American Rescue Plan Act
The American Rescue Plan Act was signed by the president in March 2021 and provides $350 billion of aid to state and local governments throughout the country to respond to the negative economic impacts of the COVID-19 pandemic.
How much will the city of Sterling Heights receive?
The City of Sterling Heights will receive just over $19.8 million over a two-year period. The funds must be obligated by 12/31/2024 and spend by 12/31/2026.
What can the City spend the money on?
The complete spending rules are very complex, however there are four specific allowable uses:
- To respond to the public health emergency or its negative economic impacts, including assistant to households, small business, and nonprofits, or aid to impacted industries such as tourism, travel and hospitality;
- To respond to workers performing essential work during the COVID-19 public health emergency by providing premium pay to eligible workers;
- For the provision of government services to the extent of the reduction in revenue due to the COVID-19 public health emergency relative to revenues collected in the most recent full fiscal year prior to the emergency;
- To make necessary investments in water, sewer or broadband infrastructure.
Is there anything specifically prohibited for use of the funds?
Yes, the City is not allowed to deposit the funds into any pension fund.
How is the City going to spend the funds?
The City is currently going through a thorough and deliberative process to determine the best use of these transformational funds. City Administration and City Council are working together to determine a list of potential projects that will be considered. Public input will be sought prior to the final determination.
How can I contribute a project idea or provide input?
The City will be holding public forums on October 13th and October 16th. Displays will be available that explain all the proposed projects and City employees and City Council will be available to explain the concepts and answer questions. We encourage all interested residents to attend one of these two forums.
Check back for further information on times and locations.
I have further questions, who can I contact?
You can find more information on the American Rescue Plan by visiting the below resources:
Or by calling the city of Sterling Heights at 586-446-CITY (2489).