​​​​Federal Requirements for CARES Act

*NEW*
According to guidance from the Federal Government, any entity seeking to receive Federal funding must meet all Federal Requirements, including obtaining a Dun & Bradstreet (DUNS) number and a Commercial and Government Entity (CAGE) code. Your entity must submit this information back to the State Controller’s Office by Monday, August 3, 2020 (forms available below).


The CARES Act provides that payments from the Fund may only be used to cover costs that:

Are necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019 (COVID–19).

  • The Department of the Treasury broadly defines “necessary" as an expenditure that is “…reasonably necessary for its intended use in the reasonable judgement of the government officials responsible for spending Fund payments."
  • Funds may not be used to fill shortfalls in government revenue to cover expenditures that would not otherwise qualify under the CARES Act.

Were not accounted for in the budget most recently approved as of March 27, 2020 (the date of enactment of the CARES Act) for the State or government.

  • An expenditure meets this criteria if it “cannot lawfully be funded" by the most recently approved budget or if the cost is for a “substantially different use from any expected use of funds".
  • Do not take into account subsequent supplemental appropriations or budgetary adjustments made in response to the COVID-19 emergency.

Were incurred during the period that begins on March 1, 2020, and ends on December 30, 2020.  A cost is “incurred" when the responsible unit of government has expended funds to cover the cost.

U.S. Department of the Treasury Resources

Examples of eligible COVID-19-related expenditures include, but are not limited to:

Example Potential Level 3 Accounts
COVID-19-related expenses of public hospitals, clinics, and similar facilitiesVery broad:  supplies, personnel, leases, etc.
Expenses of establishing temporary public medical facilities and other measures to increase COVID-19 treatment capacity, including related construction costs

Capital Expenditures:

Building Improvements-1099M Reportable

Alarm/Security Contractor

Construction

Design and Bid Preparation

Electrical Services

Engineering Services

Hazardous Materials

HVAC Services

Interior Design Services

Mechanical Services

Other Construction Fees & Services

Project Management

Signage

Utilities

 

Operating Expenditures:

Electrical

Gas

Trash

Water

Sewer

Costs of providing COVID-19 testing, including serological testing

Medical - Exams, Hospital, Doctor, Nurse, Dentist

Human Blood Testing

Building-Supplies Only

Paint & Protective Coating Supplies

Medical Drugs & Pharmaceuticals

Medical & Lab Supplies

Medical Transportation Reimbursements to Guardians

Emergency medical response expenses, including emergency medical transportation, related to COVID-19

Vehicles-Rent/Lease

Transportation Costs - Institutional

Expenses for establishing and operating public telemedicine capabilities for COVID-19-related treatment

Capital Expenditures:

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment

Telephone & VOIP Equipment

Other Computer Equipment

Software

Operating Expenditures:

Postal & Mail

VOIP Hosted

Data Line Charges

Phone/Fax Local Line & Equipment Charges

Telephone 800 Service

Audio/Video Conference Calls

Personal Computer Hardware Maintenance

Server & Storage Hardware Maintenance

Networking Hardware Maintenance

Cyber-Security Hardware Maintenance

Personal Computer Software Maintenance

Server & Storage Software Maintenance

Networking Software Maintenance

Cyber-Security Software Maintenance

Personal Computer Software

Server & Storage Software

Mainframe Computer Software

Networking Software

Cyber-Security Software

Enterprise Resource Planning (ERP)

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment


Example Potential Level 3 Accounts
Expenses for communication and enforcement by State, territorial, local, and Tribal governments of public health orders related to COVID-19

Personnel Expenditures:

Employees

Shift Differential

Operating Expenditures:

Radio Equipment - Mobile Radio

Cellular/Wireless Voice Service

Radio Equipment - Microwave

Security Patrol or Alarm Services

Enforcement Supplies

Expenses for acquisition and distribution of medical and protective supplies, including sanitizing products and personal protective equipment, for medical personnel, police officers, social workers, child protection services, and child welfare officers, direct service providers for older adults and individuals with disabilities in community settings, and other public health or safety workers in connection with the COVID-19 public health emergency

Safety Supplies

PPE (Personal Protection Equipment)

Expenses for disinfection of public areas and other facilities, e.g., nursing homes, in response to the COVID-19 public health emergency.

Sanitation/Cleaning Services

Sanitation/Cleaning Supplies

Expenses for technical assistance to local authorities or other entities on mitigation of COVID-19-related threats to public health and safety.

Consultant - Medical Consulting, Counseling, Prevention, Wellness

 

Expenses for public safety measures undertaken in response to COVID-19. Very broad:  supplies, personnel, leases, etc.
Expenses for quarantining individualsVery broad:  supplies, personnel, leases, etc.
Example Potential Level 3 Accounts
Payroll  expenses  for public safety, public health, health care,  human services, and similar employees whose services are substantially dedicated to mitigating or responding to the COVID-19 public health emergency

Gross Salary & Wage

Employees

Employees-Emergency Help

Employees-Temp

Payroll Reimbursements

Shift Differential

Overtime Covered by FLSA

Overtime Exempt from FLSA

Compensatory Leave Balance

Board/Commission Members

Hazard Pay

Staff Isolation Accommodation

Employee Benefits

Group Insurance Life

Group Insurance Health & Accident

Employer Retirement Contribution

Unemployment

Retirement Sick Leave

F. I. C. A.

Childcare for Essential Employees


Example Potential Level 3 Accounts
Expenses for food delivery to residents, including, for example, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions. Contracted Food Services
Expenses to facilitate distance learning, including technological improvements, in connection with school closings to enable compliance with COVID-19 precautions.

Capital Expenditures

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment

Telephone & VOIP Equipment

Other Computer Equipment

Software

Operating Expenditures

Media

Postal & Mail

VOIP Hosted

Data Line Charges

Phone/Fax Local Line & Equipment Charges

Radio Equipment - Mobile Radio

Telephone 800 Service

Audio/Video Conference Calls

Personal Computer Hardware Maintenance

Server & Storage Hardware Maintenance

Networking Hardware Maintenance

Cyber-Security Hardware Maintenance

Personal Computer Software Maintenance

Server & Storage Software Maintenance

Networking Software Maintenance

Cyber-Security Software Maintenance

In-house Program Design & Development

Project Management Services

Hardware Design & Configuration

Hosted Services

Software As A Service (SAAS)

Infrastructure As A Service (IAAS)

Other Computer Services

Personal Computer Software

Server & Storage Software

Mainframe Computer Software

Networking Software

Cyber-Security Software

Enterprise Resource Planning (ERP)

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment

Expenses to improve telework capabilities for public employees to enable compliance with COVID-19 public health precautions.

Capital Expenditures

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment

Telephone & VOIP Equipment

Other Computer Equipment

Software

Operating Expenditures

Media

Postal & Mail

VOIP Hosted

Data Line Charges

Phone/Fax Local Line & Equipment Charges

Radio Equipment - Mobile Radio

Telephone 800 Service

Audio/Video Conference Calls

Personal Computer Hardware Maintenance

Server & Storage Hardware Maintenance

Networking Hardware Maintenance

Cyber-Security Hardware Maintenance

Personal Computer Software Maintenance

Server & Storage Software Maintenance

Networking Software Maintenance

Cyber-Security Software Maintenance

In-house Program Design & Development

Project Management Services

Hardware Design & Configuration

Hosted Services

Software As A Service (SAAS)

Infrastructure As A Service (IAAS)

Other Computer Services

Personal Computer Software

Server & Storage Software

Mainframe Computer Software

Networking Software

Cyber-Security Software

Enterprise Resource Planning (ERP)

Personal Computer Hardware

Server & Storage Hardware

Mainframe Computer Hardware

Networking Hardware

Cyber-Security Hardware

Peripheral Equipment

Expenses of providing paid sick and paid family and medical leave to public employees to enable compliance with COVID-19 public health precautions.

Gross Salary & Wage

Employees

Employees-Emergency Help

Employees-Temp

Payroll Reimbursements

Shift Differential

Overtime Covered by FLSA

Overtime Exempt from FLSA

Compensatory Leave Balance

Board/Commission Members

Hazard Pay

Staff Isolation Accommodation

Employee Benefits

Group Insurance Life

Group Insurance Health & Accident

Employer Retirement Contribution

Unemployment

Retirement Sick Leave

F. I. C. A.

Childcare for Essential Employees

COVID-19-related expenses of maintaining state prisons and county jails, including as relates to sanitation and improvement of social distancing measures, to enable compliance with COVID-19 public health precautions.

Inmate Clothing & Personal Care

Patient Clothing & Personal Care

Bulk Food & Dietary

Bulk Fresh Food-Dairy Products

Laundry & Linen

Housekeeping & Janitorial

Other Institutional & Resident Support

Expenses for care for homeless populations provided to mitigate COVID-19 effects and enable compliance with COVID-19 public health precautions

Lodging & Meals for Homeless

 

 

Examples of ineligible COVID-19-related expenditures include, but are not limited to:

  • Expenses for the State share of Medicaid.
  • Damages covered by insurance.
  • Payroll or benefits expenses for employees whose work duties are not substantially dedicated to mitigating or responding to the COVID-19 public health emergency.
  • Expenses that have been or will be reimbursed under any federal program, such as the reimbursement by the federal government pursuant to the CARES Act of contributions by States to State unemployment funds.
  • Reimbursement to donors for donated items or services.
  • Workforce bonuses other than hazard pay or overtime.
  • Severance pay.
  • Legal settlements.​