State CARES Fund Pandemic Related Stability Payments Program

Program Overview

The PRSP Program is a grantbased, nonrepayable payment stream designed to:

• Stabilize the fiscal operations of essential public entities.
• Preserve critical services such as public safety, education, health, and social services.
• Prevent layoffs, furloughs, or program cuts that would further destabilize communities.

Funding is allocated from the State CARES Fund based on a formula that considers each entitys prepandemic revenue, the severity of revenue loss, and the entitys overall financial health.

Eligibility Criteria

To qualify for a PRSP award, an applicant must meet all of the following conditions:

1. Public or nonprofit entity State agencies, counties, cities, school districts, public universities, and qualified 501(c)(3) nonprofits.
2. Revenue loss Documented decline of at least 10% in total operating revenue for FY20202021 compared with FY20192020.
3. Continuity of service The entity must demonstrate that it continued to provide core services throughout the pandemic.
4. Financial reporting Must have filed audited or reviewed financial statements for FY20192020 and FY20202021.
5. No default Must not be in default on any existing state loan or previous CARES Fund grant.

Application Process

1. PreApplication Registration

All prospective applicants must create an account on the State CARES Fund portal (cares.state.gov) and complete the registration questionnaire. This step captures basic contact information and verifies eligibility.

2. Submit Required Documentation

Applicants upload the following items:

• Audited financial statements for the two most recent fiscal years.
• Revenue loss analysis (comparative budget vs. actual).
• Statement of continued service provision.
• Any prior CARES Fund grant agreements.

3. Review & Scoring

The State Funding Review Board evaluates each submission using a weighted scoring model:

• Revenue loss severity 40%
• Impact on essential services 30%
• Financial management practices 20%
• Geographic and demographic considerations 10%

4. Award Notification

Award letters are issued electronically within 30days of the review deadline. Recipients receive a grant agreement outlining payment schedule, reporting requirements, and compliance obligations.

Payment Structure

Approved entities receive up to 80% of the calculated grant amount, with a maximum ceiling of $5million per fiscal year. Payments are made in two installments:

• First installment 50% of the award, disbursed within 15days of agreement execution.
• Second installment Remaining 30% after submission of a midyear financial report.
• Final 20% Held in reserve and released upon satisfactory completion of the final performance report.

Reporting & Compliance

Recipients must submit the following reports:

• Midyear financial report Due 90days after the first payment; shows how funds were used.
• Final performance report Due 30days after the end of the fiscal year; includes outcomes, staffing changes, and service continuity metrics.
• Audit provision A full audit of the PRSP funds must be completed within 180days of the final report.

Failure to comply with reporting timelines can trigger a repayment demand for the unspent portion of the award.

Frequently Asked Questions

Contact Information

For further assistance, please reach out to the State CARES Fund Help Desk:

• Email: cares-help@state.gov
• Phone: (555) 1234567 (MonFri, 8am5pm)
• Online portal: https://cares.state.gov