President Biden signed the $1.9 trillion coronavirus relief package known as the American Rescue Plan in March 2021. The American Rescue Plan allocates money for vaccines, schools, small businesses and anti-poverty programs such as an expanded child tax credit that will mean new monthly payments to many parents.

Every town, school district, and county in the state is receiving ARP funds that can be used for a broad range of things including financial assistance to families, small businesses, and nonprofits, offsetting local revenue losses due to the pandemic, making necessary investments in water, sewer, or broadband infrastructure, and more.

The large Metro cities in North Carolina will be receiving a total of about $680 million.

County governments in NC will receive a total of $2 billion.

Smaller towns and cities in North Carolina will receive a total of about $705 million.

Local NC school districts are receiving over $3.2 billion.

The larger Metro cities and all 100 counties in North Carolina will receive a set amount of money through the ARP. Look here to see how much your city and county will be receiving.

The hundreds of smaller municipalities are now applying to receive their distribution from the State within the next few months. Totals will vary widely based upon local population. The North Carolina Pandemic Recovery Office (NC PRO) is helping distribute these funds.

Local school districts also receive a set amount of funds issued through the NC Department of Public Instruction. View estimated amounts here.

This summer and fall, city and county governments and local school boards will be making important decisions on how ARP funds should be spent. We encourage local elected leaders to initiate a deliberate and clear process that encourages community input. Funds do not have to be spent until the end of 2024 so while the needs are urgent, localities should not feel overly rushed to make these important spending decisions.

There are no set “rules” around what local towns and counties must do to allow for public comment and other input, however public votes must be held prior to allocating any ARP funds. We hope and encourage localities to create clear ways that advocates can have their voices and ideas heard. For example, the city of Greensboro has created an innovative portal where local residents can weigh in with their priorities for how ARP funds should be spent. Some local governments, like New Hanover County, already have detailed recommendations from staff about how ARP funds could be spent.

There are a broad range of services that ARP funding can be used for. It is important for advocates to understand that this funding is short-term, and often times will be best used for one-time expenditures (like installing a new HVAC system in a public building). However, advocates should also be aware of the many ways local ARP funding can be used to address racial inequities and promote more equitable and healthy communities moving forward. According to the US Treasury Department, some specific uses of funding include:

• Addressing health disparities and the social determinants of health through funding for community health workers, public benefits navigators, remediation of lead hazards, and community violence intervention programs;
• Investments in housing and neighborhoods, such as services to address individuals experiencing homelessness, affordable housing development, housing vouchers, and residential counseling and housing navigation assistance to facilitate moves to neighborhoods with high economic opportunity;
• Addressing educational disparities through new or expanded early learning services, providing additional resources to high-poverty school districts, and offering educational services like tutoring or afterschool programs as well as services to address social, emotional, and mental health needs; and,
• Promoting healthy childhood environments, including new or expanded high quality childcare, home visiting programs for families with young children, and enhanced services for child welfare-involved families and foster youth.

• Purchasing local property to address homelessness;
• Revitalizing old buildings to house affordable child care centers;
• Providing direct payments or stipends to families; and
• Investing in school professionals like nurses and psychologists.

In an article from May 2021, the Brookings Institute talks about how local leaders should utilize ARP funds to stabilize, strategize, and organize. The process for community engagement around ARP funding can lay the ground work for long-lasting and productive coalition work at the local level.