USED Releases ARP Fact Sheet on Pre-Award Costs

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USED Releases ARP Fact Sheet on Pre-Award Costs

USED released a fact sheet describing strategies for how LEAs may utilize pre-award costs if they have not yet received an ARP ESSER award from their state.

Background: The American Rescue Plan Act of 2021’s Elementary and Secondary School Emergency Relief (ARP ESSER) Fund provides nearly $122 billion to help schools reopen safely, sustain safe operations, and meet the social, emotional, mental health, and academic needs of the Nation’s students. Because these needs are so urgent, the ARP Act requires that States allocate at least 90 percent of all funds to their local educational agencies (LEAs) in an “expedited and timely manner.” Although states legally have until March 24, 2022, to make available the LEA share of the first 2/3 of ARP ESSER funding, the ARP Act emphasizes that States should have acted within 60 days of receiving the funds to the extent practicable—and the Department has made clear that every State should do so if they have not already. 1 While the large majority of States have moved expeditiously to make these vital resources available to LEAs, a few States have not yet started awarding ARP ESSER funds that they received in March. In response to questions the Department has received from LEAs, it is important to emphasize that such delay by a State does not restrict an LEA’s ability to incur allowable costs that an LEA determines are appropriate and necessary. Hence, today's fact sheet.


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