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1. GENERAL PROVISIONS: STRUCTURE AND STANDARDS <br />Background: Sections 602(c)(1)(A) and 603 (c)(1)(A) of the Social Security Act establish <br />that recipients may use funds "to respond to the public health emergency with respect to <br />COVID-19 or its negative economic impacts, including assistance to households, small <br />businesses, and nonprofits, or aid to impacted industries such as tourism, travel, and hospitality. " <br />The interim final rule established three categories within this eligible use: 1) public health <br />responses for those impacted by the pandemic, including the general public; 2) responses to the <br />negative economic impacts that were experienced by those impacted as a result of the pandemic; <br />and 3) additional services, either as a public health response or a response to the negative <br />economic impacts of the pandemic, for disproportionately impacted communities. <br />The interim final rule established the method to determine which specific programs or <br />services may be eligible to respond to the public health emergency or to respond to the negative <br />economic impacts of the public health emergency within this framework. The interim final rule <br />included multiple enumerated uses that are eligible within each of these categories when <br />provided to eligible populations, including populations that the interim final rule presumed to <br />have been impacted (in the case of public health responses and responses to negative economic <br />impacts) or disproportionately impacted (in the case of disproportionately impacted <br />communities). Finally, the interim final rule also allowed recipients to designate additional <br />individuals or classes as impacted or disproportionately impacted. The standards for each of <br />these criteria under the interim final rule are discussed below. <br />To assess whether a program or service would be eligible to respond to the public health <br />emergency or its negative economic impacts, the interim final rule stated that, "the recipient [is <br />required] to, first, identify a need or negative impact of the COVID-19 public health emergency <br />14 <br />