Guide to Local Recovery Update: June 16

Gov. Gavin Newsom took executive action on June 11 to terminate the state’s stay-at-home order and tiered Blueprint for Safer Economy. Measures that were included in the blueprint to protect public health, such as physical distancing, capacity limits, and the county tier system, terminate on June 15.
 
The Governor also issued an executive order to begin the “winding down” of the 58 executive orders that have been implemented since the beginning of the pandemic. The provisions will sunset in phases, beginning later this month through September. 
 
The California Department of Public Health also released a new public health order that goes into effect on June 15 and replaces the previous public health orders, as well as new face coverings guidance to match the CDC’s guidance, lifting California’s mask requirements for vaccinated individuals starting on June 15.
 
The League of California Cities is still reviewing the announcement, but of immediate note to cities: 

• As Cal Cities reported on June 2, today’s executive action confirms that the Governor will not repeal the executive order allowing local governments to host public meetings virtually on June 15. Instead, that executive order will “remain in place and shall have full force and effect through September 30, 2021, upon which it will expire subject to individual conditions” outlined further in today’s executive action. 
• Restaurants, shopping malls, movie theaters, and most everyday places will be open as normal with no capacity limits or social distancing required. The county tier system will be eliminated entirely.
• Mask requirements for vaccinated Californians are lifted starting June 15, with the exception of uniquely vulnerable settings, such as: hospitals, long-term care facilities, homeless shelters, and public transit.
• For indoor events of 5,000 people or more, attendees must confirm proof of vaccination or negative COVID-19 status in order to attend. For outdoor events of 10,000 people or more, it is recommended that attendees confirm proof of vaccination or negative COVID-19 status to attend, due to increased risk caused by travel and crowds. 

The Federal Communications Commission (FCC) will begin accepting applications for its $7.17 billion Emergency Connectivity Fund at the end of June. Created as part of the American Rescue Plan, the Fund enables schools and libraries to purchase laptop and tablet computers, Wi-Fi hotspots, and provide broadband connectivity for students, school staff, and library patrons in need during the pandemic. The application filing window will open on June 29 and close on August 13. Eligible organizations can submit funding requests to purchase eligible equipment and services between July 1, 2021, and June 30, 2022. Funding commitments are expected to start by early September, with 50% of decisions released by October.
 
Cal Cities, along with a team of city finance professionals and the California Society of Municipal Finance Officers (CSMFO), created a revenue loss calculation tool to help cities determine their American Rescue Plan Act (ARPA) allocation spends. The tool incorporates the latest Treasury Department’s Guidance and its applicability to local government finance in California as understood by our team of finance professionals. It will be updated and improve as Treasury Department guidance evolves. Cities will be able to calculate revenue at multiple points throughout the program. Two versions of the calculator have been prepared to support cities’ choice to use fund basis (modified accrual) or government-wide (full accrual) financial records. 

• Revenue Loss Calculator (Government-wide - Full Accrual)
• Revenue Loss Calculator (Fund Basis - Modified Accrual) 

The California Department of Finance (DOF) American Rescue Plan Request for Funds Portal for non-entitlement cities is now live. Cities categorized as non-entitlement cities (NEU) must access this portal to receive their first tranche of funds. All applications are due no later than 11:59 p.m. on June 23, 2021. 
 
DOF discussed the funding portal with city officials during a League of California Cities webinar earlier this week. The webinar included a robust Q & A and is available for review, along with the presentation slides.
 
Each eligible city will receive a unique NEU Recipient Number and password that will allow them to access the required web form and request funds. DOF is sending individual e-mails to each city’s contact for the state-directed Coronavirus Relief Funds. Generally, this email will be sent to the city managers, finance directors, and staff that accessed the DOF’s Coronavirus Relief Funds portal, as those emails are readily available. The email can be forwarded to the appropriate staff within your agency.
 
The NEU Recipient Number must be retained by the city or town. It will be used for reporting to the U.S. Department of the Treasury through the lifecycle of the program, which ends in 2026. 
 
Visit the Cal Cities Guide to Local Recovery webpage to find the most recent news for cities to help guide local leaders as they work toward recovery in their communities. For questions, please do not hesitate to email us at covid-19@calcities.org.