** 07/16/24 - NASBO Washington Report - Federal Fiscal Year 2025 Budget Update + HHS Launches Initiative to Build Multi-State Social Worker Licensure Compact + FEMA Issues Final Policy on Construction in Flood Zones

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Jul 17, 2024, 3:21:08 AM (2 days ago) Jul 17
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Federal Fiscal Year 2025 Budget Update

The Senate began work last week on fiscal year 2025 appropriations bills as the House passed the last of its 12 bills through the full committee. The Senate Appropriations Chair and Ranking Member also agreed to deal to add $34.5 billion in emergency spending to the fiscal year 2025 bills, above the spending caps. An updated Jim Martin Table from Federal Funds Information for States, which details grants programs of importance to states, can be found here.  
    

HHS Launches Initiative to Build Multi-State Social Worker Licensure Compact

Today the Department of Health and Human Services (HHS), through the Health Resources and Services Administration (HRSA), announced the first-ever Licensure Portability Grant Program investment in a multi-state social worker licensure compact. The new $2.5 million investment in licensure compacts will support the work to launch a social worker compact as well as HRSA’s ongoing support for building and sustaining primary care, psychology, and podiatry compacts. HRSA identified behavioral health as a priority in its state licensure compact work. Today’s awards will support the work of multiple associations as they work with state licensing boards to develop and implement state policies that reduce barriers to telehealth and allow for practice across state lines.

FEMA Issues Final Policy on Construction in Flood Zones

On Wednesday the Federal Emergency Management Agency (FEMA) published a final policy to implement the Federal Flood Risk Management Standard (FFRMS). The standard is a flexible framework to increase resilience against flooding and help protect communities. The FFRMS will increase the flood elevation -- how high -- and floodplain -- how wide -- to reflect future, as well as current, flood risk for actions subject to the standard. The standard applies to FEMA-funded actions involving new construction, substantial improvement, or repairs to substantial damage and FEMA will pay for the applicable federal cost share to implement the FFRMS, which is often 75 percent or more. The policy will be effective on September 9, 2024.  



July 16, 2024

This Week in DC  

The House and Senate are not in session this week.
 
 

Treasury Releases SLFRF Resources

Last week the Treasury Department released new resources for the State and Local Fiscal Recovery Funds (SLFRF) program. First, Treasury published a resource on obligating SLFRF funds through an interagency agreement. Second, the department published a reporting data analysis and updated the SLFRF dashboard for reporting data through March 31, 2024. According to the analysis, states and the largest cities and counties reported budgeting 94 percent of their total SLFRF funds to specific projects.
 
 

COVID-19 Relief Implementation and Administration Actions

The following guidance and information were recently released to implement provisions in the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the Coronavirus Response and Relief Supplemental Appropriations Act, 2021 (Division M of H.R. 133, the Consolidated Appropriations Act, 2021), and the American Rescue Plan Act of 2021 (ARPA).
  • USDA Announces $110 Million for Meat and Poultry Processors: The U.S. Department of Agriculture (USDA) announced nearly $110 million through the Meat and Poultry Processing Expansion Program and the Local Meat Capacity Grant Program. The Meat and Poultry Expansion Program includes more than $83 million in grants to 24 independent processors in 15 states. The Local Meat Capacity Program includes $26.9 million to 33 projects in 23 states.
  • Treasury Releases SSBCI Reports: The Treasury Department released two reports on the State Small Business Credit Initiative (SSBCI). The first report is a summary of participating jurisdictions’ 2022 and 2023 annual reports. The second report is a spotlight on how recipients are using SSBCI funds to catalyze investment.
  • GAO Releases Report on FEMA Pandemic Spending: The U.S. Government Accountability Office (GAO) released a report that examines the Federal Emergency Management Agency’s (FEMA) oversight of the Disaster Relief Fund and estimates of spending during the COVID-19 pandemic. The report notes this was the first time the fund had been used to respond to a nationwide public health emergency; FEMA estimates obligations will total $171.6 billion for the entire disaster.
 
 

IIJA Implementation Resources Released

Federal agencies continue to release implementation resources pertaining to the Infrastructure Investment and Jobs Act (IIJA, P.L. 117-70).
  • The Department of Energy (DOE) released the July 2024 monthly bulletin for the State Energy Program. The bulletin provides information to states on key deadlines, trainings and webinars, and updates about new tools and resources.
  • The Federal Communications Commission (FCC) issued a Fourth Report and Order to adopt rules to codify the challenge process deadline required by the IIJA for broadband service data collection. The order also seeks comment on proposed changes to the availability data filing process, as well as possible amendments and clarifications to several data-validation rules.
  • The National Telecommunications and Information Administration (NTIA) continues to approve initial proposals for the Internet for All program, with recent approvals for Indiana and Maryland. NTIA will continue to announce approvals on a rolling basis and a dashboard with the status of all initial proposals can be found here.
  • The National Telecommunications and Information Administration (NTIA) is publishing a blog series with ideas to streamline broadband permitting and support Internet for All deployments. The first blog mentions “dig once” policies, pole attachments, right-of-way access, and state and local permitting.
  • The Federal Railroad Administration (FRA) issued a notice of funding opportunity that makes available more than $1.1 billion in Railroad Crossing Elimination grant program funding. The program invests in projects that construct grade separations, upgrade safety devices at crossings, or close at-grade crossings where roads and train tracks intersect. At least 20 percent of funding will be set aside for projects located in rural communities or on Tribal lands. Applications are due by September 23.
  • The Federal Railroad Administration (FRA) issued a notice of funding opportunity that makes available more than $153 million in funding for the Restoration and Enhancement grant program. Grant funding will assist with operating costs for eligible projects that will establish service on new routes, restore service on routes that formerly had intercity passenger operations, and enhance service on existing routes. Applications are due by September 30.
 
 

IRA Implementation Resources Released

The administration recently announced the following implementation resources for the Inflation Reduction Act (IRA, P.L. 117-169).
  • The Department of Energy (DOE) announced $1.7 billion to support the conversion of 11 shuttered or at-risk auto manufacturing and assembly facilities across eight states – MI, OH, PA, GA, IL, IN, MD, and VA – to manufacture electric vehicles and their supply chain. The selectees will negotiate for awards to enable them to manufacture products covering a broad range of the automotive supply chain, including parts for electric motorcycles and school buses, hybrid powertrains, heavy-duty commercial truck batteries, and electric SUVs. A full list of selections can be found here.
  • The Department of Energy (DOE) announced a funding opportunity to develop elective pay blueprints for communities. The objective of this funding opportunity is to support the development and distribution of blueprints or other guiding reference materials to serve as a resource to communities, including DOE grantees, as they plan and develop projects which are eligible for clean energy tax credits through Elective Pay or the 179d energy efficient commercial building property tax deduction.
  • The Environmental Protection Agency (EPA) announced the selection of 38 grant recipients, totaling nearly $160 million, to support efforts to report and reduce climate pollution from the manufacturing of construction materials and products. The grants will support the Federal Buy Clean Initiative, which leverages the federal government’s purchasing role to catalyze demand for clean construction materials used in federal buildings, highways, and infrastructure projects. A list of recipients is included in the announcement.
  • The Department of the Interior (DOI) announced the availability of $120 million in new funding to help Tribal communities prepare for climate-related environmental threats. The funding can be used to plan for, adapt to, or respond to these threats by safely relocating critical community infrastructure.
 
 

Federal Fiscal Year 2025 Budget Update

The Senate began work last week on fiscal year 2025 appropriations bills as the House passed the last of its 12 bills through the full committee. The Senate Appropriations Chair and Ranking Member also agreed to deal to add $34.5 billion in emergency spending to the fiscal year 2025 bills, above the spending caps. An updated Jim Martin Table from Federal Funds Information for States, which details grants programs of importance to states, can be found here.  
 

CMS Proposes Rule on Obstetric Care, Maternal Health and Community Supervision Coverage

On Wednesday the Centers for Medicare and Medicaid Services (CMS) proposed a new rule containing policies that aim to reduce maternal mortality and morbidity, increase access to care, and advance health equity. For the first time, CMS is proposing baseline health and safety requirements for hospitals and critical access hospitals (CAHs) for obstetrical services; these include baseline standards for the organization, staffing, and delivery of care within obstetrical units, emergency services readiness, transfer protocols for obstetrical patients, and annual staff training on evidence-based maternal health practices and cultural competencies, among other topics. CMS is also proposing to narrow the definition of “custody” to remove real or perceived barriers to ensure that people with Medicare who are no longer incarcerated or not otherwise in the physical custody of penal authorities can have access to Medicare coverage for care, while also proposing to revise the eligibility criteria for the special enrollment period for formerly incarcerated individuals to include individuals who have been released from incarceration or are on community supervision. Also under the proposal, states would be required to provide an exception to the four walls requirement for Medicaid clinic services provided by Indian Health Services (IHS) and Tribal clinics. Comments may be submitted on the proposed rule through September 9. A fact sheet can be found here.
 
 

CMS Releases 2024 Medicaid and CHIP Autism Infographic

Last week the Centers for Medicare and Medicaid Services (CMS) released the 2024 Medicaid and Children’s Health Insurance Program (CHIP) Beneficiaries at a Glance: Autism Infographic. The infographic provides an overview of the prevalence of autism, characteristics of Medicaid and CHIP beneficiaries with autism, prevalence of common co-occurring health conditions, and utilization of treatment services.
 
 

CMS Releases Companion Guide for Medicaid Access Final Rule

Last week the Centers for Medicare and Medicaid Services (CMS) released a companion guide to the fee-for-service financial provisions of the Ensuring Access to Medicaid Services final rule. The guide provides requirements related to documentation of access to care and service payment rates. It is designed to help states understand when requirements apply to them and how to meet those requirements. The guide also includes a section on state analysis procedures for rate reduction or restructuring.
 
 

HHS Launches Initiative to Build Multi-State Social Worker Licensure Compact

Today the Department of Health and Human Services (HHS), through the Health Resources and Services Administration (HRSA), announced the first-ever Licensure Portability Grant Program investment in a multi-state social worker licensure compact. The new $2.5 million investment in licensure compacts will support the work to launch a social worker compact as well as HRSA’s ongoing support for building and sustaining primary care, psychology, and podiatry compacts. HRSA identified behavioral health as a priority in its state licensure compact work. Today’s awards will support the work of multiple associations as they work with state licensing boards to develop and implement state policies that reduce barriers to telehealth and allow for practice across state lines.
 
 

USDA Terminating Marketing Order for Cranberries

Last week the U.S. Department of Agriculture (USDA) announced it is terminating Marketing Order No. 929, which regulates the handling of cranberries grown in MA, RI, CT, NJ, WI, MI, MN, OR, WA, and Long Island, NY. In October 2023, USDA administratively suspended the Cranberry Marketing Committee’s authority to collect assessments and reports from handlers after a continuance referendum failed to show producer support. Marketing orders are industry-driven programs that help producers and handlers achieve marketing success by leveraging their own funds to design and execute programs that they would not be able to do individually.
 
 

USDA Announces Funds for Child Nutrition Programs

The U.S. Department of Agriculture (USDA) recently announced two funding awards related to child nutrition. First, USDA announced it is providing $100 million in grants to help states, territories, and Tribal Nations implement SUN Bucks – a new, permanent program that helps families buy groceries for their children during the summer (also known as Summer EBT). The one-time grants will support development and modifications to state technology systems that are needed to effectively run the program with proper controls and integrity. The funds are available to all agencies implementing SUN Bucks this year, as well as those planning to launch the program next summer. Second, USDA announced it is awarding $14.3 million in Patrick Leahy Farm to School Grants to 154 projects in 43 states, the District of Columbia, Guam, and Puerto Rico. The grant program helps child nutrition program operators incorporate local foods into meals served through the National School Lunch Program, Child and Adult Care Food Program, and SUN programs.
 
 

Commerce Announces Competition to Accelerate Domestic Capacity for Semiconductor Advanced Packaging

Last week the Department of Commerce issued a notice of intent to open a competition for new research and development (R&D) activities that will establish and accelerate domestic capacity for semiconductor advanced packaging. The CHIPS for America program anticipates up to $1.6 billion in funding innovation across five R&D areas, as outlined by the National Advanced Packaging Manufacturing Program. Through potential cooperative agreements, CHIPS for America would make several awards of approximately $150 million per award in each research area, leveraging private sector investments from industry and academia. The competition will be announced via a notice of funding opportunity.
 
 

EPA Announces $20 Million for Water Workforce

Last week the Environmental Protection Agency (EPA) provided more than $20 million to 13 workforce development organizations under the Innovative Water Workforce Development Grant Program, which supports expanding career opportunities in the drinking water and wastewater utility sector. The grant program also develops the apprenticeship programs, labor standards, and other tools needed to ensure a strong pipeline of workers and high-quality jobs. The grants will expand public awareness about job opportunities in the drinking water and wastewater utility sector and will address the workforce needs of drinking water and wastewater utilities. A list of recipients is included in the announcement.
 
 

EPA Updates Recommendations on Monitoring Contaminants in Fish

On Thursday the Environmental Protection Agency (EPA) issued updated recommendations under the Clean Water Act for contaminants that states, territories, and Tribes should consider monitoring in locally caught, freshwater fish. For the first time, EPA has added several per- and polyfluorinated substances (PFAS) to the contaminant list alongside lead, three cyanotoxins, a flame retardant, and amphetamine. States, Tribes, and territories monitor and analyze contaminants in fish and shellfish caught in local, fresh waterbodies and issue consumption advisories when contaminants are found at concentrations that can negatively impact people’s health. With this announcement, EPA is suggesting that states, Tribes, and territories monitor for twelve PFAS and other contaminants including lead, cyanotoxins, a flame retardant, and amphetamine.
 
 

FEMA Issues Final Policy on Construction in Flood Zones

On Wednesday the Federal Emergency Management Agency (FEMA) published a final policy to implement the Federal Flood Risk Management Standard (FFRMS). The standard is a flexible framework to increase resilience against flooding and help protect communities. The FFRMS will increase the flood elevation -- how high -- and floodplain -- how wide -- to reflect future, as well as current, flood risk for actions subject to the standard. The standard applies to FEMA-funded actions involving new construction, substantial improvement, or repairs to substantial damage and FEMA will pay for the applicable federal cost share to implement the FFRMS, which is often 75 percent or more. The policy will be effective on September 9, 2024.
 
 

HUD Makes Available $40 Million to Prevent Evictions and Homelessness

On Thursday the Department of Housing and Urban Development (HUD) announced the availability of $40 million in grant funds for eligible non-profit or governmental entities to provide no-cost legal assistance to low-income tenants at risk of or subject to eviction from their homes. The Eviction Protection Grant Program was launched in 2021 and HUD funded 21 grantees serving tenants across 19 states; current grantees, as well as new applicants, will be considered for awards with this new round of funding. Applications are due by August 20.
 
 

HUD Announces $325 Million in Choice Neighborhoods Grant Funding

Today the Department of Housing and Urban Development (HUD) announced the award of $325 million in Choice Neighborhoods Implementation Grant funding to seven communities to build more homes and revitalize neighborhoods. The awards will redevelop distressed housing with high-quality mixed-income options, while also providing residents with services focused on income, health, and education. The seven new Choice Neighborhoods Implementation Grantees will collectively develop over 6,500 new mixed-income units, including the one-for-one replacement of 2,677 severely distressed public housing units. A list of recipients is included in the announcement.
 
 

DOL Awards Grants for Registered Apprenticeships

Last week the Department of Labor (DOL) made two funding announcements related to Registered Apprenticeship programs. First, DOL announced the award of more than $39 million in grants to 46 states and territories through the State Apprenticeship Expansion Formula grant program to increase the capacity of Registered Apprenticeship programs across key industries such as K-12 education, transportation, clean energy, supply chain, hospitality, care economy, and other public sector occupations. A list of recipients is included in the announcement. Second, the department awarded more than $244 million through two grant programs to help modernize, diversify, and expand the Registered Apprenticeship system in growing industries. The funds include $195 million through the Apprenticeship Building America initiative and $49 million through the competitive portion of the State Apprenticeship Expansion Formula grants to nine states. A list of recipients is included in the announcement.
 
 

MARAD Announces Funding for 15 Small Shipyards in Twelve States

On Wednesday the Department of Transportation’s Maritime Administration (MARAD) announced $8.75 million in grant awards to 15 small shipyards in 12 states through the Small Shipyard Grant Program. The funds will help shipyards modernize, increase productivity, and expand local job opportunities while competing in the global marketplace. A list of recipients is included in the announcement.

Recently Released Reports

The Food and Nutrition Assistance Landscape: FY2023 Annual Report
U.S. Department of Agriculture Economic Research Service
 
The First Year of Pell Restoration: A Snapshot of Quality, Equity and Scale in Prison Education Programs
Vera Institute of Justice
 
EMAC FAQs for Auditors, Finance and Budget Officers, Contractors (Version 1)
National Emergency Management Association

Economic News

Consumer Price Index Decreases in June as Real Hourly Earnings Increase

The U.S. Bureau of Labor Statistics released new data on the Consumer Price Index for All Urban Consumers (CPI-U) for June, showing the CPI-U declined 0.1 percent on a seasonally adjusted basis, after being unchanged in May. Over the last 12 months, the all items index increased 3.0 percent before seasonal adjustment. The index for all items less food and energy rose 0.1 percent in June, after rising 0.2 percent the preceding month. The energy index fell 2.0 percent as the food index increased 0.2 percent. For the 12 months ending June, the index for all items less food and energy rose 3.3 percent. Meanwhile, real average hourly earnings for all employees increased 0.4 percent from May to June, seasonally adjusted. This result stems from an increase of 0.3 percent in average hourly earnings combined with a decrease of 0.1 percent in the CPI-U.
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