On March 11, 2021, the American Rescue Plan was signed into law. This bill includes direct financial assistance to local governments that have faced revenue losses and added safety expenses in dealing with the COVID-19 pandemic. The bill includes over $1.3 billion for cities and towns in North Carolina. High Point is projected to receive $22,699,511 in two payments over the next 12 months in ARPA funds.
The funds may be spent in a variety of ways to reduce the impact of the pandemic, including assisting households, small businesses and nonprofits; offset City revenue losses caused by the pandemic; aid impacted industries, such as tourism, travel and hospitality; or make necessary investments in water, sewer or broadband infrastructure. They cannot be spent on a tax rate reduction or to delay a tax increase.