ARPA/SLFRF Obligation Deadline Approaching 

The deadline for local governments to obligate funds received through the American Rescue Plan Act (ARPA or SLFRF if State and Local Fiscal Recovery Funds ) is December 31, 2024. Local governments may not have completely spent their allotment; however, all units of government must obligate their entire allotment by the deadline through their grant project ordinance (GPO).

If your unit has not fully obligated all funds by having projects approved by the governing body, please make plans to have the GPO on the agenda as early as possible for approval prior to 12/31/2024. You will have until December 31, 2026, to complete projects and fully expend funding. Local governments may also want to review all ARPA/SLFRF records, policies and reports for completeness (keeping these until 12/31/2031). If you need assistance with spending plans or have questions regarding your ARPA/SLFRF program, reach out to Michelle Nance at mnance@centralina.org

Federal funds are commonly passed through state agencies in North Carolina before being awarded to local governments, which can make the original funding source less obvious. Before proceeding with a procurement, local governments should verify whether an award originates from a federal source. This determination affects compliance obligations, including procurement standards, reporting, and audit requirements.

When a construction or repair contract over $300,000 involves a building, the procurement and contract are subject to additional requirements under N.C.G.S. 143-128. Therefore, this question must be answered to determine whether the additional statutory requirements apply to this procurement scenario.

The micro-purchase threshold is a federal procurement threshold under which competitive procurement is not required. The default micro-purchase threshold is $15,000, but local governments may increase the micro-purchase threshold up to $50,000. An explanation of increasing the micro-purchase threshold and a template for the required annual self-certification is available here.