Treasury Notice Confusing: No Change to Annual Reporting for Townships 

Township officials may find a recent email notice (dated October 16) sent by the U.S. Treasury to all recipients of American Rescue Plan Act funds to be confusing. Please note that reporting requirements for townships are NOT changing. The next report that townships are required to file is in April 2025. Updated reporting guidance has been released, which will apply to the April 2025 report, and PSATS staff will review this guidance and incorporate it into presentations and materials to assist our member townships in completing this report.  

The notice does reiterate that these funds must be spent or obligated by December 31, 2024 or the township will be required to return these funds next year. Obligated means that the funds are under contract or purchase order by December 31, 2024. This means that any projects that the township would like to do using ARPA funds must be bid and the contract awarded by December 31, 2024. Funds are also considered to be obligated if an item has been ordered for purchase but is not yet received. Unspent and unobligated funds will then need to be returned to the federal government next year. 

As a reminder, ARPA funds can be used for nearly any normal township expense, such as payroll, fuel, insurances, and utilities; road, bridge, sewer, stormwater, public buildings, parks and recreation facilities, or other infrastructure; public safety costs, such as fire, ambulance, and police; and park and recreation expenses. The ARPA fund may used to pay for expenses between now and the end of the year or to reimburse the township for expenses from earlier this year. Want to learn more? Click here for PSATS ARPA Fact Sheet. Questions? Give PSATS a call at 717-763-0930.