CFAC Begins Process of Setting CARES Act Allocation

20 Apr 2020, by Seth Grigg Share :

The Governor’s COVID-19 Financial Accountability Committee (CFAC) met Friday to continue the process of developing a framework to allocate the state’s $1.25 billion in CARES Act funding. To date, the state has received approximately $600 million of its allocation. The committee has agreed to allocate 55% of the funds to state agencies.

Another 30% will be allocated to counties, cities, special purpose districts, and tribes. Twenty-five percent of the local share will be allocated based on the population according to the sales tax distribution model. The population-based allocation to counties will be $44 million. To view the estimated county by county share, please click here. Cities will receive $43 million and special purpose districts will receive $7 million. The remaining $281 million (or 75%) of the local share will be allocated to counties, cities, special purpose districts, and tribes based on actual reimbursement needs that exceed each jurisdiction’s population-based allocation. 

The remaining 15% will be held in a reserve account as an additional stabilization account in the event that the state or local units of government exceed their respective allocations. 

CFAC is awaiting reimbursement eligibility guidelines from the US Treasury. The eligibility criteria should be in place no later than April 24th. The State Controller’s Office will be charged with accepting applications for reimbursement, distributing reimbursements, and reporting on how funds are expended. While reporting guidelines have yet to be determined there will likely be two application processes, one for expenses which are known to be eligible for reimbursement and one for preapproval of expenses for which reimbursement is uncertain. The State Controller’s Office will develop online reimbursement forms for both types of requests. Counties must document and retain receipts for all expenses for which reimbursement is sought.

X