Accepts Many AGC Recommendations
On January 27, the Department of the Treasury finalized its rule for distributing $350 billion to state, local and territorial governments. These recovery funds originated from President Biden's $1.9 trillion COVID-19 relief law, American Rescue Plan Act. AGC’s regulatory comments urged Treasury to include:
1) Expanded eligibility for infrastructure investments and related revenue streams;
2) clarification of rules and reporting requirements; and
3) increased flexibility.
The final rule expands state, local, and tribal governments’ ability to use funds for capital investments and provides for more flexibility in calculating revenue loss. However, Treasury kept many construction labor-related reporting requirements for projects utilizing the funds but these reporting requirements do not force the use of labor mandates during construction of the projects. AGC of America expressed concerns about these reporting requirements and will provide more information as it further reviews the rule.
For more information, contact jordan.howard@agc.org or (703) 837-5368.