Agenda 11/12/2024 Item #16D 5 (Recognizing Carryforward interest earned)11/12/2024
Item # 16.D.5
ID# 2024-1720
Executive Summary
Recommendation to recognize carryforward interest earned from the period of June 8, 2021 through September 30, 2023,
on advanced funding received from Treasury from the following grant programs: Emergency Rental Assistance Program
1, Emergency Rental Assistance Program 2, Coronavirus State and Local Fiscal Recovery Fund, and the Local
Assistance and Tribal Consistency Fund in the amount of $1,612,320.62.
OBJECTIVE: To recognize interest earned on advanced grant funds received from the U.S. Department of Treasury to
support the County’s strategic plan by providing access to health, wellness, affordable housing, and human services in
Collier County.
CONSIDERATIONS: On January 5, 2021, the U.S. Department of Treasury announced available funding to state and
local governments to provide financial support to residents that are unable to pay rent and utilities due to the impacts of
the COVID-19 pandemic. Collier County was allocated funds to assist in Emergency Rental Assistance programs from
the U.S. Department of Treasury. On January 26, 2021, Agenda Item #16.D.7, the Board of County Commissioners
(Board) accepted the ERAP 1 funding in the amount of $11,622,381. Interest was earned from advance payment from
January 26, 2021, through September 30, 2023, in the amount of $50,043.92.
In addition to the ERAP 1 funding, the U.S. Department of Treasury granted state and local government housing support
made available ERAP 2. On June 08, 2021, Agenda Item #16.D.1, the Board accepted the ERAP 2 funding in the
amount of $9,088,102. Interest was earned from advance payment from January 26, 2021, through September 30, 2023,
in the amount of $27,812.32.
Since the onset of the global COVID-19 health pandemic, Congress has passed several pieces of legislation that
provided funding for states, counties, municipalities, and tribal governments. Large pieces of legislation, such as the
Coronavirus Aid, Relief, and Economic Security (CARES) Act, The Consolidated Appropriations Act of 2021, which
included a $900 billion COVID-19 Relief package, and the American Rescue Plan Act of 2021 (ARP) made funds
available for a variety of uses for pandemic recovery.
ARP was signed into law on March 11, 2021. Included in the ARP legislation was a $350 billion Coronavirus State and
Local Fiscal Recovery Fund (CLFRF), Collier County received an allocation of $74,762,701. On June 22, 2021, Agenda
Item #11.H, the Board of County Commissioners (Board) accepted the ARP Program. Interest was earned from advance
payment from June 22, 2021, through September 30, 2023, in the amount of $1,513,926.58.
Included in the ARP legislation was $2 billion in funding that authorized the US Treasury to make payments to certain
recipients from the Local Assistance and Tribal Consistency Fund (LATCF). The purpose of the Local Assistance and
Tribal Consistency Fund (LATCF) program is to serve as a general revenue enhancement program. LATCF was signed
into law on March 11, 2021. The Board of County Commissioners approved the allocation of the Local Assistance and
Tribal Consistency Fund allocation from the U.S. Treasury on December 13, 2022, Agenda Item #16.D.9 and received
an allocation of $1,790,192. Interest was earned from advance payment from December 12, 2022, through September
30, 2023, in the amount of $20,537.80.
The interest earned from ERAP 1, ERAP 2, CLFRF and LATCF are not subject to the requirements of the Cash
Management Improvement Act and Treasury’s implementing regulations at 31 CFR Part 205 or 2 CFR 200.305(b)(8)-
(9). As such, recipients can place granted funds in interest-bearing accounts and do not need to remit interest to the
Treasury. Guidance also states that recipients are not limited to using the interest for eligible uses under the award. The
interest advances earned in LATCF are not subject to the Uniform Guidance provisions under 2 C.F.R. 200.100 (b).
Staff is seeking the Board’s authorization to appropriate interest earned towards expenditures in support of Community
& Human Services programs that provide access to health, wellness, affordable housing, and human services in Collier
County.
Revenue received:
Page 3103 of 5419
11/12/2024
Item # 16.D.5
ID# 2024-1720
Program Overnight Interest Received Investment Interest Received Total Received
ERAP 1 $50,043.92 $0.00 $50,043.92
ERAP 2 $27,812.32 $0.00 $27,812.32
CLFRF $1,000,948.21 $512,978.37 $1,513,926.58
LATCF $20,537.80 $0.00 $20,537.80
Totals $1,099,342.25 $512,978.37 $1,612,320.62
FISCAL IMPACT: Budget Amendments are required to recognize a carryforward total in the amount of $1,612,320.62
from accrued interest within Housing Grant Fund (1835), Projects 33734, 33761, 33765 and 33843. Funds will be
transferred to Housing Support Grant Fund (1806) and will be placed in Reserves for future non-reimbursable grant
expenses or future match for grants. When requesting use of the funds in the Reserves, CHS will bring the request to
the BCC for approval.
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item.
LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and
legality and requires majority vote for approval. -JAK
RECOMMENDATIONS: To recognize carryforward interest earned from the period of June 8,2021 through
September 30,2023 on advanced funding received from Treasury from the following grant programs: Emergency Rental
Assistance Program 1, Emergency Rental Assistance Program 2, Coronavirus State and Local Fiscal Recovery Fund,
and the Local Assistance and Tribal Consistency Fund in the amount of $1,612,320.62
PREPARED BY: John G Francois, Accountant Community and Human Services Division
ATTACHMENTS:
1. INT 1835 SUMMARY as of 9.30.23
2. BA Fund 1835_DOT Interest_Budget Transfer request
3. BA Fund 1806 DOT Interest_Budget Transfer request
Page 3104 of 5419