Second Payment Available: Local Assistance and Tribal Consistency Fund (LATCF)

The American Rescue Plan Act of 2021 allocated $2 billion to the Local Assistance and Tribal Consistency Fund (LATCF). These funds provide additional resources to help tribal governments and revenue-sharing counties recover from the public health and economic crisis caused by the coronavirus pandemic. There is no pre-approval process for funded projects, and funding can be used for any governmental purpose except lobbying activities. 

Eligibility for the LATCF Second Tranche Payments

Of the $2 billion fund, allocations for fiscal years 2022 and 2023 include $250 million each year for eligible tribal governments and $750 million each year for revenue-sharing counties. Eligible entities were to request the first tranche of funds by January 31, 2023, for revenue-sharing counties and by April 28, 2023, for tribal governments. Eligible entities may request payment of their second tranche of funding through the Treasury Submission Portal beginning immediately. 

Currently, the Treasury has not published a deadline to request the second tranche of funding; however, eligible entities are encouraged to apply as soon as possible.

How to Apply for LATCF Second Tranche Payments

Before applying, eligible entities should ensure their System for Award Management (SAM.gov) registration is active. All recipients must have an active SAM.gov registration to receive their second tranche payment. For more information on checking the status of your entity’s SAM.gov registration, click here.

After confirming active SAM.gov registration, eligible entities should log into the Treasury Submission Portal and complete the LATCF second tranche submission. The LATCF Second Tranche Submission Portal Instructions provide a step-by-step walkthrough.

Following request submission, the designated point of contact for the eligible entity will receive email confirmation of successful submission. The verification process takes approximately four business days. If the Treasury identifies errors during the verification process, the designated point of contact for the eligible entity will be notified via email to make corrections to the submission. 

Once the request is verified, the designated point of contact will receive an email with the submission request verification and an estimated timeline for receipt of the second tranche payment.

Eligible Use of Funds 

The LATCF is treated as equivalent to self-generated funds or funds generated from local revenue. The funds may support local government programs, services, and capital expenditures. Tribal governments may invest in activities undertaken by tribal enterprises, such as operating capital expenditures for businesses owned or controlled by a tribal government. 

Examples of eligible activities include: 

• Provision of health services, education services, court services, police, fire, emergency medical, and other public safety services, utilities or sanitation services, and direct assistance to households,
• Capital expenditures on core facilities and equipment,
• Infrastructure investments,
• Long-term economic development activities,
• General government operations, and
• Meeting another federal program’s non-federal match or cost-sharing requirements unless barred by statute or other applicable law.

Eligible tribal governments and revenue-sharing counties may use funds to cover eligible costs incurred starting March 15, 2021. They may also use the funds to cover expenses associated with administering the funds, such as consulting fees. All funds are available until expended or returned to the U.S. Treasury.

Ineligible Use of Funds 

The LATCF may not be used for lobbying activities. Guidance states:  

“Recipients may not use federal funds to directly or indirectly pay for any personal service, advertisement, telegram, telephone, letter, printed or written matter, or other devices, intended or designed to influence in any manner a Member of Congress, a jurisdiction, or an official of any government, to favor, adopt, or oppose, by vote or otherwise, any legislation, law, ratification, policy, or appropriation, whether before or after the introduction of any bill, measure, or resolution proposing such legislation, law, ratification, policy, or appropriation.” 

Visit the U.S. Treasury website for more information.

Applicability of Uniform Guidance 

Recipients are subject to the following provisions of Uniform Guidance: 

• 2 C.F.R. Subpart A (acronyms and definitions)
• 2 C.F.R. 200.100-110 (certain general provisions)
• 2 C.F.R. 200.203 (public notice of federal financial assistance programs)
• 2 C.F.R. 200.303 (internal controls)
• Single Audit Act and its implementing regulations at 2 C.F.R. Part 200 Subpart F

EisnerAmper professionals are committed to helping our clients understand and leverage the Local Assistance and Tribal Consistency Fund. Contact us below to discuss your organization’s questions, concerns, and unique situation.