COVID-19 Fiscal Recovery Funds

Feb 11, 2022 | COVID-19 Resource

Update: ARPA Funding requests for the second tranche due by March 14, 2022.

Timeline – Second Tranche

Activity Date
Guidelines Released for Second Tranche Monday, February 14, 2022
Funding Request Due Monday, March 14, 2022
Commission Consideration Tuesday, April 26, 2022

Originally posted: Dec 8, 2021

In May 2021, Governor Newsom announced a one-time $250 million allocation from Federal American Rescue Plan Act of 2021 (ARPA) funding to California’s ports to mitigate the negative economic impacts resulting from the COVID-19 pandemic.  The 2021-22 State budget appropriates the $250 million to the California State Lands Commission for allocation to ports to address negative economic impacts within this industry due to the COVID-19 pandemic. The Budget Act requires that ports use these funds to support their economic recovery, such as for activities that include avoiding layoffs, restoring jobs and services lost due to COVID-19, and supporting safe operations.

The first tranche of funding requests were due by Monday, November 8, 2021, at 5:00 p.m. At its December 8, 2021 public meeting, the Commission authorized disbursement of roughly $136 million from the American Rescue Plan Act to six California ports to mitigate negative economic impacts resulting from the Covid-19 pandemic and to support ports economic recovery. Ports that either did not apply during this disbursement tranche, or that received an amount less than their requested amount, may reapply for the roughly $113 million in remaining funding and the Commission will consider those funding requests at a future meeting.

  • Staff Report 01 – Consider distributing funds from the American Rescue Plan Act to California ports to mitigate negative economic impacts resulting from the Covid-19 pandemic and to allow ports to sustain the essential services and critical infrastructure our state and region need to protect jobs and recover economically.

SB 170. An act to amend the Budget Act of 2021

SEC. 49.

Item 3560-162-8506 of Section 2.00 of the Budget Act of 2021 is amended to read:

3560-162-8506—For local assistance, State Lands Commission, payable from the Coronavirus Fiscal Recovery Fund of 2021 – $250,000,000

Schedule:

(1)  2565-Land Management – $250,000,000

Provisions: 

    1. The State Lands Commission shall allocate the funding in this item to California ports to address negative economic impacts within this industry due to the COVID-19 pandemic. Ports shall use these funds to support their economic recovery, such as for activities that include avoiding layoffs, restoring jobs and services lost due to COVID-19, and supporting safe operations.
    2. Funds shall be allocated, monitored, and reported consistent with all applicable federal law or guidance issued by the U.S. Treasury for the Coronavirus State Fiscal Recovery Fund.
    3. The State Lands Commission may consider the level of revenue losses and COVID-19 expenditures in apportioning these funds.
    4. Funds appropriated in this item shall not be allocated for the purchase of fully automated cargo handling equipment. For the purposes of this paragraph, “fully automated” means equipment that is remotely operated or remotely monitored with or without the exercise of human intervention or control. This provision does not prohibit the use of the funds for a project that includes the purchase of human-operated zero-emission equipment, human-operated near-zero-emission equipment, and infrastructure supporting that human-operated equipment. Furthermore, this provision does not prohibit the purchase of devices that support human-operated equipment, including equipment to evaluate the utilization and environmental benefits of that human-operated equipment.