Treasury Notes One-Year Anniversary of American Rescue Plan Act

The American Rescue Plan Act turned one this past month. The act authorized the second infusion of resources into the Emergency Rental Assistance Program (initially authorized and funded under the Consolidated Appropriations Act of 2021). In celebration of the law’s anniversary, the Treasury Department released a fact sheet on the impact the law has had.

The fact sheet highlights ERA’s role in preventing what the report referred to as an “eviction tsunami” after the expiration of the CDC’s eviction moratorium. The Treasury Department maintains that due to the Biden administration’s efforts to prevent evictions, including the implementation of ERA programs, eviction filings have remained at roughly 60 percent of historical levels in the five full months since the eviction moratorium ended. The fact sheet notes ERA grantees have made more than five million payments to low-income households to help with rent and utilities since the program’s start. And more than 80 percent of payments have been made to very low-income households. Approximately 40 percent of households benefitting from ERA identify as Black and 20 percent as Hispanic.

In addition, Treasury highlights that 351 states, localities, and tribal governments plan to devote $11.3 billion in state and local fiscal recovery funds to affordable housing purposes; for rapid rehousing, mental healthcare, and permanent supportive housing for people experiencing homelessness; and to build more affordable housing to address the root cause of housing insecurity.