COVID-related expenses: Funds had to be used for expenses incurred due to the pandemic, not pre-existing needs.

 

The permissible uses of COVID funds depended on the specific program and the recipient. Here's a breakdown to consider:

General Principles:

• COVID-related expenses: Funds had to be used for expenses incurred due to the pandemic, not pre-existing needs.
• Necessity vs non-essentials: They couldn't be used to cover budget shortfalls unrelated to COVID or for unrelated projects.
• Time-bound spending: There were deadlines for using the funds, usually tied to when they were received.

Who determines permissible uses?

• Federal programs: The U.S. Department of the Treasury or the specific department managing the program issued guidelines outlining acceptable uses.
• State and local programs: Each state or locality might have had additional rules on top of federal guidelines.

Examples of Permissible Uses:

• Public Health: Expenses for testing, contact tracing, PPE, medical equipment, temporary hospitals.
• Economic Relief: Direct payments to individuals, unemployment benefits, grants to small businesses.
• Essential Services: Funding for schools, public safety, transportation to keep functioning during the pandemic.
• Lost Revenue Replacement: In some cases, funds could be used to replace revenue lost due to COVID that would have otherwise funded essential services.

Resources to Learn More:

• U.S. Department of the Treasury - Coronavirus Relief Fund: https://home.treasury.gov/policy-issues/coronavirus/assistance-for-state-local-and-tribal-governments/coronavirus-relief-fund
• Specific program websites: Each federal program distributing COVID funds likely has its own website with details on permissible uses.

Remember, these are general guidelines. It's always best to consult the specific program regulations for the most accurate information on permissible uses of COVID funds.

Sources

1. sam.gov/fal/ca3be2be0b8c41e1a79aed19b87ffe8d/view