CITY OF SAN ANTONIO
GOVERNMENT & PUBLIC AFFAIRS DEPARTMENT
MEMORANDUM
TO: Intergovernmental Relations Committee
FROM: Ana Bradshaw, COVID-19 Financial and Performance Executive Liaison
SUBJECT: CARES Act Reporting and Compliance
DATE: September 4, 2020
At the Intergovernmental Relations Council Committee meeting on September 9, 2020, City Manager’s Office staff will provide a brief on the City’s reporting and compliance efforts related to the City’s CARES Act funding.
Federal CARES Act Funding
Since March 2020, the City of San Antonio has received over $377 Million in federal grant funding. The majority of these funds were authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act which was signed into law on March 27, 2020. The CARES Act established the $150 billion Coronavirus Relief Fund (CRF) that provided direct payments from the Fund to States and eligible units of local government to be administered by the US Department of Treasury. The City of San Antonio was awarded $269,983,717 and Bexar County received $79,626,415 from the CRF.
The City has sought to leverage these grant funds along with other City resources to fund the City’s ongoing emergency response to the pandemic as well as fund the Recovery & Resiliency and Health Implementation Plans. In total, the City has dedicated $492 Million to the COVID-19 Response and Recovery.
The following table provides an overview of funding spent as of July 31.
|
Funding Source |
March to July 2020 |
August to September |
FY 2021 Plan |
FY 2022 Plan |
Total |
|
Coronavirus Relief Fund |
$96.2 |
$135.8 |
$38.0 |
$0 |
$270.0 |
|
Other Federal Grants |
14.0 |
24.8 |
53.1 |
13.9 |
$105.8 |
|
General Fund |
0.0 |
29.4 |
65.2 |
0.0 |
$94.6 |
|
FEMA |
3.8 |
0.0 |
0.0 |
0.0 |
$3.8 |
|
Other |
16.0 |
1.8 |
0.0 |
0.0 |
$17.8 |
|
Total |
$130.0 |
$191.8 |
$156.30 |
$13.90 |
$492 |
Federal Compliance and Reporting
On April 22, 2020, the US Department of Treasury released guidance to jurisdictions having received Coronavirus Relief Funds. The CARES Act requires that the payments from the Coronavirus Relief Fund only be used to cover expenses that-
1. are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19);
2. were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government; and
3. were incurred during the period that begins on March 1, 2020 and ends on December 30, 2020.
A subsequent “Frequently Asked Questions” document was released and both documents continue to be updated with additional information and regulations for CRF recipients.
The Department of the Treasury Office of Inspector General (OIG) is responsible for monitoring and oversight of the receipt, disbursement, and use of Coronavirus Relief Fund payments. On July 2, 2020, OIG notified each prime recipient of CRF funding of an Interim Report requirement for reporting costs incurred during the period March 1 through June 30, 2020. The next quarterly reporting period is anticipated to cover expenses from July 1 through September 30, 2020.
Based on this guidance, the City has designed its compliance and reporting plan to ensure ongoing proper usage of the funds. This includes approval processes for purchases, regular reviews of expenditures for appropriate usage, ensuring costs are not being duplicated across grants and developing a methodology to track employee time. The City Manager committed to providing monthly financial reports to the Mayor and City Council on the use of these funds with the first report having been provided on August 11, 2020 with expenses through July 31, 2020.
Ongoing Communication & Advocacy
By providing the Mayor and City Council as well as other stakeholder regular financial reports and communication on the status of the response and recovery, the City aims to provide our delegation with the information they need to continue to advocate for additional funds on behalf of the City organization, our local businesses and residents.