenue (lost taxes, utility payments, etc.) during the COVID-19 pandemic to use ARPA funds, up to the amount of revenue lost, for "government services." This category is extremely discretionary and allows the funds to be used for any service traditionally provided by a government. Treasury’s Final Rule allowed local governments to claim a standard allowance of $10 million in lost revenue. The City of Missoula took this standard allowance, and you’ll see the “government services” language in the “City Operations” category on this website.
- What are eligible uses of ARPA funding?
The federal government intended ARPA funding to help:
- respond to the Public Health and economic impacts of COVID-19
- support premium pay for eligible employees
- replace lost public sector revenue
- improve water, sewer and broadband infrastructure
For more info on guidelines, visit Treasury’s SLFRF website.
- Why did the City of Missoula get direct funding?
As a “metro city” with a population over 50,000, the City of Missoula received a direct allocation from the U.S. Treasury. Great Falls and Billings were the other two cities in Montana who received a direct allocation (other Montana cities receive their ARPA funding through the State). We received half of our total direct allocation in May 2021, and the other half in May 2022.
ARPA in the City Budget
- Public Safety
- Equity in our Community
- City operations/ pandemic transition
- Health Department
- $2.3 million allocation to stabilize the general fund (Treasury's revenue loss provision for government services)
- $775,673 Information Technology and capacity improvement
- $234,665 pandemic expenses from FY21
- More City operations project information (PDF)
Infrastructure and Public Works $17,048,234
The City of Missoula received a separate “minimum allocation” specifically for water and sewer infrastructure projects. This federal funding flows through the State and is administered by the Montana Department of Natural Resources and Conservation (MT DNRC). Our Public Works team has been tasked with submitting applications to MT DNRC for review and approval in order to access our minimum allocation funding. Public Works has also been successful in securing over $6 million in additional ARPA funding from MT DNRC competitive Infrastructure grants.
Housing and Urban Development (HUD) Programs $1,323,209
In 2021, we received an additional one-time $1.3 million direct allocation of HOME ARP funds. Community priorities for these funds were identified through community outreach and engagement efforts, and documented in our HOME ARP allocation plan.
Applications for HOME ARP funding will be accepted through the Annual Unified Application cycle for Program Year 2023 (July 1, 2023 to June 30, 2024). Any organization, developer, subrecipient, or Community Housing Development Organization (CHDO) is eligible to apply. HUD funding can be complex! A pre-application is required, so we can help applicants identify and work through any project components that need special attention. Find the 2 p.m. January 10th webinar meeting link here.